Solution | ACM - adaptive category management

DATA-DRIVEN |  ACM - Adaptive Category Management

Rigid and inflexible Commodity Groups are very Disadvantageous in today's dynamic Procurement Markets. With ACM - Adaptive Category Management, Categories are automatically formed by an Algorithm and adaptively adjust to the Company. Items are automatically assigned to the right Category. Automated Category Management which is dynamic - and adapts to the actual Situation of the Company.

Automated, highly flexible and adaptive Category Management

Traditional Category Management is difficult to implement, cause today's Markets and Companies are highly dynamic. Whether E-CLASS, UNSPSC or own Categories ... rigid Structures are inflexible. Let's assume, that there is "perfect Order" in your ERP system. How long does it take, before this Order turns into Disorder, when hundreds of People manually assign Items to a Category? You know the Answer. But Category Management is strategically important for Companies! A Dilemma. ACM - Adaptive Category Management is the Solution.

Automated, highly flexible and adaptive category management - like the human brain

Assign Items automatically

Category Management is the Basis for targeted Measures in Procurement. Commodities are characterized by the Fact, that the Requirements in the Portfolios can be procured from similarly aligned Suppliers. ACM - Adaptive Category Management fundamentally changes Material Group Management. With integrated Machine Learning, ACM - Adaptive Category Management offers highly interesting Advantages:

  • Assign Items to Commodities fully automatically
  • Automated "Stay Clean" - Order is maintained
  • Automated assignment of Customs Tariff Numbers
  • Automated Naming of Items
  • For direct and indirect Material
  • Highly dynamic Views of Item-Structures

Get clean & Stay clean | From traditional Category Management to ACM

Wouldn't it be wonderful, if items knew independently, to which Category they belonged? If no rigid Structures had to be filled, but the Product Groups formed independently - depending on the View of the Items. A Procurement Department (Market view) has different Criteria for the Grouping of Items than a Management. A Product Development Department, on the other Hand, looks at Items from a technical Point of View. But how do you move from traditional Category Management to adaptive Category Management? We recommend a 4-Phase Model:

  • Recording of the current Situation and development of the Concept (target state)
  • Get clean - clean and optimize existing Commodity Groups using Algorithms (see DIC - data integrity checker)
  • Proof of Concept of ACM - Adaptive Category Management based on 2-3 selected Categories (optimization of Algorithms)
  • Phased implementation of ACM - Adaptive Category Management

Of course, the characteristics of Category Management vary from Company to Company. Accordingly, a different Processmodel must be selected. Adaptive Material Group Management is impressive in any case. Talk to us - we will kindly answer your Questions.

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