SUPPLY CHAIN RESOURCE COOPERATIVE

Category Archives: Change Management

  1. Procurement is always thinking about cost savings, year over year.  But is this really a true measure of competitiveness? So procurement will have a budgeted amount for, say 4.5 cents per unit for a product, when the current price is 4 cents.  They are able to hammer the supplier and get them down to 4.2 […]

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  2. For analytics to become truly effective in global manufacturing settings, veracity and consistency are critical requirements. Based on a recent interview with an executive at a large global apparel company, several insights regarding improvements in global consistency of data became important. Too often, companies seek to collect data for analytics, but do not consider that […]

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  3. It is no secret that future generations of managers are being asked to learn all about the different processes in the end-to-end supply chain, and be able to come together with others in a fast action plan when a disruption strikes. This capability in turn requires older generations of managers, often labeled “subject matter experts” […]

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  4. The relationship between sales and procurement has always been a contentious one, and the idea of a friendship evolving between the two functions is laughable in the minds of many managers I’ve met with. The issue at the core of this tension is the concept of value recognition. Sales account managers accuse procurement of being […]

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  5. Continuing my reporting of the Procurement Leaders meeting in Miami, I sat in on a very interesting session that included three professionals from very different walks of life: Captain Harry Thetford – Defense Logistics Agency Robin Shahani – CPO, TD Ameritreade Cynthia Dautrich, CPO from Kimberly Clark Each of these individuals had an excellent perspective […]

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  6. I had the opportunity to sit in on a number of sessions at Procurement Leaders American Congress 2017 in Miami this week.  Despite the snowstorms that prevented many from making it down, there was a full house at the opening keynote. PL’s research shows that for procurement, cost savings is still the main issue that […]

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  7. This week we announced the theme of our upcoming Supply Chain Resource Cooperative meeting.  The theme of the meeting, “Mapping the Road Ahead in Uncertain Times”, brings together a number of industry experts to share insights and develop some thoughts on how organizations can plan ahead to deal with the many surprising events that pop up […]

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  8. In the RFQ process, procurement should ideally be transparent about answering this question.  Too often, however, the sales team at suppliers providing the bid have to “guess” at what they think will be important.  The Request for Quote process, if done correctly, is a way for procurement to be able to quantify the elements of […]

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  9. I recently interviewed a large semiconductor company that developed a cross-enterprise initiative to drive analytical learning across its entire supply chain. The company established a supply chain IT organization that reports up to the CIO. It focuses on leveraging the corporate infrastructure and its SAP and SAP Hana implementation, in order to span all activities from […]

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  10. One of the most important elements suppliers seek to avoid involves participation in an RFP when there is a low probability of success.  Procurement people think that every supplier will go after every RFP they put out.  Think again . Request for proposals require a business development team to expend resources.  An RFP can be just […]

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  11. In a recent discussion, a large supplier of services shred that they fail to respond to almost 50% of every RFP that comes their way!  This insight was very surprising to procurement executives we spoke with….few could believe that sales would actually not try to pursue every opportunity that came their way! There are four primary […]

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  12. As we look back on the chaos that erupted during the pre-Christmas rush, discussions with executives suggest that there is still a long way to go.  Most logistics companies are still far from being able to fully integrate data and analytics to better manage.  Not many people are doing much with big data and we all […]

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  13. On the third day the team visited the Lenovo “Green Data Center”, and learned of how Lenovo is working to create their “converged” network servers that are on the leading edge of being focused on sustainable high speed efficient performance. Lenovo acquired the Data Center Group from IBM and moved the entire organization to RTP […]

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  14. Over the course three days last week, a group of executives from a variety of different companies came together to share ideas and thoughts on the future of supply chain. These discussions were also augmented by planned events to Caterpillar Building Construction Products and Lenovo’s enterprise team. In these visits, executives had an opportunity to […]

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  15. Stuart William was in one of my former MBA classes at NC State in 2008, and graduated into one of the worst economies ever in May of 2009. Upon graduation, there simply weren’t any jobs available at all! During that period, he networked with as many people as possible, including a fund raising arm at […]

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  16. As a young assistant professor at Michigan State University in 1992, I was part of a group called the Global Procurement Benchmarking Initiative. This initiative benchmarked over 300 global companies, and set forth many of the principles for what we called “World Class Supply Chains”. Many of these principles became the foundation for consulting practices […]

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  17. The idea that large organizations can create a “federated” network, by integrating smaller firms into their network and drive a common purpose is a concept that is emerging as key to global competition. Federation implies common operating procedures, established standards, driving aligned supply chain processes and tacit understanding of how things work. The idea of federated […]

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  18. Globalization and supply chains have been tied at the hip over the course of history. Supply chains naturally take advantage of efficiency and cost advantages and over the centuries, as transportation methods, technology and global knowledge improved, there has been a drive to take advantage of each and every step. Trade between countries and continents […]

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  19.   I had the opportunity to speak with a Nike executive about how the company has moved into the world of mass-customization.  Many people have heard about their partnership with Flex to build mass-customized shoes in Mexico, which is a big shift for the company from it’s largely Asia Pacific supplier network.  Although it is […]

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  20.   One major technological development is being able to map genomes for products. A genome is all of a living thing’s genetic material. It is the entire set of hereditary instructions for building, running, and maintaining an organism, and passing life on to the next generation.[1] In most living things, the genome is made of […]

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  21. I spent the day at Biogen’s headquarters in Cambridge, MA today, with a group of executives sharing ideas on how to drive innovation.  Biogen is already a highly innovative company, as they have continued to drive new treatments in MS, and in 2014, the first major treatment advances in nearly two decades for people living with […]

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  22. I sat in on a great session at SIG today, where SIG’s CEO Dawn Tiura had a “fireside chat” with John Sculley.  Sculley was the legendary CEO of Pepsi Cola Co who was recruited by Steve Jobs to Apple. John served as Apple CEO for 10 years increasing sales over 1000%. Under his leadership the Macintosh […]

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  23. I spent some time working with IBM this past month on a slide share that covers 6 key questions on the minds of many of the Chief Procurement Officers I’ve spoken to in the last year.  Many of these questions relate to comments that you’ve read before (if you keep up with this blog), but […]

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  24. The concept of “Collaboration” has been getting a lot of grief lately. For instance, recent articles in the Harvard Business Review and the Economist emphasize that collaboration has reached the point of “godliness” in modern business, and that managers are overwhelmed with collaborative tools.  They complain that multi-tasking through collaboration is reducing the quality of […]

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  25. I recently participated in a workshop of oil and gas leaders in Calgary Alberta. With the announcement of $30/bbl oil, the long-term view of the oil and gas industry is that it is going to be a long time before oil goes back up to prior levels of $50/bbl plus, and may never reach the […]

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