Global Best Practice - Strategic Procurement Planning

Before you can start strategic planning, procurement needs to create a clearly articulated purpose that defines its mission, vision, and values specific to the procurement function. Once this purpose is defined, procurement can then develop a strategic plan that appropriately aligns with its goals and objectives and also fulfills the obligation to meet the needs of the public and the entity. This strategic plan should be reviewed annually and updated as needed to ensure it continues fulfilling these dual purposes. By developing a procurement strategic plan, the procurement department ensures that its function meets the goals and objectives of the organization as a whole. There are two main parts to the procurement strategic planning process. First, procurement should develop a strategic plan in a way that allows the procurement department to effectively align its goals, programs, activities, and resources with the organization's mission. The second part is for the procurement team to determine how it will accomplish the elements that are set forth in the strategic plan. This practice outlines how procurement professionals should approach their mission and strategic plan, starting with the element of the mission statement. Other key elements this practice focuses on include writing the vision statement, setting goals, and establishing objectives. After reviewing this practice, procurement professionals will be able to effectively work with their organization to create a mission and develop a strategic plan that aligns with that mission.