Financial Strategies to Boost Procurement Savings in the Manufacturing Sector: A SpendEdge Success Story
LONDON: SpendEdge, a global procurement market intelligence firm, has announced the release of their report portfolio on the global manufacturing industry.
While technology is playing a big role in transforming production processes in the global manufacturing industry, a majority of the key industry players are struggling to identify optimal manufacturing cost strategies to deploy the newest innovations in their business infrastructure. An industrial manufacturing project typically entails an indefinite procurement spend, which pose as a major procurement challenge for the stakeholders to morph their current cost strategies to make space for additional investments. Established companies who boast a full gamut of industrial operations are still managing to eke out profits from their customer base.
However, SpendEdge argues that the marketplace is one unforgiving forum where the ability to identify and adapt to new trends defines the success of firms. The Industry 4.0 revolution, which asserts the necessity of adopting automation in the manufacturing process, is mounting additional pressure on category managers who are struggling to revamp their old-school business model to usher in the breakthrough capabilities without loosening their purse strings. A majority of such category managers are finding answers to such procurement challenge in the market intelligence reports developed by the procurement experts at SpendEdge. These reports help in the creation of a tangible procurement strategy along with optimal manufacturing cost strategies that befit the changing trends of this market space. By assessing the potential risks affecting the market, these sourcing and procurement reports recommend a set of procurement best practices that are meant to foster stability while practicing business in this market. (more…)
Category management originated from the retail industry. This retailing and supply management concept involves breaking down the products purchased or sold by a retailer into discrete groups of similar or related products. Category management is a systematic approach to managing a set of products as a strategic business unit. However, recently, category management has been gaining ground outside the retail industry and is being widely used in several public and private sector companies. The motive behind it remains the same; products or services that have similar characteristics and similar supply markets are grouped together and treated as a discrete group. While category management has several known advantages, here our category management experts discuss some of the key challenges faced while implementing it.
Top category management challenges
Getting Stakeholder participation
In several procurement organizations, the stakeholders are either unknown or they are not in close contact with the stakeholders. It is critical to ensure that the stakeholders understand the importance of the category management, which means that they have to put in some work as well. This transforms the stakeholders to active participants and will improve the results for the procurement organization. Without the support of your stakeholders, the results of the new way of working will be disappointing.
Workforce capability gaps
The transformation of an operational department to a more strategic department results in a chance for gaps in the workforce capabilities. This could be because the organization lacks the skills and capability to become the advisor of the business. This situation can overcome by providing specific training and coaching on the skills and capabilities that are needed to the company’s workforce. Furthermore, they can also be provided with coaching-on-the-job, where experts coach the buyers in the new way of working. For capabilities to be enhanced, a budget needs to be made for supporting the training costs for buyers.
Garnering support from management teams
The need for change often comes from the management team of a company. However, during the course of transformation, the same team may display a lack of engagement and operational support. This leads to a transformation that does not fully realize the benefits out of the category management. In order to gain the maximum benefit from category management, there needs to be full support from the management team throughout the transformation. The management team should be available to support with data analysis, value-chain/TCO-analysis, stakeholder meetings, and supplier negotiations.
The SpendEdge Advantage
Businesses can greatly benefit from adopting category management as one of its best practices in procurement. SpendEdge’s category management solutions have the capacity to add value in reducing supply chain risk as well as drive innovation in different supply chain categories. Our category management experts have proven expertise in helping organizations tap into opportunities in order to manage demand, have better cash flow management, and enforce greater compliance of standards from suppliers. Get in touch with us for tailor-made solutions to suit your business.
LONDON: SpendEdge, a global procurement market intelligence firm, has announced the release of their report portfolio on global components and spare market.
Considered indispensable for a range of end-user industries, the components and spare market accommodates the global consumer’s penchant towards newer, better, and cost-effective spare parts. According to SpendEdge’s procurement report on the components and spare market, innovative strides being made on this field is further contributing to the spiraling growth of the components and spare market.
It is the norm of the industry that more the growth, more are the complexities involved in venturing into the market. On that note, the components and spare market witnesses several complexities that are the result of business outlook changes and other socio-economic factors. Such complexities are inhibiting investors from accruing the returns that they expect while they decide on capitalizing on this thriving component and spare market. However, we at SpendEdge, believe that no matter what the size and severity of such complexities, it should not limit one’s business dreams. We believe that with the right procurement insights, the challenges can be converted and leveraged as the drivers of success. (more…)
For modern businesses, change management is an unavoidable aspect. Over the years most businesses seldom made any major changes to their operations. However, the rise of globalization has necessitated the requirement for change for companies that operate on a global scale. This is one of the key factors that have prompted several key global players to embrace change management in order to optimize their transitions. Change management consulting firms provide their clients with consultants to simplify the redirection of resources, budgets and other aspects of business operations. Companies that want to implement significant changes to the operation of their business must take steps to make sure the process is productive. Change management consultants ensure that these companies transition in an effective and efficient manner. The practice of change management consulting relies on several key components including outlining a vision, involving senior leadership, developing a change management plan, engaging stakeholders, creating supportive infrastructures, and accurately measuring progress.
