Procurement Terminology is a Mess!

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Procurement language article originally published by, and permission to publish here provided by, Sam Jenks at kodiakrating.com.

From one Procurement organization to the next, terminology differs.

Of course, it’s impossible to expect that every company would work within the exact same framework of understanding and messaging, but the lack of being able to communicate can sometimes be the difference between success and failure.

Procurement is a function, that is undergoing transformation; technologically and ideologically.

With change comes new methods of communicating. RFPs become RFSs (Requests for Solution), and people speak less about TCO and more about TVO (Total Value of Ownership).

Language has a funny way of working. Communication, verbal and non-verbal, is the thing that brings us together as humans and as collaborators in business. But, it’s also the very thing that can create a sense of otherness, confusion or disdain.

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Why is Supply Chain Such a Great Career Path?

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When I started my career the term “Supply Chain” had just been coined. As such it was many years before I actually heard of the term “Supply Chain Management”.

Regardless I pursued my interests and took on an increasingly diverse set of progressive jobs as time went on. Now as I look back on my career virtually everything I did falls under the banner of Supply Chain management.

Given the phenomenal opportunities that Supply Chain offers for personal and professional growth it is a career path which I highly recommend to anyone.

What is it about Supply Chain that makes it such an appealing career path?

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Sourcing Priorities: Low Cost Geography or Domestic On-shoring?

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For many years the predominant priority in sourcing has been finding the lowest cost possible. This paradigm has driven an incredible the movement of a tremendous amount of production to lowest cost regions such as Asia.

However the continuity of supply issues caused by the pandemic has created a call to repatriate much of this manufacturing into domestic, albeit higher cost, regions.

What is the appropriate sourcing strategy going forward?

Should you keep work in low cost geographies, establish sources in multiple geographies, or on-shore work into high cost domestic countries?

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What is Procurement’s Place in the Value Chain?

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Value Chain article originally published by, and permission to publish here provided by, Sam Jenks at https://kodiakrating.com/

Where does Procurement stand in your organization’s Value Chain?

Hopefully, you’ll be able to formulate an answer to that question after reading this post.

I speak with Procurement, Sourcing and Purchasing professionals every day, from various globally functioning organizations, and there’s a resounding similarity in every one of those conversations…

Procurement is — still — largely viewed as a secondary activity in most organizations’ value chains.

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Blockchain Technology Reshaping SCM!

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Blockchain technology reshaping SCM article originally created and published by, and permission to publish here provided by, Sam Jenks at http://www.kodiakrating.com  

Growing global complexity in supply chain management has forced organizations to look towards technology as their silver bullet; serving as the missing link between people (supply chain actors) and the ability to collaborate at scale.

Blockchain technology is one of the most hyped amongst the currently developing technologies, hypothesized to make one of the greatest impacts in supply chain management — especially procurement and logistics — in the coming years. If SCM tech were a summer reading list, Blockchain would be the Twilight trilogy.

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What is the Best Supplier Vetting Process?

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Supplier vetting article written for Supply Chain Game Changer by, and permission to publish here provided by, Tyler Brown.

Does your business rely on at least one supplier? Or do you need multiple suppliers in order to perform your daily operations? Either way the quality, reliability, and value for cost of your suppliers is crucial to your organization’s success.

On the other side, if your suppliers don’t live up to the standards you require, your organization can be damaged. 

Suppliers can tarnish your reputation by causing you to deliver unsatisfactory products to your customers.  A supplier with internal problems can delay your orders, making you miss deadlines and break promises.  Late or low-quality products could cause you to lose major customers or be forced to process refunds.

It’s vital, then, to use a consistent Supplier Management system to vet excellent suppliers and secure the ones that will help your brand to stay strong.

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Imagining the Supply Chain of the Future!

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Imagine what the future will look like in Supply Chain!

We don’t mean the near future, but the very distant future.  There are articles which describe what the future of Supply Chain will be like in 2025, or even 2030.

But is that enough of a far-reaching vision to offer much more than an incremental view of what we see today based on existing technology?

Any view of the near future is more likely to describe incremental changes and incremental advancements based on the current knowledge base.  But an extremely distant vision of the future is more likely to offer revolutionary ideas as to what future possibilities are.

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7 Reasons to Hire on Contract for Supply Chain!

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Hire on Contract article originally published by, and permission to publish here provided by, Sam White at argentus.com.

Economists have done a lot of analysis on the rise of the so-called “gig economy.” More workers are using short-term contracts and other forms of employment to provide additional income to supplement or replace permanent jobs – think Uber, DoorDash, etc.

