The Supplier Risk and Compliance Management Category

Supplier Diversity Meets Supply Management: A Roadmap for Success (Part 4) [Plus+]

As we conclude our initial series on creating a roadmap for success with supplier diversity initiatives (see Part 1, Part 2 and Part 3), we come to a handful of final, in many cases tactical, recommendations that can make or break program success. These are the “school of hard knocks” lessons focused on supplier diversity data management that we encourage our readers to take to heart, learning from the mistakes of others (including us) as we’ve helped to rollout and manage these programs over the years for dozens of organizations.

Supplier Diversity Meets Supply Management: A Roadmap for Success (Part 3) [Plus+]

Perhaps the most important element that supplier diversity professionals should incorporate into their program management efforts is how to constantly incorporate general procurement efforts within their own. Working with general procurement should be the top priority for diversity teams. All too often, the trap for supplier diversity professionals is to lead a silo-based activity with few touch-points with general procurement.

Dr. Edward Altman and CreditRiskMonitor CEO Jerry Flum on the Looming Corporate Debt Crisis

Debt is a growing problem, both in the U.S. specifically and worldwide. As the Congressional Budget Office announced earlier this year, U.S. debt held by the public is projected to reach 150% of GDP by 2047. Currently, the $19.9 trillion of U.S. public debt equates to about 107% of GDP, according to the Pew Research Center. In short, there’s a mammoth debt problem, which was the title of a webinar that CreditRiskMonitor recently hosted on this very topic.

Supplier Diversity Meets Supply Management: A Roadmap for Success (Part 2) [Plus+]

For outcomes, whether you get preferred delivery, higher quality, better post-sales support, more favorable warranties or better pricing based on prompt payments as a result of getting diverse suppliers paid faster than the norm, it is important to consider the need to engage the broader finance organization (e.g., AP) and even other functions to implement a program successfully. And try to broaden your vision and go outside the standard procurement playbook in the process.

A New Perspective for Procurement: Understanding RAP

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Although I can’t be sure if risk-aware procurement (RAP) can rightfully claim this year’s mantle for most popular new supply chain management (SCM) acronym, it should be a leading contender. Not that it’s about acronyms, or that building a procurement-led and more structured supplier relationship management (SRM) capability isn’t meaty enough on its own, but when you add in the sizzle of supplier risk management (SRM), well, let me put it this way: Chief procurement officers (CPOs) who “RAP” are embracing one of the more powerful hooks the profession has seen in more than a decade.

Supplier Diversity Meets Supply Management: A Roadmap for Success (Part 1) [Plus+]

suppliers

There are few areas within the walls of corporate America that stir up emotions and opinions like supplier diversity. Regardless of where you stand regarding supplier diversity programs and how supplier diversity can be done right — because it can definitely be done poorly, even catastrophically so — this research brief is meant to serve as a general primer for procurement professionals needing to bring supplier diversity into their daily activities across the supply management function. We also hope it will prove useful for newly appointed supplier diversity managers and for senior procurement managers and corporate directors wanting to understand how supplier diversity fits in with their business, day to day and strategically. Our intention is to help you make the business case not just for greater investment in diversity programs but for the right programs to begin with. 

ConnXus: Vendor Snapshot (Part 3) — Summary & Competitive Analysis [PRO]

supplier diversity

The market for supplier diversity and supplier management solutions has clearly entered its “2.0” phase. While the DNA of firms competing in this market segment has not changed considerably from the first wave of specialists, the level of capability and overall user experience has evolved considerably since the previous generation of solutions — and what one can do with the solutions has matured, as well.

Users of these solutions can still expect a combination of diversity data enrichment, supplier on-boarding and basic supplier information management capability. But this is now just the ante for a newer generation of providers like ConnXus, a supplier (information) management solution designed to simplify the complexity associated with identifying, qualifying and introducing the right suppliers, including the right diversity suppliers, into global supply chains in a manner that achieves organizational goals of responsible and sustainable sourcing.

This final installment of our multipart Spend Matters PRO Vendor Snapshot series covering ConnXus offers a SWOT analysis, competitive assessment and comparison with other similar and “crossover” providers in the supplier management and supplier diversity market. It also includes a user selection guide and summary evaluation and selection considerations. Part 1 and Part 2 of this PRO research series provide a company and deep-dive solution overview, product strengths and weaknesses and a recommended fit analysis for what types of organizations should consider ConnXus.

ConnXus: Vendor Snapshot (Part 2) — Product Strengths & Weaknesses [PRO]

From a technology and content perspective, the market for supplier diversity-specific supplier management solutions has remained somewhat of a cottage industry for over a decade. Larger vendors, including both software and risk-centric providers, have not been able to take advantage of scale or reach. Further, over the years, even those organizations which have acquired diversity-centric vendors (e.g., Kroll, Jaggaer) have not been able to consolidate the market.

