Businesses should determine the right size for their procurement departments through the pragmatic application of sound principles, say consultants Efficio.
In its latest Viewpoint article Efficio says benchmarking other organisations is not the best approach as it may simply be a case of "the blind leading the blind."
Efficio Vice President Juraj Priecel says business leaders usually understand what their procurement departments do but are often unclear what size they should be.
In the Viewpoint, titled Measuring up: How big should your procurement department be?, Priecel says there are broadly two approaches to answering this question.
The "top-line" approach examines the potential value an organisation can...