Daily Archives: November 8, 2012

10 Negotiating Tactics To Reduce Supplier Network Fees (Part 1)

Jason Busch - November 8, 2012 4:01 PM | Categories: The Knowledge

With apologies to former Presidential candidate Ross Perot, supplier network fees (and broader supplier enablement and management costs) can often become the giant sucking sound that not only restricts the potential ROI of purchase-to-pay projects in the first place but also causes unbudgeted supplier headaches and heartburn along the way. But supplier network fees don’t have to get the better of procurement organizations. In fact, there are a number of negotiating tactics and approaches that one can leverage when confronting vendors such as Ariba/SAP, Basware, OB10, Hubwoo, IBX, TradeShift and numerous others that are building material books of business off the backs of transaction-based revenue.

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Dealing with Conflict in Offshoring Relationships

Guest-Post - November 8, 2012 12:11 PM | Categories: Outsourcing, Vantage Partners

Spend Matters welcomes a guest post from Vantage Partners. Click for Part 1 and Part 2 of this series on managing performance in offshoring relationships. Dealing with conflict: an over-reliance on penalties may contribute to provider defensiveness and the allocation of disproportionate resources to areas not critical to the customer. Of 2010 survey respondents who said cultural differences impact their ability to effectively manage performance, half also noted that dealing with conflict poses a challenge in their relationship (Vantage Partners, Managing Offshoring Relationships: Governance in Global Deals, 2010). Customers believe they confront conflict directly, but that their provider defers conflict […]

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Afternoon Coffee: Reduce Supplier Network Fees, Foxconn in the US, P.F. Chang’s/Intesource Partner

Sheena Smith - November 8, 2012 10:11 AM | Categories: Afternoon Coffee, Sheena Moore

Today on Spend Matters PRO: 10 Negotiating Tactics To Reduce Supplier Network Fees (Part 1) — With apologies to former Presidential candidate Ross Perot, supplier network fees (and broader supplier enablement and management costs) can often become the giant sucking sound that not only restricts the potential ROI of purchase-to-pay projects in the first place but also causes unbudgeted supplier headaches and heartburn along the way. But supplier network fees don’t have to get the better of procurement organizations. In fact, there are a number of negotiating tactics and approaches that one can leverage when confronting vendors such as Ariba/SAP, […]

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Advanced Supplier Management: Building a Strong Foundation

Jason Busch - November 8, 2012 7:11 AM | Categories: Compass Series, Jason Busch, Learning / Research, Suppliers

This post is based on material contained in the following Spend Matters Compass Series brief: Beyond One-Off Initiatives and a Virtual Vendor Master – Advanced Use Cases for Supplier Management. Organizations starting on the supplier information management (SIM) basics still have much to gain from understanding how more advanced use cases can deliver a level of value that builds incrementally on more foundational deployment approaches and models. As companies move past the closed registration threshold to open registrations and self-management with workflow and broad integration with other software investments to reuse and enable MDM throughout the enterprise, what should they […]

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Procurement Savings in Manufacturing: The Operational Perspective

Jason Busch - November 8, 2012 4:11 AM | Categories: Jason Busch, Sourcing

Please click here for Part 1: Transition Suppliers and Part 2: Culling Out Top Performers of this series. This series of posts is based on content, ideas and recommendations from the following Spend Matters Perspective: Making Sourcing Savings Stick: New (and Not-so-New) Strategies to Drive Savings Implementation. In fact, some of this paper’s content was first published 10 years ago by Jason Busch, David Jungling, and Jay Odell, who were with FreeMarkets (at the time). While adapted for today’s manufacturing environment, the ideas represent a timeless look at a topic that few companies are fully addressing through their procurement practices […]

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Will the JDA and RedPrairie Legacy End in the Perfect Order or a Stock Out? (Part 2)

Jason Busch - November 8, 2012 12:11 AM | Categories: Jason Busch, Optimization, M&A, Supply Chain

Please click here for the first installment from our conversation with David Dobrin following JDA’s announced merger with RedPrairie. JB: Now that we’ve looked at JDA and i2, let’s examine RedPrairie. DD: RedPrairie manages warehouse operations. Trucks drive up. Stuff gets unloaded and put away. An empty truck drives up. Stuff gets taken down from the shelves and loaded on. Remember the end of Raiders of the Lost Ark? This is the stuff that lets them find the Ark again. JB: So where does warehouse management fit in with merchandising? DD: It’s actually very confusing. Retail goods typically go through […]

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