SOURCING STRATEGY FOR xxxxxxxxxxxxxxxx x Prepared by: x

Confide Phase 1: Internal Assessment CATEGORY PRIORITY CategoryPareto (A, B or C)Future spendCriticality (H,M,L)Priority (H,M,L) SPEND BREAKDOWN Enter tables for Spend Breakdown below: CategoryM GrpDescription # of Supplier s YTD $'s cum

Confide Phase 1: Internal Assessment CATEGORY PROFILE Requirements xxxxxxxx Spend Profile # of suppliers xxxxx xxxxxxxx Current Buying Practices x Buying Constraints (if any) x

Confide Phase 1: Internal Assessment TOTAL COST OF OWNERSHIP If TCO costs are known, enter table similar to table below: TCO COSTUp-front $Year 1Year 2Year 3 Purchase Price: Services being purchased Acquisition: sourcing Usage Costs: none End of Life Costs: none Total PRESENT VALUE

Confide Phase 1: Internal Assessment SOURCING GOALS AND CONSTRAINTS WORKSHEET VALUE DRIVERS: Product DesignProcurement qualityMarket test serviceOther sources cost SOURCING GOALS: LIST OF GOALS Quality of end result Vendor flexibility Testing of the market Transitional guidance for design Guidance on market trends CONSTRAINTS (IF ANY): LIST OF CONSTRAINTS Client’s lack of motivation to change

Confide Phase 2: Supply Market Analysis MARKET PROFILE Market Size Enter information on market size here Market Structure Enter information on market structure here Key Players Enter list of key players here

Confide Phase 2: Supply Market Analysis COMPANY PROFILE: (ENTER NAME OF KEY PLAYER HERE) General Company Information xxxx Note: The items below are a guide for a company profile. You may add/delete/modify items. Crete profiles for each of the key players you have identified. Market Share Enter information here Key Customers x Revenue Breakdown By region, business unit etc Financial Trends Key financial trends Leadership Key facts on leadership

Confide Phase 2: Supply Market Analysis Price Drivers for Category PRICE DRIVER MAP Note: Enter a map of the price drivers on this page, highlighting the key drivers OR Complete the table below: DEMAND DRIVERSSUPPLY DRIVERSCOST DRIVERS xxx xxx x

Confide Phase 2: Supply Market Analysis PRICE TRENDS ENTER TABLES AND/OR GRAPHS SHOWING PRICING TRENDS FOR CATEGORY:

Confide Phase 2: Supply Market Analysis PRICE DRIVER TRENDS DEMAND DRIVERS TREND (UP,DOWN,FLAT) IMPLICATION AND IMPACT ON PRICE x x x x x x SUPPLY DRIVERS TREND (UP,DOWN,FLAT) IMPLICATION AND IMPACT ON PRICE COST DRIVERS TREND (UP,DOWN,FLAT) IMPLICATION AND IMPACT ON PRICE OVERALL OBSERVATIONS ON FUTURE PRICE TREND Short TermLong term.

Confide Phase 2: Supply Market Analysis FIVE FORCES ANALYSIS BARGAINING POWER OF BUYERSBARGAINING POWER OF SUPPLIERS (TIER 2) Enter rating by shading the rating scale above to the appropriate score and enter rationale here THREAT OF NEW ENTRANTSRIVALRY AMONG EXISTING FIRMS Enter rating by shading the rating scale above to the appropriate score and enter rationale here AVAILABILITY OF SUBSTITUTES Enter rating by shading the rating scale above to the appropriate score and enter rationale here

Confide Phase 3: Strategy Development CATEGORY ATTRIBUTE CHART CATEGORY ATTRIBUTES COMMENTS Internal Attributes Customization Spend concentration Switching costs Business Impact Supply Attributes No. of local suppliers No. of global suppliers Lead time Risk of shortage Market volatility Power Attributes Value to current suppliers Value to potential suppliers LOWHIGH

Confide Phase 3: Strategy Development CATEGORY POSITIONING: VALUE TO SUPPLIERS Note: Position your category by drawing a circle in the appropriate place and then enter explanation in the comment box Value to current Suppliers High Low Comments: SUPPLIER DEVELOPMENTCUSTOMER DOMINANCE SUPPLIER DOMINANCECUSTOMER STRENGTH Value to Potential Suppliers

Confide Phase 3: Strategy Development CATEGORY POSITIONING: BUSINESS IMPACT AND SUPPLY RISK ) Note: Position your category by drawing a circle in the appropriate place and then enter explanation in the comment box Risk of Shortage High Low Comments: LEVERAGESTRATEGIC NON-CRITICALBOTTLENECK Business Impact

Confide Phase 3: Strategy Development CATEGORY POSITIONING: BUSINESS IMPACT AND MARKET VOLATILITY Note: Position your category by drawing a circle in the appropriate place and then enter explanation in the comment box Market Volatility High Low Comments: STABLE-HIGH IMPACTVOLATILE-HIGH IMPACT STABLE-LOW IMPACTVOALTILE-LOW IMPACT Business Impact

Confide Phase 3: Strategy Development RISK ANALYSIS Note: To evaluate multiple strategy statements please make as many copies of the table below as necessary Strategy Statement (STARS) Risk Business Impact Initial Assessment Comment/Mitigation Strategy Final Assessment Probability Risk Zone (Red, Orange, Green) Probability Risk Zone (Red, Orange, Green)

Confide Phase 3: Strategy Development BENEFIT ANALYSIS Note: To evaluate multiple strategy statements please make as many copies of the table below as necessary Strategy Statement (STARS) Benefit$

Confide Phase 4: Supplier Selection SELECTION CRITERIA AND WEIGHTS CRITERIA WEIGHT (Enter % below) SUBCRITERIA (IF ANY) WEIGHT % (IF ANY) COST RELIABILITY/QUALITY BUSINESS ENVIRONMENT/SAFETY SUPPLY CHAIN TECHNOLOGY TOTAL100%

Confide Phase 4: Supplier Selection SELECTION CRITERIA REQUIREMENTS COST CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE RELIABILITY/QUALITY CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE BUSINESS CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE

Confide Phase 4: Supplier Selection SELECTION CRITERIA REQUIREMENTS (CONTINUED) ENVIRONMENT / SAFETY CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE SUPPLY CHAIN CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE TECHNOLOGY CRITERIA/SUBCRITERIAMUST HAVENICE TO HAVE

Confide Phase 4: Supplier Selection RFQ QUESTIONNAIRE Note: Enter the criteria or sub-criteria in the shaded cell and then develop a list of specific questions for each criteria/sub- criteria. Please make as many copies of this table as necessary ENTER CRITERIA/SUBCRITERIA HERE

Confide Phase 4: Supplier Selection (ENTER COMPANY NAME HERE) STRENGTHS  Enter Strength here WEAKNESSES Enter weakness here OPPORTUNITIES Enter opportunity here THREATS Enter threat here MAKE AS MANY COPIES OF ABOVE SWOT ANALYSIS FORM AS NECESSARY AND INSERT HERE

Confide ACTION PLAN Note: This action plan is intended to document those activities that need to be completed after the workshop. Action item (What)Person responsible (Who) Completion Date (When)