With Christmas around the corner, here are the 12 days Christmas that you, as a procurement professional, should follow before the festive season commences.
The first day of Christmas
According to the carol, a person should receive partridges and pear trees. However, with so many different species of both, it is tough to choose something precise unless specified. Similarly, you need to ensure that your suppliers know what you want – otherwise, there will be a mismatch between what you expect and what you get.
The second, third and fourth days of Christmas
On these days, the recipient receives two turtle doves, three French hens and four callings. It means that you should focus on standardisation so that there is no scope for variation. Also, you should buy just what is needed to manage demand during the busy festive season effectively.
The fifth day of Christmas
The recipient receives five gold rings. Gold is a precious metal and its price in the commodity markets has an impact on the prices of products. Ensure that you understand the link between commodities and spend so that you can take the necessary steps to mitigate the price increase of raw materials and other goods.
The sixth day of Christmas
On this day, it’s six geese-a-laying. The geese are symbolic of production, while the eggs symbolise materials, both raw and processed. This means that you should figure out whether you want to make or buy a product for further retail. Whatever you decide should be cost-effective for the organisation.
The seventh day of Christmas
This day is for receiving swans a-singing. Since the Queen is the owner of swans in the Thames, it would be risky to try to catch them. Likewise, you need to assess risks in procurement and formulate strategies to mitigate them.
The eighth day of Christmas
This day is for eight maids a-milking. In terms of buying services, you should know whether you want the eight milkmaids or the service of the cows being milked. Look at the input and output and determine which is more important. Based on this, you can streamline the necessary processes and make procurement more efficient and effective.
The ninth day of Christmas
This day is reserved for the ladies who come dancing. You can correlate this to bribery or ethics. Make sure that procurement complies with the Bribery Act and has rules and policies that minimise the chances of unfair procurement practices.
The 10th day of Christmas
The carol brings 10 lords a-leaping on this day. CPOs should check their systems and procedures to ensure that procurement is not employee-dependent. That way, procurement will continue even if an employee is absent.
The 11th and 12th days of Christmas On these days, the singer receives 11 pipers piping and 12 drummers drumming. Use this analogy to ensure that you know the rights associated with the products and services you procure. That way, you avoid legal complications.