Tagged Content: L2

Strategic Sourcing and Driving Spending with Small Businesses Don’t Have to be in Conflict

- September 2, 2014 2:28 AM | Categories: Commentary, Strategic Sourcing, Supplier Management

Regardless of whether it’s public or private sector, I would argue that the basics of strategic sourcing (i.e., aggregate and consolidate spending with fewer suppliers to create leverage in negotiations and more strategic relationships overall) are in conflict with the drive to encourage supplier diversity. But they don’t have to be. Here’s why: strategic sourcing does not only have to focus on demand aggregation and sourcing strategies based on driving down price with tier one suppliers.

more ▸
 

Purchases: Don’t Take Supplier Ethics Too Seriously, Let Them Buy You a Cup of Coffee

- August 29, 2014 2:00 AM | Categories: Commentary, Friday Rant, Supplier Collaboration

In my years of researching and assessing sourcing sophistication and approaches inside procurement organizations from around the globe, I’ve noticed there’s a universal bent – except perhaps in the most corrupt developing markets – to begin to discourage biases to/for one supplier or another in the sourcing process at the early stages of procurement maturity (after, let’s say, a base “stage zero”).

more ▸
 

Accenture Spend Trends Report: Category Intelligence For Marketing and Spanish Speakers

For far too many companies, marketing is a category that is actively managed by key suppliers (e.g., agencies of record) rather than the organization itself. It’s one of the last “hold out” areas in which vendors typically have access to far better insight on performance and ROI than the organization spending money in the area. This is already changing, however, in larger companies, especially in CPG, retail and high-tech, as procurement leads and more analytical CMOs regain control and influence from the creative types that previously ran the show on what was all too often a solo basis.

more ▸
 

Millennials and Procurement: Changes Ahoy for Recruiting, Management, and Talent Development

A recent Procurement Leaders blog post, Millennials To Shake-Up Procurement, authored by my old friend Paul Teague, began to peck around at a topic that’s been on my mind for quite sometime: how to think about the future of delivering procurement capability in an environment where a new generation of workers, many of which have quite a different set of motivations and values from older generations, make up the majority, not the minority. It’s a topic of keen interest to me as my own broader organization grows (now 23 people) because the bulk of our new hires also come from the “millennial” generation as well. For those on a different planet, millennials range in age today from young teenagers to their young thirties.

more ▸
 

Accenture Spend Trends Report: Energy Prices and Upward Cost Pressure

- August 25, 2014 6:23 AM | Categories: Category Management, Spend Management

As we continue our coverage of Accenture's Spend Trends Report, we turn our attention to the topic of energy prices and cost pressure. A number of Accenture’s findings are actually quite similar to a longer-term perspective we presented in a recent Spend Matters PRO research brief titled "Will the Cost of Energy Increase? On Statistics from the US Energy Information Administration." As Accenture notes in their analysis, energy prices are continuing on a long-term up-trend with short-term pullback and volatility along the way, albeit with a underlying long-term inflationary undertone.

more ▸
 

Rant: On Corporate Inversion

- August 22, 2014 2:24 PM | Categories: Commentary, Friday Rant, Industry News

AbbVie's $55-billion bid for UK drug maker Shire was approved, providing yet another footnote in the history of corporate inversion on the part of US companies mainly looking to avoid corporate taxes. The combined firm will move to UK, saving upwards of $8 billion in US corporate taxes by some estimates. While such a move certainly rubs policy makers the wrong way, in reality isn't this a perfect case study in the free market economy?

more ▸
 

Making Friends: How CPOs and CFOs Can Come Together in Harmony

Connecting individuals' roles with the planets of the solar system is nothing new (see: Men are from Mars and Women are from Venus) but we’re taking it one step further with this new, downloadable research paper -- Procurement is from Mars and Finance is from Jupiter: How to Align Planets. In the paper, Chief Research Officer Pierre Mitchell examines how the CPO and CFO can come together for the better of both procurement and finance.

more ▸
 

Best of Spend Matters: Incendiary Tidbits

- August 19, 2014 6:15 AM | Categories: Commentary

Unlike “general news” or “technology,” the Incendiary Tidbits tag gives editors some power to decide what is incendiary. As the tag is (self-aware) hyperbole, posts are categorized under it as long as they are incendiary in relation to other Spend Matters posts. Some of these posts aren’t even tidbits; some are in fact rather long. As for the degree of overlap with Friday rants, the relationship should look like a Venn diagram. So which posts made "Best Of"? Read on!

more ▸
 

Best of Technology Coverage: SAP, Amazon.com, A Promising T&E Solution, and More

- August 18, 2014 11:01 AM | Categories: Industry News, Innovation, Solution Providers

Every August Spend Matters runs "Best Of" posts from the past six or so months. Today's topic, as you can see from the title, is technology coverage. From individual “Vendor Snapshots” to overarching viewpoints on where the sector’s technology has been and where we see it going, this is one of our favorite areas to explore here at Spend Matters — and one where we are proud of providing original thought, insightful analyses, and unbiased opinion. Hedge, obfuscate, or pander? Never.

more ▸
 

An Interview with Corporate Ink’s Amy Bermar, Part 2: How to Approach a PR Agency Search

This is the second in a two-part series on how to shop for a PR firm. Thomas Kase talked to Amy Bermar, president of Corporate Ink, a PR firm focused on supply chain clients, who shared some insider knowledge from her experience on all sides of the agency pitch -- selecting, winning, and losing. Read on for her tips on how to conduct a successful agency search.

more ▸
 

Where Lower-End Sourcing Tools Strike Out Quickly (Part 2)

- August 13, 2014 6:21 AM | Categories: Category Management, Sourcing, Spend Management

Basic sourcing tools, especially those integrated with broader source-to-pay suites or the stand-alone capability of ERP providers (and those ERP providers have acquired), tend to come up short with specialist providers in a range of areas on a functional basis. But from a pragmatic perspective focused on business requirements, there are a number of areas where lower-end tools tend to strike out fairly quickly. These include the ability to support centralized procurement efforts – including those organizations with centers of excellence (CoEs) – along with decentralized execution mapped to centralized requirements and processes.

more ▸
 

Beeline Acquires OnForce, Setting Up A Divergent Talent Philosophy to SAP, Fieldglass and Ariba (For Now)

Earlier today, Beeline announced it had acquired OnForce, one of a select group of vendors on the periphery of the vendor management system (VMS) market targeting the recruiting, on-boarding and management of what are best known as “freelancers” in the global talent market. Terms of the deal were not announced, but we expect it was a strategic rather than a financial-led acquisition (i.e., the transaction was not just a question of adding accretive revenue) which would suggest a premium multiple on revenue.

more ▸