Afternoon Coffee: Going Green, CA Gas Prices, Scotland Moves to Unified Police Force (and Saves?)

"The supply chain is where the ROI on sustainability gets real."
If Sustainability Costs You More, You're Doing it Wrong -- There is a lot of anecdotal information on what makes a value chain sustainable, but very little data. To change that, we partnered with ASQ, the Institute for Supply Management, and Deloitte, on a multi-year research study to identify proven management practices and cost-saving approaches, and the initial findings are out. The supply chain is where the ROI on sustainability gets real -- in the triple digits according to this research. It's also what separates "real" sustainability from "green washing." That's why many businesses and NGOs are looking at how to make the value chain (supply chain, distributors, partner organizations, etc.) more sustainable.

Paying at the pump.
California's gas prices soar after Chevron refinery fire -- Gas prices in California are soaring a week after a fire damaged the Chevron refinery in Richmond, a critical piece of the state's supply chain. Prices at the pump jumped 25.8 cents in the Sacramento area over the past week, to $4 a gallon, according to market tracker GasBuddy.com. In San Francisco, motorists are paying $4.17 a gallon, according to a separate survey by AAA. And it may be only the beginning. "You probably won't see a break until mid- to late September," said Patrick DeHaan, senior petroleum analyst for GasBuddy.

Beyond procurement.
Beyond procurement: Managing supplier relationships to build competitive differentiation -- While enterprise IT is being bombarded with disruptive changes like Cloud, BYOD, mobility and Big Data the traditional challenges also remain, such as replacing or remediating scores of aging legacy systems that have become deeply embedded within the engine room of the organisation. As enterprise IT is being pulled in every direction many will wisely pursue expanded sourcing strategies to help cope with the rapid rate of change. As enterprises move deeper into diverse multi-sourcing scenarios, a heightened dependency follows on being able to effectively manage these relationships to deliver against key business objectives and contribute towards a stronger competitive differentiation.

Paving the way?
Unified Scottish police savings could pave way for English forces -- If there are still doubts as to the cash savings that can be achieved through joint (shared) services and procurement, the creation of single national police force and single national fire services in Scotland may dispel them. The bill to create both new forces has been approved by the Scottish parliament and is expected to receive royal assent this summer. The new police service for Scotland will go live on 1 April 2013 and theintention is to save £140m annually from 2018-19, equivalent to 10% of the current cost of police services (£1.4bn) in Scotland. The total predicted saving is £1.4bn over 15 years, after taking into account £234m of investment, redundancy and other costs relating to implementation.

- Sheena Moore

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