Sourcing

Being on the cutting edge of direct materials sourcing for the last decade has taught me one very important thing. Nothing hurts results more than people setting expectations based on false pretenses.

Your sourcing process, in regards to discrete manufactured components, is probably racked with inefficiency and there is a really good chance you don't know it. 

Why not?

ED: MFG.com is deeply saddened by the human tragedy in Japan and recommends supporting the Japanese Red Cross directly.  They are on the ground in the affected areas and can provide direct assistance to the Japanese people.

Donate here.

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How do you plan for a once in a thousand year event?

Checks and balances are critical to the sourcing and procurement side of a business. When I first started in this business I sat in the office of a buyer and explained the value of adding competition into his sourcing process. After a few minutes of explanation I noticed the buyer wasn't listening to me anymore. I stopped talking and waited for his glazed expression to refocus. Finally, he focused on me again.

For anyone paying attention to commodity markets you probably already know prices are up. For anyone paying attention to this blog you definitely know that I believe companies are responding to increased commodity pricing incorrectly.

Sourcing is incredibly important when considering the need to keep costs in line. Introducing a competitive environment to your company spend and understanding the supply market for everything your company needs to operate is valuable and necessary.

Sometimes the simplest messages are the best.

Yesterday, G.E. announced it was looking to add up to 50 new parts suppliers in the Metro Detroit area.  G.E.

I love our European cousins, truly.  They bring different perspectives and cultural opinions to almost any discussion.  However, currently, European sourcing professionals are missing one of the biggest opportunities since the Portland Trailblazers drafted Sam Bowie ah

Things are different.  If we learned anything in the last 18 months it should be simply that, things are different.  We absolutely cannot expect to work business as usual when it comes to how we do our business.  It is a drum beat I have been hearing every day.  There are big opportunities out there.  They are waiting for senior procurement professionals to seize them and say, THIS YEAR WILL BE DIFFERENT!