{"id":85462,"date":"2022-10-20T18:32:57","date_gmt":"2022-10-20T18:32:57","guid":{"rendered":"https:\/\/targus.pwdev.de\/procurement\/material-cost-management\/"},"modified":"2025-09-30T14:18:00","modified_gmt":"2025-09-30T14:18:00","slug":"material-cost-management","status":"publish","type":"page","link":"https:\/\/targusmc.com\/us\/concepts\/procurement\/material-cost-management\/","title":{"rendered":"Material Cost Management"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-page\" data-elementor-id=\"85462\" class=\"elementor elementor-85462 elementor-1495\" data-elementor-post-type=\"page\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3a6e322 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3a6e322\" data-element_type=\"section\" data-settings=\"{&quot;jet_parallax_layout_list&quot;:[],&quot;_ob_glider_is_slider&quot;:&quot;no&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-1bb5b17\" data-id=\"1bb5b17\" data-element_type=\"column\" data-settings=\"{&quot;_ob_column_hoveranimator&quot;:&quot;no&quot;,&quot;_ob_column_has_pseudo&quot;:&quot;no&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ff0e010 ob-harakiri-inherit ob-has-background-overlay elementor-widget elementor-widget-text-editor\" data-id=\"ff0e010\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_use_harakiri&quot;:&quot;yes&quot;,&quot;_ob_harakiri_writing_mode&quot;:&quot;inherit&quot;,&quot;_ob_postman_use&quot;:&quot;no&quot;,&quot;_ob_widget_stalker_use&quot;:&quot;no&quot;,&quot;_ob_poopart_use&quot;:&quot;yes&quot;,&quot;_ob_shadough_use&quot;:&quot;no&quot;,&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-976329b8574c75b\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1580807766383 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-28632ca55829316\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1518619714862 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"container\"><div class=\"vc_row wpb_row vc_row-fluid vc_custom_1535111600617 mpc-row\"><div class=\"wpb_column vc_column_container vc_col-sm-12 mpc-column\" data-column-id=\"mpc_column-5063518ed6a7bc6\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><h2><strong>Purchasing OEE: Cost-effectiveness of the material<\/strong><\/h2><p>For the production manager, \u201cOverall Equipment Effectiveness\u201d (OEE) is a proven and reliable indicator for the objective measurement of performance in his area of responsibility. But what can the purchasing manager do to increase this? Initial offer minus negotiation result with permanently fluctuating prices? Costs of the last year minus costs of this year, with average rising commodity prices? What is the value of the C-parts whose production you would prefer to outsource? How can a purchasing manager show that every year he or she makes maximum progress with his or her company, masters sales markets, and implements sustainable cost strategies instead of dealing with short-term \u201cprice pressures\u201d? And how can purchasing identify the need for action in order to create the necessary scope for achieving goals? The solution for a sustainable and continuous reduction of material costs is consistency and methodical rigorosity. This forces the MCM system. It also shows potentials and clarifies who needs to support purchasing in order to realize them. In order to reach the potential maximum, working in three dimensions is required:          <\/p><ol><li>Cover plate: Recording of all plants, locations and material groups<\/li><li>Penetration: Comprehensive processing of all purchased materials and services within each material group<\/li><li>Exploitation: Methodical rigor in the identification and implementation of measures (use of all cost levers)<\/li><\/ol><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-26d49ac ob-has-background-overlay elementor-widget elementor-widget-image\" data-id=\"26d49ac\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_photomorph_use&quot;:&quot;no&quot;,&quot;_ob_widget_stalker_use&quot;:&quot;no&quot;,&quot;_ob_poopart_use&quot;:&quot;yes&quot;,&quot;_ob_shadough_use&quot;:&quot;no&quot;,&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"image.default\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"800\" height=\"430\" src=\"https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-1024x550.jpg\" class=\"attachment-large size-large wp-image-94039\" alt=\"\" srcset=\"https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-1024x550.jpg 1024w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-300x161.jpg 300w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-768x412.jpg 768w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-1536x824.jpg 1536w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/06_Oee-des-Einkaufs_en-1-2048x1099.jpg 2048w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a79d304 ob-harakiri-inherit ob-has-background-overlay elementor-widget