Excerpt from course description

Procurement and Sourcing Strategies: Balancing Cost, Risk, and Value

Introduction

Please note that this is a preliminary course description. The final version will be published in June 2026.

Procurement and Sourcing Strategies (PSS) are important for the competitiveness of companies. Procurement costs often constitute over 50% of the cost of goods sold (COGS). PSS is key in reducing these costs and provides opportunities for value creation and innovation through the mobilization of suppliers. Besides, suppliers are important for a company’s risk management and strive for sustainability. A common challenge of PSS across industries and sectors is to navigate in an environment that is besieged with challenges. These include compliance to new regulations and demands related to net zero ambitions, resource scarcity, volatile raw material prices, industry 4.0, and unexpected disruptions like pandemics, geopolitical issues, and natural hazard incidents. How PSS can play a strategic role, by developing and applying appropriate strategies, capabilities, processes, systems, technologies, and supplier relationships, is at the core of this course. The course is a mix of theoretical insights and high-level analyses on the one hand, and application of quantitative and qualitative practical tools, and real-life examples on the other.

Course content

  • PSS roles and contribution to cost, value, and risk in a sustainability perspective
  • PSS strategies on different levels 
  • Supplier portfolio management, ABC analysis and category management
  • Spend analysis
  • Supplier identification and selection process + performance measurement
  • Ordering – advanced
  • Negotiating, contracting and managing relationships, including application and role play
  • Digital technologies in PSS
  • Public procurement
  • Enabling conditions: Organizing and capabilities

Disclaimer

This is an excerpt from the complete course description for the course. If you are an active student at BI, you can find the complete course descriptions with information on eg. learning goals, learning process, curriculum and exam at portal.bi.no. We reserve the right to make changes to this description.