PurchTips - Edition # 228

 

This is the Web-based version of this article. Click here for the printer-friendly version.
* More Purchasing Articles

Picture of Charles Dominick, SPSM, SPSM2, SPSM3

The 4 Missing Strategic Sourcing Goals

By Charles Dominick, SPSM, SPSM2, SPSM3

What Are Your Strategic Sourcing Goals?

Ask anyone in procurement "What is the goal of strategic sourcing?" and their reply is likely to include the phrase "to save money." And that is commonly the #1 goal of strategic sourcing. But it's problematic when procurement departments treat it as the only goal.

For sourcing to be truly strategic, it must accomplish more than just saving money. It must bring value to the organization in many other ways. Here are four goals commonly missing from strategic sourcing initiatives:

Goal #2: To reduce risk. The international news constantly reminds us that natural disasters, political upheavals, and other events make doing business exclusively in certain parts of the world a risky approach. Strategic sourcing should enable you to sustain continuity of supply in the face of unexpected disruption to the operations of one or more suppliers.

Goal #3: To improve supplier performance. Reducing the unit price you pay on purchase orders is nice, but it is meaningless if your organization has to deal with frequent late deliveries, an unacceptable number of quality defects, and poor supplier service. Strategic sourcing is only truly successful when you achieve both cost reduction and an improvement in supplier performance.

Goal #4: To bring in innovations from the supply base. In today's competitive business environment, organizations need a constant flow of innovative ideas in order to keep their competitors from stealing their market share. Suppliers can be a great source of innovative ideas and a good strategic sourcing process will ensure that the flow of such ideas is facilitated.

Goal #5: To support the organization's social responsibility goals. Today's organizations support diversity, environmental responsibility, and other philanthropic goals. Decisions made as part of strategic sourcing should consciously help move the organization towards those goals and not away from them.

So, as you can see, saving money is not THE goal of strategic sourcing. It is one of several important goals.

(keep reading for a FREE Offer)

Spotlight On Professional Development Opportunities

SPSM Certification

Are you tired of not getting enough opportunities, respect, and money out of your purchasing career? Well, guess what? Nothing will change unless you take action towards becoming a world-class purchasing professional.

You see, today's employers refuse to reward employees for yesterday's skills.They demand that purchasing professionals like you use the most modern skills and achieve unprecedented results. They want you to save more money, achieve better operational performance, and reduce risk.

Is lacking a purchasing certification keeping you from getting the results, opportunities, respect, and money that you want out of your career? Today's employers refuse to reward employees for yesterday's skills. They want you to save more money, achieve better operational performance, and reduce risk. They demand that purchasing professionals like you achieve unprecedented results and without the most modern skills that can be a challenging feat!

So how can you acquire the most modern skills, achieve meaningful results, and convincingly prove your capabilities to today's employers? There is an impressive purchasing certification program that will teach you what you need to accomplish all of this and more. It is the SPSM® Certification, earned by completing the Senior Professional in Supply Management® Program. And you could earn it in less than a year - maybe even much less than a year!

Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is the action to take if you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSM® Certification (and perhaps get an iPad) (with the option of getting a Study Guide on an iPad) at:

Distinguishing yourself as an achiever in purchasing is key to sustaining a rewarding career, even in these difficult economic times. Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is to take if you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSM® Certification (and perhaps get an iPad) at:

Earning your SPSM® Certification by completing the Senior Professional in Supply Management® Program is the action to take if you want to bring the most modern purchasing practices  into your organization and achieve your career potential. And if you sign up for the Senior Professional in Supply Management® Program on or before May 31, 2008, SPSMSM Certification Program on or before 4/30/2007, you also get these and other bonuses valued at over $700:

  • FREE $30 gift certificate to Amazon.com!
  • FREE CD-ROM with printer-friendly versions of the class materials!
  • FREE Purchasing Performance Measurement spreadsheet template!
  • FREE audio CD about purchasing job security!

To learn how to earn your SPSM® Certification and get these valuable bonuses, visit:

Earning your Senior Professional in Supply Management® (SPSM) Certification is the action to takeif you want to bring the most modern purchasing practices into your organization and achieve your career potential. Learn how to earn your SPSMSM Certification at:

Learn how to earn your SPSM® Certification at:

www.NextLevelPurchasing.com/spsm.html

The Latest Purchasing News!

FREE Offer!!!

Purchasing Leaders: What are the secrets to having a successful team? This question is answered by our FREE whitepaper "The Purchasing Leader's Guide To A More Successful Team."

To Get Your Copy of

"The Purchasing Leader's Guide To A More Successful Team,"

Visit http://www.NextLevelPurchasing.com/plg


Free Procurement Training & Certification Starter Kit

This Starter Kit gives procurement professionals like you a clear idea on what it will take to become certified. You'll get an excellent feel for what you will need to learn and how long it will take.

Click here to learn more

Included in your free Starter Kit:

  • Access to two lessons from courses that are part of the Senior Professional in Supply Management® Program
  • A Certification & Training Planning Template
  • Case studies
  • A free Basic Membership in the NLPA

Together, these materials will help you decide how well the SPSM® Certification can help you achieve your career goals.

So, what are you waiting for? Begin your pursuit of a more rewarding procurement career – get your Procurement Training & Certification Starter Kit now by signing up for a free NLPA Basic Membership!

If you are already a member of the NLPA, click here to login and visit the "Starter Kit" tab to access these resources.