Sourcing – What You Need To Know About Coronavirus Supply Chain Disruption

Gravity Supply Chain

Sourcing: Mitigate risk during periods of supply chain disruption, such as those caused by the Coronavirus outbreak, by using digital technology. . The post Sourcing – What You Need To Know About Coronavirus Supply Chain Disruption appeared first on Gravity Supply Chain.

Catastrophic Impacts of COVID19 in Bangladesh Apparel Supply Chain


An article written by my former PhD student, Rejaul Hasan, and I just came out this week in Contracting Excellence , the journal published by IACCM, which documents the catastrophe that is unfolding in Bangladesh, one of the world’s major exporters of garments for the apparel sector. But in Bangladesh, 90% of the jobs come from the apparel sector where workers rely on daily wages and now their lives have stopped!

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COVID-19: Implications on inventory planning, sourcing and procurement


What we’ve seen is a huge deterioration in the apparel sectors. We need to look at alternative sources of procurement, of production, alternative factories, alternative countries. As demand rides a rollercoaster in the last few months, huge adjustments have been asked from businesses in every corner of the world and sector.

Bangladesh Catastrophes Drive Ethical Sourcing Initiatives

Logistics Viewpoints

Sourcing to low cost destinations is not a new development and Bangladesh has been a favored destination of apparel brands and retailers. This incident, and three others during 2013-14, challenged the sourcing strategies of large […]. Procurement/Sourcing Sustainability Rana Plaza Sustainable sourcingBut incidents like Rana Plaza disaster (an eight-story factory collapsed, killing over 1,000 workers) brought to light non-existent safety measures.

Maintaining Brand Equity in Extended Supply Chains

Logistics Viewpoints

For large apparel and retail companies, the treatment of labor in sweat shops in third world countries presents a critical set of issues. This article discusses new crowd sourcing apps that could allow brand owners a tool to better protect their reputation. Labor Procurement/Sourcing Retail Social Media Supply Chain Risk Management brand equity corporate responsibility extended supply chains

Sourcing promotional products the right way


However, it is important for companies to manage the process of sourcing promotional goods effectively. A lot of time and energy can be spent inefficiently sourcing the goods, which can be bought from a huge variety of suppliers at vastly differing prices and quality. So what is the right way for companies to source promotional goods effectively in order to maximise the considerable benefits promotional products offer? Source: PPAI Sales Volume Study Summary.

Why a Cashmere Sweater Can Cost $2,000 — or $30

Supply Chain Brain

Quality & Metrics SC Analysis & Consulting Global Supply Chain Management Apparel Retail All Technology Sourcing/Procurement/SRM Home Page Latest News Home Page Slider Featured ContentMade from the softest wool produced by certain breeds of goats, such as the Zalaa Ginst white goat and Tibetan Plateau goat, cashmere was once reserved for the wealthiest fashionistas. Napoleon Bonaparte’s wife helped popularize the fabric.)

Managing the Procurement of Promotional Goods and Services


Claritum Article - Procurement Blog. Problems with current sourcing methodologies. Sourcing the right way for Promotional goods and services. However, it is important for companies to manage the process of sourcing promotional goods effectively. Plus, the risks to a brand of sourcing from unethical sources is an increasing problem for organisations. Source: PPAI Research. Source: PPAI Research. Contents. Introduction.

Global Sourcing and Human Rights Go Hand in Hand


Low-cost country (LCC) sourcing is now a commonplace strategy for shrinking bottom line labor and material costs in most consumer products industries, including apparel, footwear, toys, and other manufactured products. The on-going tariffs levied by the Trump administration in 2018 against China has also made this option significantly more expensive for sourcing.

The drive for a New Wave of Easy-to-use Procurement Products


Claritum Article - Procurement Blog. As featured in the ‘ The 10 Most Innovative Procurement Solution Providers ’ article published in the September 2017 Insights Success Magazine , Claritum discuss the drive for a New Wave of Easy-to-use Procurement Products…. Procurement of relatively low cost, unpredictable products and services is still highly manual, inefficient, and error prone.

Seasoned Leadership in Action™ – An Interview with Danny Wang, VP at Canada Goose!

Supply Chain Game Changer

Hey Procurement! This interview is with Danny Wang, Vice President of Sourcing and Procurement at Canada Goose. We worked in the Commodity Management organization, responsible for Strategic Sourcing and Procurement. And Danny’s work in sourcing and procurement is at the centre of making that happen. In my current world of managing suppliers, sourcing goods and identifying opportunities to save money, the principles have remained the same.

600 Dead in Bangladesh: Is there a soul to the enterprise?

Supply Chain View from the Field

Demonstrators are protesting apparel offices (such as Gap’s offices in San Francisco) to demand better working conditions in Bangladesh factories. This is a difficult set of decisions for apparel companies. Some, like Disney and Nike, have announced that they simply won’t buy any apparel produced in Bangladesh. A big order was due for Benneton and Loblaws, who like other retail apparel manufacturers, worship the deity of perfect order fulfillment.

