Invoicing & Payment,
Spend Analysis & Benchmarking,
Supplier Relationship Management,
B2B Social Media: Online Supply Communities, Open Innovation, SM B2B Marketing, SM Customer Driven Support
Industry Groups: Construction, Defence & Aerospace, Education, Financial Services, Healthcare, Manufacturing & Automotive, Public Sector, Resources, Retail & CPG/FMCG, Utilities
Categories / Commodities: Business Travel, Capital Equipment, Construction & Building, Electronic & High Tech, Fuels & Lubricants, Managed Print Services, Marketing & Advertising, Metals & Minerals, Office Suppliers, Services Procurement, Transport & Logistics
Procurement People: Careers, Leadership, People on the move, Talent Management
Articles in category: Value creation
The parties say this is a premium of about 97.1% to the closing price of 5.2p per Lonrho share on May 14, or a premium of about 38.2% to the average closing price of 7.42p for the six months ended May 14. The shares shot up 87.5% to 9.75p in early trading in London on Wednesday. Reuters quoted a London analyst as saying it was "a reasonable offer" that was similar to the company’s annual revenue.(Read Full Article)
Recently it has come to light that our UK government has appointed no less than six leaders from the private sector in order to help it get better ‘value’ from its contracts through the procurement and tendering process. These six new members of the Crown Representative Network have been tasked with using their experience in business to liaise and engage with suppliers at an early stage of the procurement and the tendering process in order to improve both the commercial relationships between the government and suppliers, and also to discuss the best possible contracts in terms of ‘value’.(Read Full Article)
The inaugural All About Public Procurement Awards (AAPP Awards) will take place on the 15th of August 2013 at the Emperors Palace, Johannesburg. This is an initiative of the State Owned Enterprise Procurement Forum (SOEPF) in partnership with CIPS Africa coinciding with the longstanding CIPS Annual Dinner and Awards.
Entries are invited from all Procurement and SCM officials in all tiers of the South African government and State Owned Enterprises.
It’s a familiar track of business news: CSR is a growing concern. But is there a danger that procurement’s way of understanding the subject is becoming outdated as the issue develops? Last week, Procurement Leaders hosted another Next Decade event, this time in San Francisco. Over 50 CPOs and other senior procurement executives gathered here to discuss their challenges and opportunities for the next decade in a roundtable-style format. One of the central themes featuring at the event was CSR and sustainability, which is of great concern to procurement executives. Many companies today are still using CSR as ...(Read Full Article)
The topic of how to Speak Like a CFO (and Gain Management’s Attention) is on a lot of minds these days. And it definitely should be on your mind, not just right now, but on an ongoing basis. Being able to communicate with your senior executives in their language, and thereby connect with them, is a key element determining the future of procurement. In my experience, those procurement and SCM departments who invest time and effort to develop and master this skill are the departments heading to the top of the profession.
Thibaut Eissautier, the chief procurement officer at Diageo, who joined the drinks manufacturer in August 2012, told buyers a downturn often makes CEOs more receptive to new options and approaches. “It is an opportunity to try new approaches and develop a competitive advantage. I’m convinced one of the roles of buyers is to test the riskiest solution and to try and syndicate that within the company,” he said. Eissautier also said although recessions present both positives and negatives for purchasers, they do advance the cause of the profession by providing a more visible profile for activity and stakeholders who ...(Read Full Article)
Procurement leaders face new pressures in 2013 as companies focus on profitable growth and balance local agility with global scale in their value chains, according to new Procurement Key Issues Research from The Hackett Group, Inc. While company revenue continues to grow, procurement leaders along with other business functions continue to be asked to do more with less. In addition, it’s no longer enough to just provide spend cost savings. Procurement leaders are now focusing on a much broader list of procurement strategy priorities designed to improve their alignment with business objectives.
