A lot of confusion exists as to what the difference is between Strategic Sourcing and Purchasing. Many people ‘bundle both disciplines into the same generic basket’. In this basic introductory article to a series on Strategic Sourcing, I will explain the difference. What is Strategic Sourcing (aka Strategic Procurement)? Strategic Sourcing is the continuous development, … Read more

Covid -19 has a far- reaching impact on world health, but however the effects on the global supply chain and financial markets is significant enough to already begin triggering economic repercussions that could last well into the 2020’s. Why?  For all the most obvious of lean management and labour reasons that supports long term Manufacturing … Read more

What constitutes Supplier Risk? Simply put supplier risk constitutes any threat originating out of the supply chain that jeopardises or potentially can jeapodarise an organisations earning’s, image and operational capacity. Obviously there are many software companies out there doing the” hard-sell” on Risk Management Programmes and I agree that these do certainly have their place. … Read more

A common misapprehension made by many corporate executives, HR and Recruitment professionals is the failure to appreciate the fundamental difference between Procurement and Purchasing, as the terms are often used interchangeably. Procurement whether in the private or state sector, is the long term strategic based planning and development function responsible for securing goods and services … Read more

Defined, Supplier Relations Management is the ongoing process of the systematic creation and capture of post contract value from supplier relationships. Many executives are now beginning to understand the true importance of ongoing Supplier Relationship Management (SRM) within the perspective of a successful value chain. SRM is a key management and control component within Procurement … Read more

Procurement Intelligence (PI) ensures up -to-date relevant information is available to aid Procurement decision making regards sourcing strategies, evaluating procurement performance, forecasting, and quality and improving bottom line financial performance amongst other key considerations. Procurement Intelligence must certainly not be a one -off exercise but a continuous strategic orientated information gathering process focused on influential … Read more

Internal customers Relations are a relatively new concept. The Supply Chain and Procurement/Purchasing in particular primarily exist to support internal stakeholders who in essence are their customers. A standard mistake made time and again within professional supply chain from rank and file to management,  is the underestimation of importance of those “internal customers” too which … Read more

Many junior buyers or people new to the field of purchasing have little or no conception of what purchasing involves as a job beyond basic functional buying. The intent of this article is to provide clarity on some very basic facets of the functional or tactical buyer’s area of responsibility. Understanding the basics of Supplier … Read more

  Numerous compelling reasons exist that makes the concept of employing a non- permanent procurement professional advantageous such as: Increased Flexibility Access to skills, expertise and resources beyond the current internal ability of the department, for only as long as required. Guaranteed Neutrality, with client organisations best interests at heart Ability to cost effectively develop … Read more

Negotiation is a fact of life. We all negotiate every day in our private, business and public lives. Most if not all Procurement personnel will negotiate at some point of their professional lives. The purpose of this article is to provide a practical “negotiation 101” tips guideline as how to quickly and efficiently develop a … Read more