Search Results for: sourcing

 

Why Optimizing Corporate Mobility Spend is More Critical than Ever

Guest Contributor - April 23, 2015 2:08 PM - Available @ Spend Matters

Spend Matters welcomes this guest article by James Martino, chief executive officer at Avotus Corporation. Would your business willingly pay 50 cents for a service that was offered at 10 cents? If you are using wireless services, you might be doing just that. In the constantly evolving world of mobility, the need for carrier-spend optimization continues to be of paramount importance within the enterprise. With major shifts in carrier rate plan offerings, migration trends away from unlimited data plans and more flexibility on pricing for voice and text, never before has there been such a need to organize, analyze and optimize your mobile spend. And you need robust tools to help you vigilantly manage against overspend.

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What We Learned About Supplier Enablement From a Fortune 500 Food/Beverage Firm

Jason Busch - April 23, 2015 6:32 AM - Available @ Spend Matters

Every so often, we have a discussion with an organization and come away with page after page of insights. Such was the case with a recent interview with a P2P process owner at a large Fortune 500 food/beverage company that had worked with 2 different vendors (Taulia and Xign) over multiple years for supplier enablement and enrollment for connectivity, invoicing and planned trade-financing activity.

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Supplier Enablement and Onboarding Lesson: Use Carrots, Not Sticks!

Jason Busch - April 21, 2015 6:16 AM - Available @ Spend Matters

Spend Matters recently spoke to a P2P process owner at a Fortune 500 beverage company. The hour-long conversation turned out to be a treasure trove of tips and tactics for improving the supplier enablement and onboarding process for e-invoicing and trade financing. Today, we continue the analysis looking at how this organization got more from the careful use of carrots rather than sticks as it brought suppliers up and running with Taulia (after previously using Xign). With supplier enablement and trade financing programs, this large food and beverage company found that carrots (and frequent, active and friendly communications) tend to work better than sticks, especially with strategic suppliers.

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The Funky Market Dynamics of Procurement Technology: Vendor Management Systems (VMS)

Jason Busch - February 26, 2015 3:42 PM - Available @ Spend Matters

Earlier today, Spend Matters PRO published a detailed company and geographic update on IQNavigator, IQNavigator: From Strength to Strength – 2015 Company and Solution Outlook. This was the first research brief in a series providing an updated look at one of the top 3 VMS providers by volume and growth (Fieldglass, Beeline and IQNavigator together control the majority of the VMS market). Once a tactical tool to manage compliance and basic workflow for contingent labor, the humble VMS is growing into a full-fledged source-to-pay suite for the broader services procurement market. But the VMS is an atypical relative to other procurement technologies for a number of reasons.

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Beyond Invoice Discounting and Dynamic Discounting Alone: 6 Triggers for Receivables and Payables Financing

Jason Busch - January 15, 2015 6:42 AM - Available @ Spend Matters

I sometimes tell people that we’re in the top half of the first inning, with the lead-off hitter on plate, to describe where we are in the evolution of purchase-to-pay (P2P), supplier networks, business networks and trade financing. And the first pitch we’ve tossed to the plate is the approved invoice (net of dilutions) as the trigger for online-driven financing. This is the premise behind financing-centric network and e-invoicing providers like Tungsten and Taulia. But e-invoicing is only a single trigger...

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Jeremiah Was NOT A Bullfrog!

Guest Contributor - November 6, 2014 1:31 PM - Available @ Spend Matters

Spend Matters welcomes a guest post from Art van Bodegraven. Fans of the innocent earlier days of popular music might remember the monster hit “Joy to the World,”by Three Dog Night. But an earlier Jeremiah was a prophet in the Kingdom of Judah, the "weeping prophet" who urged reform and repentance. He is recognized in Judaism, Islam, Christianity and Baha'i. Some think that I might be modeling Jeremiah, but my own views are not quite as pessimistic.

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The Irony of Globalization and Trade: Declining Capital Availability and Financing

Jason Busch - January 1, 2015 2:14 AM - Available @ Spend Matters

With globalization and increased trade flows, could available credit and capital to fuel global supply chains actually be declining? It almost sounds impossible. But financing needs have not kept up with booming global trade between countries, raising risk in the supply chain and creating situations that favor larger suppliers over smaller ones.

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Measure Suppliers on Strategic KPIs and Factors – 10 Services Procurement Secrets (No. 9)

Jason Busch - April 3, 2015 6:18 AM - Available @ Spend Matters

Consistent and effective supplier performance management programs are one of the secret weapons of top performing direct material supply chains. Leading programs measure suppliers on strategic factors such as innovation, sustainability and revenue growth.
 The same efforts should cascade to services supply chains as well (but often do not). Examples are there to follow: best in class procurement organizations are increasingly tapping suppliers to gain innovative ideas – from driving sustainability programs to focusing on revenue growth. Yet such collaboration is all too often lacking with services suppliers.

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Create Visibility Into N-Tier Upstream Cost Structures and Risks – 10 Services Procurement Secrets (No. 8)

Jason Busch - April 2, 2015 6:49 AM - Available @ Spend Matters

When procurement and finance organizations conduct supply risk analyses in a manufacturing context, they are concerned about the weakest link in a supply chain – not merely the biggest one. It is often the case that lower-tier suppliers – some of which an organization might not even be aware of – pose the greatest risk to the organization, bringing high potential to disrupt production and put revenue at risk. Moreover, understanding multi-tier cost structures beyond risk factors of potential or production supply chains can often yield savings and generate additional forms of value.

