Managing Procurement & Commercial Formalities

Managing Procurement & Commercial Formalities

Purpose of This Lesson

To help you stay in control when procurement enters.

5.1 Understanding Procurement’s Role

Procurement:

• Enforces process
• Protects organization
• Optimizes commercial terms

Procurement does not decide value.

5.2 How to Work with Procurement

• Be structured
• Be patient
• Be consistent
• Never contradict earlier commitments

Always keep:

• Business sponsor involved
• Value conversation alive

5.3 Dangerous Procurement Mistake

Allowing procurement to:

• Redefine scope
• Strip value
• Reset pricing logic

Always anchor back to:

“This scope was defined based on business requirements.”