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CIPS A6 Exam– Strategic Market Research for Procurement Professionals

The practice of procurement and supply has undergone a significant transformation over the past few decades. Historically viewed as an administrative task focused on ordering goods and services, the function has evolved into a core strategic discipline that contributes directly to organizational success. This transformation has been shaped by globalization, technological advancement, and the increasing complexity of supply chains that span multiple regions and industries. To bring structure and consistency to the profession, the global standard for procurement and supply was introduced as a competency framework that defines the skills and knowledge required for professionals at every stage of their career.

The global standard serves as more than a guideline. It acts as a benchmark for capability, allowing organizations to assess their teams and align development strategies with recognized expectations. For individuals, it provides a roadmap for growth, highlighting the competencies necessary to move from entry-level positions to senior leadership roles. By creating a shared language and structure, the standard ensures that procurement professionals across different sectors and regions can be evaluated and developed on consistent terms.

At the heart of this framework lies a commitment to professionalization. Procurement and supply are no longer confined to transactional tasks. Instead, they influence corporate strategy, risk management, sustainability initiatives, and financial outcomes. The global standard acknowledges this shift by emphasizing not just operational knowledge but also strategic insight and leadership capabilities.

The Role of Competency Frameworks in Procurement and Supply

Competency frameworks are widely used across professions as a way to define the expected capabilities of individuals at different levels of responsibility. In procurement, this approach is particularly valuable because of the wide range of activities involved. Professionals must navigate supplier relationships, contract negotiations, compliance with regulations, financial considerations, and risk management, all while balancing the goals of efficiency and value creation.

The global standard provides a structured model that captures these complexities and translates them into a set of measurable competencies. It enables organizations to determine whether their workforce possesses the required capabilities and where development is needed. This structure also empowers individuals by giving them clear targets for professional growth.

Within this framework, competencies are not static. They evolve as the industry faces new challenges, whether related to digital technologies, sustainability, or geopolitical uncertainty. The global standard adapts to these changes, ensuring that procurement professionals remain relevant and capable of responding to contemporary business realities.

For example, while tactical competencies may once have been focused largely on ensuring timely purchasing at the right price, today’s environment demands a broader skill set. Professionals are expected to integrate sustainability into sourcing decisions, use data analytics for supplier evaluation, and manage risks that extend beyond the immediate supply base. The competency framework reflects this dynamic landscape by capturing both foundational knowledge and advanced strategic insights.

The Importance of Benchmarking in Procurement Development

One of the most practical applications of the global standard is its role as a benchmarking tool. Organizations can evaluate their procurement teams against the defined competencies to identify areas of strength and weakness. This evaluation is not an abstract exercise but a direct input into workforce development programs. By highlighting skill gaps, benchmarking allows organizations to design training and mentoring initiatives that target specific areas of improvement.

Benchmarking also supports organizational strategy. When procurement teams align with global standards, companies can be confident that they are meeting industry expectations and operating with best practices. This alignment is particularly valuable for multinational organizations, where consistency across different regions is essential.

For individuals, benchmarking provides clarity about where they stand in their professional journey. Rather than relying on vague job descriptions or personal assumptions, professionals can assess themselves against clear criteria. This helps them set realistic career goals and identify the competencies they need to acquire to progress to higher levels of responsibility.

Benchmarking is also closely tied to performance management. In many organizations, procurement professionals use competency assessments to justify pay reviews, promotions, or leadership opportunities. The transparency of the framework provides a defensible basis for such decisions, ensuring fairness and accountability in career progression.

The Position of CIPS A6 within the Global Standard

The CIPS A6 unit, known as Analyzing the Supply Market, exemplifies how specific competencies fit within the broader global standard. This unit emphasizes the ability to gather, interpret, and use supply market intelligence. It requires professionals to understand the external environment in which suppliers operate and to use this understanding to make informed procurement decisions.

The importance of this capability cannot be overstated. Supply markets are dynamic, influenced by economic shifts, technological advancements, regulatory changes, and evolving customer demands. Professionals who can analyze these markets effectively are better equipped to secure value for their organizations while managing risks.

The A6 unit bridges the gap between transactional procurement and strategic leadership. While early-stage professionals may focus on applying procurement rules, those engaging with supply market analysis are required to look outward, beyond immediate purchasing tasks. They must interpret complex data, anticipate trends, and translate insights into strategies that shape organizational outcomes.

In practice, this could involve monitoring commodity price fluctuations, evaluating the financial stability of key suppliers, or assessing the impact of geopolitical events on supply continuity. These tasks demonstrate how procurement professionals contribute not only to cost efficiency but also to resilience, innovation, and long-term competitiveness.

The Structure of Competency Levels

To support professional growth, the global standard defines five competency levels: Tactical, Operational, Managerial, Professional, and Advanced Professional. Each level corresponds to specific roles and responsibilities, offering a clear pathway for progression.

At the Tactical level, individuals are typically involved in routine procurement tasks such as processing purchase orders or ensuring supplier compliance with contracts. Their focus is on applying basic principles and ensuring that immediate operational needs are met.

The Operational level builds on this foundation, introducing responsibilities such as supplier evaluation and contract administration. Professionals at this stage must exercise judgment and develop a deeper understanding of procurement processes.

Managerial responsibilities include overseeing teams, negotiating significant contracts, and aligning procurement activities with organizational goals. This level requires both technical knowledge and leadership skills, as individuals must guide others while delivering strategic outcomes.

At the Professional level, the focus shifts further toward strategy. Roles may involve managing categories of spend, developing sourcing strategies, and contributing to organizational policy. Professionals at this level influence corporate direction and shape long-term supply arrangements.

Finally, Advanced Professional represents the highest level of responsibility. These individuals occupy senior leadership roles, such as procurement directors or chief procurement officers. They are expected to shape corporate strategy, lead transformation initiatives, and represent procurement at the highest levels of decision-making.

