In five steps to the best purchasing organization structure!
What are important structural changes that your organization needs to apply when the organization grows in purchasing maturity? What should be done step-by-step happen to so efficient and effectively possible growthand as an organization? Supply Value has researched this and informs and helps you.
Structure is an essential part of an organization and influences the performance of an organization. Organizations can be in different phases of purchasing maturity. However, it is not yet known how the structure of an organization changes when an organization develops into purchasing maturity. This has been researched by Supply Value because it is expected that the structure of an organization is important for the procurement maturity of an organization.
Research Supply Value
Supply Value researched the influence of the purchasing maturity of an organization on the organizational structures between January and July 2017. The research was delivered on the basis of Van Weele's procurement maturity model (1998) and the structural components as described at Glock and Hockrein (2011): (1) Centralization (2) Formalization (3) Involvement (4) Configuration (5) Specilization (6) Standardization.
The conclusions and recommendation of this study are based on 13 interviews with (purchasing) directors, purchasing managers and purchasers of - in scope - different organizations. Think of small organizations as start-ups to organizations with more than 100,000 employees. The interviews were conducted in various procurement maturity phases and industries (see Figure 2). Figure 3 shows which level of the structural components fits a certain phase of purchase maturity.
The research results show that all components of structure - apart from centralization - increase when a company becomes more mature in purchasing maturity. The level of centralization of procurement-related decisions gradually decreases when an organization develops further into purchasing maturity.
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