Analyzing Product Costs: A Question of ‘What If’

Supply Chain Brain

Take the relatively simple task of determining the true cost of a piece of apparel or other manufactured retail item. In addition to obvious elements such as the price of materials and labor, the correct decision must take into account such factors as weather, tariffs and border taxes, political and economic instability in source countries, and the impact of travel restrictions and visa charges on global talent.

What will it take for your company to establish a Sustainable Procurement Policy?


which effectively persuaded the largest toy company in the world to promise to establish a sustainable procurement policy. The campaign leveraged the face of Barbie, perhaps one of the most recognized dolls across the globe, to tell the story in 18 languages of how the Barbie packaging is sourced from suppliers which contribute to deforestation. Last week Greenpeace launched a global campaign against Mattel Inc.

Managing supply chains in a fragile environment

Supply Chain View from the Field

A major provider of apparel is seeking to bypass 3PL in the hopes of taking out costs, but are in fact being bypassed themselves by the retailer. Gerard talks about managing the tail – the stuff you have to do that is the normal procurement stuff that has to get done. Forecasting Strategic Sourcing Supplier Relationship Management Supply Chain Management

So Your Supply Chain is Banning Bangladesh….and Going to Cambodia?: “The Ugliest Race to the Bottom”

Supply Chain View from the Field

Companies like Nike and Disney have publicly stated that they are not going to Bangladesh for apparel sourcing in the future. In Thailand, workers at a factory producing Nike apparel were forced by military personnel allegedly hired by the manufacturer to sign a petition allowing them to be paid less than the minimum wage of $4 a day. This is nothing short of slave labor, and apparel companies are going to have to come together as a group and drive community-based changes.

7 Rules of Fashion Supply Chain Management

Supply Chain Opz

In 1984, US Apparel Industry created the task force called " Crafted With Pride in the U.S.A. One year later "Kurt Salmon Associates" was assigned to investigate the whole apparel supply chain. 2) Centralize design and product development : the norm in the apparel (and some other) industries is to develop new products by both in-house staffs and through merchandisers.

The business case for extending sustainability in the supply chain: The Burt’s Bees Story

Supply Chain View from the Field

The brand was also key – Burt’s Bees needed to ensure it was sourcing raw materials using sustainability materials and labor rights. As we expanded into larger markets, we needed sources that were sustainable. The goal was to develop a responsible sourcing strategy. For example – whyisn’t bees wax sourced in NC? Procurement Sustainability Supply Chain Strategy Sustainability

If you can measure it then you can manage it


Claritum Article - Procurement Blog. If you can measure it then you can manage it” This statement is so true in the procurement field. Procurement is fundamentally in the intelligence business, and since information is at the core of intelligent decision making, you need to be really good at efficiently gathering and transforming data into information. Procurement needs to have real time data on the entire supply chain. Uniforms and Apparel.

Bangladesh Working Conditions: A Human Rights Issue? Or a Supplier Capacity Issue?

Supply Chain View from the Field

A recent discussion with supply chain executives in the apparel industry reveal that the problem is a tricky one to solve – and may be a function of other decisions being made by apparel manufacturers that have nothing to do with labor human rights in the supply chain. This is not only an industry standard, but is now considered an essential element of low cost country sourcing, thanks to the pressure on retailers.

Bristlecone Flash – February 2019


AMERICAN CORPORATE APPAREL COMPANY SELECTS BRISTLECONE. In January, Bristlecone kicked off an end-to-end supply chain assessment and diagnostic project for a provider of corporate apparel and business services. BRISTLECONE DEPLOYS SAP ARIBA STRATEGIC SOURCING SUITE. It took a mere 18 weeks for Bristlecone to lead a Middle Eastern steel manufacturing client on a transformation journey that took them from manual processes to a powerful new procurement solution.

Bristlecone Flash – May 2020


Bristlecone has introduced several new fixed-price, fixed-scope offerings for SAP products across supply chain planning, procurement and execution. SAP ARIBA: Bristlecone Industry-Specific Tactical Sourcing (BITS) – Introduces industry best practices into tactical sourcing, accelerates SAP Ariba Guided Buying deployment and adoption, and enhances user experience. Application support and monitoring for corporate apparel leader.

Don’t Underestimate the Importance of Scope 3 Targets

EHS Sustainability Knowledge at Work

With apparel brands, for example, up to 90% of emissions come from the value chain, and while multi-tenure landlords are making efforts to cut emissions from their offices and fleet, this is dwarfed by their oft-reported +99% Scope 3 emissions. So, as the report points out, this is an as-yet largely untapped source of cost savings from carbon emissions.

