Supplier Collaboration Content

Supplier diversity and supplier management: Don’t choose, do both

Supplier diversity connects to many trends occurring in supplier relationship management (SRM) these days, including developments like the rise of digital transformation, supplier networks and supplier collaboration.

As a business trying to start the supplier diversity process, it can be a daunting task to wade through-diverse supplier certifications and classifications to help you find a certified minority-, woman-, veteran- or LGBT-owned vendor for your company. But it can be worth it.

The methods that have made supplier diversity successful over the years now apply to other areas of procurement as well. Find out how.

Tealbook: Vendor Introduction (Part 1) — Background and Solution Overview [PRO]

Procurement organizations today talk a big game about automating transactional processes so that they can focus on upstream value creation opportunities. The thinking goes like this: The biggest opportunities for procurement are not in squeezing diminishing savings out of the usual vendors year after year but in identifying and contracting with the most innovative suppliers that can enable exclusive competitive advantages. These include not only strategic sourcing efforts around major categories or products but also mutually beneficial relationship-based activities like supplier collaboration, development, innovation and risk mitigation.

Yet there are several obstacles to this shift in emphasis toward more strategic activities. One is remarkably simple: The majority of procurement organizations do not have a single, accurate record of all of their suppliers. Most of the vital information that would constitute a vendor master file is instead scattered across various silos, including ERP systems, dedicated P2P or S2P tools, homegrown tools, and proverbial three-ring binders. So before procurement can earnestly attempt to spend more time on higher-impact value creation opportunities, most organizations have a lot of work to do forming a baseline off which they can build stronger supplier management, discovery and development competencies. This baseline of supplier knowledge is not just about maintaining an accurate vendor master file to pay the bills, but also a hub for information to help build supplier intelligence and a private supplier network (albeit with some community-based elements) rather than any single commercial network/marketplace.

Helping organizations form this baseline is how Tealbook, a four-year-old provider based out of Toronto (with an office in New York City), is deploying its platform for supplier information management and discovery. Combining machine learning to accelerate data cleansing and gathering with a social media-like user experience to encourage collaborative supplier information management, Tealbook is gaining use cases with enterprise-level procurement organizations that want to consolidate their efforts in master data management (MDM), quickly bring their supplier diversity programs to target levels, and find new suppliers more effectively than a search on the open web allows, as well as expedite the supplier on-boarding process. And as it continues to bring more users and suppliers into its network, Tealbook generates insights that becomes increasingly valuable to its community (without ever sharing proprietary information between organizations).

This Spend Matters PRO Vendor Introduction offers a candid take on Tealbook and its capabilities. The first part of this brief includes an overview of Tealbook’s offering and a short selection requirements checklist that outlines the typical company for which Tealbook might be a good fit. The second part of this brief provides a breakdown of what is comparatively good (and not so good) about the solution, a high-level SWOT analysis, and some market implications and takeaways.

AI in Supplier Management: Today (Part 1) [PRO]

suppliers

With this brief we begin the next installment of our series on the application of artificial intelligence (AI) to various source-to-pay technologies. Previous entries focused on AI in procurement (Today, Part 1 and Part 2; Tomorrow, Part 1, Part 2 and Part 3; and The Day After Tomorrow), AI in sourcing (Today; Tomorrow, Part 1 and Part 2; and The Day After Tomorrow), AI in sourcing optimization (Today; Tomorrow; and The Day After Tomorrow, Part 1 and Part 2) and AI in supplier discovery (Today, Tomorrow and The Day After Tomorrow).

Following the path from supplier discovery and selection is the topic of our current series, supplier management. As with each preceding entry, the aim is to define what is available with AI(-like) technology and what will be possible tomorrow. And just as the best platforms for supplier discovery are starting to use machine learning and RPA, so too are the best supplier management platforms — but we're getting ahead of ourselves.

Sponsored Article

Putting the ‘Relationship’ Back in SRM

contingent workforce

At ConnXus, we’ve worked with countless buyers and suppliers — ranging from global fortune 500s to small and diverse businesses. One of the biggest opportunities we consistently see between buyers and suppliers in the B2B space is the ability to boost supplier relationship management (SRM). Successful SRM is a pivotal milestone in maximizing the value of your supply chain. Developing relationships with your suppliers can help foster collaboration, drive innovation and impact your bottom line.

Sustainability and Supplier Data: EcoVadis, Healthcare Firms Share Information for ‘Responsible Health Initiative’

healthcare

The issue of sustainability has increasingly become a topic that has the power to unite industries in which peers might otherwise find themselves in fierce competition. According to EcoVadis, industry concerns about sustainability have made supplier data, which was once considered proprietary, become a shared resource for creating impact and cross-company value. EcoVadis and three health and pharmaceutical companies — GlaxoSmithKline (GSK), Teva, Takeda — this year announced the launch of the Responsible Health Initiative (RHI).

