© 2011 Sixhills Consulting LtdThe Power of PreparationWell-prepared negotiations get additional value well beyond ‘table-thumping’ (27% over 6% in this example)P19IT Commercial Skills Development - Part 2Sources of SavingsPercentage SavingsShow tradeoffs of using unbranded paper, lower basis weights, fewer colours, etc. 3%3%6%4%5%5%7%27%VolumeConsolidation"Tough"VendorNegotiationsTypicalPurchasingResultEliminationof Low-ValueIntermediariesUnbundlingPriceDemandManagementVendorMarginAnalysisWorld ClassSourcingResultEliminating agency directed work, brokers etc.Eliminate "extra" charges and cherry pick componentsPlant level analysis of vendor margins and volume commitments for large jobs“Table Thumping”resultEffective Negotiation value addDisguised Client ExampleCommercial PrintDisguised Client ExampleCommercial Print
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