This has opened the door for more recent entrants, such as ConnXus, to not only develop technology, solutions and content for supplier diversity professionals but also to integrate these capabilities with broader offerings across the supplier management spectrum, as well as set a new standard for what should be included in a supplier diversity solution in the first place.

This Spend Matters PRO Vendor Snapshot explores ConnXus’ strengths and weaknesses, providing facts and expert analysis to help procurement organizations decide whether they should consider the provider. The first installment our analysis provided a company and solution overview and a recommend fit list of criteria for firms considering the provider. Part 3 will offer a SWOT analysis, user selection guide, competitive alternatives, and additional evaluation and selection considerations.

ConnXus: Vendor Snapshot (Part 1) — Background and Solution Overview [PRO]

suppliers

The supplier management technology market is a microcosm of the procurement technology market generally, as it has many subsegments and is fragmented from a provider perspective. Procurement organizations need to do their full homework when evaluating potential suppliers, including newer technology vendors and a host of incumbents that have been competing for a decade (and sometimes more) in this market segment. Consider that two components within the supplier management, supplier information management (SIM) and supplier discovery management (SDM), have been around since the early 2000s, when Aravo pioneered capabilities in this area and signed progressive companies like Google.

But when it comes to supplier management, SIM and SDM are not the whole story. Within this segment, specialized supplier performance management (SPM), supplier relationship management (SRM), supply/supplier risk management, supplier network management (SNM), and other takes on supplier management that haven't even hit mainstream yet are helping drive specific buying decisions for technology. That probably accounts for the recent explosion in supplier management technology providers over the past few years, with a new one either hitting the market or becoming mainstream seemingly every quarter.

One of the companies that is now becoming mainstream in this broader sector is ConnXus. Founded in 2010 out of the founders’ frustration in their inability to quickly and easily identify, and qualify, new diverse suppliers as a result of incomplete databases, fragmented resources and expensive software, ConnXus is on some levels a next-generation version of previous diversity specialists including CVM Solutions and AECSoft. The founders also observed that small business owners and diverse suppliers found it difficult to share diversity qualifications or develop relationships with procurement executives directly.

This Spend Matters PRO Vendor Snapshot provides facts and expert analysis to help procurement organizations make informed decisions about ConnXus’ solution offering in the supplier management and supplier diversity markets. Part 1 of our analysis provides a company background and detailed solution overview, as well as a summary recommended fit suggestion for when organizations should consider ConnXus in the procurement technology area. The rest of this Spend Matters PRO Vendor Snapshot research brief covers product strengths and weaknesses, competitor and SWOT analysis, and evaluation and selection considerations.

Assessing the Near- and Long-Term Supply Chain Effects from Hurricane Harvey

oil

Procurement professionals have their work cut out for them as rains from Hurricane Harvey finally recede. While the personal and human costs of the disaster are only beginning to be tallied, supply chain and logistics pictures appear even murkier. Here are the top supply chain areas Harvey has disrupted, as well as the near- and long-term consequences procurement organizations will face responding to the storm.

RapidRatings: Vendor Snapshot (Part 3) — Competitive & Summary Analysis [PRO]

RapidRatings is a proven supplier risk management solution that specializes in financial risk management. Many large enterprises depend on it as a core component of their supplier risk management programs. It brings the ability — a critical one — to evaluate privately held suppliers, including a methodology to get even small and middle-market firms to submit financials with very high success levels.

Spend Matters analysis suggests that RapidRatings has a proven and comparatively superior methodology to alternative established models for developing accurate and predictive supplier financial risk ratings — especially for privately held companies — and gaining insight into overall supplier financial health. But it is important to note that the provider does not offer a comprehensive supplier or supply chain risk management solution and ideally should be considered as a component within a broader supply risk management capability.

This final installment of our multipart Spend Matters PRO Vendor Snapshot series covering RapidRatings offers a competitive analysis and comparison with other procurement technology providers (suite and otherwise). It also includes a user selection guide, user interface and user experience (UI/UX) analysis and summary evaluation and selection considerations. Part 1 and Part 2 of this PRO research series provide a company and deep dive solution overview, a SWOT analysis, product strengths and weaknesses and a recommended fit analysis for what types of organizations should consider RapidRatings.

There’s a Reason Your Supply Chain is Making You Nauseous: You Don’t Know all of the Risks that Dwell Within It

Something about your supply chain is making you feel like your lunch is about to come back up, and you don’t know why. Sure, you’ve heeded the commodity forecasts and hedged your purchases for the rest of the year. Maybe you even dual sourced a critical component of your product to ensure the first tier of your supply chain is always reliable. But then you start to wonder about the suppliers of the suppliers to those suppliers and how exactly they extracted those raw materials. Or you remember the most recent ransomeware attack and how it shut down that auto manufacturer’s supply chain for several days. And then the nausea sets in.