Each of these levels is aligned with the global standard, ensuring that progression is consistent and measurable. This structure not only supports career development but also provides organizations with a clear understanding of the capabilities they can expect from individuals at different stages.

Integration of the Four Pillars

The global standard is built on four pillars: Infrastructure, Process, Performance, and People Development. Each pillar represents a critical aspect of procurement practice, and together they create a holistic model for capability.

Infrastructure refers to the systems, tools, and organizational structures that support procurement activities. This includes digital platforms, governance frameworks, and policies that ensure procurement functions operate efficiently and compliantly.

Process covers the methods and techniques used to conduct procurement activities. It spans everything from supplier selection and contract negotiation to risk management and performance monitoring. This pillar ensures that procurement activities are systematic, consistent, and aligned with organizational goals.

Performance emphasizes the outcomes of procurement activities. It is not enough to have systems and processes in place; organizations must also deliver results. This pillar focuses on measuring effectiveness, ensuring value for money, and achieving strategic objectives.

People Development addresses the human side of procurement. It recognizes that systems and processes are only as effective as the people who operate them. This pillar emphasizes training, mentoring, leadership development, and the cultivation of soft skills such as communication and collaboration.

By aligning competencies with these pillars, the global standard ensures that procurement professionals are developed in a balanced way. Technical skills are complemented by leadership abilities, and operational efficiency is supported by strategic insight. This integration makes the framework both comprehensive and practical.

The Relevance of Supply Market Analysis in Modern Procurement

The role of supply market analysis has become increasingly critical in today’s volatile business environment. Global supply chains are subject to disruptions caused by political instability, environmental challenges, and rapid technological change. Organizations must anticipate these risks and adapt quickly to maintain continuity.

Analyzing the supply market enables procurement professionals to identify emerging threats and opportunities. By studying market trends, they can predict changes in pricing, availability, or regulatory requirements. This foresight allows organizations to secure alternative sources of supply, renegotiate contracts, or invest in innovation ahead of competitors.

Moreover, supply market analysis supports sustainability and corporate responsibility. By understanding the social and environmental practices of suppliers, procurement professionals can align their organizations with ethical standards and respond to stakeholder expectations. This dimension of market analysis reflects the growing importance of procurement in advancing broader corporate values.

In practical terms, effective market analysis involves gathering data from multiple sources, evaluating supplier capabilities, and using analytical tools to interpret information. The insights gained are then used to inform sourcing strategies, contract negotiations, and risk management plans. These activities demonstrate how procurement professionals contribute directly to organizational resilience and competitiveness.

The foundations of the global standard in procurement and supply reflect the profession’s transition from an administrative function to a strategic discipline. By defining competencies, providing a benchmarking framework, and integrating critical pillars of practice, the standard ensures consistency and professionalism across industries and regions. Within this framework, the CIPS A6 unit highlights the importance of analyzing supply markets, a capability that links directly to organizational resilience, value creation, and strategic growth.

The development of procurement professionals along defined competency levels provides both individuals and organizations with clarity and direction. Benchmarking ensures that skills are continually evaluated and improved, while the four pillars guarantee a holistic approach to capability. In this context, supply market analysis emerges as a cornerstone skill, enabling professionals to navigate uncertainty, anticipate change, and deliver outcomes that extend far beyond cost savings.

The global standard is not static but a living framework that evolves alongside the profession. It reflects the dynamic nature of supply markets and the expanding responsibilities of procurement. As organizations continue to face complex challenges, the relevance of this framework and the skills it promotes will only increase.

Competency Levels and Their Application in Practice

The global standard for procurement and supply is built on a tiered system of competencies that reflect the realities of professional development within the field. These competencies are not abstract constructs but practical categories that align with real job roles and responsibilities. They represent the progression of knowledge, skills, and behaviors that enable individuals to move from entry-level positions to senior leadership.

The framework divides competencies into five levels: Tactical, Operational, Managerial, Professional, and Advanced Professional. Each level serves as a milestone in a procurement professional’s career journey, outlining the capabilities expected at that stage. By examining these levels closely, one can appreciate how the profession has been structured to accommodate both depth and breadth of expertise. The application of these competencies in practice is what gives the framework its value, as they provide a consistent foundation for performance, development, and career planning.

The Tactical Level: Foundations of Procurement Practice

The tactical level is the entry point for most individuals in procurement and supply. At this stage, professionals are often tasked with activities that focus on process execution and compliance. Typical job titles include Purchasing Assistant, Contracts Administrator, and Assistant Buyer. These roles require attention to detail and the ability to apply established rules and procedures accurately.

In practice, tactical-level professionals are responsible for routine procurement activities such as issuing purchase orders, processing invoices, maintaining supplier records, and ensuring that documentation is complete. Their role is crucial because it ensures the smooth functioning of the procurement process. Errors at this stage can have a ripple effect, leading to delays, disputes, or compliance breaches.

Competencies at this level emphasize understanding the fundamentals of procurement. For example, professionals must know how to apply the “five rights” of procurement: obtaining the right product, at the right quality, in the right quantity, at the right time, and at the right place. This foundational knowledge underpins all subsequent levels of procurement practice.

Although tactical-level roles may appear transactional, they are the building blocks for higher levels of responsibility. The habits formed here—attention to detail, adherence to process, and awareness of compliance requirements—create a strong base for future professional growth.

The Operational Level: Building Autonomy and Responsibility

The operational level marks a shift from purely transactional tasks to responsibilities that require greater judgment and decision-making. Job titles associated with this level include Buyer, Procurement Executive, and Contracting Officer. Professionals are expected to move beyond routine processes and contribute to the efficiency and effectiveness of procurement operations.

