State of Flux – Supplier Relationship Management Report 2012 now out

State of Flux has carved itself a niche as perhaps the leading consulting firm in the Supplier Relationship Management space. It’s interesting that their only serious competition for that accolade  is probably another niche firm – Future Purchasing – and these two have an intellectual firepower in this area that outguns the much bigger consulting firms.

Anyway, State of Flux has just published their fourth annual survey into SRM and it is the largest yet in terms of sample size (over 350 firms) and the end result – an impressive 100 page plus report.

I haven’ read it all yet, I confess, but on the basis of the executive summary it is clearly interesting, useful and insightful. Here are some of the headline findings to whet your appetite, and we’ll cover it at greater length when we have considered it properly.


Here are the four key messages from the forward, written by Alan Day, state of Flux Founder and Chairman.

1.  Despite tough economic times, the focus on SRM continues to grow with leaders enjoying more benefits and return on their efforts than ever.

2.  We have not yet achieved the right balance in training our people. We need to put a much greater emphasis on investing in behavioural skills development whilst maintaining levels of competence in the traditional areas of negotiation and commercial skills.

3.  Investment in technology to support SRM is modest and is a key enabler to driving your SRM programme.

4.  Discussions with suppliers throughout this year’s study has shown that suppliers are completely aligned to your programmes – the more effort you put in, the more they notice it.

We’ll certainly come back to these key points around personal skills and technology – as we’ve said before, they are basically the two raw materials for procurement success, so its not surprising they get such prominence here.

You can get a copy of the full report here, free on registration.

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