kraljic matrix

The Kraljic Model can be used to analyze the purchasing portfolio of a company and thus support decisions and actions regarding the purchase of raw materials and products . The model's clear strength is that it relatively simple leads us to a useful procurement strategy .

Peter Kraljic’s model was first described in the Harvard Business Review, September-October edition 1983. The title of the article was " Purchasing must become Supply Management " . Peter Kraljic was for 30 years a senior executive at McKinsey & Company in Germany , where he worked with clients in areas such as chemicals- , pharmaceutical and automotive industries.

Section
0:00 Introduction of author and the purpose of the model
0:50 The structure of the model and two important dimensions
2:43 Four categories
3:07 Non critical items - Efficiency
4:19 Leverage items - Low price
5:07 Bottleneck items - Contracts
6:22 Strategic items - Form partnerships
7:35 A review of an example - Automotive industry
10:20 Criticism of the model

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[Mutsa-nh]

Professor recommended this video for a quick rundown of the Kraljic matrix and this is amazing! Thank you!

[fidelispio]

Clarity of voice, explanations and delivery is very very satisfactory. I appreciate your teaching system. Bringing sense to those things hurriedly studied for exams.

[claudia]

Thank you so much! I don't think anyone could have explained it better.

[mohamedmacalin]

Well explained. Any one who wants to understand karljic matrix and listened very well to your well defined based on example, should be able to write more when it come in exam. Not only exam but also procurement officials will get advantage from it and apply with procurement strategy of buying goods or services. It is also important for procurement members to classify suppliers when they're developing procurement strategy in the market. Who will most important or complexity.
For me, I got good concept and hope it will cover my upcoming exam.
Match appreciated.

[theareostm]

Thank you for this very useful and well explained video, I had read Kraljic´s article on HBR, but I was still unable to get the entirety of the content, now I do. It is also interesting to see how this model made 30 years ago can still survive in this globalized, so much digitalized and with so many changes in geopolitics. Also I notice in the end this is also depends on each companies decisions.

[col]

Awesome! very simply explained with some criticism for extra marks at the end. Hope ill smash it tomorrow on the exam!!! (GSCS)

[naimulhassan]

wonderful presentation i like and understand it properly

[jevjake]

Great explanation. Your video was perfect in every sense.

[Israelhga]

yes the world is dynamic, but that is the point of kraljics portfolio, to analyze the importance of every product you buy, and that will depend on each company, thats why is dificult but the kraljic matrix is flawless.

[Malimy]

Thank you so much. It helps me a lot!!!

[dizzyblizzy]

awesome explanation, thank you very much!

[walidazmy]

Thank you, this is a very helpful explanation.

[Xaiaq]

Thank you very much! You really solved the problem for me!

[sa]

great voice! and very helpful explanation. I feel I am in airplane :)

[rabia]

Excellent sir thanks alot for such a nice and easy explanation.

[carlyguo]

Thank you very much. This helps a lot.

[alperisk]

Can you give some more examples for strategic item? (Automotive end.)

[Ch.An.Bi.]

The voice sounds like the man from the Easyjet safety instruction.

[boacontreras]

fucking This should have more fucking views!!!

[fionasiwawa]

Is this the same as a supply positioning model?