At this stage, individuals take on responsibilities such as supplier selection, contract management, and negotiation of terms. They may also be involved in monitoring supplier performance, identifying cost-saving opportunities, and supporting category strategies developed by senior colleagues. These activities demand both technical knowledge and interpersonal skills, as procurement professionals begin to engage directly with suppliers and internal stakeholders.

Competencies at the operational level focus on applying procurement principles to deliver measurable results. For example, professionals must understand how to evaluate supplier proposals, assess value for money, and ensure that procurement activities align with organizational policies. They are also expected to recognize risks and escalate issues when necessary.

The application of these competencies in practice highlights the growing importance of autonomy. Operational-level professionals must make decisions that affect financial outcomes, supplier relationships, and project timelines. Their performance is therefore measured not only by adherence to process but also by their ability to contribute to organizational goals.

The Managerial Level: Leading Teams and Driving Results

The managerial level introduces leadership responsibilities into procurement practice. Job titles at this stage include Senior Buyer, Contract Manager, Logistics Manager, and Supply Chain Executive. Individuals are expected to manage teams, oversee significant contracts, and align procurement activities with broader organizational objectives.

Competencies at this level emphasize strategic alignment. Professionals must be able to lead procurement projects, manage stakeholder expectations, and ensure that their teams deliver consistent results. This requires strong leadership skills, including the ability to motivate and develop staff, resolve conflicts, and balance competing priorities.

In practice, managerial-level professionals might oversee a portfolio of suppliers, negotiate high-value contracts, or implement new procurement systems. Their role often involves translating corporate strategy into actionable procurement plans. For example, if an organization prioritizes sustainability, managers must integrate environmental and social criteria into supplier evaluations and contract terms.

The application of managerial competencies is evident in the way professionals at this level influence outcomes beyond their immediate teams. They act as a bridge between operational staff and senior leadership, ensuring that procurement contributes to financial performance, risk management, and strategic objectives. Their success is measured not just by cost savings but also by their ability to foster collaboration, build supplier partnerships, and drive innovation.

The Professional Level: Shaping Organizational Strategy

The professional level represents a significant step in the progression of procurement competencies. Job titles include Senior Category Manager, Head of Logistics, and Operations Manager. At this stage, individuals are expected to shape organizational strategy and provide leadership in specialized areas of procurement and supply.

Competencies at the professional level emphasize strategic thinking, advanced analytical skills, and the ability to influence organizational direction. Professionals are responsible for developing sourcing strategies, managing complex categories of spend, and contributing to corporate policy. They must also be adept at analyzing market trends, assessing long-term risks, and identifying opportunities for innovation.

In practice, professional-level individuals might lead initiatives to restructure supply chains, negotiate global contracts, or develop strategies for emerging markets. Their decisions often have long-term implications for the organization, affecting competitiveness, resilience, and sustainability.

At this level, procurement is firmly established as a strategic function. Professionals are expected to demonstrate thought leadership, not only within their organizations but also within the wider industry. They may contribute to policy development, industry standards, or collaborative initiatives with other organizations. The application of professional competencies is therefore both inward-facing and outward-facing, influencing organizational outcomes and shaping the broader procurement landscape.

The Advanced Professional Level: Leading Transformation

The advanced professional level is the pinnacle of procurement competencies. Job titles include Procurement Director, Supply Chain Director, Chief Procurement Officer, Head of Sourcing, and Commercial Director. Individuals at this stage hold senior leadership positions and are responsible for shaping corporate strategy, driving transformation, and representing procurement at the highest levels of decision-making.

Competencies at this level emphasize visionary leadership, organizational transformation, and global influence. Advanced professionals are expected to integrate procurement into corporate governance, risk management, and long-term strategic planning. They must be capable of managing complex global supply networks, responding to geopolitical challenges, and leading innovation across industries.

In practice, advanced professionals may design and implement transformation programs that reshape entire supply chains. They negotiate strategic partnerships with global suppliers, influence board-level decisions, and ensure that procurement contributes to shareholder value. Their role extends beyond the boundaries of their organizations, as they often engage with policymakers, industry bodies, and international stakeholders.

The application of competencies at this level reflects the strategic importance of procurement in the modern economy. Advanced professionals are not simply managing processes or teams; they are shaping the future of their organizations and influencing the direction of global supply chains. Their impact is measured in terms of corporate growth, competitive advantage, and societal contribution.

Career Pathways and Competency Progression

The progression through these competency levels is not linear or uniform for all professionals. Career pathways are influenced by industry, organizational structure, and individual ambition. Some individuals may specialize in particular areas, such as contract law or logistics, while others may pursue generalist roles that span multiple functions.

What remains consistent is the framework provided by the global standard. Regardless of the specific pathway, the competencies define what is expected at each stage and provide a benchmark for assessing progress. This consistency is particularly valuable in a globalized profession, where professionals may move between industries or countries. The standard ensures that their skills are recognized and transferable.

The application of competency progression in practice can be seen in how organizations design career development programs. For example, a company may use the framework to create structured pathways for graduates, enabling them to progress from tactical roles to professional positions within a defined timeframe. Similarly, senior professionals may use the framework to mentor junior colleagues, helping them understand the skills required for advancement.

The competencies also provide a foundation for continuing professional development. Procurement is a dynamic field, and professionals must continually update their skills to remain relevant. The framework ensures that development is structured, targeted, and aligned with industry expectations.

The Strategic Value of Competency Levels

The value of defining competency levels extends beyond individual career development. For organizations, the framework provides a tool for workforce planning, succession management, and talent retention. By understanding the competencies required at each level, companies can ensure that their teams are equipped to meet current and future challenges.

Competency levels also support organizational resilience. In a volatile environment, organizations need procurement teams that can adapt quickly. By benchmarking against the global standard, companies can identify where their teams are strong and where development is needed. This ensures that they are prepared to respond to supply chain disruptions, regulatory changes, or shifts in customer demand.

