Archive for November, 2012

112 Die In Tier 2 Supplier Fire – What Will It Take For Companies To Employ Effective Global Supplier Management?

An article on comcast.net today reported that a weekend fire in a Bangladesh clothing factory of Tazreen Fashions Ltd. resulted in the deaths of 112 workers.  Found in the factory were garments bearing the branding of Walmart, Sears, and Disney. The scope of the tragedy was much greater because of basic safety measures that were absent, specifically that there wasn’t…

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Value Creation & Cost Minimization Are Not Mutually Exclusive: Beware of Treating Them As If They Are!

It has been decades since top-notch procurement has been recognized as a means of ensuring an uninterrupted supply of high quality goods and services, from responsive and responsible suppliers, at the minimum total cost of ownership.  Cost minimization, if you will. As procurement departments approached excellence in their cost minimization activities, the procurement function itself expanded to encompass more things: …

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Does The Fiscal Cliff Threaten Procurement More Than Any Other Function?

Seems that the top headline on every newspaper and news website this month has been related to “The Fiscal Cliff” in the USA – a December 31, 2012 deadline upon which, absent a budget agreement by the party-divided US Congress – automatic spending cuts and tax increases will go into effect, sending the US economy into yet another recession.  Once…

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Free Supply Chain Relationships Webinar This Thursday!

Proper supply chain approaches have been actively pursued by companies looking for lower costs and improved service levels. However, obtaining this ultimate prize is not easy and can never be fully gained by those companies who choose to remain with the power based “winner takes all” supply chain approaches that use an adversarial pursuit of “value for me alone.” Thinking…

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Preventing & Managing Backdoor Selling – A New Online Express Course!

Are supplier salespeople circumventing your procurement processes in order to maximize their profits? If so, they are doing so at the expense of your organization.  As a procurement professional, it is your job to put a stop to that supplier behavior, called “backdoor selling.” Supplier salespeople are often so skilled at backdoor selling that their customers do not even realize…

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Procurement Transformation or Procurement Tweaking?

I hope that you have enjoyed the article “True Procurement Transformations, Part I.” As I wrote in the article, procurement transformation “means different things to different people” and I proceeded to list things that will change in a “true” procurement transformation.  What I didn’t do was contrast what a procurement transformation is versus what it isn’t. So, I will use…

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More Surprise Supplier Audit Ideas

I hope that you have enjoyed the article “Surprise Supplier Audits:  Pros, Cons, Ideas.” In the article, I’ve provided some ideas about how to best implement surprise supplier audits.  I am using this additional space to share even more ideas on the topic.  So here you go: The concept of surprise audits should be presented to your supplier as a…

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