The globalized world relies on efficient and well-coordinated supply chains. But within this complex system, two terms often get thrown around interchangeably. While intrinsically linked, there’s a crucial difference between the two. Understanding this distinction is essential for anyone entering the procurement, purchasing, or supply chain field. Understanding Supply Chain Management (SCM) Supply Chain Management (SCM) refers to the broad oversight of the entire flow of goods and services, from the very beginning (raw materials) to the very end (reaching the customer). It encompasses a wide ..read more

The procurement landscape demands a broader skillset than ever before, with unexpected skills for procurement professionals becoming crucial for success. Forget the stereotype of procurement professionals hunched over spreadsheets – the modern landscape demands a much more diverse skillset. Today’s procurement function is crucial in driving company success, requiring more than technical expertise. To truly excel, procurement professionals must develop a surprising set of “unexpected” skills beyond the traditional checklist. These hidden gems unlock a new level of effectiveness, career growth ..read more

In today’s dynamic business landscape, procurement professionals can no longer rely solely on transactional relationships with suppliers. Building strong, collaborative partnerships is key to unlocking hidden potential and achieving long-term success. This is where the art of collaboration, fueled by essential soft skills, comes into play. Soft Skills: The Unsung Heroes of SRM While technical skills like contract negotiation and cost analysis are undeniably important, soft skills are the foundation of effective Supplier Relationship Management (SRM). These interpersonal abilities foster trust ..read more

In today’s competitive landscape, getting the best price isn’t enough. A well-defined procurement strategy is the key to optimizing your procurement process. This strategy builds strategic partnerships, mitigates risks, and ensures a smooth flow of goods and services. This blog post dives deep into procurement strategy, explores implementation methods, and equips you to craft a plan for success Defining Procurement Strategy Procurement strategy goes beyond just buying things. It’s a comprehensive roadmap for acquiring goods and services aligned with your business goals. This strategy unlocks b ..read more

In today’s eco-conscious world, the pressure to “go green” isn’t just a whisper on the wind – it’s a thundering roar echoing through boardrooms and supply chains alike. And at the heart of this green revolution lies a powerful tool: green procurement. But for many, particularly newcomers to the procurement world, navigating the labyrinth of green product options and certifications can feel daunting. Fear not, eco-warriors! This blog is your compass, guiding you through the basics of green procurement and demystifying the alphabet soup of certifications that will empower you to make informed, p ..read more

In recent times, the role of Chief Procurement Officers (CPOs) has shifted towards actively competing for the most skilled professionals to staff their procurement teams. This trend has gained momentum, with CPOs exploring innovative strategies to secure the best talent. To keep up with the changing dynamics of talent acquisition in procurement, it’s essential to remain informed about the latest developments.  One noteworthy shift is the way CPOs are now strategically courting experienced managers and directors currently employed in procurement positions at other companies within the same ..read more

In the relentless ebb and flow of the business world, one undeniable truth emerges with crystal clarity: the power of procurement skills isn’t just a valuable asset; it’s the lifeline of a resilient and thriving business, and the clock is ticking. The modern business landscape is constantly evolving, and this dynamism is especially evident in the areas of purchasing and supply chain management. In today’s connected world, supply chains have become more complex, with global reach, sustainability concerns, and rapidly changing market dynamics. To navigate these challenges successfully, companies ..read more

A subscriber to PurchTips responded to this week’s article “Spend Analysis: Whatcha Looking For?” and asked for my definition of “standard cost” as used in the article. Here it is… Don’t miss updates on Procurement & Supply Chain, Subscribe here! The post My Definition of Standard Cost appeared first on Next Level Purchasing Association (NLPA ..read more

Simplifying things, inventory refers to things that are being temporarily stored because they are not quite ready to go elsewhere. Inventory can be things that your organization plans to sell in its current conditions. Inventory can be things that your organization plans to incorporate into something else that it is making. And inventory can be things that your organization plans… The post The Must Know Components of Inventory appeared first on Next Level Purchasing Association (NLPA ..read more

One of the things that I teach in our online course “Powerful Negotiation For Successful Buying” is negotiation preparation techniques. Don’t miss updates on Procurement & Supply Chain, Subscribe here! Among the many things you should do when preparing to negotiate is to anticipate what the supplier may say. I came across this article that teaches a salesperson what to say when negotiating with a buyer. I suggest reading it before your next negotiation so that you can better prepare for what the supplier’s salesperson may say. The post Preparing To Negotiate With Salespeople appeared first ..read more