But more and more companies in a variety of industries are also bringing on high-skilled contingent labour for white collar positions in a number of impactful business functions like Technology, Procurement and Supply Chain. 

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Our 2019 Top 10 List!

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Here at Supply Chain Game Changer our fundamental mission has been to share experiences and expertise in the areas of Supply Chain, Logistics, Distribution, Procurement, Business, Human Resources and more. We now present our 2019 Top 10 list.

In our 3rd year at Supply Chain Game Changer we have had the tremendous opportunity to share more content created by ourselves and a growing number of Guest contributors.

With new articles provided to us every week our audience is allowing us to share ever more engaging content and their incredible intelligence for the benefit of all. We extend our thanks to all and invite everyone to submit articles for our consideration.

Here at the midpoint of 2019 we would like to share the 2019 Top 10 List of our most viewed articles of 2019!

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Spreadsheets – A History and a Future!

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Unchaining Change Leadership

Most of us create, use, present and work with at least one spreadsheet each and every day.  Spreadsheets have proven invaluable.  And many businesses even observe, and complain, that they are run on spreadsheets.

Yet there was a time not that long ago when most people didn’t even know what a spreadsheet was.  In the early 1980s I was given one the first IBM Personal Computers to use, along with the spreadsheet software Visicalc.  Spreadsheets forever transformed my productivity and skill set.

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Suppliers are Friends, not Food!

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Article originally published by, and permission to publish here provided by, Sam Jenks at kodiakrating.com.

“Fish are friends, not food.”


Bruce, a great white shark, and his two shark friends gather alongside Dory and Marlin, taking a sacred oath, swearing off eating fish. This scene became an instant classic in the homes of the hundreds of millions that have seen Pixar’s mega-success, Finding Nemo.


If you’ve never seen the film, treat yourself by watching this clip below, and directly after you finish this blog, do yourself a favor and stream the entire film.

Now…
Is there something to be learned from this quote in Finding Nemo, that we can apply to procurement and sourcing? As buyer and suppliers aren’t we all living in the same ocean, existing in the same ecosystem, and working towards the same value creation?

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16 Questions that Keep Supply Chain Managers Up at Night! (Infographic)

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Questions that keep Supply Chain Managers up at night article originally published by, and permission to publish here provided by, Katherine Barrios at xeneta.com.

With so many things currently happening on the container shipping front, we bet supply chain and logistics managers are having a hard time focusing. There are are certainly many questions that keep supply chain and logistics professionals up at night, regardless of the current socio-economic and geo-political situations. 

Have a look at our infographic to remind you of 16 things you should always keep in mind when looking at supply chain and logistics.

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Strategic Supplier Relationship Management – Do’s and Don’ts

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Shortly after I joined the Commodity/Category Management Procurement organization I was invited to attend the annual Strategic Supplier Awards event. It was all about Strategic Supplier Relationship management.

There were Executives from dozens of Suppliers in attendance. The event concluded with award recognition given to Suppliers based on their scoring and standing as being of Strategic value to the company.

Prior to joining the Procurement team I had neither understood nor appreciated the importance of Supplier Relationship management. But having seen how motivated and inspired these Suppliers were I started to understand.

But in the weeks, months and years to come I also became much more informed about the good and bad aspects of Supplier Relationship Management.

From company to company I came to develop a list of Strategic Supplier Relationship Management “Do’s” and “Don’ts”.

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5 Qualities of a Reliable Supplier!

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Reliable supplier article and permission to publish here provided by Carol Trehearn.

Your business is only as exceptional as the goods or services it offers, and to get exceptional products, the right supplier is a must.

Whether you’re starting a new line of products from scratch or looking to revamp your shelves, here are five qualities of a reliable supplier to prioritize. 

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Enable Spend Aggregation in Procurement!

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Aggregating your procurement spend for the purpose of delivering greater value is a sound objective.  Theoretically you should be able to generate better service, better terms and conditions, and better cost.  Therefore you should enable spend aggregation.

Yet there can be many obstacles in your way to achieving this seemingly simple goal.  Loss of control, fear of job loss, questionable benefits, and a perceived loss of margin are some of the obstacles you may run across.  We discussed these in greater detail in our post Procurement (Part 1!) – The Spend Aggregation Obstacle Course!

You may be trying to aggregate spend within your company or across companies, or you are trying to outsource this to a Group Purchasing Organization (GPO).  To overcome the Spend Aggregation obstacles there are a series of enablers you need to enact to make this successful.

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