Procurement glossary: Strategic procurement
5 terms on Strategic procurement.
A
- ABC analysisABC classification · ABC analysis · Pareto analysisABC analysis is a classic method in procurement and materials management for classifying items, suppliers or order lines according to their importance to busine
- ABC/XYZ Classification CycleABC/XYZ analysis cycle · ABC-XYZ matrix · combined ABC/XYZ classificationThe ABC/XYZ classification cycle describes the regular repetition of the combined value analysis (ABC) and demand variability analysis (XYZ) across the company'
B
D
- Design-to-CostDesign to Cost · DTC · Target CostingDesign-to-Cost is an approach in which target costs are anchored early in product development and design decisions are consistently aligned with these targets.
- Dual sourcingSecond-source strategy · Second Sourcing · Two-Source StrategyDual sourcing refers to the procurement strategy of deliberately sourcing a good, a component or a service from two suppliers rather than relying on a single pr