A quadrant approach classifies all Postal Service purchases into four categories, depending on their impact on the Postal Service core competencies (noncore versus core) and complexities (standard versus custom). Negotiations can be prioritized based on the type of purchase, as well as its overall impact on the Postal Service.
Figure 2.16
Four Quadrants
Goods and services in Quadrant I do not provide direct value, and are therefore considered to be a lower priority for negotiations. Because these goods are more customized, and there may be a limited supplier base, negotiations can be beneficial in the achievement of best value, especially in a monopoly situation. When a contract to supply these goods or services is negotiated, the CO may conduct them with some support from the purchase/SCM team and legal counsel.
These products and services create direct value, and are therefore of high importance in negotiations. Negotiations pertaining to these products and services require a team comprised of the CO, supported by the purchase/SCM team and legal counsel.
Products and services that fall into Quadrant III do not provide direct value, and are therefore a lower priority for negotiations. When a contract to supply these goods or services is negotiated, the CO may conduct them with some support from the purchase/SCM team and legal counsel.
These products and services create direct value, and are therefore of high importance. Negotiations pertaining to these products and services require a team comprised of the CO, supported by the purchase/SCM team, and legal counsel.
