CONSULTING CASE STUDY

Purchasing Department Analysis

PSC has been contacted by a wide variety of companies to conduct comprehensive reviews of their purchasing departments. Our analysis includes findings, as well as recommendations for process improvements.

After meeting with the client and agreeing on the scope of the purchasing review, a team of PSC consultants meets with the individuals involved in the purchasing process. An analysis is made of current purchasing activities and a comprehensive report is produced which includes our suggestions. We can then work with the client to implement these changes, whether it is through training, policy writing, or other pro-active processes.

Since we specialize in Purchasing, we take a very focused approach to the review. We evaluate such areas as:

• Policies and procedures
• Purchasing documents, including forms, terms and conditions, price controls, etc.
• Internal controls and authorization levels
• Supplier management and strategies
• Interface with end users and other departments, such as Accounting and Engineering
• Cost savings programs
• Buyer workload issues
• Agreement evaluation
• Purchasing Card programs
• Risk Management

A good purchasing strategy includes regular re-examinations of the department's processes. For our clients, PSC's "audits" have resulted in invaluable savings. We help in moving our clients' purchasing philosophy from simply obtaining needed goods and services, to establishing an aggressive pricing/bidding program to generate cost savings, and ambitiously playing a very strategic role in the companies' current and future operations. PSC strives to develop an efficient and productive purchasing department that plays a key role in the company's growth and development.