Capability Directory


Category management

Category management

Related Terms:

Category management involves the strategic management of procurement categories to maximize value, minimize risk, and drive cost savings. It encompasses activities such as category analysis, supplier segmentation, strategic sourcing, and performance management for specific spend categories.

Beginner competence definition

A beginner-level individual understands basic category management principles and supports more experienced professionals in data collection and analysis tasks. They can assist in organizing category-specific information, conducting basic supplier evaluations, and contributing to the development of category management strategies.

Intermediate competence definition

An intermediate-individual is able to conduct comprehensive category analysis, identify cost-saving opportunities, and develop category strategies aligned with organizational goals. They actively engage with suppliers to assess capabilities, negotiate contracts, and manage supplier performance within specific spend categories. They also possess strong market research skills to identify trends, analyze market dynamics, and propose supplier consolidation initiatives for improved efficiency.

Advanced competence definition

An advanced-level individul has extensive knowledge of specific spend categories, industry benchmarks, and supplier market dynamics. They can lead category management strategies, collaborating with stakeholders to define category objectives, establish performance metrics, and drive supplier innovation and collaboration. Additionally, they excel in strategic sourcing, conducting complex negotiations, and mitigating category-specific risks. We have found they also actively monitor supplier performance, evaluate market trends, and leverage their expertise to optimize procurement decisions, drive continuous improvement, and deliver significant value within specific spend categories.


Demand forecasting and planning


Supplier diversity and inclusion

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