At petroferro DMCC our sourcing policy refers to the value added process of selecting suppliers which is supported by market intelligence, supplier performance information and a concrete and well developed strategy. We can therefore provide our clients with an intelligence approach incorporating spend analysis, strategic sourcing,Supplier management and procurement optimization.
Before implementing any sourcing and procurement initiatives, We first analyze the spending patterns, which is collected from various suppliers then we identify sourcing barriers and limitations such as legal or contract restrictions. This analysis gives us the information and decision support required to develop supply strategies which are aligned with company objectives.
The overall goal of strategic sourcing is to achieve long term supply stability minimize supply risk and reduce cost. We have achieved this goal by rationalizing supplier base, reconfiguring supply specification and in some cases developing strategies alliances and long term supply agreement such as exclusive base distribution agreement with selected suppliers.
At petroferro DMCC we are focused on increasing our knowledge about our supplier's performances and its impact on our operations. This knowledge is acquired by capturing and analyzing our supplier performance data which is incorporated into the selection and negotiation process to arrive at sourcing decisions that actually meets our sourcing policy.
The main focus at this stage is on transactional efficiency and squeezing process related efficiencies such as supply lead times and delivery as well as the process costs.