Analyzing Procurement Maturity in a Global Enterprise - Case Example

Abstract

The main objective of this thesis is to analyse a case company’s procurement function’s maturity. Maturity is defined as ‘‘the level of professionalism in the purchasing function’’ (Rozemeijer et al., 2003), and it is analysed with maturity models. This thesis provides an overview to maturity models, and further introduces some models in the supply chain -domain, as well as the relationship with maturity and performance.

The case company was analysed using a Purchasing Maturity Model developed by Schiele (2007). Two-part interviews were conducted with the Head of Procurement, and the Head of Logistics at the case company. The first part of the interviews consisted of a qualitative interview, while the second part was quantitative. The interviewees answered specific purchasing -related questions on a percentage-based Likert-scale.

The main empirical findings were, that the case company’s procurement function was relatively mature. Improving the function further could yield in even better costs savings (Schiele, 2007; Batenburg & Versendaal, 2008).