elementor-widget-text-editor\" data-id=\"a79d304\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_use_harakiri&quot;:&quot;yes&quot;,&quot;_ob_harakiri_writing_mode&quot;:&quot;inherit&quot;,&quot;_ob_postman_use&quot;:&quot;no&quot;,&quot;_ob_widget_stalker_use&quot;:&quot;no&quot;,&quot;_ob_poopart_use&quot;:&quot;yes&quot;,&quot;_ob_shadough_use&quot;:&quot;no&quot;,&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-976329b8574c75b\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1580807766383 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-28632ca55829316\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1518619714862 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"container\"><div class=\"vc_row wpb_row vc_row-fluid vc_custom_1535111600617 mpc-row\"><div class=\"wpb_column vc_column_container vc_col-sm-12 mpc-column\" data-column-id=\"mpc_column-5063518ed6a7bc6\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><h3><strong>Material cost reduction lever <\/strong><\/h3><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-92fdde8 ob-has-background-overlay elementor-widget elementor-widget-image\" data-id=\"92fdde8\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_photomorph_use&quot;:&quot;no&quot;,&quot;_ob_widget_stalker_use&quot;:&quot;no&quot;,&quot;_ob_poopart_use&quot;:&quot;yes&quot;,&quot;_ob_shadough_use&quot;:&quot;no&quot;,&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"image.default\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"800\" height=\"750\" src=\"https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/07_Materialkostenreduzierung_EN-1.jpg\" class=\"attachment-large size-large wp-image-94040\" alt=\"\" srcset=\"https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/07_Materialkostenreduzierung_EN-1.jpg 945w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/07_Materialkostenreduzierung_EN-1-300x281.jpg 300w, https:\/\/targusmc.com\/wp-content\/uploads\/2025\/09\/07_Materialkostenreduzierung_EN-1-768x720.jpg 768w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9a7573e ob-harakiri-inherit ob-has-background-overlay elementor-widget elementor-widget-text-editor\" data-id=\"9a7573e\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_use_harakiri&quot;:&quot;yes&quot;,&quot;_ob_harakiri_writing_mode&quot;:&quot;inherit&quot;,&quot;_ob_postman_use&quot;:&quot;no&quot;,&quot;_ob_widget_stalker_use&quot;:&quot;no&quot;,&quot;_ob_poopart_use&quot;:&quot;yes&quot;,&quot;_ob_shadough_use&quot;:&quot;no&quot;,&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-976329b8574c75b\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1580807766383 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_column vc_column_container vc_col-sm-6 mpc-column\" data-column-id=\"mpc_column-28632ca55829316\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element wpb_animate_when_almost_visible wpb_bottom-to-top bottom-to-top vc_custom_1518619714862 wpb_start_animation animated\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"container\"><div class=\"vc_row wpb_row vc_row-fluid vc_custom_1535111600617 mpc-row\"><div class=\"wpb_column vc_column_container vc_col-sm-12 mpc-column\" data-column-id=\"mpc_column-5063518ed6a7bc6\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><div class=\"wpb_text_column wpb_content_element \"><div class=\"wpb_wrapper\"><h3><strong>Project outcomes<\/strong><\/h3><ul><li>Depending on the industry, the savings achieved for direct materials typically range from 5% to 10%<\/li><li>Savings in the indirect sector between 20% and 25%<\/li><li>Ensuring your employees\u2019 commitment to savings goals<\/li><\/ul><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Purchasing OEE: Cost-effectiveness of the material For the production manager, \u201cOverall Equipment Effectiveness\u201d (OEE) is a proven and reliable indicator for the objective measurement of performance in his area of responsibility. But what can the purchasing manager do to increase this? Initial offer minus negotiation result with permanently fluctuating prices? Costs of the last year [&hellip;]<\/p>\n","protected":false},"author":18,"featured_media":91000,"parent":85448,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"page-category":[67],"class_list":["post-85462","page","type-page","status-publish","has-post-thumbnail","hentry","page-category-konzept-us"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Material Cost Management - Targus Management Consulting AG<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/targusmc.com\/konzepte\/einkauf\/materialkostenmanagement\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Material Cost Management - Targus Management Consulting AG\" \/>\n<meta property=\"og:description\" content=\"Purchasing OEE: Cost-effectiveness of the material For the production manager, \u201cOverall Equipment Effectiveness\u201d (OEE) is a proven and reliable indicator for the objective measurement of performance in his area of responsibility. 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But what can the purchasing manager do to increase this? Initial offer minus negotiation result with permanently fluctuating prices? 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