The 2019-20 Category Management Leadership report highlights the ‘performance gap’


The 2019-20 Category Management Leadership report highlights the ‘performance gap’

By Mark Webb |

The Future Purchasing Category Management Leadership report is in its 4th edition this year, and there is a notable headline evident across the findings.

The gap between those who excel at category management (the Leaders) and those who are still developing their approach  (The Followers) is growing.

The implications of this are significant, as the value (measured by risk reduction, revenue enhancement and cost reduction) delivered by category management leaders is double that of followers. In your sector, if your competitors are achieving 2x the value from their supply chain, you will be falling behind rapidly in the marketplace.

Category Management Leadership report highlights the ‘performance gap
*Total savings achieved per €1 billion spend Source: Future Purchasing 2019-20 Global Category Management Leadership Report
The growing need to seriously improve category management capability

In the two years since our last report was published there has been a significant increase in the number of private and public sector organisations expressing a serious need to improve their category management capability so that they can access this additional value. There has also been a notable shift and recognition that implementing category management requires a change programme in order to make it stick. New toolkits and a 2-day classroom course are part of the solution, but more fundamental changes are also required.

The Category Management Leadership report is unique in providing a comprehensive assessment of global category management maturity. In addition, it is also a comprehensive set of recommendations that organisations can use to build a roadmap for their category management improvement programme. In this edition, we have also refreshed the model we developed with Henley Business School. This identifies the practices that have most impact on performance and connects these to the key indicators that tell you how well your category management is performing.

The first step is to consider where you are and where you need to be on the journey towards category management excellence. Use the report and its recommendations to consider how you want to close your own gap.

Download the preview and request your copy of the report here: Category Management Preview.

Further reading

Blog post: 10 years of world leading actionable category management research

Blog post: Unveiling the Landscape of Strategic Procurement Challenges: Early insights from the 2023 Future Purchasing Global Study

About Mark Webb

Managing Director

22 years procurement experience in line management
and consulting roles.
Previous employment: Price Waterhouse, Mobil Oil and QP Group
Education: BSc in Management Science and MSc in Business by Research, Aston University
CIPS: member