Extending purchasing influence_2
17 August 2012
Q: How can I get my senior management to allow purchasing to extend its control into all spend areas and become a business function on a par with marketing or finance?
A: John Matthews, partner at ADR International, writes: There are a number of ways to gain the credibility you seek. The easiest is to demonstrate how much you spend with third parties, of which many senior managers are unaware.
To calculate this figure, strip out all the value-added elements in the accounts (wages and salaries, depreciation, profit,...