Category Archives: Risk Performance and Compliance

Concerned About Vendor Credential Compliance Risk? Now There May Be a Way to Rest Easier: GIS

Supply Chain Fraud

The management of compliance risk in the supply chain must be attacked in a number of ways — almost always based on the organization of the right data and information. We recently had the opportunity to speak with David Bartley and Patrick Espie of General Information Services Inc. (GIS) to learn about the company’s latest offering, vendor credentialing management (VCM), which effectively enables companies to manage a certain dimension of compliance (credentialing) risk in their supplier network.

GIS is one of the top employment-related background checking service providers. The 50-year-old company was listed on the 2016 Workforce Magazine “Hot List,” where it was reported that the company served more than 2,350 companies by processing employment-related screenings on more than 9.2 million people annually. Among GIS’ client companies are some very large ones, including one-sixth of the Fortune 500. GIS prides itself not only on its information and technology but also on its high level of service (provided by a client services workforce located entirely in the U.S.).

Supplier Response Rates Improve in SEC Conflict Mineral Reporting

child labor

More suppliers are responding to information requests regarding conflict mineral sourcing as organizations aim to gain visibility into their supply chain and ensure no tin, tungsten or tantalum is being sourced from conflict zones in the Democratic Republic of the Congo. A new analysis of more than 1,200 U.S. Securities and Exchange Commission filings from 2015 related to conflict minerals reporting shows supplier response rates increased compared with a year earlier.

Book Review: Legal Blacksmith — How to Avoid and Defend Supply Chain Disputes

book

We are in the middle of a great period for procurement and supply chain books, with several very impressive examples being published over the last two years or so. (We’ve linked to our overview of some of those at the end of this article). Now, there is another impressive publication to add to the list. "Legal Blacksmith – How to Avoid and Defend Supply Chain Disputes" has a different perspective to any book we have seen previously in our sector.

Lack of Investment in Trade Compliance Training Troublesome

customs bill

Procurement organizations have faced a number of new trade compliance regulations this year. Take the new Trade Facilitation and Trade Enforcement Act, as an example, which was signed into law in February. Or, the new Cuba trade agreements developing now that sanctions have been lifted. And now, with Brexit vote impacts looming over procurement and supply chain organizations, companies may have additional trade rules to consider in the near future. But a new survey shows multinational companies are not investing in trade compliance training for their employees, despite the risks of noncompliance.

Brexit: A ‘Huge Supply Chain Problem’

Brexit

Much of the rhetoric around Brexit has been very political, but the global business community needs to become a bigger part of the conversation, according to Bindiya Vakil, founder and CEO of supply risk management and market intelligence solution provider Resilinc. Brexit is not a local or regional problem — it will impact companies around the world, she said, adding this is a “huge supply chain problem.”

Prepping Your Supply Chain for Taiwan Typhoon Nepartak

supply chain disruption

The super typhoon Nepartak struck Taiwan earlier today, causing flooding, power disruptions and damage to homes and other structures. There are also reports of extensive damage to Taiwan’s agriculture industry, with initial losses topping $18 million. How exactly the storm will impact other industries as well as businesses that rely on suppliers in Taiwan has yet to be seen. However, supply chain and procurement organizations that work with partners in the country should take these five steps to prepare for, and potentially mitigate, the impacts of the supply chain disruption.

ISM Report: Procurement Execs Don’t Expect Major Financial Impact from Brexit, But Remain Cautious

Brexit

The majority of procurement executives do not believe Britain's decision to leave the European Union will have a major financial impact on their organization, according to the Institute of Supply Management’s recent Brexit report. However, procurement professionals are still concerned how Brexit may impact currency fluctuations, the financial market and global growth. ISM surveyed manufacturing and nonmanufacturing firms to see how procurement executives expect business to be impacted through the end of the year.

The New Gig Economy and the Worker Classification Conundrum

Wonolo

The independent workforce is growing and becoming an important source of talent for enterprises. But this increase, from Uber drivers to online software developers, has unleashed a worker classification firestorm, spreading through businesses, government and the courts. The related ambiguity, uncertainty and risk, often driven by technology, is increasing, as well, even as new demographics are giving rise to a growing portion of the much in demand skilled talent population that prefers independent (non-employee) work. This contradiction is at the heart of the worker classification conundrum.

Lessons from Global E-Invoicing Leaders Mexico and Latin America

Mexico

The 2016 e-invoicing report from Billentis points out how many Latin American countries now have considerably advanced e-invoicing markets. Mexico, specifically, is identified in the report as global leader for e-invoicing, with more than 5.4 million taxpayers issuing e-invoices for goods and services bought in the country. We reached out to our e-invoicing expert in Mexico, Xavier Olivera, who serves as editor for Spend Matters Mexico and Latin America, to share his insights on the Mexican and Latin America e-invoicing market.

E-Invoicing Successfully Reducing Tax Evasion Around the Globe

Mexico

There are a number of drivers motivating procurement organizations around the globe to adopt electronic invoicing solutions — from improving internal processes to responding to external pressures from suppliers and customers. However, as the new 2016 e-invoicing report from Billentis points out, tax evasion is a major reason both private and public sector organizations have switched. E-invoicing has also been successful at reducing corruption and tax evasion, too, according to the report.

Exploring E-Invoicing Benefits and Challenges with Expert Markus Hornburg

Markus Hornburg

We’re pleased to announce a Spend Matters webinar in association with Coupa, on Thursday, June 9, at 7 a.m. CT (1p.m. in London). Peter Smith, managing editor of Spend Matters UK/Europe, will be talking about e-invoicing, and more importantly, asking Markus Hornburg, vice president of global product compliance at Coupa, some key questions. Markus is genuinely one of the world’s leading experts in this field.

IBM Presents Global Supply Chain Risk Lessons: Webinar Tomorrow!

resilinc-webinar-ad

Time still remains to join us tomorrow at 10 a.m. CDT for Are You Acting or Reacting? Lessons in Global Supply Chain Risk from IBM. Sponsored by Resilinc, this presentation will feature Lou Ferretti, project executive, product environmental compliance and supply chain social responsibility at IBM, as he covers risk and just why it is considered one of six mega trends that have an impact on shaping the global economy both today and moving forward.