Category Archives: Supply Risk

4 Tips for Recovering From Supply Chain Disasters

What happens when disaster strikes your supply chain? As a modern sourcing pro, you understand your role in your company’s supply chain operations and supplier risk program. Even though you can’t avoid ALL supply chain disasters, having a plan in place and being proactive when responding to changes in your marketplace and your supply base is a critical to your company’s success. If you aren’t sure where to start in developing your supply chain disaster plan, start with these four … More

3 Real Supply Chain Disasters

Has your company ever experienced a supply chain disruption that turned your company upside down? Have you ever experienced a day at the office like this?… Phones are ringing off the hook. Everyone is running around the office- frantically looking for their supervisors. The media is knocking on your door- demanding answers or at least a comment. Facebook and Twitter are blowing up with comments about your company’s supply chain disaster. Maybe you’re lucky enough to never experience a supply … More

What’s old may be new again – M&A and eAuctions – Part 1

As is often the case with many ideas in business, trends capture attention of decision makers in terms of what is possible. Procurement is no exception. Consider progressive concepts that advance procurement activities related to emerging areas such as in supplier risk or predictive analytics; both hot areas where Iasta continues to be focused for defining the modern sourcing paradigm. But trends also come from what was once considered old with a new spin. A perfect example of this is … 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

Kissing the Frog: How Procurement Can Develop Strategic Supplier Relationships: Part 1

Most procurement organizations are focused on developing strategic relationships with suppliers.  I recently listened to an extensive conversation about this topic at the Procurement Leaders Conference in Chicago. For a better understanding of the discussion, check out what Jason Busch recapped here and here. The panel discussion covered this topic (among many others), and this procurement challenge has been top of mind for me since that day. The term “Kissing the Frog” was used to describe the process Procurement professionals … 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

Don’t Be Traditional With Your Spend Management Thinking: Part 2

Welcome back! Just joining in? Click here to read Part 1. As many of you know, providing a high level of influence and performance in non-traditional spend categories will require subject matter expertise and skills beyond traditional negotiating skills such as: Strategic thinking and analysis Project / program management Data analysis and modeling Change management and Influencing skills Problem solving Relationship management All of the above business skills are key for sourcing professionals to learn and adopt. While these non-traditional … More

Supply Chain Risk – the “Cyber Attack”: Part 2

Welcome back! If you’re just joining us for this two part series, click here to read Part 1. All companies have a minimum of two levels (tiers) of suppliers – Tier One (directly contracted suppliers) or Tier Two (suppliers to the Tier One suppliers). Large companies do a fairly good job of assessing their risk exposure to Tier One suppliers during the initial assessment and contracting process. Usually, little if any review of Tier Two suppliers occurs at this stage. … More

Supply Chain Risk – the “Cyber Attack”: Part 1

Global supply chains are constantly exposed to risk, ranging from disruptions of continuity to various levels of operational destruction. Risks can include weather, significant cost variances, resource availability, legislative/tax changes, logistical disruption, power outages and health epidemics, and usually occur without warning. Most supply chain management functions, even in the most advanced companies, are ill-equipped to address the wide range of risks they’re exposed to. Whether company is a manufacturer of raw materials, finished goods or a supplier of services, … 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

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

Risk Management – To Hedge or Not to Hedge (Part 3)

In Part 2, I ended my blog post with: The basis of price risk management therefore lies in asking the following questions: What is the “right” level of price cover and how do we determine what this level should be (particularly if we do not enjoy market information advantage)? What are the cost/benefits of derivatives over inventories? What is the difference between hedging and trading? How can we ensure our corporate objectives are aligned to our price risk management program? … More