Did you know that 70% of digital transformation initiatives/projects fail annually, despite $1.13 Billion USD being spent worldwide. This is according to the WCC (World Commerce and Contracting) organization. That is $.9 Billion USD being spent worldwide that does not lead to process efficiency and savings for the companies that spent that money. Why did…
What is Digital Transformation? According to Wikipedia Digital transformation (DX) is the adoption of digital technology by an organization. Common goals for its implementation are to improve efficiency, value or innovation. Also according to Wikipedia, digitization is the process of converting analog information into digital form using an analog-to-digital converter, such as in an image scanner or for digital audio recordings.…
What is universal waste? What does making the sustainable procurement pledge mean to the sourcing professional tasked with procuring the services of a universal waste handler? You already know that as a supply management professional, you have a responsibility to champion sustainability and social responsibility practices within the supply management space. Let us then define…
What is sustainability in procurement? What does a Sustainable Procurement Pledge mean to the buyer just starting out? As a supply management professional, you have a responsibility to champion sustainability and social responsibility practices within the supply management space. As that professional (buyer, senior buyer, analyst, category lead, sourcing manager, director and CPO), you can…
What is ESG? Wikipedia defines the term as follows: Environmental, Social, and Corporate Governance is an evaluation of a firm’s collective conscientiousness for social and environmental factors. It is typically a score that is compiled from data collected surrounding specific metrics related to intangible assets within the enterprise. It could be considered a form of…
According to Wikipedia, a contract is a legally enforceable agreement that creates, defines, and governs mutual rights and obligations among its parties. A contract typically involves the transfer of goods, services, money, or a promise to transfer any of those at a future date. In the event of a breach of contract, the injured party…
What is category management? Let us first define it, Wikipedia defines category management as an approach to the organization of purchasing within a business organization. Applying category management to purchasing activity benefits organizations by providing an approach to reduce the cost of buying goods and services, reduce risk in the supply chain, increase overall value…
What is ESG? Wikipedia defines the term as follows: Environmental, Social, and Corporate Governance is an evaluation of a firm’s collective conscientiousness for social and environmental factors. It is typically a score that is compiled from data collected surrounding specific metrics related to intangible assets within the enterprise. It could be considered a form of…
What is collaboration? Wikipedia defines the term as follows: Collaboration is the process of two or more people, entities or organizations working together to complete a task or achieve a goal. Collaboration is similar to cooperation. Most collaboration requires leadership, although the form of leadership can be social within a decentralized and egalitarian group. Teams…
Want to Learn More. Set up a call with me Have you ever been assigned a sourcing project and realized that you did not know where to begin? Not to worry. Lets begin with defining your first and most important step. Do you know who the stakeholders are? What is a stakeholder? Stakeholders are…
What is the purpose of a supplier scorecard? A supplier scorecard is a means of measuring a supplier’s performance against their agreed upon contractual commitments or Service Level Agreements (SLA). This is a standard industry definition in its simplest form. Why, you ask, should I track a service provider’s performance or how can I measure…
This blog was originally released in 2015. Since then, it has been around the word and back, receiving 2500+ views, reads and comments. Given the pandemic I feel it is time to update it. Enjoy. What is a Master Service Agreement: According to Wikipedia a Master Service Agreement (MSA) is a contract reached between parties, in which…
How often have you experienced a business relationship failure due to the supplier not making money, the buyer feeling they were being “nickel & dimed” on every change order, the supplier not providing the benefits you expected or your customer not receiving the benefits they expected? The fundamental cause of most contract failures or disappointing…
Understanding that all sourcing requirements provided to suppliers must be as definitive as possible; the supply management professional should not disregard the importance of the eventual supplier selection being a strong strategic fit and cultural fit with your company by providing a supportive contribution to enhance your company’s strategy. This means that your selected supplier…
Having spent many years developing relationships with the business functional leaders in my company and continuously providing value to them, I was selected as the lead procurement liaison to a sales focused steering committee to discuss new programs. At the first meeting the need, as viewed by the sales team, was outlined as it was…
The category manager should lead all contract negotiations and provide input to all bid responses and support bid proposal development. If your company utilizes a contract management lifecycle system to manage your supplier contracts, then the category manager should be responsible for maintaining all contract document repositories. As needed, the category will provide guidance on…
BY: Jim Moran, C.P.M., CPSM, CPCM, CCC-AP; Principle at JRM Supplier Consulting LLC What is P2P? According to Wikipedia, Procure-to-pay (also known as Purchase to Pay (P2P)) is a term used in the software industry to designate a specific subdivision of the procurement process. The P2P systems enable the integration of the purchasing department with…
Have you ever experienced a project failure due lack of early involvement? Imagine, you are tasked by the Exec VP of HR to assist the VP of Workforce Development (Project Lead) in reviewing options to outsource a critical function that cost in excess of $95 M over the last 5 years. However, you are not…