Category Archives: Supplier Performance

8 Signs You Are Ready to Adopt a Modern Sourcing Solution

I can rattle of many reasons why teams should consider implementing a modern sourcing solution. Even though each company will have different challenges, needs, and goals; if your team is experiencing any of these eight signs below, now is the time to adopt a modern sourcing solution! Sign #1: Limited Or No Visibility Into Your Company’s Spend If you have limited or no visibility into your spend, you are likely missing out on hard dollar savings. A spend analysis solution … More

Time to broaden how we think about purchasing capability

“You are only as good as your team” is an oft-quoted phrase and something that procurement chiefs have taken to heart as their personnel numbers have grown. Each and every year procurement chiefs say that one of their key priorities is to improve the skills and capabilities of those in their team. Understandably this focuses on those who sit under their direct jurisdiction, but 2014 should be the year that this mindset changes because purchasing capability extends far beyond the … More

Prego & Supplier Data: “It’s in there!”

Years ago, Prego televised a commercial for their spaghetti sauce with the catch phrase, “it’s in there.” The commercial went something like this… A father enters the house for a spaghetti dinner and condones his son’s wife for using sauce from a jar. The father continues to talk about garlic, herbs and onions to which the son replies, “it’s in there.” For those not familiar with the commercial, you can view it here. So, how does a can of Prego … More

Fantasy Football and Procurement: 4 Tips to Choosing a Winning Supply Network

Football season is upon us! Have you started developing your strategy to pick the winning team for 2014? Many football fanatics have begun their annual Fantasy Football draft preparations – analyzing statistics of players-yards carried, completed passes, and playing time to create the “perfect” football team. Understanding and analyzing the stats of each player is critical for “coaches” when drafting their teams. Creating spreadsheets, scanning the internet, and looking for the most up to date player’s statistics are critical tactics … More

6 Goals to Add to Your Sourcing Bucket List

Most of us have a bucket list filled with both personal and professional hopes and dreams. Whether your bucket list includes a sky diving trip on your next birthday or becoming the next CPO of your company, you likely have goals that motivate you on a daily basis. If you lead a sourcing organization and are looking to add some goals to your professional bucket list, here are six accomplishments you can add to your sourcing bucket list: 1)    Mitigate … More

Modern Sourcing Inspired by Dodgeball: 5 Best Practices to Learn

Have you ever watched the movie Dodgeball? I had a chance to watch it over the weekend and the famous line stuck out in my mind: “If you’re going to become a true dodgeballer, then you’ve got to learn the five D’s of dodgeball: dodge, duck, dip, dive, and dodge.” So, put your game face on…the same principles can be applied to modern sourcing.  If you’re going to become a true Modern Sourcing pro, then you’ve got to embrace these … More

What Do The Indy 500 & Sourcing Projects Have in Common?

On Sunday, Indianapolis will rev up for The Indianapolis 500, which is the world’s most famous and prestigious auto race. “The Greatest Spectacle in Racing” covers 500 miles (200 laps) on the 2.5 mile oval track. So what can purchasing pros learn from the Indy 500? The Indianapolis 500 isn’t won in one lap – and an auction isn’t won based on price only. Price is certainly an important factor when choosing the right supplier for your business needs, but … More

Moneyball Statistics and Procurement Analytics

I’m about to throw you a curveball… How does Procurement Analytics relate to the baseball-themed movie, Moneyball? Well, if you haven’t seen the movie before, let’s recap the story. Brad Pitt stars as Billy Beane, General Manager for Oakland Athletics (A’s). Beane is faced with the challenge of assembling a winning team, but he is handicapped with the lowest salary constraint in baseball. If the Oakland A’s ever wanted to win the World Series, Beane knew he needed to find … More

When Services Contracts are Thrust into the Public Eye

Procurement professionals often think of themselves as ‘behind the scenes’ members of the organization. This is even more true in the case of procurement teams focused on indirect spend. In one high profile story hitting the news right now, a procurement team may be about to find themselves thrust into the light – and not under happy circumstances. In 2012, the New England Compounding Center was found to be at the center of a meningitis outbreak for selling tainted steroid … More

Procurement in Q4: Six weeks and counting until the quarter closes

With the end of the year quickly approaching, many procurement groups are looking at their performance metrics for the year. For procurement groups that haven’t quite hit their savings targets, December 31st is an unwelcome but inevitable date looming on the horizon. Before you resign yourself to your current savings numbers, there might be some things you can do in the last weeks of the year to improve your position. Although there is not enough time left to run additional … More

Emerging Trends in Supplier Information Management: Part 2

In Part One, I introduced a discussion of some surprising trends I found when looking at supplier registration forms from a wide variety of companies across many industries.  The first surprise for me was that so many of these companies are asking the same questions from supplier companies. In this post I’ll discuss the other unusual thing I discovered:  some organizations ask potential suppliers essay questions. It’s not quite as open as the classic American “How I Spent My Summer … More

Emerging Trends in Supplier Information Management: Part 1

When organizations adopt formal supplier management programs, one of the first steps they take is to focus on a more disciplined approach to collecting and managing basic information about current and potential suppliers. I am interested in the kind of data they collect and how they use it to manage suppliers so I took a look at supplier registration forms for a wide variety of companies and I was surprised by a couple of things: First, the data requested from … More

10 Ways to Drive Procurement Value by Spend Matters: Part 4

This is the fourth post in our 10 part series. Click here to read Part 1, Part 2 and Part 3. Investing in capabilities to support basic supplier management activities is Spend Matter’s fourth idea to enhance procurement’s value across the organization.  During the Webcast, Jason Busch presented a few key supplier management activities including: Supplier on-boarding (i.e., the need to efficiently electronically enable suppliers for eProcurement and invoicing) Supplier portals (i.e., basic portal capability designed to capture supplier information … More

Drivers of Incorporating Sustainability in Procurement Organizations

Sustainable sourcing — considering environmental and social impacts in selecting and managing suppliers — can enhance your company’s brand, improve operations and drive efficiency while promoting a healthier environment and stronger community. Regulators, consumer groups and customer demands drive sustainability requirements. Trillions of dollars are being invested in green funds, and companies tout their sustainability initiatives through ad campaigns. Risk management experts know that a company’s reputation can be tarnished by the careless environmental actions of its suppliers. Procurement organizations … More

Supplier Loyalty on the Upswing in 2012?

In the past few years, the procurement world has developed better ways to level the playing field between new suppliers and incumbent suppliers. Buyers have successfully driven costs down by embracing processes and technologies that increase competition between suppliers.  Generally this trend has made it easier for suppliers to get “introduced” to buyers. Supply relationship management technology has also increased the pressure for incumbent suppliers to maintain competitive pricing. Clearly the risks associated with switching suppliers are commodity dependent. It’s … More