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Procurement Quote by Michael Farmer

“Procurement sets fees based on a negotiated agreement about agency headcounts and costs, and (separately) marketing generates workloads for the agencies. Agencies, who measure client health through profitability measures alone, have no rigorous way to factor in client workloads. TABLE” quote by Michael Farmer
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““Procurement sets fees based on a negotiated agreement about agency headcounts and costs, and (separately) marketing generates workloads for the agencies. Agencies, who measure client health through profitability measures alone, have no rigorous way to factor in client workloads. TABLE””

Michael Farmer

About This Quote

The quote highlights a mismatch between procurement pricing and marketing workload generation, and agencies' reliance on profit metrics without accounting for workload intensity.

In simple terms: Procurement and marketing operate separately, causing agencies to miss workload factors when measuring client health.

Key Takeaway

Align pricing, workload, and profitability metrics.

Themes

procurement marketing agency management profitability workload measurement

Mood

analytical critical strategic

Type

business operational insightful

When to use this quote

  • budget planning
  • service pricing
  • agency performance reviews
  • client negotiations

Key Concepts

cost allocation performance metrics client health assessment

Questions to Reflect On

  • How can agencies incorporate workload data into profitability assessments?
  • What mechanisms ensure procurement and marketing align on client demands?
A Different Perspective

Profitability alone may not reflect true service demand or resource strain.

4.9 out of 5 (9 ratings)

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