Application of Kraljic's Purchasing Portfolio Matrix in an Undeveloped Logistics Infrastructure: The Staatsolie Suriname Case

ABSTRACT

The Kraljic matrix has received large-scale adoption, especially in Western Europe, as a tool for developing differentiated purchasing strategies. However, it is not clear whether the Kraljic matrix could be applied by companies operating in remote conditions in a country or region where the logistics infrastructure is not well developed. This paper reports on a literature study that is aimed at identifying the necessary adaptations to the Kraljic matrix when applied under remote conditions. Based on an action research project within the State Oil Company of Suriname, the usefulness of the adapted Kraljic approach has been explored.

KEYWORDS:

• Supply management
• purchasing portfolio approach
• purchasing strategies
• undeveloped logistics infrastructure

Additional information

Notes on contributors

Cees J. Gelderman

Cees J. Gelderman is Associate Professor of Purchasing and Marketing Management at the Open University of the Netherlands, The Netherlands.

Dennis R. Mac Donald

Dennis R. Mac Donald, graduated at the F.H.R. Lim A Po Institute in Paramaibo, Suriname, is Procurement Manager of the State Oil Company of Suriname.