Using Technology to Develop Strategic Supplier Relationships

In Efficio's recent survey — “Procurement 2025: Is digital transformation driving more effective procurement?” — around two-thirds (64%) of respondents agreed that strategic supplier relationships will become increasingly important as companies look to achieve their future objectives — yet only half (52%) have formally selected their strategic suppliers. This gap indicates that while there is consensus on the value of the strategic supplier relationship, many companies have yet to define what a strategic supplier truly looks like for their organization, much less how technology can help to develop these relationships.

Need to Gain a Competitive Edge? Find Procurement Software That’s Easy to Use

If stakeholders across the company don’t have procurement software that lets them complete sourcing activities quickly or whenever they want and with ease, then they can’t support the procurement workflows — and effectively, the business. It’s not only the procurement team that experiences friction and frustration, the entire business can feel the impact of not getting the best value or vendor. For this reason, stakeholders for procurement activities need a means of adopting, engaging and participating in workflow activities that is easy to learn, easy to use and is collaborative.

Sponsored Article

How to Increase Supplier Collaboration: Where to Start Today

Only 23% of procurement leaders plan to increase the level of supplier collaboration as a lever to deliver value in 2018. We know the days of squeezing suppliers for every penny of savings are gone and that procurement teams recognize supplier relationships as being key to success — so why are only 23% of procurement leaders planning to increase the level of supplier collaboration this year compared to 26% last year and 39% in 2016?1 My hypothesis is that the mandate to “increase supplier collaboration” is easier said than done. 

So, in this post let’s focus on six steps you can take now to kick off your initiative to increase supplier collaboration. 

Supplier Management: Dozens of Markets in One (Market Introduction) [PRO]

supplier management

The supplier management technology and services market is one of the broadest, most complex and mysterious to those who try to make sense of it — and take advantage of the many solutions that it offers. Spend Matters tracks well over 100 providers in this market, and they fall into more than a dozen individual areas. Some vendors and services firms offer solutions that address multiple components, but not a single provider comes close to offering a comprehensive solution.

This Spend Matters PRO Research brief explains and segments the supplier management market into five solution categories: core supplier process and data enablement; supplier and supply chain risk; community/network; supplier and worker/contractor; and disruptive enablement.

SourceDay Gets $6.5 Million Investment for Its Direct Spend Solution

procurement software

Procurement software provider SourceDay on Wednesday announced it has received $6.5 million in Series A funding from three capital venture firms. SourceDay said it has now raised $10.8 million since the 2015 launch of its software-as-a-service cloud platform, which automates direct spend management, purchase order management and supplier collaboration. The provider integrates its solution with ERP systems to reduce manual operations for suppliers and buyers, the statement said. The Austin, Texas-based company plans to focus on product development as well as expand its sales and marketing activity, it said.

Focus on Supply Risk Management Can Aid Supplier Relationships, State of Flux Reports

supplier management

Positioning supplier relationship management (SRM) programs as a way to ensure broader supply risk management is an untapped opportunity for businesses looking to address sustainability challenges, according to a recent State of Flux report.

As we’ve reported on the “Sustainable SRM: Nurturing Growth in a New Climate” report from State of Flux, sustainability is becoming a greater consideration when it comes to supplier relationships, due to increasing demand from consumers for ethical products and pressure from governments and investors to consider environmental factors in production. The report highlights a number of challenges facing organizations as they integrate sustainability into their procurement goals, including buy-in up and down the organization, proper segmentation of suppliers and others.

While setting up a proper governance structure, getting buy-in throughout the entire organization and deepening relationships with suppliers takes time, companies can also assess their level of SRM, determine how they manage risk, evaluate their staff’s skills and resources, and ensure their technology is working for them.

AdaptOne: Vendor Snapshot (Part 3) — Summary and Competitive Analysis [PRO]

supplier management

The supplier management technology market is among the most fragmented of those in the procurement technology landscape.

It comprises multiple segments (and sub-segments), and Spend Matters now tracks approximately 50 providers that compete within niche segments of it. One of these providers is AdaptOne, a vendor specializing in supplier information management that perfectly matches Spend Matters’ SolutionMap “Turnkey” persona for supplier management. This Spend Matters PRO report provides facts and expert analysis to help procurement organizations make informed decisions about AdaptOne’s solution — and whether its “turnkey” services-driven approach is right for them.

Part 1 of our analysis provided a company background and detailed solution overview, as well as a summary recommended fit suggestion for when organizations should consider AdaptOne in the procurement, supply chain and finance technology areas. Part 2 covered product strengths and weaknesses. This final installment offers SWOT analysis, explores competitive alternatives to AdaptOne and provides insight into evaluation and selection considerations, including a prioritization/fit checklist.