SRM needs the R

August 28th, 2008 at 04:42am David Bush - Iasta

I really enjoyed an article that I read from Tomkins Assoc on Supply Chain Brain. The primary focus was to understand the disconnect that appears between buyers and suppliers, especially when it comes to global supply chains. Simple things that we take for granted, like email, are not even close to ensuring adequate communication. More important than the message, is who is accepting that message and their ability to act on it.

Mr Tomkins states, “In the North American business arena, SRM is perceived as a software approach. But when crossing the ocean, that can no longer be the case. There is some technology that is useful for facilitating communication between suppliers and companies, but true SRM is a one-to-one process. SRM is simply not about a company lining up all their suppliers and forcing them through the implementation of software.”

This is very true. Although software companies are very opinionated about the value of their respective SRM software, there is no responsible company that would ever profess that the software replaces the people, it just enhances the process to maximize the results.

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Entry Filed under: Analysts/Research, General, Global Supply Issues/Risk, e-Sourcing Marketplace