Strategic Sourcing
Strategic Sourcing and Commodity Management
Boston University seeks to leverage the University’s buying power wherever possible while still recognizing the needs of individuals and departments. By developing strategic partnerships with critical suppliers when the benefit to Boston University is clearly demonstrated, Boston University can continually provide additional services and process improvements at lower total costs.
Boston University’s sourcing strategy is specific to categories of spending and their importance to your needs. Sourcing Managers analyze total University expenditure levels, percentage of total spend represented by each category, the relationship to university objectives, technical complexity, supplier alternatives, and other factors related to Boston University’s leverage in the market.
Strategies are developed that clearly outline how the category will be managed and performance targets to be achieved. These include:
- Using University spending data to identify and prioritize opportunities
- Segmenting suppliers and developing sourcing strategies
- Developing teams across the University responsible for supplier leadership
- Managing competitive bid agreements, using e-Sourcing tools and reverse auctions to access market pricing
- Developing strategic partnerships with critical suppliers when the benefit to Boston University is clearly demonstrated
- Monitoring supplier performance and deliverables