On the Twelfth day of X-Mas (2016)


On the twelfth day of X-Mas
my blogger gave to me:
Optimizing Posts
Analysis Posts
Standard Sourcing Posts
Direct Sourcing Posts
Risk Management Posts
Sustainable Posts
e-Procurement Posts
some SRM Posts
some CLM Posts
some Best Practice Posts
some Trend Bashing Posts
and some ranting on stupidity …

The archives are full of posts on optimization. It’s the doctor‘s passion as it is one of only two advanced sourcing methodologies found to deliver double digit returns year after year after year, the one that is least applied, and the one with the most untapped potential. Data insights only take you so far. Optimization helps you do something about it.

Regardless of what any vendor might claim,
True Savings Can Only Be Identified Through Multi-Factor Optimization!
Anything else is just trimming the fat.

At the end of the day when the proverbial sh!t is about to hit the proverbial fan as the organization is still seeing red,
Only an Optimization-Backed Sourcing Platform will Answer a Buyer’s SOS.

That’s Why You Need Mass Adoption of An Optimization-Backed Sourcing Platform!

And in case you need a refresher, here’s
What Strategic Sourcing Decision Optimization Can Do!

In case you’re wondering, or still think optimization technology is in the usability dark ages, here’s a post on
Optimization: What’s Changed Since 2009.

And, before you think you have a hope of doing this in-house, here’s
Why You Should Not Build Your Own Decision Optimization solution!
the doctor is the leading independent authority on strategic sourcing decision optimization. Please heed his word.

The reality is that we’ve reached a point where it should be
Optimization-Backed Sourcing Platform … Or Bust!
Part I
Part II
Part III
Part IV
Part V

And even if you are applying strategic sourcing decision optimization today, all we can say is
So You Think You’ve Mastered Strategic Sourcing Decision Optimization? (Hint: you haven’t. But that’s a good thing. Just means there is more value to come your way.)

And, finally, we will wrap up this series by asking how we accelerate the adoption of optimization and analytics:
Part I
Part II

And leave you with our final thought-rant.
Millions Saved. Pennies Spent. Why Won’t They Learn?

Merry X-mas!

On the Eleventh day of X-Mas (2016)


On the eleventh day of X-Mas
my blogger gave to me:
Analysis Posts
Standard Sourcing Posts
Direct Sourcing Posts
Risk Management Posts
Sustainable Posts
e-Procurement Posts
some SRM Posts
some CLM Posts
some Best Practice Posts
some Trend Bashing Posts
and some ranting on stupidity …

Some of you might have thought we dished up the best first with our trend bashing posts and some ranting on stupidity. While those are some of the best posts SI has to offer, SI would like to think that its posts on Analysis and Optimization, the doctor‘s areas of expertise, are its crème de la crème. So, without further ado,

We know what spend analysis is (heck, the doctor co-wrote the book), but
What the Hell is Automated Spend Analysis?

Also, analysis is good because
Decisions Should be Data-Derived — But They Should Not Be Big Data Driven!

And even though you might think you can hire a high-school student and give him Microsoft Access and get a good analytics system on the cheap (as this was the complexity of many first generation contract management systems that, sad as it is, are still being sold today), the reality is that this is not the case and here is
Why You Should Not Build Your Own Analytics System

But all is not list. If you want to know, we will tell you
Spend Analysis – How You Get it Right?

In What Way Would the doctor Improve Spend Analysis? Glad you asked!
Part I
Part II
Part III

And we could not end this post without paying homage to the classic series by the old grey beard:
  I: The Value Curve
 II: The Psychology of Analysis
III: Common Sense Cleansing
 IV: Defining Analysis
  V: New Horizons Part I
 VI: New Horizons Part II

Come back tomorrow for the twelfth day of X-Mas.

On the Tenth day of X-Mas (2016)


On the tenth day of X-Mas
my blogger gave to me:
Standard Sourcing Posts
Direct Sourcing Posts
Risk Management Posts
Sustainable Posts
e-Procurement Posts
some SRM Posts
some CLM Posts
some Best Practice Posts
some Trend Bashing Posts
and some ranting on stupidity …

Yesterday we focused in on direct sourcing because most platforms, designed for indirect, weren’t up to snuff for direct sourcing and that needed to be pointed out before we launched into a more general discussion and review of (the best posts on) traditional strategic sourcing.

