Workshop: TCO Metrics

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Workshop: TCO Metrics

18-06-2015

Beyond measuring the obvious

As a Purchasing Professional, you definitely deal with spend reduction on a daily basis. Today, more and more companies are developing alternative metrics to measure not only the price reduction but also various aspects of the Total Cost of Ownership, some hidden costs of which could be quite significant. But:

  • How do you measure it?
  • Is your measurement system efficient?
  • Do you measure the right thing?

In a world driven by financial performance, purchasing governance has put the measurement of the price at the center of the spend reduction. Is it efficient? Are we measuring the right thing?

More and more companies acknowledge that their governance systems are measuring what is easy to measure – and not necessarily what is important to measure. More and more companies are developing alternative metrics to measure not only the price reduction but also various aspects of the Total Cost of Ownership, some hidden costs of which could be quite significant.

It is a cultural change in Purchasing organisations, who are trying to go beyond measuring the obvious striving to measure added value of the purchasing function. But, how to measure the less obvious?

 

About the Workshop

The workshop will cover what companies are doing in terms of measuring risk reduction, value creation, short and long term benefits, innovation and stakeholders’ satisfaction.

The discussions will be supported by Best Practices presentations, fruitful exchanges, and the results of the EIPM Survey that covers TCO practices, savings accountability and purchasing governance:

measuring the risk reduction
measuring the value creation
changing and promoting new metrics which put forward what buyers are doing
measuring the long term benefits vs short term ones
federating people and functions around the measurement of value

 

Speakers

François Dousset – Project Manager at EIPM

Eliano Apicella – Purchasing Associate Director at BARILLA

 

Agenda

Time Content
9:30-10:00 Welcoming and topic introduction: “TCO metrics – are we measuring the
right thing?”, François Dousset, EIPM:

  • measuring the risk reduction and the value creation
  • measuring the long term benefits vs short term ones
  • changing and promoting new metrics which put forward what buyers are doing
  • bonding people and functions around the measurement of value
10:00-10:30 Survey results presentation
10:30-11:00 Plenary discussion on the topic
11:00-11:30 Coffee Break and Networking
11:30-12:00 “Cost Saving Management is a must to ensure the Company’s Growth”, Eliano Apicella, Purchasing Associate Director, BARILLA

  • Barilla Company : short introduction
  • Barilla Growth Model: Volumes, Cost and Investments
  • Cost Saving Projects’ Classification
  • Cost Saving Management Process and KPI
  • Business Cases (A Packaging Material Re-engineering; Durum Wheat Supply Chain Integration)
12:00-12:30 Interactive workgroups session
12:30-13:00 Feedback from the interactive workgroups session
13:00-14:15 Lunch
14:15-15:00 Two parallel workshops
15:00-15:45 Feedback from the workshops
15:45-16:15 Coffee Break and Networking
16:15-16:45 Plenary discussion
16:45-17:00 What’s next and Closure

 

Register Now!

 

Details

Date:
18-06-2015
Event Category:
Event Tags:

Venue

EIPM Archamps Campus
Batiment Mont-Blanc 2 - 59, Rue Antoine Redier
ARCHAMPS, 74160 France
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Phone:
+33 4 50 31 56 78
Website:
http://eipm.org/