CORe Exam Dumps | Which of the following refers to a matrix that reflects the segmentation of spend based on an assessment

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Question 133/151

Which of the following refers to a matrix that reflects the segmentation of spend based on an assessment of the value of the spend relative to the market risk to acquire?

A. Evaluation matrix

B. Keiretsu matrix

C. Determination matrix

D. Kraljic matrix

Correct Answer: D

The Kraljic matrix is a strategic tool used to segment spend based on the value of the spend relative to the market risk to acquire. It categorizes purchases into four quadrants: strategic items, leverage items, bottleneck items, and non-critical items. This matrix helps organizations develop appropriate sourcing strategies based on the importance and supply risk associated with each category.
References
* Purchasing and Supply Management by Michiel R. Leenders, P. Fraser Johnson, Anna E. Flynn, and Harold E. Fearon
* "Purchasing Must Become Supply Management" by Peter Kraljic, Harvard Business Review

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