Product Procurement

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P P P R R R O O O D D D U U U C C C T T T P P P R R R O O O C C C U U U R R R E E E M M M E E E N N N T T T Organized for speed, innovation and value to create workplaces that respond to business performance needs Workstation Typical Product procurement service is a customer-centered strategy to control cost and insure maximum performance from your FF & E expenditures. This strategy is designed to procure products and services that meet or exceed your performance metrics without unnecessary mark ups. Needs Assessment Assess the general categories of furniture products required. Document any manufacturer preferences that you may have. Establish product evaluation criteria to include: Budget. Performance expectations. Aesthetic considerations. Lead-time. Manufacturer Evaluation Recommend manufacturers based on: History and stability of the manufacturer. Track record for on time and complete performance. Breadth of product offering. Competitive pricing. Service and warranty. Product Evaluation Analyze selected manufacturer’s products based on: Function. Quality. Durability. Price/value relationships. Manufacturers and Product Lines

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Transcript of Product Procurement

Page 1: Product Procurement

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Organized for speed, innovation and value to create workplaces that respond to business performance needs

Workstation Typical

Product procurement service is a customer-centered strategy to control cost and insure maximum performance from your FF & E expenditures. This strategy is designed to procure products and services that meet or exceed your performance metrics without unnecessary mark ups.

Needs Assessment Assess the general categories of furniture products

required.

Document any manufacturer preferences that you may have.

Establish product evaluation criteria to include:

Budget. Performance expectations. Aesthetic considerations. Lead-time.

Manufacturer Evaluation Recommend manufacturers based on:

History and stability of the manufacturer.

Track record for on time and complete performance.

Breadth of product offering.

Competitive pricing. Service and warranty.

Product Evaluation Analyze selected manufacturer’s products based on:

Function.

Quality.

Durability. Price/value relationships.

Manufacturers and Product Lines

Page 2: Product Procurement

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Organized for speed, innovation and value to create workplaces that respond to business performance needs

Product Inspection We will arrange and conduct tours of:

Manufacturer’s showrooms and production facilities. Completed projects.

The focus of this activity is to provide an in-depth understanding of the features, cost and benefits of the furniture.

Manufacturer Negotiation

Negotiate directly with the selected manufacturers to secure the best discounts and pricing agreements.

Product Specification Develop detailed product specifications from approved final

furniture plans. Establish a CAP database for use in order entry.

Financial Analysis Evaluate lease/purchase options.

Determine the cost of temporary furniture.

Secure the maximum trade-in value of existing product.

Analyze the potential return on investment for furniture to be liquidated and cost/benefits of phasing the purchase of new furniture.

Chicago Merchandise Mart

Product Worksheet

Product Worksheet

Page 3: Product Procurement

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Organized for speed, innovation and value to create workplaces that respond to business performance needs

Document Preparation and Acquisition Once basic agreements with the selected manufacturers have been made, we will:

Verify pre-negotiated discounts against product specifications.

Submit final purchase orders for client approval.

Prepare and release orders.

Coordinate the acquisition of the furniture and accessories.

Coordinate payments.

Administer manufacturer pricing and warranty agreements.

Delivery Scheduling/Status Reports

Create a master schedule and critical path plan.

Develop phasing plans to match your occupancy dates.

Issue status reports to keep you advised of progress and to ensure that production and shipping dates are on schedule.

Specification Worksheet

Project Schedule

Specification Worksheet

Catalog & Worksheet

Manufacturers

Product Warranty