Measuring Supply Management's Budget Effects

Despite its strategic focus, supply management has not yet gained due recognition for its value contribution since it can still not reliably show its effects on the corporate bottom line. Based on practice-oriented and practice-relevant research methods, Anna Quitt, therefore, designs an integrated process for measuring supply managements budget effects and develops Return on Spend as an innovative financial effectiveness indicator. She shows that transparent savings measurement needs to start with supply managements budgeting integration to overcome current measurement deficiencies and to establish supply management as an equal business partner.