Developing a Purchased Price Index as a Key Performance Indicator

Author(s):

Robi Bendorf, C.P.M.
Robi Bendorf, C.P.M., Consultant, Bendorf & Associates, 412/856-4453; robi@bendorf.com

90th Annual International Conference Proceedings - 2005 - San Antonio, TX
Abstract

When cost reductions are difficult to obtain and prices are going up, how can you show that Supply Management is still doing a great job? Developing and maintaining a Purchased Price Index and comparing it to external indexes is an essential Key Performance Indicator (KPI) to demonstrate Supply Management value added.

Developing a Purchased Price Index as a Key Performance Indicator — 74 KB (PDF)