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.
Michael Lamoureux, Sourcing Innovation, 12/6/2018
As another year draws to a close, The Sourcing Doctor takes a characteristically skeptical look at the conversations around Procurement's digital transformation. 20 years after the introduction of specialized Procurement solutions, he writes, organizations are still effectively having the same discussions. They're also still treating the same shopworn insights as if they're suddenly new and interesting. Lamoureux reserves particular disdain for so-called 'futurists.' Though these folks are still predicting a digital renaissance, their rhetoric does little other than send Procurement down the same dead-end roads. He concludes with the suggestion that - in spite of rapid digitization and ongoing discussions - the next twenty years will probably look a lot like the last twenty.
With uncertainty on the rise across global supply chains, more and more organizations are looking to optimize their approach to outsourced labor. It's clear they can't make these decisions based on cost alone. For years, organizations have seen the cost benefit of working in certain markets outweighed by poor data security and supplier compliance. Andras advises organizations to take a more nuanced look at the location of their outsourced operations. Time zone and language barriers are just the start. Cultural compatibility, he suggests, is often the most important factor in building a sustainable, successful partnership.
Year-End Dash for Cash - 7 Steps to Free Up Funds Without Resorting to Tricks
Jonathan Messinger, Spend Matters, 12/10/2018
Hackett Group recently published a report aimed at organizations looking to free up cash during the last few hectic weeks of the year. The report, Messinger suggests, cautions organizations away from quick-win tactics that might provide a temporary boost. It offers a seven-step plan for organizations looking to adopt a healthier 'financial lifestyle' in the new year. On the supplier side, for example, the report advises organizations to identify the top invoices due. They should work directly with the suppliers in question to renegotiate terms before the end of the year. Whatever steps Procurement takes, it needs to measure its success to devise a more efficient plan in the new year.