Question

Ch.6 - How do you use category strategy development in your daily life?

at least 300 words please

Answer 1

Category strategy development in daily life can be done by following the steps of identification and requirements of the demand, identifying the available sources of demand, market research and understanding, evaluation of the available sources and implementation of the strategy or contract.

Category Strategy development is done with purpose of following an effective manner for meeting the demands for long term and short term. It can be done in daily life by understanding the various sources of service and product providers in the market. The benefits and features of each of the services or product needs to be understood and their viability with the goals of cost leadership or performance or quality standards can be evaluated. Based on their features and benefits, the terms the supplier is ready to offer for a given period, the category strategy can be formed. The process involves having skills like information, analysis, negotiation, relationship building and evaluating the effectiveness for the source or supplier in short term and long term of the requirement. The supplier performance can be checked by obtaining feedback from market sources. Other trends prevalent in the environment can be checked for developing a strategy. For optimization of resources, processes can be formed that can be referred as standards for future. It is important that as part of category strategy development the terms and conditions involved for the implementation of plan of procurement are framed and agreed upon together so that any problems can be resolved together. Support and additional services can help in continuity and best use of the strategy developed for the particular category. The plan or contract can be monitored for its implementation and any improvements can be made as per the necessary.