This report evaluates and contrasts various sourcing strategies within the SWS (Sustainable Water Solution) organisation, focusing on the health and safety (HS&E) category of spend during the COVID-19 pandemic, which necessitated remote working.
To assess the different sourcing strategies, tools such as the Kraljic analysis, Mendelow's stakeholder analysis, the business hierarchy of needs, and the SWOT analysis were employed.
Additionally, the Peter Block Grid was used to categorise stakeholders based on their interests and positions related to the sourcing strategies.
In the supplier evaluation for the HS&E category of spend within SWS, Carter's 10Cs methodology was applied to assess different sourcing strategies.
The results indicate that SWS should adopt a strategic sourcing approach to sustain its leadership in the sustainability and water management industry while maximising efficiency.
The sourcing strategies include multiple sourcing (engaging with multiple suppliers), single sourcing (working with one supplier), sole sourcing (working with a monopolistic supplier), and dual sourcing (working with two suppliers who might have conflicting demands).
In conclusion, the recommendations for SWS's sourcing strategies in the HS&E category of spend are as follows:
- Determine the most suitable sourcing strategy based on the characteristics of the spend category.
- Ensure procurement policies are comprehensive and prioritize health and safety standards.
- Simplify the procurement process while considering the interests of all stakeholders.
- Upgrade the current Ariba/SAP system to enhance information flow and support various sourcing methods such as RFQ, RFP, negotiation, and e-auction throughout the product lifecycle