We’re going to start to explain it’s importance by pointing out that If One Wants to Avoid Cost, Then One Should Avoid Cost At All Costs! This is something most organizations don’t do.

When you realize this and go to market for a proper platform (upon which you can find much advice in the archives), remember that
SI Has Been Telling You Solution Provider RFX Templates SUCK for Years!
Solution Provider RFX Templates SUCK! What Do You Do?
So, Do You Throw Provider RFX Templates Out with the Packaging?

This is true whether they are templates to acquire a solution or acquire the products and services that you need to function as a business.

Then, when you get that platform, remember that
If You Are Going to Create RFPs, Avoid RFP Hell!

After all, you already have to contend with
Eight Reasons Best-in-Class Suppliers are Ignoring Your RFP
why give them more reasons to?

But don’t just switch your events over to e-Auctions, because it’s
Time to Remove e-Auctions from the Strategic Sourcing Toolkit.

There is a host of reasons for doing so. One reason is that
Bidding Flexibility is Important to e-Auction Success
but most e-Auction platforms don’t give you bidding flexibility.

Instead, what you get are
The Entanglements of e-Auctions.

In other words, before you put your faith in e-Auctions, ask yourself:
e-Auctions — Savings Machine or Inflation Nightmare?

Come back tomorrow for the eleventh day of X-Mas.

On the Ninth day of X-Mas (2016)


On the ninth day of X-Mas
my blogger gave to me:
Direct Sourcing Posts
Risk Management Posts
Sustainable Posts
e-Procurement Posts
some SRM Posts
some CLM Posts
some Best Practice Posts
some Trend Bashing Posts
and some ranting on stupidity …

While it should just be sourcing, as direct sourcing for one organization is indirect sourcing for another, the reality is, it’s not. Most sourcing platforms were designed for indirect sourcing only and can’t handle the complexity that often goes hand in hand with direct sourcing.

If you’re not convinced, take the Direct Procurement Challenge. Chances are your platform will fall flat on its user interface.

Remember, as Aberdeen pointed out in one of their better pieces, back in the time when they had strong supply analyst talent, we’re Living in a Materials World and you better be prepared to do something about it.

That is because Procurement is Complex [and] Your Platform [better be] Capable of Handling It!

The reality is that, for the average organization, Your Procurement Platform is Cost Centric Perfect for Indirect Only. And that’s just not enough.

If you don’t get it, then you need to get a grip on The Nature of Supply Dynamics
Part I: Unknown when Unmanaged
Part II: Commodity Based Cost Models Alone Aren’t Enough.

You need more, much more.

You need a direct procurement platform capable of Sourcing Lifecycle Management: [it is] The Direct Sourcing Cure.

Come back tomorrow for the tenth day of X-Mas.

On the Eighth day of X-Mas (2016)


On the eighth day of X-Mas
my blogger gave to me:
Risk Management Posts
Sustainable Posts
e-Procurement Posts
some SRM Posts
some CLM Posts
some Best Practice Posts
some Trend Bashing Posts
and some ranting on stupidity …

Risk is everywhere. Embedded in everything.

The categories of risk are truly The Dirty Dozen.

Every organization is Playing With Fire: [with all of the] Hidden Risks Lurking in The Supply Chain!

These risks stay hidden thanks to the common practice of Siloed Supply Risk Management [which] Just Wastes Time, Money, and Resources.

It doesn’t have to this way. For instance, here are 3 Best Practices in Supply Risk Management That You Are Likely Overlooking.

These will help you understand that Supplier Risk: [is just] The Tip of the Iceberg.

Because, and it is worth repeating, Hidden Risks are Everywhere!!

And when one rears its ugly head, that’s when you find out that Turbulence [is] Not Just for Airplanes Anymore!

But while the enormity of the situation may drown you, despite what your ERP vendor will tell you, your ERP is a big risk. Here are A Few Reasons Why Your ERP is a Disaster Waiting to Happen.

When it comes to risk, could you be managing it right? Yes, and you could start with some Risk Monitoring.

After all, when you consider what a realized risk costs, It Shouldn’t Be Hard to Justify Investments in Risk Avoidance.

Come back tomorrow for the ninth day of X-Mas.