Which category of spend would diamonds represent?

Beyond Say is a manufacturer of diamond rings. It sources a lot of different parts to create its products including diamonds, gold, cardboard boxes for the rings to go in, as well as stationary and copier paper for the offices. Although it doesn’t buy many diamonds, these represent a large part of Beyond Say’s spend .

Which category of spend would diamonds represent?
A . Option
B. Option
C. Option
D. It isn’t possible to tell

Answer: A

Explanation:

This is category ‘A’ spend in the ABC model – they represent a large value and a small number of purchases / suppliers. See p.17 for more information on the ABC Analysis