The application of competency levels in practice demonstrates the strategic importance of procurement. No longer confined to cost control, procurement now contributes to corporate strategy, risk management, and sustainability. The competencies provide a framework for ensuring that professionals at every level are equipped to deliver these outcomes.

The competency levels within the global standard for procurement and supply represent a structured pathway for professional development. From the tactical foundations of process execution to the advanced professional responsibilities of corporate leadership, each level captures the skills and knowledge required for success. The application of these competencies in practice ensures that procurement professionals are equipped to contribute to organizational goals, adapt to changing environments, and drive strategic outcomes.

For individuals, the framework provides clarity about career progression and the competencies required at each stage. For organizations, it offers a tool for workforce planning, benchmarking, and performance management. Together, these benefits highlight the importance of competency levels in shaping the future of procurement and supply as a strategic profession.

The Four Pillars of the Global Standard

The global standard for procurement and supply is not only about defining competencies across career levels but also about organizing those competencies into a holistic structure. To achieve this, the standard is built upon four pillars: Infrastructure, Process, Performance, and People Development. These pillars serve as the foundation for professional practice, ensuring that procurement functions are not only efficient but also strategically aligned with organizational goals.

Each pillar represents a distinct but interconnected dimension of procurement and supply. Together, they provide a balanced view of what it takes to excel in the profession. Infrastructure addresses the systems and frameworks that enable procurement activities. Process focuses on the methods and techniques used to deliver procurement outcomes. Performance emphasizes results, measuring whether procurement delivers value and meets objectives. People Development highlights the critical role of human capability in sustaining excellence.

By examining these pillars in detail, it becomes clear how they reinforce each other and why they are essential for developing robust procurement teams.

Infrastructure: Building the Foundations of Procurement

Infrastructure is the backbone of procurement operations. It refers to the structures, systems, policies, and governance mechanisms that support the function. Without a solid infrastructure, even the most skilled professionals may struggle to perform effectively.

At its most basic level, infrastructure includes the tools used to manage procurement processes, such as enterprise resource planning (ERP) systems, e-procurement platforms, and contract management software. These tools ensure that procurement activities are efficient, transparent, and compliant with organizational policies.

Beyond technology, infrastructure also encompasses governance frameworks. These include procurement policies, standard operating procedures, and compliance mechanisms that define how procurement activities should be conducted. Clear governance reduces risks such as fraud, non-compliance, and inefficiency by setting out rules and expectations for all stakeholders.

The importance of infrastructure becomes particularly evident in complex or global organizations. With supply chains spanning multiple regions, consistent systems and policies are essential for ensuring coherence. A strong infrastructure enables organizations to apply consistent standards, manage risks across jurisdictions, and maintain visibility over their supply base.

However, infrastructure is not static. It must evolve with changes in technology, regulation, and business strategy. For example, digital procurement platforms are now incorporating artificial intelligence to support supplier evaluation and predictive analytics. Similarly, governance frameworks are expanding to include sustainability requirements and ethical sourcing standards.

By integrating infrastructure into the global standard, procurement professionals are reminded that their effectiveness depends not only on personal skills but also on the systems and frameworks that support their work. This pillar highlights the need to continually invest in and adapt infrastructure to remain aligned with organizational and industry developments.

Process: Defining How Procurement Creates Value

The second pillar, process, focuses on the methods and procedures that guide procurement activities. It defines how organizations move from identifying needs to delivering goods and services. Process is central to procurement because it shapes the efficiency, consistency, and quality of outcomes.

Processes vary depending on the context, but they typically include stages such as needs assessment, supplier selection, contract negotiation, order placement, performance monitoring, and closure. At each stage, there are opportunities to create value, manage risks, and ensure alignment with organizational objectives.

Effective procurement processes balance compliance with flexibility. On the one hand, they must be structured enough to ensure accountability and transparency. On the other hand, they must be adaptable to changing circumstances, such as urgent requirements or evolving supplier markets.

For example, the process of supplier selection may involve formal tendering in some cases and direct negotiation in others. The choice of method depends on factors such as the value of the contract, the complexity of the requirement, and the level of risk involved. By understanding and applying different processes, procurement professionals can ensure that their approach is appropriate to the situation.

The process pillar also emphasizes the integration of procurement with other organizational functions. Procurement processes are not conducted in isolation; they intersect with finance, operations, legal, and sustainability departments. Effective processes, therefore, require collaboration and alignment with these functions.

In recent years, processes have been transformed by digital technologies. Automation has streamlined routine tasks such as purchase order creation, while advanced analytics has improved decision-making in areas such as supplier evaluation. However, technology alone is not sufficient. Professionals must also understand the principles behind processes to ensure that they are applied appropriately and ethically.

By embedding the process within the global standard, the framework acknowledges that procurement is not just about outcomes but also about the methods used to achieve them. Consistent, efficient, and adaptable processes are essential for delivering value and building trust with stakeholders.

Performance: Measuring and Delivering Results

The third pillar, performance, addresses the outcomes of procurement activities. It emphasizes the importance of not only conducting processes correctly but also achieving results that align with organizational objectives. Performance is the ultimate measure of procurement’s contribution to success.

Performance in procurement is multifaceted. It includes financial outcomes such as cost savings, cost avoidance, and value creation. It also encompasses non-financial outcomes such as risk mitigation, supplier innovation, sustainability, and stakeholder satisfaction. The inclusion of these dimensions reflects the expanding role of procurement in modern organizations.

At lower competency levels, performance may be measured in terms of compliance with rules and achievement of basic purchasing goals. For example, ensuring that orders are delivered on time and within budget. At higher levels, performance involves delivering strategic outcomes, such as building resilient supply chains, driving innovation through supplier partnerships, or enhancing corporate reputation through ethical sourcing.

Measuring performance requires robust metrics and reporting systems. Key performance indicators (KPIs) are commonly used to track outcomes such as supplier reliability, contract compliance, and savings achieved. However, leading organizations increasingly use balanced scorecards that incorporate financial, operational, and strategic dimensions.

