The Supplier Risk and Compliance Management Category

IT Outages, Cyber Attacks and New Regulations: BCI’s Latest Supply Chain Resilience Report

IT and telecommunications outages; cyber attacks; and loss of skilled employees are the top three causes of supply chain disruption, according to the Business Continuity Institute (BCI)’s ninth annual Supply Chain Resilience Report, released this month in partnership with Zurich Insurance Group. Although these three causes of disruption are expected to remain highly relevant in the next 12 months, companies should also keep an eye on new laws or regulations, which are expected to act as a source of disruption in the next five years.

Creating a Successful Third-Party Risk Management Strategy: What You Need to Know

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It’s almost 2018 and time to think about updating — or creating — your risk management program for next year. Financial health ratings firm RapidRatings recently held a webinar on the most important factors to consider as you plan your risk strategy. Presented by Brian Sica, director of sales operations at RapidRatings, “Developing a Third-Party Risk Management Strategy for 2018” takes a broad approach to the topic, starting with alignment to business objectives before progressing to the actual planning and execution of the program.

A Different Sort of Influence: 16 Areas Where Supplier Management Can Help Engage Your Stakeholders Strategically (Part 1) [Plus+]

Supplier management is too often an afterthought in the eyes of procurement and its stakeholders. Yes, it's important to collect supplier qualification information through the sourcing and onboarding process, and then also monitor the suppliers against their contracts to get what you paid for and to reduce supply risk. But shouldn’t there be more to supplier management?

Progressive organizations are beginning to use supplier management (and third-party management more broadly) as a better overall governance structure for how to best externalize the enterprise. This is especially true as supply markets get digitized (and disrupted) and supplier innovation can be brought to bear beyond cost/spend savings.

“Innovation management” is indeed one of the areas where a supplier management approach can help procurement influence stakeholders, but there are 15 other ways, as well. Having a broader palette of value creation (for which we’ll discuss six major value streams) will not only help improve spend influence but also improve the quality of influence to help elevate procurement’s value proposition.

What is Your Supplier Management (SXM) Persona? Understand Your Requirements to Find the Best Technology Provider [PRO]

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No two procurement, finance, supply chain or IT organizations are alike. Each has its own persona that reflects not only its own unique requirements but also the stakeholders it serves.

The same principle holds true when analyzing supplier management solutions. Each provider has a persona — or set of personas — that reflects its value proposition, solution strategy and targeted customer segments. Therefore, procurement organizations should seek providers whose personas best align to theirs. In other words, there is no “magic” solution provider, and finding the right fit is essential, because supplier management applications are critical for not only identifying savings opportunities but also the effective management of the procurement function.

SolutionMap depicts vendor rankings based on specific buyer personas to reflect the unique value proposition, solution strategy and customer segments served by a vendor. Participating vendors are scored both on their Solution capability as well as on Customer Value, based on in-depth tech reviews (including live demos) by the Spend Matters analyst team and aggregated direct customer input from surveys. Each SolutionMap is updated quarterly rather than in 12-month (or longer) cycles, to accurately reflect the pace of market developments.

As part of our Spend Matters SolutionMap vendor comparison ranking for supplier management and other strategic procurement technologies, the Spend Matters analyst team has dedicated considerable time to developing the unique organizational personas that we’ve most often seen in our decades of experience working with procurement organizations.

We have used these personas to weight the requirements used in solution scoring, which includes customer satisfaction scoring by solution customers. Having collected feedback from hundreds of procurement organizations in recent months as part of our SolutionMap research, we see these personas as useful starting points for procurement organizations to classify themselves before looking at solution rankings of providers in the market.

This Spend Matters PRO analysis shares five of the most common customer personas for supplier management buying requirements. Aimed at practitioners as well as vendors and the consultants advising them, this research brief will be helpful to drive the type of mass customization of strategic procurement technology solutions needed to meet specific organizational needs.

Below, we present our five personas for supplier management. For each, we include full definitions, typical organizational priorities (based on each persona), functional/solution and customer value emphasis, and recommended selection processes.

What are Companies’ Biggest Risk Misconceptions? A Conversation with Coupa Economist Ahmad Sadeddin (Part 2)

As a senior economist and risk expert at Coupa, Ahmad Sadeddin is in a good position to see what companies do well and not so well in terms of risk management. Unfortunately, companies are being put to the test more frequently these days, as risks become more numerous and unpredictable. In this second half of our pre-webinar interview with Sadeddin, the risk expert discusses common risk-related misconceptions, challenges that Coupa’s clients have faced and one recent risk success story that impressed him.

Successes, Failures, Worries: Coupa Economist Ahmad Sadeddin on All Things Risk Related (Part 1)

Are companies paying more attention to risk as they become more sophisticated, or are risks so numerous nowadays that risk management has become a bigger priority? If news headlines are any indication, we are all in need of a few contingency plans. And if you — as a business or as an individual — don’t even know where to start, well, you’re not alone. From hurricanes and earthquakes to Brexit and the upcoming General Data Protection Regulation (GDPR), what is one supposed to look at first?

Vendor Summary Report: Supplier Management SolutionMap℠ Q4 2017 [PRO]

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This SolutionMapSM analyzes a select group of supplier management (SXM) providers. It includes coverage of supplier information management (SIM), supplier master data management (MDM), supplier performance management and broader initiative management (e.g., risk, third-party management) capabilities. It is part of our Q4 2017 SolutionMap report series, also featuring spend analytics, sourcing, contract management, e-procurement and invoice-to-pay providers. Our Q4 2017 also features SolutionMaps for procure-to-pay and strategic procurement technology suites.

Spend Matters tracks more than 50 supplier management solution providers today. This analysis features many of the largest supplier management providers, including BravoSolution, Determine, GEP, Ivalua, Lavante (PRGX), Hiperos 3PM (Opus Global), Jaggaer, Jaggaer Direct (formerly Pool4Tool), SAP Ariba, State of Flux and Zycus. Among these providers it features select industry/specialty capability of providers, although it does not highlight them in a specific persona, a change from our last SolutionMap release.

SolutionMap ratings provide comparative rankings and insight into how each provider scored from a Solution perspective and Customer Value perspective.

Dive deeper with our full analysis.

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.