Assessment Task You have been asked to prepare a business report evaluating category and contract management in your organisation. As part of your report, you must evaluate

Assessment Task

You have been asked to prepare a business report evaluating category and contract management in your organisation.

As part of your report, you must evaluate each of the following in relation to your organisation:

• Examine the requirements for initiating and preparing the introduction of a category management process
• Critically compare strategic and conventional sourcing processes and their role in category management
• Compare and contrast the tools & techniques that can be applied to map categories of direct & indirect expenditur
• Based on your previous answers assess innovative measures to improve the supply chain (when thinking about categories and category management)
• Differentiate between contract administration & contract management (in the context of category management)
• Based on your previous answers assess risks & implementation of risk management techniques in contracts (in the context of category management)

Your report must include recommendations for improvement.

Assessment Summary

The assessment required students to prepare a business report evaluating category and contract management within their organisation. The key objectives were to:

1. Examine requirements for initiating and preparing a category management process.
2. Critically compare strategic vs conventional sourcing processes and their role in category management.
3. Compare and contrast tools and techniques for mapping direct and indirect expenditure categories.
4. Assess innovative measures to improve the supply chain within the context of categories and category management.
5. Differentiate between contract administration and contract management in relation to category management.
6. Evaluate risks and risk management techniques for contracts.
7. Provide recommendations for improvement in category and contract management.

The report needed to demonstrate critical thinking, practical understanding of procurement processes, and application of theoretical concepts to real organisational practices.

Step-by-Step Approach Guided by the Academic Mentor

• The mentor first helped the student break down the task into manageable sections.
• Each section of the report was linked to a learning outcome to ensure full coverage of the requirements.
• Mentor guided the student to examine preparatory steps, including defining categories, understanding organisational goals, and identifying key stakeholders.
• Student documented these steps in the report with real organisational examples.
• Mentor explained differences between strategic sourcing (long-term, data-driven, value-focused) and conventional sourcing (short-term, transactional).
• Student critically analysed which approach was more suitable for different categories within their organisation.
• The mentor introduced frameworks such as Kraljic Matrix and Spend Analysis tools.
• Student applied these to classify direct and indirect spend categories and evaluate supplier relationships.
• Mentor guided the student to explore innovations such as digital procurement tools, supplier collaboration platforms, and AI-based forecasting.
• Student identified areas where such innovations could enhance efficiency in their organisation.
• The mentor clarified the distinction: administration focuses on compliance and record-keeping, while management is strategic, monitoring performance and value.
• Student documented examples from organisational contracts to illustrate both.
• Mentor explained how to identify contractual risks and apply mitigation strategies.
• Student included risk matrices and practical techniques to manage supplier and operational risks.
• Mentor assisted the student in synthesising insights from all sections.
• Recommendations focused on process optimisation, technology adoption, and structured risk management.

Recommendations for Improvement

Risk Assessment & Risk Management

Contract Administration vs Contract Management

Assessing Innovative Measures in Supply Chain

Tools & Techniques for Mapping Expenditure

Comparing Strategic and Conventional Sourcing

Initiating Category Management Process

Understanding Assessment Requirements

Outcome and Learning Objectives Covered

• The final report demonstrated a comprehensive understanding of category and contract management.
• Key learning objectives achieved:
  • Application of category management theory to practical organisational scenarios.
  • Critical evaluation of sourcing processes and expenditure mapping tools.
  • Understanding of contract lifecycle, administration, and management.
  • Identification and mitigation of contractual and supply chain risks.
  • Development of practical recommendations for organisational improvement.

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