Performance management also involves continuous improvement. Procurement teams must not only meet current objectives but also seek ways to enhance their contribution. This may involve implementing new technologies, developing supplier collaboration models, or applying methodologies such as lean and six sigma to procurement processes.

The importance of performance as a pillar lies in its ability to link procurement activities to organizational goals. It ensures that procurement is not seen as an administrative cost center but as a function that delivers measurable value. By focusing on performance, the global standard reinforces the idea that procurement must be accountable, results-oriented, and strategically aligned.

People Development: Cultivating Human Capability

The fourth pillar, people development, recognizes that procurement and supply are ultimately human-driven functions. Systems, processes, and performance measures are important, but they depend on the knowledge, skills, and behaviors of professionals. People development ensures that organizations cultivate the talent needed to sustain excellence and adapt to change.

At its core, this pillar emphasizes training, mentoring, and career development. It encourages organizations to invest in their people by providing opportunities for learning and growth. For individuals, it highlights the importance of continuous professional development, staying current with industry trends, and building both technical and soft skills.

Soft skills are particularly significant in procurement. While technical knowledge is essential, professionals must also excel in communication, negotiation, collaboration, and leadership. These skills enable them to manage supplier relationships, influence stakeholders, and lead teams effectively.

The people development pillar also underscores the importance of diversity and inclusion. A diverse procurement team brings a range of perspectives, experiences, and ideas that can enhance decision-making and innovation. Inclusive practices ensure that all professionals have equal opportunities for development and advancement.

In practice, people development might involve structured training programs, mentoring schemes, or competency-based development plans. Organizations may also use the global standard as a tool to guide these initiatives, ensuring that training is aligned with recognized expectations.

The rapid evolution of procurement means that people development must be dynamic. New challenges such as digital transformation, sustainability, and global disruptions require professionals to continually update their skills. The people development pillar ensures that procurement teams are not only capable today but also prepared for the future.

The Interdependence of the Four Pillars

Although each pillar represents a distinct dimension of procurement, its true strength lies in its interdependence. Infrastructure provides the systems and frameworks that enable effective processes. Processes create the structure for delivering outcomes, which are measured through performance. People development ensures that professionals have the capabilities to use infrastructure, apply processes, and achieve performance goals.

For example, consider a procurement transformation initiative. Success requires investment in new infrastructure such as digital platforms. It also requires redesigning processes to take advantage of the technology. Performance must be measured to ensure that the transformation delivers value. Finally, people development is essential to train staff on new systems and develop the skills needed for new ways of working.

The interdependence of the pillars ensures that procurement is holistic. Neglecting any one pillar can undermine the effectiveness of the others. For instance, strong processes without capable people will not deliver results. Advanced infrastructure without performance measurement will not demonstrate value. People development without clear processes may lead to inefficiency. By balancing all four pillars, organizations can build resilient and effective procurement functions.

The four pillars of the global standard—Infrastructure, Process, Performance, and People Development—capture the essence of modern procurement practice. They provide a comprehensive model that balances systems, methods, outcomes, and human capability. Each pillar is essential on its own, but together they form a robust framework that supports both individual development and organizational success.

Infrastructure ensures that procurement activities are supported by effective systems and governance. Process defines how procurement creates value through structured methods. Performance measures whether procurement delivers results aligned with organizational goals. People development cultivates the talent and leadership required to sustain excellence.

By integrating these pillars, the global standard provides a balanced approach to professional practice. It ensures that procurement is not only technically competent but also strategically aligned, results-driven, and human-centered. As procurement continues to evolve in response to global challenges, the four pillars will remain a foundation for excellence, guiding professionals and organizations toward sustainable and strategic success.

Deep Dive into Analyzing the Supply Market (CIPS A6)

Analyzing the supply market is one of the most critical competencies within procurement and supply. This capability, which is emphasized in the CIPS A6 unit, requires professionals to move beyond transactional procurement activities and engage in strategic evaluation of external environments. The ability to understand, interpret, and respond to supply market dynamics distinguishes procurement as a strategic business function rather than a purely administrative one.

The A6 competency involves more than simply gathering supplier information. It requires structured research, analytical thinking, and the ability to translate insights into actionable strategies. Professionals must be able to anticipate risks, identify opportunities, and align their organization’s procurement strategy with broader market conditions. This competency sits at the intersection of data analysis, strategic thinking, and stakeholder engagement, making it one of the most multifaceted areas of procurement practice.

The Nature of Supply Market Analysis

Supply market analysis refers to the systematic study of external environments in which suppliers operate. It includes assessing the availability of goods and services, evaluating supplier capabilities, monitoring pricing trends, and understanding factors that influence supply and demand. The goal is to build a comprehensive picture of the market landscape so that organizations can make informed procurement decisions.

In practice, supply market analysis may involve evaluating the size and structure of supplier markets, identifying major players, and assessing their financial health and stability. It may also require studying broader economic, political, and technological factors that affect supply. For example, fluctuations in global commodity prices, shifts in trade policies, or advances in manufacturing technology can all have a profound impact on procurement strategies.

This analysis is not a one-time activity. Supply markets are dynamic, and organizations must continuously monitor and reassess conditions. Effective supply market analysis, therefore, involves establishing ongoing processes for intelligence gathering, ensuring that decisions remain relevant and responsive to changing environments.

Tools and Techniques for Market Intelligence

Market intelligence forms the foundation of supply market analysis. It involves gathering, processing, and interpreting data from a wide range of sources. Professionals must use a combination of tools and techniques to build accurate and actionable insights.

Primary research is one approach, where procurement teams gather information directly from suppliers, industry experts, or market surveys. This can provide detailed and context-specific insights but may require significant time and resources. Secondary research, which involves analyzing existing reports, databases, and publications, offers a broader view and can complement primary research.

