05 — Procurement & Category Management

Local content is won or lost in procurement.

Most programs stall because procurement keeps buying the way it always has. We change that, category by category, until the score reflects the new behavior.

05.1The Category Cycle

An operating rhythm, not a one-time project.

Six stages run in a loop and restart each year, so the local base keeps growing and results compound.

01Category Baseline
02Market Intelligence
03Category Strategy
04Specification Review
05Supplier Development
06Performance Tracking
The loopRestarts each year
01

Category Baseline

Where local content stands today, category by category.

02

Market Intelligence

Which qualified Saudi suppliers exist, and where the gaps are.

03

Category Strategy

The plan to shift the buying toward local value.

04

Specification Review

Opening specs so local supply can actually compete.

05

Supplier Development

Building the local base where it is thin.

06

Performance Tracking

Measuring the movement, then starting the loop again.

↺ Performance Tracking loops back to Category Baseline, an annual cycle that compounds the score.

05.2The Mechanics

The levers that move the number.

Tender Evaluation Weight Breakdown

Government Tender Commercial Evaluation Math

Financial Criterion
60%

Commercial Bid Price Weight

+
Local Content Metric
40%

LCGPA Score Impact Weight

Phase 1 · April 1, 2027

30% Minimum Local Content Threshold

Management consulting & IT tenders ≥ SAR 10M

Phase 2 · January 1, 2028

Expanded Scope Threshold

Expands to consulting tenders ≥ SAR 5M

01

Price preference

Qualifying Saudi products and SMEs receive a 10% price preference in government tender evaluation.

02

Evaluation weighting

Local content carries a 40% weight against a 60% price weight in commercial evaluation for qualifying high-value government contracts.

03

Mandatory sector thresholds

From April 1, 2027, a 30% minimum local content threshold applies to management consulting tenders of SAR 10M or more, expanding to tenders of SAR 5M or more from January 1, 2028. IT services face local content weighting in financial evaluation from April 1, 2027 for tenders of SAR 10M or more.

04

Category-level execution

Where the score actually moves in practice, not through a single top-down target.

Source: Figures drawn from LCGPA's official website and Saudi Press Agency (SPA) announcements. Last verified: [date to be confirmed at go-live]. Regulatory thresholds phase in through 2027–2028.

05.3What Changes

What changes when procurement leads.

01

Specifications open to local supply

So qualified Saudi suppliers can actually compete.

02

Sourcing weighs local content

Not price alone.

03

Supplier development is planned

The local base grows instead of staying thin.

05.4Frequently Asked

Before the category program begins.

Do you replace our procurement team?

No. We work alongside it, change the way categories are run, and hand back a stronger operating rhythm.

How fast does the score move?

It depends on the category mix and contract cycles. The cycle is built to show measurable movement within the first annual pass.

Which categories do you start with?

The ones the diagnostic shows carry the largest score gap and the most addressable spend.

05.5 — Call to Action

Change how you buy. The score follows.

Begin with a spend diagnostic, then run the Category Program.

The diagnostic decides. Everything else follows.

Start today

A senior advisor reviews every submission. The right person responds to the mandate, not a form.