ABSTRACT
This chapter describes a “how-to” methodology for improving sourcing through the use of commodity teams. Such efforts will lead to both cost reductions and closer relationships with suppliers. Both results provide “strategic” advantages — ones that improve the basis for competition. The methodology comes from the author’s long career in strategic roles in purchasing and material management with several large companies that depended heavily on suppliers. This methodology first appeared in article form in the January 1999 issue of
Inside Sourcing
published by the Sourcing Interest Group.