According to a new survey by Consero Group, an international consultancy based in Bethesda, Md, over 50 percent of Chief Procurement Officers said their company pursues short-term savings from suppliers that undermine long-term value. In addition, 65 percent of participants said their company’s procurement strategies are more focused on using competitive pressure to get maximum value from suppliers, while only 35 percent said their company’s strategies are more focused on using collaboration to get maximum value from suppliers.(Read Full Article)
The Kagiso Purchasing Manager's Index (PMI) has moved back into contraction as demand and production declined, Kagiso Asset Management said on Tuesday. After moving above the key 50-point mark in February, the seasonally adjusted Kagiso PMI lost 4.3 points in March to 49.3. Below 50 indicates contraction in the manufacturing sector, above 50 shows expansion. This decline was largely driven by a significant slump in the new sales orders (-8.2 points) and business activity indices (-4.5 points). Kagiso Asset Management head of research Abdul Davids, said the decline in the new sales orders index suggested ...(Read Full Article)
Often companies make the grievous mistake of not letting procurement select or source the consultant or consulting group to lead process improvement. Lean Six Sigma and Lean are too important to leave in the hands of other departments not familiar with the comprehensive evaluation of a bid or a proposal. In fact, procurement or supply management not only should lead the selection, but lead the entire process improvement transformation. Strongly consider a fixed hourly rate especially for training, but remember that you get what you pay for. Make sure you can retain all the training materials developed during the process.(Read Full Article)
The China Development Bank will loan South African logistics group Transnet about $5 billion (R46 billion) to revamp its ageing railways, which transport commodities including coal and iron ore, a source close to the deal said on Tuesday. “The figure may go up or down and it is a loan,” the source said, but asked not to be named. “The money will be used for railway infrastructure.” The deal was reached before a summit of the leaders of the emerging market powers BRICS - Brazil, Russia, India, China and South Africa - opened in Durban on Tuesday with a goal of helping ...(Read Full Article)
When South Africa plays host to the prestigious 5th Brics (Brazil, Russia, India, China and South Africa) summit in the coming days, it will not only represent a historic moment in the group’s history – it will complete the first full cycle of global gatherings since the formation of this group of leading emerging economies in the world – but it will also provide an important platform for South African business. The Brics is an extremely powerful grouping in the world’s economic environment, representing almost 3 billion people, a combined gross domestic product of $14.9 trillion (R138.8 trillion ...(Read Full Article)
UK Government procurement reform is being “stifled by departments” being tardy in moving to new central contracts based on large-scale aggregation of demand. Because of a lack of enforcement of the use of centralized purchasing of goods and services maximum savings are not being achieved. No doubt a disbelieving nation will swoon in horror at this dispatch from no man’s land, brought to us by the UK’s National Audit Office in a new report. The conclusions of the report beg a sackful of questions.(Read Full Article)
The global brewer is constructing a new malting plant in South Africa, which will raise the amount of barley it sources locally. Construction of the new plant in Alrode, Gauteng, will begin this year and will involve local industry in its development. The plant will produce 130,000 tonnes of malted barley a year once it is completed in 2015.(Read Full Article)
Project managers possess many quality traits, but these 3 are essential. All project managers are NOT created equal. Some are more schedule-focused, while others are more budget-driven. Some spend more time on procurement management, and yet others concentrate on ensuring scope creep doesn't occur. Some spend too much time trying to do everything, while others spend no time doing anything.(Read Full Article)
North American investors have seen the successful takeover of South African retailer Massmart by US giant Walmart as a signal that investing in Africa is a valuable proposition. Africa is seen as a major investment frontier because of its young population, untapped resources and economic instability in other regions such as the European Union, African Venture Capital Association CEO Michelle Essomé said in an interview on Friday.
Procurement executives in every industry yearn to be seen as more than just cost cutters, and rightly so. There is so much more that procurement can do, from harnessing the capabilities of suppliers to help businesses create new products, to ensuring companies achieve their CSR objectives, to identifying and managing risks in the supply chain that can derail product plans and damage corporate image, and more. But still, there is that expectation that procurement will cut costs, and that is as valid an expectation as it is predictable.(Read Full Article)
Mark Perara recently penned a great post on Nine Rules for Stifling Supplier Innovation. Here are Mark's Nine Rules. 1. Be suspicious of ideas that come from your suppliers - your strategy, innovation and R&D teams know your business better than anyone externally. 2. Keep suppliers really really busy. Change your requirements and staff regularly so suppliers have no time to focus on innovation. Their account managers will be too busy to try and second guess what your business needs as well as not knowing who to speak to.
...(Read Full Article)
Anglo American Platinum wants annual savings of R3 8 billion (£270 million) by 2015, and is cutting spend on capital projects and reducing overheads, including jobs. The company also plans to reduce capital project expenditure over the next 10 years by approximately 25 per cent, equating to R100 billion (£7 billion), to focus investment on low-cost, high-margin projects.(Read Full Article)
The last few years, since the credit crunch, have been fairly quiet on the mergers and acquisitions front. This might be just what the procurement function needs, as corporate actions are the root cause of many of procurement’s challenges. At the beginning of the 20th century most companies had just one tier of suppliers and served local customers. Over the last hundred years there have been waves of mergers, and more recently outsourcing radically changing the shape of corporations.(Read Full Article)
In 1996, James P. Womack and Daniel T. Jones popularized the term "lean thinking". It was their expression for what they'd observed studying Toyota's manufacturing operations: an absence of waste. Today, lean concepts have moved beyond the factory floor to become an organizing set of principles and practices applicable to all business operations and activities, including entrepreneurial start-ups. Here's seven targets for keeping your innovation efforts lean:(Read Full Article)
Thought Leaders is a series of regular posts from experts from across industries and regions, looking at the issues procurement faces today. This is the fourth in a sequence of posts by former Deutsche Post DHL CPO, Hugo Eckseler looking at new and innovative solutions to pave the way to the next performance level in procurement. Today I want to share some thoughts on the organisation and the operating model of procurement as one of the top ten levers to drive procurement toward a new value proposition.(Read Full Article)
The field of supply management has undergone quite a few changes over the past several years. Leaders in the field are always thinking about what the future of procurement will look like. What is important in my mind is how people think about the entire function.
Thought Leaders is a series of regular posts from experts from across industries and regions, looking at the issues procurement faces today. In this, the latest in a sequence of posts by Novartis Pharma’s Sammy Rashed looking at the development of the procurement function, he looks at how procurement can better understand supplier relationship management and use it to create opportunities to create topline value.(Read Full Article)