Analytical tools such as Porter’s Five Forces are often used to evaluate competitive dynamics within supply markets. This framework helps professionals understand the bargaining power of suppliers, the threat of substitutes, the intensity of competition, and other structural factors that influence market behavior. Similarly, PESTLE analysis examines political, economic, social, technological, legal, and environmental factors that shape supply environments.

More advanced techniques involve the use of data analytics and predictive modeling. With the growing availability of digital data, procurement teams can now use algorithms to forecast pricing trends, predict supplier risks, and simulate supply chain scenarios. These tools enhance the ability to anticipate changes and prepare appropriate responses.

The effectiveness of market intelligence depends not only on tools but also on professional judgment. Procurement professionals must be able to interpret data critically, recognizing biases, limitations, and implications for their organization. This requires a balance of technical skill and strategic thinking.

The Strategic Role of Market Analysis

Analyzing the supply market plays a strategic role in aligning procurement with organizational objectives. By understanding market dynamics, procurement professionals can influence sourcing strategies, contract negotiations, and supplier relationships in ways that deliver long-term value.

For example, if market analysis reveals that a particular commodity is subject to frequent price fluctuations, procurement teams may choose to hedge against risks through long-term contracts or diversified sourcing strategies. Similarly, if analysis indicates that new technologies are disrupting supplier capabilities, organizations may adjust their procurement approach to incorporate innovative suppliers or invest in collaborative partnerships.

Market analysis also supports risk management. By identifying potential vulnerabilities in supply chains, such as geopolitical risks, natural disasters, or supplier insolvency, procurement professionals can develop contingency plans to ensure continuity. This proactive approach reduces the likelihood of disruptions and strengthens organizational resilience.

Furthermore, supply market analysis informs stakeholder engagement. When procurement professionals present evidence-based insights to internal stakeholders, they strengthen their influence and credibility. This positions procurement as a trusted advisor, capable of shaping organizational strategy rather than simply executing transactions.

Linking Supply Market Analysis to Competency Levels

The A6 competency of supply market analysis manifests differently at each level of the global standard. At the tactical level, professionals may focus on collecting supplier data and monitoring basic market conditions. Their role is to ensure that immediate procurement decisions are informed by accurate and up-to-date information.

At the operational level, responsibilities expand to include interpreting supplier data, comparing options, and making recommendations for supplier selection. Professionals must understand how market conditions affect pricing, availability, and risk, and use this knowledge to support procurement activities.

At the managerial level, supply market analysis becomes more strategic. Managers must analyze broader market trends, evaluate supplier performance across categories, and align procurement decisions with organizational objectives. They also guide their teams in applying analytical techniques and interpreting market intelligence.

At the professional and advanced professional levels, supply market analysis takes on a global and transformational dimension. Professionals at these levels are expected to anticipate long-term trends, identify opportunities for innovation, and influence corporate strategy. They may analyze emerging markets, assess global supply risks, or develop strategies for sustainable sourcing. Their role involves not only interpreting market dynamics but also shaping organizational responses to them.

The Relationship Between Market Analysis and Supplier Management

Supply market analysis is closely linked to supplier management. Understanding market conditions allows organizations to build more effective relationships with suppliers and to manage them strategically.

For example, if market analysis reveals that a supplier operates in a highly competitive industry, procurement professionals may use this knowledge to negotiate more favorable terms. Conversely, if analysis shows that a supplier holds significant market power, the organization may adopt strategies to mitigate dependence, such as dual sourcing or developing alternative suppliers.

Market analysis also informs supplier segmentation. By evaluating market dynamics, organizations can classify suppliers according to their strategic importance and develop tailored management approaches. Critical suppliers may require long-term partnerships and collaboration, while transactional suppliers can be managed through standard processes.

Furthermore, supply market analysis supports supplier development initiatives. By understanding market conditions, organizations can identify areas where suppliers may need support, such as technology adoption, sustainability practices, or financial resilience. Collaborative efforts in these areas strengthen supply relationships and enhance value creation.

Global Challenges and Market Analysis

The importance of supply market analysis has grown in response to global challenges. Economic volatility, geopolitical tensions, environmental concerns, and rapid technological change all impact supply markets. Procurement professionals must analyze these challenges and develop strategies to navigate them.

For instance, geopolitical events such as trade disputes or sanctions can disrupt supply chains and alter the availability of goods and services. Market analysis enables organizations to anticipate these risks and secure alternative sources of supply. Similarly, environmental challenges such as climate change can affect resource availability, transportation routes, and regulatory requirements. By analyzing these factors, procurement teams can adapt sourcing strategies to ensure sustainability and resilience.

Technological advancements also reshape supply markets. The rise of digital platforms, automation, and artificial intelligence creates new opportunities for efficiency and innovation, but also introduces risks such as cybersecurity threats. Market analysis helps organizations evaluate these developments and determine how to integrate them into procurement strategies.

Global challenges underscore the need for continuous and forward-looking market analysis. Static assessments are insufficient in a rapidly changing environment. Procurement professionals must adopt dynamic approaches that monitor and interpret emerging trends.

The Future of Supply Market Analysis

As procurement continues to evolve, supply market analysis will play an increasingly central role. Future developments are likely to be shaped by advances in data analytics, sustainability requirements, and global collaboration.

Data analytics will transform the way market intelligence is gathered and used. Real-time data, predictive modeling, and artificial intelligence will enhance the accuracy and timeliness of insights. Professionals will need to develop advanced analytical skills to interpret complex data and apply it to strategic decision-making.

Sustainability will become a key focus of market analysis. Organizations are under growing pressure to source responsibly, reduce carbon footprints, and ensure ethical practices throughout their supply chains. Supply market analysis will therefore expand to include assessments of environmental, social, and governance factors.

