Tagged Content: Process and Best Practice

The Independent Workforce “Big Picture” – Services Procurement Professionals Take Note

pointing graph on computer pad Independent contractor engagement solution provider MBO Partners recently released initial findings and infographic from its annual research, which add up to a “big picture” that services procurement and contingent workforce professionals cannot ignore. There is no doubt that business use of contingent workforce has been rising in past years (clearly a long-term trend reflected in agency temp and SOW “spend under management” data). But the MBO data points out that there is a growing population of highly skilled, high-cost workers who prefer to engage businesses directly, not through staffing suppliers, but as independent non-employees. And these workers represent talent that is often difficult to find and is crucial to strategic initiatives and overall business competitiveness and performance. What is the implication of these findings? Read on...

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Work Market Expands To Third-Party Services Providers — Why You Should Care

workforce Work Market Inc., a leading work intermediation platform (WIP) that helps companies find, manage and pay their freelance and independent contractor workforces, announced this week new capabilities that would essentially extend the scope of what it calls its freelancer management system (FMS) to not only engage independent workers directly but also to engage them via other third-party services providers. The announcement appears to apply to the IT field services segment of Work Market’s business, which addresses technology original equipment manufacturers' (OEMs) need to dynamically engage and dispatch field service technicians to address end-customer service requirements. Rather than maintain its own captive field forces across broad geographic territories, some OEMs have turned to Work Market and its talent pools and marketplace of contractors as an efficient way to respond to end-customer service needs.

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Procurement Lessons From a Surprising Source: the 1980s

Business man and meeting table background Big hair, leg warmers, heavy metal, John Hughes films – these are all things that immediately come to mind when we think of the 1980s. But what else did that decade bring? According to Pierre Mitchell, the ‘80s brought about a business transformation to total quality management. Pierre expanded upon this thought in a recent article published on our Chief Procurement Officer website: What Procurement Can Learn From Quality Management in the 1980s (Besides Bad Hair).

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Is Your Supply Chain Disaster-Proof?

Spend Matters welcomes this guest article by Diptarup Chakraborti, assistant vice president of marketing at Zycus. Over recent weeks Zycus has been discussing the role that the procurement function can play in natural disaster management. In pervious articles we’ve outlined the vulnerability of modern supply chains to natural disasters and highlighted some steps that procurement teams can look to implement internally to ensure their operations are safeguarded against these destructive events. Today we’ll be looking externally to our suppliers to ensure they are best placed to manage disasters.

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Increase Visibility, Improve Supplier Management: A Procurement Wish List

Data puzzle concept How can finance and procurement better collaborate to improve supply and spend management? Well, Pierre Mitchell, chief research officer, has already giving us a number of ways this can be accomplished in his Chief Procurement Officer series "17 Ways Finance Can Help Procurement." The series is based off a recent snap poll Spend Matters and the Institute for Supply Management conducted on the alignment between finance and procurement organizations. Each new post checks another number off our list. In the last week, Pierre has checked off Nos. 12 and 11 – read on to check out the full articles on Chief Procurement Officer!

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Latin American E-Invoicing Standardization Opens the Door for Supply Chain Finance

- June 17, 2015 2:11 PM | Categories: Finance, Guest Post, Supply Chain Management

Spend Matters welcomes this guest article by Steve Sprague, vice president of product strategy at Invoiceware International. Multinational companies operating in Latin America know that compliance with strict electronic invoicing legislation is a part of doing business in the region. However, despite the IT and processing challenges that these mandates present, companies operating here can capitalize on the resulting standardization. Through required e-invoicing, companies are able to realize business efficiencies and facilitate supply chain financing, ultimately improving liquidity in the entire region. Today, 95% of business transactions in the largest Latin America economies are electronic, as mandated by government legislation that imposes standardized reporting formats and approval processes. Specifically, suppliers must use a standard XML invoice that is transmitted and approved via government servers. This invoice often acts as a bill of lading that must accompany all shipments, and buyers must validate and approve the invoice in real time – as soon as shipments arrive. These requirements have led to a high degree of automation throughout the region.