2020 Requires Big Wings and Feet

Supply Chain Shaman

Most can only measure functional costs—transportation, manufacturing, and procurement. Popular techniques included business process outsourcing, contract manufacturing to reduce the cost of labor, low-cost country sourcing, tax efficiency projects, and the elongation of payables to improve cash-to-cash. Apparel is an example. Results of Financial Reengineering Fails the Apparel Manufacturing Industry. . #8 It has been awhile.

Let the Qs Begin

Supply Chain Shaman

The script will be distributed to CFOs of apparel, consumer packaged goods, and food/beverage companies next week. There are three reasons why: Vertical excellence—having the best manufacturing, procurement or transportation function—has not worked. How do you balance the trade-offs between source, make and deliver? Last week was the Supply Chain Insights Global Summit. It was great to see old faces at the kick-off. 110 supply chain leaders attended.

Why investors are looking at supply chain technologies in 2020


Insiders joke (quite fairly, as it turns out) about billion-dollar procurement-management-disposition cycles that are managed in spreadsheets. In the procurement space, what I want to be able to assess is risk management.

Risk v Rewards - Making the Right Decisions in Global Supply Chain Planning


On the supply side, companies began looking for lower-cost sources from different geographies. Whether it was the US going to Asia or the EU going to Africa or the Eastern European countries to procure lower cost components, this concerted effort created a coordination challenge across a vastly extended supply network. A crucial question everyone faces is: Is there a cheaper source? The last twenty years have seen amazing expansions in global supply chains.

Risk v Rewards - Making the Right Decisions in Global Supply Chain Planning


On the supply side, companies began looking for lower-cost sources from different geographies. Whether it was the US going to Asia or the EU going to Africa or the Eastern European countries to procure lower cost components, this concerted effort created a coordination challenge across a vastly extended supply network. A crucial question everyone faces is: Is there a cheaper source? The last twenty years have seen amazing expansions in global supply chains.

The Green Supply Chain: True Sustainability or Just One Big Marketing Stunt?

Supply Chain Game Changer

One of the elements of SCM that holds a lot of weight in the outcome of a green supply chain is procurement and sourcing methods. Procurement is a function that often creates a direct link between buyer and supplier. Green procurement was a highlighted element of the report, and while responsible and sustainable procurement has become a growing concern of these companies, their suppliers aren’t exactly as enthusiastic. Subscribe Here! Email Address.

Top 25 Supply Chains of 2018

Material Handling and Logistics

Source ID. Source ID. Debuting at # 24 is footwear and apparel company Adidas (arch-rival Nike has been a Top 25 mainstay for years). Source ID. Source ID. In particular, the company has been criticized for its long-time practice of using local water sources for its products. Source ID. over the past dozen years thanks to a reduction in its energy consumption and an adoption of alternative and renewable energy sources. Source ID.

Taking the Hill

Supply Chain Shaman

Apparel is actually moving backwards. Industries that have formed cross-functional leadership teams combining source, make and deliver together have made the fastest progress. In parallel, when supply chain concepts are well-integrated into the design of trading partner relationships by both sales and procurement, there is an acceleration of value. For most companies, growth has slowed. Profits are sluggish. Complexity reigns and cycles are longer.

How Europe is Coping with Supply Chain Disruption


Define your procurement response strategy. For many years large enterprises have taken it for granted that trade barriers are low and the name of the game was to achieve competitive advantage, for example by offshoring production, building not buying, saving on inventory with just-in-time production, and sourcing from low-cost countries. It makes more sense to source from several suppliers with some spare capacity rather than just the one or two who are most cost-efficient.

Does Low Cost Spend Control Matter?


Claritum Article - Procurement Blog. Procurement Control. Uniforms and Apparel. To bring this under control, whilst continuing to focus on wider Strategic and Direct Spend issues, is the challenge faced by Procurement. Specialist Procurement Service Providers (PSPs) can provide the necessary service and their costs can be assessed against an insourcing approach for the organisation. Rules and access rights would be under Procurement control.

Visibility and Control is the key to Complex Spend Management


Claritum Article - Procurement Blog. There are unique challenges and opportunities presented by complex, frequently ordered categories of Indirect expenditure, such as marketing services, print, packaging, uniforms & apparel, office supplies and related products and services. Although, AI and Block Chain will have their place in the Procurement world, it is important that you get the basics right first before exploring these more advanced technologies.

What I Have Learned Teaching Courses on Market-Driven Value Networks

Supply Chain Shaman

It senses, translates, and orchestrates market changes (buy- and sell-side markets) bidirectionally with near real-time latency to align sell, deliver, make and sourcing functions. I do not think that this will happen through the repurposing of indirect procurement networks (e.g., One of the favorite parts of my job is teaching classes on how to take supply chain concepts to the next level to improve corporate performance.

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