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Companies leaning heavily on global sourcing? Theyre feeling the heat most, as sudden trade policy curveballs throw procurement plans into chaos. manufacturer I know saw their import costs jump overnight, forcing a rethink of a decade-old sourcing strategy. What Is Agile Procurement? Agile procurement is your lifeline.
Home Introducing Freightos Enterprise: End-to-End Procurement, Benchmarking, and Management Freightos Enterprise unifies market intelligence, tender management, and shipment operations into one solution, enhancing logistics efficiency for large import-export businesses.
Strategic sourcing and innovative solutions are often viewed as two distinct procurement tools, but they should not be seen in isolation. Think of them as apples and gearseach essential and effective on its own, yet when combined; they create a formidable mechanism for achieving procurement excellence.
Home Introducing Freightos Enterprise: End-to-End Procurement, Benchmarking, and Management Freightos Enterprise unifies market intelligence, tender management, and shipment operations into one solution, enhancing logistics efficiency for large import-export businesses.
For example, an ERP for automotive distributors needs to include not just a standard sales function but also allow for automotive-specific processes like call-offs and contract pricing, as well as other processes like returns and lot traceability. What is automotive distribution? What is automotive distribution?
Autoliv is the world’s largest safety system supplier in automotive industry. It supplies airbags, seatbelts, and steering wheels to most of the Automotive OEMs – companies like Renault/Nissan, Volkswagen, etc. in turn, is a boutique procurement consultancy. The implementation was not trivial. And we are making progress.
Fictiv’s Global Manufacturing Supply Chain brings together AI-driven technology workflows, a world-class global manufacturing network, and teams of local manufacturing experts to simplify sourcing for custom mechanical components. Fictiv brings exceptional talent, proven technology, and a shared commitment to innovation.
At the same time, the Chief Purchasing Officer (CPO) has taken on a pivotal role by securing Personal Protective Equipment (PPE) to protect the workforce and direct materials when primary sources fail. As disruptions become the norm, Supply Chain Planning and Source-to-Pay (S2P) cycles need to be increasingly dynamic and intertwined.
When you consider the increasing complexity of the automotive supply chain, collaboration continues to play an important role. Reasonable linking of various data sources (= intelligent integration) in order to have continuously-updated data with high significance and quality instead of fragmented and isolated information.
Home Introducing Freightos Enterprise: End-to-End Procurement, Benchmarking, and Management Freightos Enterprise unifies market intelligence, tender management, and shipment operations into one solution, enhancing logistics efficiency for large import-export businesses.
Earlier in his career, Trey was part of the Flexport Atlanta founding team and led Kuehne + Nagel’s account management group where he helped design and operate automotive, high tech, and industrial manufacturing supply chain solutions. Trey and the Amplio team believe that sourcing electronic components should be easy and predictable.
In todays complex and often volatile global environment, procurement leaders face mounting pressure to cut sourcing costs while navigating geopolitical instability, inflation, tariffs and talent shortages. The truth is, sourcing smarter isnt just about softwareits about strategy, support, and best practices.
With LeanDNA, manufacturers in industries that include aerospace, industrial, automotive, and medical know they will get the right part in the right place at the right time. LeanDNA is a cloud-based supply chain execution platform that helps discrete manufacturers digitally transform their procurement operations.
Or the automotive firms, who watched Tesla with the condescending view that electric cars would just be a fad, until they also realised the true potential. What does this mean for procurement and supplier management? That’s not something many procurement professionals traditionally consider. .
Procurement, activities such as strategic sourcing, are one of the main processes in the supply chains that can generate a positive impact on companies by giving them a competitive advantage in the market. Strategic sourcing can help supply chain leaders identify potential risk factors and develop procurement mitigation plans.
Obsolescence hits hardest in sectors like automotive, where model updates are frequent. These technologies are ideal for creating metal parts with tight tolerances, often required in sectors like aerospace, defense, and automotive. Businesses need to redesign how they source materials, manage logistics, and coordinate fulfillment.
While the past focus was primarily on minimizing supply chain costs in a global free-trade environment, todays supply chain leaders must prioritize flexibility, build in additional redundancies, and create strategic sourcing options for rare materials, components, and technologies.
Insights from a Former Procurement Manager People often ask me why I left FORVIA, a French global automotive supplier, to join QAD. As organizations strive to remain competitive, the need for efficient procurement processes has never been more critical.
The automotive industry has shown itself to be brave in recent times, in all areas but one: the supply chain. In order for logistics, procurement and distribution to align with the general advancements of the industry itself, these critical areas must give in to a more comprehensive transformation.
Concurrent supply chain planning is required for the company to navigate uncertainty and expand into new markets of automotive, computing, and connective intelligent edge. Brent pointed out that Covid created small interruptions for many companies in terms of sourcing semiconductor chip materials.
What we learned about agility and resilience can be applied to future-proof the source-to-pay (S2P) process and help organizations meet any new challenge with confidence. The job of sourcing professionals is to understand the risk in the supply chain and manage it so they can react quickly when a problem occurs.”
Procurement is one core process area being focused to better manage today’s fluctuating change, with key performance metrics leading the way to assessing and managing procurement performance. The Basics of Procurement KPIs. Every KPI needs a clearly defined goal. Supplier KPIs.
