While the area of supply risk management is attracting growing interest and investment from procurement organizations, organizations typically deal with risk on a piece-part basis. That is exactly the wrong strategy, argue Spend Matters analysts Jason Busch, Pierre Mitchell and Michael Lamoureux in their latest report, Spend Matters Landscape Definition and Overview: Supply Risk Management and Compliance. One of their core aims in publishing this analysis, they write, is “to change this perspective and help organizations integrate these supply risk management initiatives more effectively.”
Preparing for disruptive technologies and closing the talent gap are on many CPOs’ minds, as findings from Deloitte’s 2017 CPO Survey show. Among procurement executives, 75% of respondents in this year’s CPO Survey said that procurement’s role in delivering digital strategy will increase in the future. Talent shortages are also a big concern, with 60% of respondents saying that they do not think their teams have the skills necessary for their procurement strategy.
In one of my conversations with a “30 Under 30” winner who’s about to hit 10 years in the procurement profession, I realized the in hindsight highly obvious fact that millennials are growing up. They already make up a third of the workforce. The older among them are stepping into managerial positions. They’re hiring and mentoring younger employees. They’re giving talks at conferences and industry events. And a decade from now, they could even be CPOs.
Health insurers Aetna and Humana have called off their $34 billion merger, after a federal judge ruled against the deal in January. And Kellogg Co. is changing its distribution model for snack products. Instead of delivering products directly to stores, the company behind Cheez-Its and Corn Flakes will switch to a warehouse model. Afternoon Coffee brings you the latest in procurement and supply chain news.
Heed threats about moving to Mexico? Please. Companies such as Caterpillar, Nucor and Rexnord are sticking to their plans of moving operations south of the border. The Wall Street Journal reports that the moves to redraw supply chains can save the companies millions of dollars, especially now, with the peso in free fall. Afternoon Coffee brings you the latest in supply chain and procurement news.
A surplus of grain worldwide has led to falling prices and growing debt for farmers, and reverberations may be felt in agricultural goods supply chains. And Boeing is setting up a new unit for defense operations in India as part of efforts to win a sizeable share of the billions that the country is spending on defense weapons. Afternoon Coffee brings you the latest in supply chain and procurement news.
EcoVadis released its seventh and latest Sustainable Procurement Barometer on Tuesday, a joint study with HEC on supply chain sustainability that was first carried out over a decade ago. These studies measured sustainable procurement practices in global procurement organizations and aimed to provide a landscape view, including “sector and geographical differences, industry strengths, improvement areas [and] new frontiers for innovation.” In short, companies worldwide are now investing in sustainability practices across the supply chain, and sustainable procurement has become vital for revenue and costs, risk mitigation, brand reputation, and innovation and growth.
Procurement solutions provider GEP released its Procurement Outlook 2017, an annual report on business and economic trends and how they affect sourcing and procurement organizations. And General Motors Co.'s North American margins are threatened by the Trump administration's proposed 20% tax on imports from Mexico. Afternoon Coffee brings you the latest in procurement and supply chain news.
Mobile e-procurement provider Vroozi has appointed a new CEO, Gregg Parise, who was formerly the CEO of Events.com. And SciQuest has rebranded itself as Jaggaer. The new name is meant to reflect the company’s promise of “delivering comprehensive, focused spend solutions for a broad range of businesses." Afternoon Coffee brings you the latest in supply chain and procurement news.
Combine the e-procurement and invoice-to-pay technology markets, and what you have is the P2P market, or procure-to-pay. The P2P market comprises hundreds of providers, as well as numerous sub-sectors such as catalog management, supplier networks, trade financing and supplier-side e-commerce. Today, we’ll address e-procurement and invoice-to-pay individually in this quick and dirty guide to P2P.
Afternoon Coffee: Dodd-Frank Rollback Faces Obstacles, Tech Companies File Legal Brief Against Travel Ban
The Securities and Exchange Commission’s efforts to scale back the Dodd-Frank Act faces a lengthy amendment process, and potential litigation will only prolong it, according to legal experts and former SEC staff who spoke with the Wall Street Journal. And last night, 97 tech companies banded together to file a legal brief against the Trump administration's travel ban. Afternoon Coffee brings you the latest in supply chain and procurement news.
After President Donald Trump signed an executive order last Friday afternoon banning entry visas to citizens of the predominantly Muslim countries of Iran, Iraq, Libya, Somalia, Sudan, Syria and Yemen, the response was immediate and loud. Many praised Trump for keeping his campaign promises, and many others criticized the ban as xenophobic and illegal. And for businesses, the fallout has created some unintended consequences, both good and bad.