Source One's series for keeping up with the most recent highlights in procurement, strategic sourcing, and supply chain news week-to-week. Check in with us every Monday to stay up to date with the latest supply management news.
Assessing the True Cost of Tail Spend
Reggie Peterson, LinkedIn Pulse, 6/20/2018
Peterson discusses the problems that can arise when tail spend, occurring when an employee goes outside the procurement process to acquire needed items and services, doesn't receive the necessary attention and management. Indirect spend covers all goods and services deemed not necessary for the production of core products sold to final customers. Tail spend is a subset of this and includes lower-value and non-recurring purchases. In today's world, businesses are required to manage and account for every dollar spent, oftentimes this leaves tail spend mismanaged. This, in turn, leading to a variety of issues that can be quite costly. Peterson discusses the topic in greater detail throughout Corcentric's whitepaper: Defeating Dark Purchasing.
Sydney Lazarus, Spend Matters, 6/25/2018 Lazarus sits down with Davis-Sramek, an Associate Professor of Supply Chain Management, to discuss the recently-averted UPS strike. The interview - conducted before Thursday's negotiations took a work stoppage off the table - sees Davis-Sramerk express doubts. Presciently, she remarks, "I think something will be solved before the end of July." Though UPS and The Teamsters have avoided the country's largest strike in decades, Davis-Sramerk emphasizes the importance of developing effective contingency plans. While UPS is well prepared with plans on top of plans, she seems doubtful that other organizations are similarly secure. Using Data-driven Analytics to Improve Project Outcomes Nikhil Daddikar, Technology Advice, 6/14/2018
Data management is vital in the optimization process in many categories of business, regardless of the field. Looking at projects specifically, uncertainties and risks on the project need monitoring and controlling, functions that analytical techniques to produce accurate estimates and forecasts. In today's world, technology is constantly evolving. Data analytics technology is no exception, and with its aid, the project management process, in any business field, can reach its full potential. Nikil Daddikar of Celoxis Technologies highlights various benefits that data analytics technology can bring to the table.