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11 January 2007

Miscellaneous Articles
A Financial Perspective of Purchasing Decisions This study investigated methods used by purchasers in evaluating suppliers and the basis for justifying purchasing decisions at Volvo Car Corporation from a financial standpoint. Pdf-file available for download. 2003  
Avoiding the Procurement Rabbit Hole Procurement leaders have worked hard to build functional excellence.  But to safeguard and enhance their status, they now need to take a broader view.   
Buying Smart: Blueprint for Action A report outlining innovative procurement strategies employed by state governments in the acquisition of information technology commodities.   
Crafting a Coherent Purchasing Strategy Businesses confront several options for handling online procurement — and choosing the right one can turn a traditionally low-value function into a strategic advantage.  
Driving Down the Cost of Raw Materials A four-pronged approach to managing input steel prices and commodity purchases.   
Follow the Procurement Leaders: Seven Ways to Lasting Results A.T. Kearney's 2011 Assessment of Excellence in Procurement Study. It's not only volatility in commodities but also dramatically new ways of working that are creating challenges.   
Getting Creative: Efficient Sourcing in Marketing Marketing provides a tangible opportunity for cost savings, but few companies have found a way to increase the function's purchasing efficiency. To gain the maximum benefit to their bottom lines and marketing efforts, companies will have to ensure that marketing and procurement departments collaborate to an unprecedented degree.   
Hitting the Bulls-Eye: Value Sourcing Transforming Procurement from Old School to New Age. The traditional procurement model does not help organizations achieve additional and sustainable financial targets. The CFO is asked to use the procurement department as an internal value partner to address and discuss new ways of spending the budget; often called value sourcing.  new
IT Procurement The successful acquisition of products and services. This report discusses issues and concerns that should be addressed when making technical product and services purchases. Pdf file TOP
Key Supply Strategies for Tomorrow Perspectives on the Future of Purchasing and Supply. Over time supply management will be asked to deliver more while facing new and evolving challenges. 2007  
Make or Buy: Three Pillars of Sound Decision Making This Perspective explores the dynamics of make-or-buy decisions and presents a framework to help companies make the right decisions. The framework is built on three key pillars — business strategy, risks, and economic factors. 2011  
Measures A List of Sample Procurement/Purchasing Performance Measures  
Next Wave Sourcing - Reinventing Procurement To Drive Growth and Profitability As confidence in procurement departments soared, companies counted on them to take on even more challenging projects. Now, procurement chiefs are being asked to undertake a host of new responsibilities: decrease supply chain complexity; speed products to market; .... And they are experiencing diminishing returns with yesterday’s best procurement strategies.  new
Procurement's Future: Outsourcing? Organizations must uniquely assess outsourcing viability for strategic, commodity, and services procurement and management  
Purchasing Excellence Study 2011 The study investigates trends in purchasing excellence across different industries and countries.  
Purchasing Performance Excellence: Results from Arthur D. Little's Benchmarking Study To reduce costs, many companies are relocating activities or outsourcing pieces of their value chain, making them ever more dependent on the performance of their purchasing organisation. Arthur D. Little's benchmarking study "Purchasing Performance Excellence 2006" provides insights about how best-in-class purchasing organisations in a broad range of industries are capable of creating tremendous value for their stakeholders. pdf-file 2.2 MB, 2006  
Purchasing power: finding quick cash and building long-term capabilities Companies can take a more effective, fact-based and strategic approach to purchasing while also achieving quick savings.  
Ramping Up Supplier Capacity in Volatile Times Still stinging from the recession, many suppliers remain averse to risk. How can manufacturers get suppliers to add capacity to help meet demand? By reducing the risks and sharing the rewards.   
Regarding procurement, less is more – sometimes As a direct consequence of the global financial crisis, prices for materials and services fell across the board. Just a short time later, prices for raw materials shot up again, taking us all by surprise. What are we to make of these developments?   
Saving Procurement from Itself It’s time for chief procurement officers to stop relying solely on functional depth and start increasing functional breadth. 2007  
Single-Source Vendor How to turn an excellent decision into a disaster - an article in discussion form.  
State Procurement: Strategic Positioning for the 21st Century  
Strategic Sourcing for Senior Executives As companies move from being manufacturers to assemblers, CEOs and CFOs need to consider how changes in cost structure move earnings per share  
Supplier Selection Process in Emerging Markets The Case Study of Volvo Bus Corporation in China. Abstract; pdf-file available for download. 2005  
The Purchasing Chessboard - Buying in a seller's market In a seller's market, buyers must adopt new tools and strategies to compete effectively on a new playing field.  
The Route to Better Procurement Improvements in purchasing systems transcend cost savings, and companies are seeing the benefits extend to every corner of the business. 2006  
Time to Tell Your CPOs to Collaborate with Suppliers How to create value by collaborating inside and outside the organization. Today, reducing costs is no longer enough. Companies want value, and they want their chief procurement officers (CPOs) to deliver it.  
Value of Sustainable Procurement Practices A quantitative analysis of value drivers associated with Sustainable Procurement Practices.  new
Value Sourcing - The integral role of procurement in the value growth strategy The procurement function is often torn between hard-to-reconcile goals. To begin with, procurement may need to be lowered in order for the company to remain internationally competitive. But the company also needs to build up and coordinate an effective, long-term supplier network, one that not only guarantees reliability and quality, but also facilitates jointly developed innovations.  new
Why Senior Executives Should Care About Sourcing Most companies are nowhere near the sourcing excellence frontier. In any given industry, the average company achieves 2-3% purchasing improvement per year, when the leaders achieve many times that level. Pdf-file  
Be 'E-Sourceful' To Make Wise Buys Strategic-sourcing services can help your company streamline the purchasing process and improve the bottom line.  
Changing Shapes of Supply Chains How the Internet Could Lead to a More Integrated Procurement Function. Pdf-file  
E-Procurement Explosion Expected to reach $3 trillion in transactions by 2003, online purchasing is saving millions for savvy manufacturing companies. Facts and figures on e-procurement. March 2002  
E-Procurement Grows Up The right e-procurement systems enable companies to reduce materials costs, slash overhead and improve supplier relationships.  
Internet Negotiations eSourcing Results: Realizing Rapid Results using eSourcing Tools This study provides a high-level overview of the categories sourced in the three prior years (2000-2002), and includes results segmented by geographic region. In-depth analyses of select direct and indirect category results provide insights into savings differential for the regions compared, in this case Europe, North America, Latin America and Asia. pdf-file 204 KB. June 2003  
Nine Steps to Getting Suppliers' B2B Buy-In If your company plans to invest in tighter integration and collaboration with its trading partners for procurement execution you can avoid some mistakes. The fundamental premise is this: never forget that supplier buy-in will be the key to your success.  
Services Procurement Capturing Value from E-Procurement of Services: Lessons from the Real World. July 2003  
Institute for Supply Management
National Association of State Procurement Officials
Procurement and Supply Chain Benchmarking Association


