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List of figures | |
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List of tables | |
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List of case studies | |
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Preface and acknowledgements | |
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Introduction | |
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The philosophy and psychology of buying | |
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The philosophy of buying | |
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The psychology of buying | |
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Vendor conditioning of buyers | |
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Personality types and aptitudes | |
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Risk management | |
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Important buying-related concepts | |
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Terminology - cost reduction, cost containment, cost avoidance | |
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The buying portfolio | |
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The Pareto Principle (the '80/20 rule') | |
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Single sourcing and multi-sourcing | |
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Buying power and intrinsic cost reduction | |
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Market segregation | |
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Quality | |
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Total cost of ownership ('TCO') | |
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Effective tools and techniques | |
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Spend mapping | |
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Estimating and targeting cost savings opportunities | |
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The buying cycle | |
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Price benchmarking | |
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Specifications - goods | |
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Specifications - capital equipment | |
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Specifications - services | |
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The changes that deliver cost reduction | |
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Engage the current vendor(s), and potential new vendors | |
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Change what is bought | |
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Change how it is bought | |
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Change when it is bought | |
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Change who buys it | |
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Change where you buy it from | |
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Rent rather than buy? | |
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Involve procurement at an earlier stage in the buying cycle | |
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Market testing | |
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Why market testing is so important | |
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Different types of market testing | |
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Locating potential new vendors | |
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Buying internationally | |
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Market testing in difficult markets | |
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Case studies | |
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Outsourcing and insourcing | |
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Background | |
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Deciding what to outsource | |
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Levels of outsourcing | |
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The top three legal issues | |
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Insourcing | |
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Negotiation | |
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The distinction between buying and negotiating | |
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Aligning style and tactics with the nature of the buyer-vendor relationship | |
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Why most people are poor negotiators | |
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How to develop your negotiating abilities | |
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The five golden rules of effective negotiation | |
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Minimum and maximum settling points (MSPs), and the 'killer question' | |
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The buyer's power over the course of the buying cycle | |
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How to leverage your buying power | |
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Vendor pre-conditioning | |
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Contracts and contract law | |
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Why formal contracts are important | |
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Contract fairness | |
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Contract duration | |
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Which contract terms to use | |
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Vendor terms to be challenged | |
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Developing your own contract terms | |
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Contract termination | |
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Contract terms and the buying cycle | |
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Contract register | |
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E-procurement | |
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Background | |
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Terminology | |
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The development of e-procurement | |
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A brief introduction to auctions - Dutch, Chinese, reverse, electronic, English... | |
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E-auction 'do's and don'ts' | |
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eWorld | |
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An overview of e-procurement - The Aberdeen Group | |
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E-procurement enabler 1 - Procuri | |
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E-procurement enabler 2 - BravoSolution | |
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E-procurement enabler 3 - Vendigital | |
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Organizational issues | |
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Politics | |
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Buying development stages | |
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Approaches to buying | |
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Building buying capacity and capability: employees, interim managers, consultants | |
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Maximizing the value derived from external experts | |
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Matching buyer personalities/aptitudes to tasks | |
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Buyer motivation and incentivization | |
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Individual roles, responsibilities and authorities | |
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Buyers' product knowledge | |
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Buyers' contract law knowledge | |
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Buyers' competence development | |
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Performance measurement and reporting | |
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Ethics | |
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Service level agreement (SLA) | |
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Request for proposal (RFP) | |
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The Chartered Institute of Purchasing and Supply | |
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Soft issues impacting on cost reduction drives | |
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Buying at Sainsbury's supermarkets | |
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Buying at SmithKline Beecham | |
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Buyer remuneration in the UK | |
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References | |
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Index | |