Global collaboration will also influence the future of market analysis. As supply chains become more interconnected, organizations may work together to share intelligence, develop joint strategies, and address shared risks. This collaborative approach enhances resilience and creates opportunities for collective innovation.

Analyzing the supply market, as captured in the CIPS A6 competency, represents a critical capability in modern procurement and supply. It transforms procurement from a transactional activity into a strategic discipline that shapes organizational outcomes. By gathering and interpreting market intelligence, professionals can anticipate risks, identify opportunities, and align strategies with external conditions.

The application of supply market analysis varies across competency levels, from collecting supplier data at the tactical level to shaping global strategies at the advanced professional level. Regardless of the stage, the ability to analyze supply markets strengthens procurement’s contribution to organizational resilience, competitiveness, and innovation.

In an environment defined by volatility and complexity, supply market analysis is not optional but essential. It enables organizations to navigate uncertainty, build strong supplier relationships, and align procurement with long-term strategic goals. As data analytics, sustainability, and global collaboration continue to reshape the profession, supply market analysis will remain a cornerstone of procurement excellence.

Benchmarking Procurement and Supply Capabilities

Benchmarking against a global standard provides organizations and professionals with a systematic way to evaluate capabilities. In procurement and supply, benchmarking is not merely about comparison but about understanding strengths, identifying weaknesses, and developing strategies for continuous improvement.

The global standard offers a comprehensive framework that organizations can use to assess their people, processes, and outcomes. By mapping internal practices against externally recognized benchmarks, organizations gain insights into their position relative to best practice. For individuals, benchmarking provides a clear sense of where they stand in their professional journey and what steps are needed to advance.

The practice of benchmarking brings objectivity to performance evaluation. Rather than relying on subjective assessments, organizations use structured criteria that reflect the expectations of the profession. This ensures that performance reviews and development plans are grounded in evidence and aligned with widely accepted standards.

Benchmarking also helps to build a culture of accountability. By comparing performance to external benchmarks, organizations reinforce the importance of delivering measurable outcomes. This fosters transparency and ensures that procurement teams are recognized as value-adding contributors.

Organizational Benefits of Benchmarking

For organizations, the benefits of benchmarking against the global standard are extensive. The most immediate advantage is the ability to identify skill gaps within procurement teams. By comparing current competencies with benchmarked expectations, organizations can highlight areas where development is needed. This allows for targeted training and development programs, ensuring resources are allocated effectively.

Benchmarking also enhances recruitment strategies. Organizations can use competency benchmarks to define job descriptions, evaluate candidates, and align expectations with industry standards. This ensures that new hires possess the capabilities required to meet organizational goals and contribute to strategic success.

Another organizational benefit is improved succession planning. By understanding the competencies required at each career level, organizations can prepare individuals for future roles. Benchmarking provides a roadmap for progression, ensuring that talent pipelines are robust and aligned with long-term needs.

Benchmarking also strengthens compliance and governance. By aligning with recognized standards, organizations demonstrate accountability to stakeholders, regulators, and the broader community. This builds trust and reduces the risk of reputational damage arising from poor procurement practices.

Perhaps most importantly, benchmarking positions procurement as a strategic partner within the organization. By demonstrating alignment with external benchmarks, procurement teams reinforce their credibility and highlight their contribution to organizational success. This elevates procurement from an operational support function to a central driver of strategy and performance.

Individual Benefits of Benchmarking

For individual professionals, benchmarking offers clarity, direction, and opportunity. Many professionals are eager to advance in their careers but lack a structured roadmap. Benchmarking against the global standard provides that roadmap, offering a clear progression from tactical to advanced professional levels.

One of the most valuable benefits is the identification of personal skill gaps. By assessing their capabilities against benchmarked expectations, professionals can pinpoint areas where further development is needed. This self-awareness allows them to focus on the skills that will have the greatest impact on their careers.

Benchmarking also justifies professional recognition and reward. Individuals can use benchmarked assessments as evidence of their competencies when seeking promotions, salary increases, or new opportunities. This strengthens their professional credibility and enhances their career prospects.

Another benefit is motivation. Benchmarking shows professionals how far they have progressed and what lies ahead. This can inspire commitment to continuous learning and encourage individuals to pursue advanced roles within the profession.

For individuals, benchmarking also provides external validation. Knowing that their capabilities align with recognized global standards gives professionals confidence in their skills and reinforces their identity as members of a global community of practice.

Benchmarking and the Four Pillars

Benchmarking against the global standard integrates directly with the four pillars of procurement and supply: Infrastructure, Process, Performance, and People Development. Each pillar provides a lens through which benchmarking can be applied, ensuring that assessments are comprehensive and balanced.

In terms of infrastructure, benchmarking evaluates the systems and governance frameworks that support procurement activities. Organizations can compare their tools, policies, and structures against recognized expectations, identifying areas where modernization or improvement is required.

When applied to processes, benchmarking highlights the effectiveness of procurement methods. This includes assessing the consistency, efficiency, and adaptability of processes, ensuring they align with best practice. Organizations can identify whether their processes are sufficiently robust to deliver value while remaining flexible to respond to changing needs.

Performance benchmarking focuses on outcomes. Organizations assess whether their procurement activities deliver measurable value, whether in terms of cost savings, risk management, sustainability, or innovation. This ensures that procurement is not only efficient but also results-oriented.

Finally, benchmarking supports people development by identifying individual and team competencies. It highlights areas for training, professional development, and career progression, ensuring that people remain at the heart of procurement excellence.

By integrating benchmarking with the four pillars, organizations and individuals can develop holistic improvement strategies that strengthen every aspect of procurement practice.

Benchmarking as a Driver of Continuous Improvement

One of the most powerful aspects of benchmarking is its role in driving continuous improvement. Procurement is a dynamic profession, shaped by global trends, technological advances, and evolving stakeholder expectations. Benchmarking ensures that organizations and individuals remain responsive to these changes.

