Course description - Opportunity Analysis (OA), is a powerful technique used by Strategic Sourcing and Supply Management professionals to systematically:

• Identify cost savings opportunity for each category of spend
• Prioritize categories for cost savings actions
• Support cost/benefit analysis
• Support “bottom up” savings target setting

ISM-ADR School of Supply Management credit of Continuing Education Hours – 2 hours.
This course should take approximately 105 minutes to complete.

Intended audience - Supply Management professionals who could benefit from a practical methodology used to assess category savings opportunity.

Learning objectives - After completing this module, you will be able to:

• Define Opportunity Analysis and related terminology
• Explain how the Opportunity Analysis technique works
• Explain uses and benefits of Opportunity Analysis
• Confidently apply Opportunity Analysis to your spend

Course outline:

• Understanding Opportunity Analysis
• What is Opportunity Analysis?
• Uses of Opportunity Analysis

• Quadrant Analysis
• Quadrant characteristics
• Applying quadrant characteristics
• Significance of the quadrants
• Reviewing quadrant placement

• The Opportunity Analysis Technique
• Outlining the Opportunity Analysis technique
• Identify and list annual spend by category
• Assess price and source flexibility
• Assess past effort and expertise applied
• Assign savings factor to each category
• Calculate savings opportunity for each category
• Review of the Opportunity Analysis technique
• Recommendations for success
• Now it’s your turn to apply Opportunity Analysis

• 20 Question Quiz