Supply chain efficiency is the cornerstone of success and involves the effective management of processes, resources, and technologies from procurement to production, transportation to warehousing. In the automotive sector, manufacturers are simultaneously reducing inventory costs and delivery times.
So we dig deeper and found that one of the earliest articles about this was " Electronic data interchange in the automotive industry: managing information flows for greater profitability " by Jerrold Donington (1995). For example, procurement people always monitor incoming material closely.
” – Sir Winston Churchill Having just returned from the 2023 Automotive Logistics and Supply Chain Global conference in Detroit, these words are very fitting to encapsulate the essence of the event. The automotive industry faces fierce competition in attracting and retaining top talent. “Never let a good crisis go to waste.”
Last week, after booking an additional $1B in unexpected supplier costs in the third quarter, the CFO led the company’s focus on restructuring to “support efficient and reliable sourcing of components and internal development of key technologies and capabilities.” What is the issue? These capabilities do not exist at Ford.
With the digitization of the source-to-pay process being a key initiative for many chief procurement officers, to the inherent automation which promises to accelerate innovations such as artificial intelligence (AI), digitization is growing. However, it is fundamental to empowering procurement success in the modern age.
In my previous posts, I looked at how to successfully launch a digital transformation and progress to best-in-class Procurement. Global automotive component supplier Meritor is a great example. Procurement was tasked with supporting a board level initiative to accelerate innovation and increase margins. Alex Saric, CMO, Ivalua.
Ivalua Spend Management Insights [ivory-search] Procurement in the Age of Uncertainty: 4 Lessons from the New Forrester Study May 9, 2023 | | Innovation by Alex Saric In today’s age of uncertainty, procurement departments are under tremendous pressure. Fortunately, the report shows that procurement is putting actions behind words.
In addition, poor visibility, unpredictable demand, and disjointed systems worsen the situation further and lead to inefficient procurement, misplaced stock, and emergency orders. This slows down response times, and also increases the chances of inaccuracies due to human error/bias. Business Challenges Addressed by ThroughPut.AI
On the positive side, companies such as a small manufacturer of advanced plastic components used across various sectors, such as medical, industrial, automotive and consumer products has experienced increased interest from clients eager to purchase American-made goods.
This resilience can be defined as “ the ability of a central procurement and supply management function to prepare for unexpected events, respond to disruptions, recover, and emerge even stronger. ” Manufacturers cannot foresee every risk, inconvenience, or disaster, but they can equip themselves to handle the unexpected and come out on top.
Or a personal health situation arises like a batch of peanut butter becoming contaminated with salmonella or children’s toys being contaminated with lead paint, where the regulators have difficulty identifying the source of the problem several tiers upstream in the supply chain.
These rapid changes are creating uncertainty for logistics professionals, procurement teams, and trade compliance experts who now must monitor updates almost daily. Lack of communication between logistics, procurement, and accounts payable departments. Overreliance on freight forwarders without independent post audit validation.
The automotive supply chain is undergoing a seismic shift. In a recent Auto Supply Chain Prophets podcast episode , Megan Hunter, Executive Vice President of Procurement and Supply Chain Operations at Martinrea International, shared invaluable insights on navigating this evolving landscape.
Supply chain processes include procurement from source to pay, together with inbound logistics, production, quality control, outbound logistics and post-sales service. This recognizes the interconnected nature of procurement, production, logistics, and distribution. A supply chain is thus a complex sequence of operations.
As a leading vendor of procurement technology and solutions to manufacturing companies around the world, JAGGAER is witness to these changes as they happen, and even before they happen. AI is transforming every aspect of our professional and personal lives, yet nowhere more so than in manufacturing.
Those industries include data communications, medical, industrial, automotive and consumer electronics. The data from Infor Nexus also helps the transportation teams do better carrier sourcing. That increases the value of the analytics used by the procurement team. Further, historically Molex had a focused sourcing strategy.
Take supplier collaboration in the automotive industry, for example. In the automotive industry, instead of creating a surplus of inventory in advance of need, collaborating with suppliers on just-in-time (JIT) inventory management can help reduce inventory storage costs and minimize waste. Price per mile is only a starting point.
As a former buyer specialist turned Presales consultant for QAD, Ive seen firsthand how Supplier Relationship Management (SRM) solutions can transform procurement processes. Moreover, we were unable to carry out the buyer’s most crucial action: sourcing appropriately with suppliers on the platform.
A slight change within a function–in sourcing or manufacturing, or along the chain–can greatly impact the outcomes of cost, customer service, or working capital. Let’s take a closer look at sourcing. PFEP optimizes the policies that define how to procure each part. Days of Inventory by Industry Across Years.
This study identified the five most disrupted industries in 2024 to be Life Sciences , Healthcare , General Manufacturing , High Tech , and Automotive , marking the fourth year in a row that these particular industries have been the most impacted. government as well as potential retaliatory measures by other countries.
Managing Director, Art of Procurement. Everything procurement delivers – from savings to risk mitigation to value – is predicated on having access to clean, trustworthy data. He gave a keynote presentation about his company’s procurement and supply chain transformation journey – one that is still underway.
This division makes automotive spare parts, so the competition was to secure semiconductor chips. These “events” are turned into supplier scores, and if significant the score goes flagged in the Oracle procurement system. At Coupa supplier risk is also flagged for single source or capacity constraints.
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