Corporate
strategy
Purchasing &
supply objectives
Purchasing &
supply strategy
ITC M4:U2:2.1-1
, Examples of supply objectives
Area Examples of possible supply objectives
A. Quality Ensure a performance reliability rate of no less
than X%.
Ensure an availability rate of no less than 99%
B. Availability
for high priority items.
C. Supplier service Ensure that all suppliers of equipment and
& responsiveness components are able to respond to technical
queries within 24 hours.
D. Cost reduction Ensure that all equipment purchased is evaluated
before acceptance based on its life-cycle cost.
ITC M4:U2:2.1-2
, The Supply Positioning Model
Takes into account:
The level of annual expenditure
on an item
The potential impact on the
enterprise of not meeting supply
targets
Supply opportunities & risks
ITC M4:U2:2.2-1
strategy
Purchasing &
supply objectives
Purchasing &
supply strategy
ITC M4:U2:2.1-1
, Examples of supply objectives
Area Examples of possible supply objectives
A. Quality Ensure a performance reliability rate of no less
than X%.
Ensure an availability rate of no less than 99%
B. Availability
for high priority items.
C. Supplier service Ensure that all suppliers of equipment and
& responsiveness components are able to respond to technical
queries within 24 hours.
D. Cost reduction Ensure that all equipment purchased is evaluated
before acceptance based on its life-cycle cost.
ITC M4:U2:2.1-2
, The Supply Positioning Model
Takes into account:
The level of annual expenditure
on an item
The potential impact on the
enterprise of not meeting supply
targets
Supply opportunities & risks
ITC M4:U2:2.2-1
