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.
Gilad Maayan, Future of Sourcing, 6/28/2019
E-commerce is predicted to be the leading way to purchase goods within the next 5 years. That means millions of small parcels on top of the millions that are already being delivered daily in the U.S. Given that high volume, retailers and e-commerce companies sometimes don't pay enough attention to their last mile delivery--when the package finally reaches its destination from the carrier. This is the final impression of service left on the consumer and should be strategic on both cost-efficient and user-experience fronts. Our partners at Future of Sourcing have garnered a list of best practices to manage your last mile delivery effectively for both cost-efficiency and optimization.
Coupa expands AWS relationship, beefs up its business spend management
JP Morris, Spend Matters, 6/25/2019
Coupa made a couple of announcements last week regarding their web services relationship and business spend management (BSM) program. Coupa wants to improve technology spend for firms by expanding their Amazon Web Services and giving them "instant budget visibility and control in one place to spend smarter and simpler." They have also added four new developments to their BSM including Procurable Spend Spotlight to identify savings opportunities, Coupa Advantage, unity of their contingent workforce, and a new Coupa Directory App. Spend Matters will have more details as they cover Coupa Inspire this week.
A mature Procurfement professional should know notto overlook the tail spend, as troublesome or daunting as it may be, there are often a great deal of savings to be realized within that unamanged spend. Typically a successful evaluation of tails pend could yield upwards of 20% of savings, far more than the high-spend, supposedly well-managed categories, that typically yield about 5-8% of savings. A tail management expert over at our partner Spend Matters, gives the breakdown on six sourcing levers that, when pursued correctly, can yield an excess of 20% of savings in the tail.