Continuous improvement requires more than one-off assessments. Organizations must establish regular benchmarking processes, using the results to update strategies, refine practices, and enhance capabilities. This creates a culture of learning and adaptability, where procurement teams are always seeking to improve.

For individuals, continuous improvement involves setting personal goals based on benchmarked assessments. This may include pursuing new training opportunities, gaining practical experience in different areas of procurement, or developing leadership skills. Over time, this approach ensures steady progress and long-term professional growth.

Benchmarking also facilitates innovation. By comparing practices with external benchmarks, organizations can identify areas where they lag behind industry leaders. This encourages the adoption of new technologies, methodologies, and practices that enhance performance. In this way, benchmarking not only closes gaps but also drives transformation.

Benchmarking in a Global Context

The global nature of procurement and supply means that benchmarking must be applied in an international context. Supply chains cross borders, and procurement professionals operate in diverse markets. Benchmarking against a global standard ensures consistency across different regions and allows organizations to align practices worldwide.

Global benchmarking also fosters collaboration. Organizations operating in multiple regions can compare performance across divisions, identifying best practices and sharing them across the enterprise. This strengthens overall capability and ensures that knowledge is leveraged effectively.

For individuals, global benchmarking provides recognition that their competencies are valued internationally. This enhances mobility, allowing professionals to pursue opportunities in different regions with confidence that their skills are transferable.

Global benchmarking also reflects the interconnected challenges facing procurement, such as sustainability, resilience, and digital transformation. By aligning with global standards, organizations and individuals position themselves to address these challenges effectively and collaboratively.

The Future of Benchmarking in Procurement and Supply

Looking ahead, benchmarking in procurement and supply is likely to become increasingly sophisticated. Advances in technology, particularly data analytics and digital platforms, will enhance the accuracy and timeliness of assessments. Real-time benchmarking may become possible, allowing organizations to compare their performance with peers continuously rather than through periodic reviews.

Sustainability will also play a larger role in future benchmarking. As organizations face growing pressure to source responsibly, benchmarks will increasingly include environmental, social, and governance factors. Procurement teams will be expected to demonstrate their contributions to sustainable development, and benchmarking will provide a structured way to measure and report these efforts.

Another trend is personalized benchmarking for individuals. Digital platforms may allow professionals to track their competencies in real time, receive tailored development recommendations, and monitor their progress against global standards. This will empower professionals to take greater control of their careers and ensure they remain competitive in an evolving profession.

Finally, collaboration between organizations may lead to shared benchmarking initiatives. By pooling data and insights, organizations can develop richer benchmarks and address shared challenges more effectively. This collaborative approach reflects the interconnected nature of global supply chains and reinforces the role of benchmarking as a driver of collective improvement.

Benchmarking against the global standard provides a powerful mechanism for evaluating and enhancing procurement and supply capabilities. For organizations, it offers insights into skill gaps, recruitment needs, succession planning, and performance improvement. For individuals, it provides clarity, direction, and recognition, supporting professional growth and career advancement.

By integrating benchmarking with the four pillars of procurement—Infrastructure, Process, Performance, and People Development—organizations and individuals can ensure a balanced and holistic approach to improvement. Benchmarking drives continuous learning, fosters accountability, and positions procurement as a strategic contributor to organizational success.

As the profession evolves, benchmarking will become even more important. Advances in technology, the rise of sustainability, and the globalization of supply chains will reshape the benchmarks used and how they operate at the organizational or individual level. Benchmarking will remain a cornerstone of procurement excellence, guiding the profession toward resilience, innovation, and long-term value creation.

Final Thoughts

The study of procurement and supply through the lens of the global standard reveals the depth and complexity of the profession. What might appear, at first glance, to be an administrative function emerges as a discipline that integrates systems, processes, performance outcomes, and human development into a strategic whole.

Exploring the competency framework demonstrates how procurement evolves across levels, from tactical tasks to advanced professional responsibilities. Each stage builds on the last, requiring not only technical knowledge but also the ability to think critically, act strategically, and influence outcomes on a broad scale. The inclusion of the four pillars—Infrastructure, Process, Performance, and People Development—ensures that procurement is not approached in isolation but as a balanced, interdependent practice.

Focusing specifically on analyzing the supply market, the A6 competency shows how critical it is for professionals to understand the environments in which suppliers operate. Market analysis enables anticipation of risks, discovery of opportunities, and alignment of strategies with shifting conditions. It transforms procurement from a reactive activity into a forward-looking, value-creating function.

Benchmarking against the global standard closes the loop by offering organizations and individuals a structured way to assess progress. It provides clarity on where strengths lie, where development is needed, and how to build capabilities for the future. This practice reinforces accountability, supports continuous improvement, and strengthens the profession’s credibility.

Taken together, the global standard, the A6 competency, and the benchmarking process reflect a profession in motion—dynamic, adaptive, and essential to organizational success. Procurement is no longer defined only by cost savings or transactional efficiency. It is about resilience, sustainability, innovation, and strategic alignment in a world of uncertainty and opportunity.

The path ahead for procurement will be shaped by global challenges and emerging possibilities. Sustainability, digital transformation, and interconnected risks will require professionals to apply analytical skills, ethical judgment, and creative problem-solving. The global standard provides the compass for this journey, ensuring that procurement remains a discipline rooted in professionalism while adaptable to change.

The final message is one of progression and possibility. For individuals, procurement offers a career pathway that is both demanding and rewarding, requiring continuous learning and adaptability. For organizations, procurement provides a strategic lever for performance and resilience. For the profession as a whole, the global standard offers a framework that unites diverse practices into a coherent vision of excellence.

As procurement continues to evolve, the principles embedded in the global standard will remain a touchstone, guiding professionals and organizations toward greater capability, deeper insight, and sustained value creation.

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