PPV (Purchase Price Variance) is a Stupid Metric

Purchase Price Variance (PPV) is a procurement metric that’s designed to measure a procurement organization’s (or an individual procurement professional’s) effectiveness at meeting cost savings targets. The thinking about PPV is simple. If you spend $1.10 on a widget, then try to get the exact same widget next year for $1.00. The better the price […]

Outsource Magazine — July 2014

Avoid Buyer and Seller Remorse: Get What You Pay For Article by Kate Vitasek published 17 July 2014 online and in the magazine’s Summer 2014 digital edition.  At some point a buyer and supplier will talk about pricing, maybe not right away – but it’s always the elephant in the room. Pricing is also potentially […]

Supply Chain Brain — June 2014

Why Suppliers and Buyers Need a New Approach to Pricing By: Robert J. Bowman, SupplyChainBrain June 20, 2014 Podcast/interview with Kate Vitasek Here’s the link: http://www.supplychainbrain.com/content/single-article-page/article/why-suppliers-and-buyers-need-a-new-approach-to-pricing/

SIG Inside Sourcing Newsletter — May 2014

Unpacking Pricing Models: Making You “Get What You Pay For” Reality Article by Kate Vitasek published online 15 May 2014. Here’s the link: http://www.sig.org/newsletter.php?id=8797   

Getting What You Pay For

Whether you’re at the shopping mall or negotiating a contract, there’s no truer saying than “you get what you pay for.” But even more important are some related questions, like “Do you really know what you are paying for?” and “Do you know why and how you are paying for what you are getting?” That’s […]