Publications   Literature

Business & Purchasing: Buy Smart and Avoid Excess Inventory in Your Warehouse

By Dan Kaplan 

Many companies are surprised when they find excess inventory of fast moving items during a physical inventory. After getting over the initial surprise, they shrug their shoulders and say: "these are fast moving items and they should sell." What they fail to realize is that even though fast moving items will sell, they carry unnecessary storage costs that affect their bottom line profit. 

Out of stock, out of mind, out of business
By Chris Olivier, CEO, The Smollan Group

  Supply Market Intelligence: A Managerial Handbook for Building Sourcing Strategies
by Robert Handfield
The book begins be defining supply market intelligence and discussing opportunities, the establishment of a project team, and conducting an internal business intelligence assessment. It then examines the development of business and market intelligence, supplier evaluations, and sourcing strategies. It also explores how to execute a sourcing strategy, manager a strategic supplier relationship, and redesign an organization for effective supply-chain intelligence and strategic sourcing. This volume offers a benchmarking framework covering all facets of supply-chain management, and includes best practices and case studies of world-class companies.

The Purchasing Handbook: A Guide for the Purchasing and Supply Professional 
by Joseph L. Cavinato (Editor), Ralph G. Kauffman
For more than three decades, THE PURCHASING HANDBOOK has been a staple reference for purchasing and supply professionals around the world. Chapters written by over 100 top authorities provide in-depth, authoritative coverage of each topic, and allow professionals to make confident, informed decisions in virtually any area of purchasing and supply. This updated, expanded 6th Edition--with 20 new chapters--contains not only the basic information every manager needs to know but also the current information and research that every manager MUST know for procurement in the next century. A partial listing of topics covered includes: Globalization; Industry consolidation; Technological advancements; Supply chain synchronization; E-commerce and the Internet; Virtual value networks; Strategic versus tactical procurement; Supplier integration; Collaboration planning and execution; Marketplace intelligence; Re-engineering; Total cost of ownership; Inventory management; Legal aspects of purchasing; Investment recovery.

Procurement Reengineering (Purchasing Excellence Series) 
by John P. Mahoney, Linda S. Keckler (Editor), Ben Laaper
Upper management is finally coming to the realization that the traditional Procurement Process is cost prohibitive and highly ineffective in itself. In particular shop and plant commodities such as Maintenance, Repair and Operating supplies (MRO) tend to absorb most the purchasing resources. The development of exciting new processes for Procurement can help elevate the often-battered purchasing profession, to new levels. In Procurement Reengineering, purchasing professionals finally have an opportunity to rid themselves of the often nagging reams of paper and non value adding bureaucratic activities and controls. In elevating the, heretofore, multifunctional procurement process into a continuous closed-looped process purchasing can now help direct the migration of transactions to suppliers performing as business partners through a process called Integrated Supply.





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Status: 21. August 2013