Stop Thrashing Your Suppliers: Focus on value and profits, not just cost, in the sourcing process

Because external spending is the largest cost center for most companies, many firms have done the obvious things to cut costs in procurement, such as renegotiating contracts with suppliers and consolidating big-volume purchases. But these tactics, which focus on one-time supplier price reductions, cannot drive long-term performance gains.

Managers need an approach that allows them to realize and sustain high returns on their investment in improving … [ Read more ]

Just in Case: Balancing risk and return in global supply chains

As you push deeper into uncharted supply chain territories, managing risk becomes critical. Executing the supply-to-market strategy and tactics that best support your business requires investment in new forms of internal analysis and a willingness to make decisions that fly in the face of organizational precedent.

Risk and Reward in Supply Chain Management

What should you be doing to manage supply chain risk? As supply chains grow ever more complex, the question has never been more difficult to answer.

No Nasty Surprises: Anticipating the hidden risks of outsourcing

As more companies move to outsource services currently performed in-house, they’ll likely encounter a slew of risks, some of which become clear only when something goes badly wrong. Managers will have to mitigate these risks in order to reap the substantial benefits that outsourcing provides.

Outsourced, But Not Out of Mind: Turning contractors into strategic partners

Outsourcing services to a third party is typically done to reduce costs. But it also holds many hidden risks. Our best-practice research shows how managers can address these risks and move beyond a cost focus to create value that delights customers.