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Natural Disasters – Procurement Preparing for the Unmanageable

Spend Matters welcomes this guest article by Diptarup Chakraborti, AVP Marketing, Zycus. This is the second in a series of articles produced by Zycus dealing with the impact that natural disasters can have on the procurement function. Today we are looking at the steps that procurement professionals can take to minimize the impact of natural disasters on their internal operations. The threat of natural disasters is as real as it is unpredictable. Our organizations, and indeed our procurement teams, simply must understand the threat disasters pose and ensure that they are adequately prepared to deal with them. Below is a list of considerations and steps that procurement teams should look to implement internally to minimize their exposure to the harms and disruptions of natural disasters.

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Creating a Sustainable Supply Chain – Best Practices and Business Drivers

- June 12, 2015 2:17 PM | Categories: Guest Post, Supply Chain, Sustainability

Spend Matters welcomes this guest article by Elizabeth Ichniowski from The Hackett Group. Many multi-billion dollar companies have been making headlines, announcing important and ambitious sustainability initiatives ultimately designed to reduce total carbon emissions. August saw Coca-Cola, a $46.9 billion company, announce an additional $5 billion investment in its Africa supply chain project. The investment will support new manufacturing lines, cooling and distribution equipment and production, as well as a program called "Source Africa," which will seek to secure more "consistent and sustainable" local ingredients and raw inputs for Coca-Cola from across Africa. Following Coca-Cola's announcement, Kellogg, a $14.8 billion company, announced a more comprehensive program to commit to a sustainable supply chain. Kellogg plans to disclose its greenhouse gas emissions and require its suppliers to do the same, promoting accountability and transparency throughout its own supply chain.

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Beeline Dispatch: Exploring the Benefits (and Risks) of Engaging Freelancers

IMUB39JBN1 At its customer event this week, Beeline shared a number of benefits that companies can expect to realize from engaging freelancers compared with contingent staffing resources. These include increasing the available talent pool, lowering costs by at least 13% and more. Spend Matters takes a look at these benefits and explores the potential risks (and how to avoid them) when it comes to engaging with a contingent freelance workforce. Also, stay tuned as we continue to provide coverage from the Beeline conference this week!

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Procurement: Spend Influencer, Not Total Spend Manager

SDM03P88BO Over on Trade Financing Matters, my colleague David Gustin makes a rather astute observation when he notes in his post titled "It's a Fallacy that Procurement Manages ALL Spend", that “in very few organizations does procurement have total control of spend.” David gets his procurement mojo on – especially for a trade finance guy – when he further observes that: “[W]ho is best to understand the compliance issues around a complex bill of materials?…Take this one step further and how do you manage the connected commerce world for direct spend? We know EDI and EDI integrators have been doing it for decades – shout out to companies like GXS/OpenText, Sterling, etc. ..." Read on to see further insight from David and our analysis on this issue.

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Pleas From Procurement to Finance: Do This, Not That

- June 8, 2015 8:41 AM | Categories: Finance, Learning / Research, Procurement Commentary

WQ94UTP6A6 Dear Finance: Please do not use the general ledger as a spend data warehouse. Also, let's do away with the "use it or lose it" budget process. These are just 2 of the pleas from procurement to finance on how the 2 departments can better work together to improve spend management. They are also the 2 latest additions to our special Chief Procurement Officer website series on the top 17 ways finance can help procurement. Written by Spend Matters Chief Research Officer Pierre Mitchell, the series is based off a snap poll Spend Matters and the Institute for Supply Management conducted.

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Attacking Costs in Healthcare: Tactical Procurement Can Address Up to 40% of a Total Operating Budget

Group-of-surgeons-looking-at-patient-on-operation-table--01171430A44DB964 There’s often a mistaken viewpoint that says labor costs form the dominant and often hard to address costs of healthcare service delivery in the United States (for example, the physicians, nurses, administrative staff). Granted, labor costs are a significant and core component of healthcare. But so are capital expenditures as well as overall procurement. In fact, a recent article, “7 Reasons to Merge Revenue Cycle and Supply Chain Management,” cites research from the Health Sector Supply Chain Research Consortium at Arizona State University (HSRC-ASU) that suggests the potential impact better procurement can have.

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