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Waste Matters! (Food Waste, That Is)

Kaitlyn McAvoy - November 21, 2014 6:22 AM - Available @ Spend Matters

How much food do we waste in America? A lot: 30% to 40% of the food supply ends up in the landfill. In 2010, 133 billion pounds of food was thrown out at retail stores, restaurants and US homes. Today Spend Matters begins a new series on the food supply chain, the amount of food waste we produce and what is being done about it. We think it’s timely, too, as the holidays approach. We will take a look at this important issue gaining national attention and what it means for procurement and the supply chain.

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Examining Current and Future Supply Chain Capacity – 10 Services Procurement Secrets (No. 7)

Jason Busch - April 1, 2015 6:29 AM - Available @ Spend Matters

When Ford pursued a light-weighting program on its popular F-150 line of trucks, it had to understand both the existing and potential supply chain and capacity of the supply market (and different alternatives) years in advance of actual production. Yet when it comes to how companies consume and use third-party services, including contingent workforce management, few organizations formally translate and compare these forward-looking requirements to existing "supply." 


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Link Processes to Other Procurement Programs – 10 Services Procurement Secrets (No. 6)

Jason Busch - March 31, 2015 6:14 AM - Available @ Spend Matters

Contingent workforce success is magnified when programs are truly linked together rather than loosely coupled. There is early evidence we have seen based on our own analysis of supplier diversity programs that some progress has been made in this one area. But “loosely coupled” rather than “joined at the hip” remains the norm, rather than the exception. This is a shame.

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What Does Dim Weight Have To Do With Me?

Guest Contributor - November 12, 2014 2:35 PM - Available @ Spend Matters

Off in the nether regions of dirty fingernails supply chain execution, practitioners are leaving work early to stock up on sackcloth and ashes. Oh, the wailing, the gnashing of teeth! It is as if a plague of Biblical proportion had been loosed upon the people. The proximate cause of the hoopla and furor has been the announcement by UPS and FedEx of dimensional weight (dim weight) pricing for its commercial customers. Stripped of all the anti- rhetoric and pro-smooth talking, what dim weight comes down to this is: A parcel of twice the cubic size of another will cost twice as much to ship.

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Cross-Functionally Manage and Govern External Relationships – 10 Services Procurement Secrets (No. 5)

Jason Busch - March 30, 2015 6:28 AM - Available @ Spend Matters

Within both direct materials procurement as well as large IT vendor relationships, program governance, management and orchestration go hand-in-hand with overall vendor performance management, and ultimately, the outcomes one can achieve with the contribution of third parties. Yet in the realm of services procurement today, the ability to cross-functionally manage and govern large external relationships consistently and effectively is a skill that procurement has all too often abdicated to others (e.g., MSPs) and/or not entirely embraced internally.

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Anticipatory Sourcing: Anticipating What, And When

Guest Contributor - October 30, 2014 2:15 PM - Available @ Spend Matters

Spend Matters welcomes a guest post from Art van Bodegraven. When I use the term Anticipatory Sourcing without setting the stage fully and correctly with an audience, even an audience of one, the reaction is eerily reminiscent of the late and much lamented Richard Pryor exclaiming, "Say what?!?!?" (Shades of the cult classic film, “Stir Crazy.”) But, at the risk of offending and alienating, I will stake out the position that, unless you are doing anticipatory sourcing, you are taking up valuable space that ought to be occupied by someone more motivated, more aware, more understanding and, possibly, even a bit more intelligent.

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Improving Contractual Flexibility – The Difference Between Success and Failure (Article 2)

Guest Contributor - October 25, 2014 8:20 AM - Available @ Spend Matters

Spend Matters welcomes this guest post from POD Procurement, a business consultancy that created the POD model. To achieve the maximum savings, buyers need to commit to procuring the goods/services from the suppliers. Once the contract has been awarded, both parties focus on delivery. If the business requirements reduce post-contract award it can lead to a difficult business decision.

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The Difference between Success and Failure (Article 1)

Guest Contributor - October 18, 2014 8:22 AM - Available @ Spend Matters

Spend Matters welcomes this guest post from POD Procurement, a business consultancy that created the POD model. In our 3-part series we will explore these 3 core areas of achieving procurement success: Centralized Procurement (Article 1), Improve Contractual Flexibility (Article 2) and Encourage and Reward Post-contract Supplier Innovation/Efficiency Gains (Article 3).

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Local Sourcing and Localized Supply Chains for Magma and the Automotive Industry

Jason Busch - September 5, 2014 6:30 AM - Available @ Spend Matters

Auto News recently reported that Magna International, one of the top three auto suppliers based in Canada, has been rethinking its supply chain of late, noting that “local strategy and efficiency improvements as key cost-saving measures within its supply chain.” In particular, supply chain localization was one of three trends within Magna’s supply chain identified by Carrie Van Ess, vice president of procurement for the Americas, at a recent industry briefing. Van Ess said a new supply chain model is emerging in which “goods are produced, sold and consumed in the same geographic region,” according to the article.

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Centralized vs. Decentralized Procurement: Technology as (one of) the Great Governance Disrupters

Jason Busch - September 26, 2014 2:43 AM - Available @ Spend Matters

In procurement, we often look at technology as an enabler. For example, sourcing optimization technology can change how we source by allowing us to gather an increased set of data points from suppliers (and then apply our own constraints to understand how various biases or requirements create additional supply chain cost, such as requiring higher inventory levels, not awarding to the lowest bidder, etc.). Yet technology can enable more than just tactical activities like sourcing – it can also help redesign how we structure procurement teams and leadership to begin with.

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Accenture Spend Trends Report: Logistics Market Intelligence – “Get Local” and More

Jason Busch - August 26, 2014 10:30 AM - Available @ Spend Matters

Accenture's Spend Trends Report from Q2 (published in October) covers a number of macroeconomic areas impacting procurement and supply chain costs while also diving into a number of category-specific trends. One area the research brief explores is the logistics market, offering a global perspective on it and opportunities for savings and procurement improvement.

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