Category Management (CM)

Tags: Glossary

The process of managing and optimizing product categories to maximize sales and profits.

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Al Sharqi Shipping is a leader in the logistics industry with more than 30 years of experience in guiding and moving freight across the globe.

What is Category Management (CM)?

Category management in shipping is a process of managing and optimizing the procurement and supply of goods or products within a specific category or group of related categories. The goal of category management is to ensure that a company is purchasing the right products at the right price, from the right suppliers, and in the right quantities. 


Category management involves several key steps, including: 


  • Defining the category: This involves identifying the products or services that are included in the category and determining the scope of the category.  
  • Conducting market analysis: This involves researching the market to identify the suppliers, pricing trends, and other factors that may impact the category.  
  • Developing a category strategy: This involves developing a plan for how the company will manage the category, including supplier selection, pricing strategy, and other key factors.  
  • Supplier selection and negotiation: This involves selecting the right suppliers for the category and negotiating favorable pricing and terms. 
  • Continuous improvement: This involves monitoring the performance of the category and making ongoing improvements to optimize procurement and supply. 


In the shipping industry, category management can be used to manage the procurement and supply of a wide range of goods and services, including equipment, supplies, and other materials needed for shipping and logistics operations. 

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