b'ManagementAnne Laurent is a subject-matter expert for the Consortium for Advanced Management International, for which she conducted this study. She is the principal of The Agile Mind Thought Leadership Consulting, where she puts more than 30 years experience as a leading U.S. federal government analyst and journalist to work for companies, individuals, organizations, and agencies.A Model of a Public Sector Category Management FrameworkCategories are developed based on spend analysis. Spend analysis guides the creation and management of categories. It reveals the cost of having multiple organizations buying the same or similar goods and services from the same suppliers at different prices, terms, and conditions. This knowledge sets the stage to enable the whole of government to begin acting as a single customer. Understanding its own spending patterns, government can then aggregate demand, eliminate duplicative contracts, manage strategic suppliers, and make better choices among procurement approaches based on market behavior and procurement policy goals.Market and supplier intelligence shape category team strategies. Supplier and market analysis help identify the best suppliers, determine at which level of the supply chain to buy, and mitigate the risks of supply chain disruption. This intelligence also helps ensure the market has the capacity to meet governments needs, manage financial risk, and match sourcing strategies to commercial practice. Category teams set strategy and vision and employ tools to achieve them. Category teams set visionwhat the category seeks to achieve in the longer term (five to 10 or more years depending on the category)and strategy for the short- and medium-term (within three years) necessary to achieve the vision. Tools and approaches used to implement category management. Category teams choose among category management tools and approaches to meet their strategic goals and vision. They adopt tools based on the results of spend, suppliers, and market analyses. Tools include:Demand management. Category teams help programs and agencies redirect, reshape, and reduce their demand for goods and services and refine and consolidate their requirements. Strategic sourcing. Spending analysis opens the door to consolidating demand, requirements and purchases, and to identifying the best contracts and suppliers. Contract management. Centrally managed categories of common spending generally craft governmentwide contracts. Contracts will take different forms and require more or less management depending on the levels of risk and value involved in supplier relationships. Supplier management. Supplier performance should be monitored and measured against category metrics and across categories. Governments use variations on this model, but similar elements tend to be reflected in most public sector category management programs. The following two sections describe how two different governments, the United Kingdom and the United States, developed their approaches. The concluding section offers insights and lessons for the U.S. program as it continues to evolve.WINTER 2019 / 2020 IBM Center for The Business of Government 97'