SpendEdge’s Procurement intelligence Report on the ‘Global Organization and Change Management Consulting Market’ furnishes precise insights on the market growth, procurement best practices, top companies, and other procurement related data of the change management consulting market.
Top change management consulting companies
Tata Consultancy Services (TCS) is an Indian company that was founded in the year 1968. The company is a global consulting and IT solutions provider with a talent pool of over 387,200 global employees. TCS has been recognized as a Big4 Global IT Services Brand by Brand Finance. The company operates in over 40 locations across the globe. Their vast global presence helps in the availability of competencies for any technical assistance mission or application project across countries.
This Canada-based company offers an extensive global network that is made up of numerous centers of excellence and strategically located around the world to meet the needs of their clients. CGI’s change management services offer various benefits including stakeholder management, benefit management, business process redesign, communications, and training.
Willis Towers Watson
Willis Towers Watson is a global advisory, broking, and solutions company that employs a workforce of over 40,000 people and is located in 140 countries across the world. The company’s change management experts are known to help clients understand the attitudes, perceptions, and agendas of different employee and stakeholder groups and communicate the company’s plans in an effective manner to these group. The company’s strategies are also designed to help clients achieve their M&A plans.
Genpact is a US-based company that was founded in the year 1997 and currently operates in over 25 countries across the world. It is a global professional services firm that drives digital-led innovation and digitally-enabled intelligent operations for their clients. Genpact began in 1997 as a business unit within General Electric, however, in January 2005, the company became an independent, consequently becoming a publicly-traded company in 2007.
SpendEdge’s procurement report on the ‘Global Organization and Change Management Consulting Market’ offers actionable insights on the factors impacting the cost in the industry, top companies in the change management consulting market, and tips to improve procurement efficiency.
Advancements in technology, business practices, and consumer demands have brought about a wave of changes in procurement. With time, procurement’s role in business is changing. In most organizations, procurement is now considered a strategic contributor to an enterprise’s growth and performance. Furthermore, the rise of new procurement trends has resulted in considerable changes in the procurement functions. There are several revolutionary procurement trends that we see today, but it is also important to recognize, acknowledge, and perhaps even leverage them as we work to improve the entire procurement cycle. According to the industry experts at SpendEdge, here are some of the top procurement trends that all set to take off in 2019:
Procurement trends 2019
Digitization and blockchain
Blockchain is one of the hottest topics across various industries right now and is soon set to become one of the most sought-after procurement trends. Blockchain technology is believed to play an integral role in shaping the transparency of a supply chain. This technology would make it possible to easily share and transmit information in a safe manner across the supply chain. Furthermore, consequent to blockchain’s increasing influence, there is a predicted rise in digital adoption and use of the cloud.
One of the procurement trends that companies can expect in 2019 is a shortage of qualified talent. Through 2020, the jobs in procurement and logistics are excepted to shoot up by over 20%. Some of the key factors contributing to this include – changing skill requirement, aging workforce, lack of development, and the common perception that supply chain jobs lack excitement. As the role of procurement is changing in most enterprises, the requirement for additional skills sets such as soft skills, critical thinking, and creativity are also growing.
Corporate social responsibility (CSR)
Over the last few years, CSR has become a procurement criterion in its own right. The rising popularity of CSR among procurement organizations is expected to make it one of the key procurement trends in 2019. This trend is particularly noticeable in the public sector as public purchasing policies are based on European directives, and in large businesses with more than 5000 employees as their responsibility is scrutinized more closely and their larger workforces allow for it too.
In the past few years, the cyber-attacks have skyrocketed at an alarming rate in the U.S. To make it worse, cyber-attacks are growing in size, sophistication, and cost. So, there is little doubt that such malicious practices will continue to plague organization in 2019. In response to the threat, procurement teams must aggressively identify ways to protect the sensitive personal and financial information belonging both to their own organizations and to their suppliers.
Gain more insights into SpendEdge’s best-in-class procurement solutions for business
Globally, the quality of health care services has improved a lot over the past few years. Today, the researchers have found solutions for many diseases that had no cure or could not be treated earlier. Such improvements in health care quality are primarily because of the immense growth in healthcare procurement processes that include segments like clinical research and medical equipment procurement. Despite the strong growth of the healthcare services industry, the suppliers in this sector are facing numerous procurement challenges. In this article, we have listed down some of those challenges that you must know if you are a healthcare organization. But before exploring those challenges, let’s understand a bit about procurement.