Many procurement organizations see annual planning as a time to set savings goals and identify sourcing opportunities that will allow them to meet these goals. This is an understandable approach since it paves the way to understanding the coming year’s workload, which can in turn, inform budgets, resource needs and org structure.
However, rushing off to plan your savings pipeline without considering your company’s business goals can quickly get you out of synch with your stakeholders. Instead of jumping to the savings plan, it’s helpful to take a step back and assess what the business wants you to deliver and how you can meet those expectations. With this knowledge, you can set an intentional plan and strategic roadmap for the coming year.
