Geopolitical Damnation 30: The TPP Poison Pill

Sourcing Innovation first brought this up back in late 2013 when it pointed out the great post by Nathan Lee that provided a simple guide to the Trans-Pacific Partnership Trade Agreement “benefits” which is an agreement being negotiated in secret that is lopsided towards the corporation and essentially gives them more rights then individuals, communities, and in some cases, entire governments. Proposals even include giving corporations the right to sue governments if laws put citizens or the environment above corporate rights. The piracy laws are so draconian that you can be criminally charged if copyrighted material ends up on your computer without your knowledge or consent. (For example, if you visit a website that was hacked and malware on that site uses your computer as part of a bittorrent network without your consent and stores part of a copyrighted file, the owner, with the backing of the RIAA or MPA, can have you charged criminally even if you didn’t ever access the file — not the hacker that created the malware and forced copyrighted content onto your computer without your knowledge or consent).

For those of you who do not yet know what this is, it’s a proposed regional and investment treaty between twelve countries: Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States, and Vietnam that is being conducted almost entirely in secret despite the far reaching implications that are being discussed and the considerable impact it could have on every citizen of every country participating as it covers a broad range of issues including, but not limited to, agriculture, industrial goods, intellectual property, investments, labour, services, and telecommunications.

As a result, everyone, and every supply chain, has a reason to dread, if not fear, this act. The Electronic Frontier Foundation (EFF) has a good summary of the issues corresponding to intellectual property on their What Is TPP page as the act would rewrite global rules on intellectual property enforcement. The IATP does a good job of overviewing some of the agricultural issues in its article Whose Century is it? where it notes that nearly every country involved has food safety regulations on the chopping block as the TPP proponents are arguing that free-trade and cheap food is the best thing for a country, regardless of economic or health consequences. Every year there is a new salmonella, e-Coli, mad-cow, or similar outbreak of a deadly food-borne infection — do we really want to weaken safety standards? With respect to labour, while some US negotiators are apparently demanding meaningful and enforceable worker protections, many of the other countries are not and, more importantly, most of the developed countries are claiming that increased worker mobility will encourage a disruptive inflow of low-skill workers from developing countries and pushing for less worker mobility in our globally connected world (while the less developed countries want to level the playing field).

Regardless of what gets agreed to, the sheer fact that this trade agreement will override existing law presents every Procurement organization with a minefield just waiting to be activated. Will your supplier still be able to afford its current pricing? Will it even be able to supply you? Will you be able to expect the same quality and safety standards? Will new sources suddenly become available? How will they change the supply-demand balance? Will new tariffs materialize? Will you be forced to abandon your “Buy American” policy? Will you be forced to consider suppliers you don’t want to? All of these questions and dozens of others become valid the minute this act, negotiated in secret where it is pumped full of poison pills, gets signed into law.

If the (wiki)leaks are even remotely reflective of what’s in the act, it might make the controversial, scary Orwellian provisions of the Patriot Act look like a cuddly bunny in comparison!

Happy 65th, EU!

I know you’re probably thinking the doctor is being a little loose with his own prescription pad, as the EU officially came into being on November 1, 1993 under the Maastricht Treaty, but this was just the evolution of the European Economic Community (EEC) that was formed by the Inner Six countries on January 1, 1958 under the Treaty of Rome. But before then came the European Coal and Steel Community (ECSC) which was formally established by the Treaty of Paris on April 18, 1951 by the same Inner Six countries, and this was the net result of the Schuman Declaration, made 65 years ago today, by the French Foreign Minister Robert Schuman to create a new form of organization of states in Europe called a supranational community which was the real beginning of the modern EU.

So if you think about it, the EU isn’t the 22 year old new kid on the block (not to be confused with the new kids on the block that formed in 1984 to unleash boy band hysteria on the world, presumably to usher in the Orwellian era through omni-present pop), but the freshly minted senior who’s been around through three generations.

What do you have to say, seƱor LOLCat?

I guess the current economic crises in Greece, exacerbated by the slow recovery of Cyprus, has made LOLCat a little cranky.

Talent IS the Biggest Issue Facing Procurement Today.

the doctor follows a wide-range of Procurement topics and channels. There’s a lot of noise. There’s a lot of repeat messaging. But sometimes there’s not enough repeat messaging. One area where there’s not enough repeat messaging is with respect to talent: the lack of talent, the difficulty in retaining talent, and, most importantly, the lack of necessary investment in talent by companies that need it the most.

A recent post over on the Argentus Talent Acquisition site on what are the biggest issues facing Procurement today correctly pointed out that there are two main issues: the shortage of attracting talent, and the shortage of retaining talent. But, to be fair, that’s not the biggest issue.

The biggest issue is the lack of training for emerging and existing talent. For years, talent has made the top three issues on Procurement survey after Procurement survey and for years, the investment in talent has been minimal or non-existent. The average university does not have a Supply Chain Management / Procurement program, the average individual looking for a career and funding her own continuing education doesn’t even consider Procurement, and the average subject matter expert (SME) hired into, or transferred into, Procurement barely understands basic Purchasing policy.

So where does an organization expect to get the talent it needs if it is not willing to invest to create that talent? And how does it expect to retain the ration of talent it gets if it does not continually invest in that talent to give it a reason to stay?

Talent is the issue. And will be the issue for years. It’s not a prediction. It’s not even an observation. It’s just reality.

Environmental Damnation 22: Natural EMPs

An EMP, or an electromagnetic pulse, is a short, typically intense, burst of electromagnetic energy that is generally disruptive, if not damaging to, electrical and electronic equipment, and high energy EMPS can even damage buildings and aircraft.

While EMP weapons are a concern, as they could be set off in a terrorist attack, naturally occurring EMPs are of a greater concern as they are often even less predictable and not preventable (whereas an EMP weapon can be prevented if the person holding it can be prevented from setting it off).

Whether one realizes it or not, a number of natural events cause EMPs:

  • lightning
    which is the most common, and well known, cause as it is known that it can fry the electrical and electronic systems of anything it hits
  • solar flares
    intense solar storms, like the one that occurred on July 23, 2012, could knock us back to the stone age; the geomagnetic storm (which occurs when a solar flare hits the earth’s atmosphere) of March 1989 collapsed the entire Hydro-Quebec electricity transmission system
  • earthquakes and volcanoes
    while not likely, an intense earthquake or massive volcanic eruption could (theoretically) cause an EMP similar to that produced by a massive (nuclear) explosion (as electrical discharges have been recorded as a result of earthquakes)

Just when you thought you understood the natural disaster risks in your supply chain, a whole new level of risk, that can decimate the information supply chain that the physical (and financial) supply chains depend on, is exposed.

When we said Procurement is Damned, we meant it!