10 Key Logistics & Procurement Supply Chain Practices to Know and Master to Reduce Spend.

Cerasis

However, following these 10 practices can help you learn how to reduce spend in the procurement supply chain. As a result, an external benchmarking tool , explains Olga Rissin of CHAINalytics , offers the benefits of reducing internal spend and accessing outside data, which further drives competitive advantage and lower spend in managing the procurement supply chain. However, 48 to 72 hours would be an ideal lead time, reports Steve Raetz of Logistics Viewpoints.

Procurement Logistics: What Is It & Where Do Logistics Providers Fit In?

Cerasis

Many different terms, such as less-than-truckload (LTL), procurement and transportation management, describe supply chain management processes. Although procurement logistics might sound like it involves the purchasing of manufactured products , it is much more involved. The Definition of Procurement Logistics. The simplest way to think of procurement logistics is the procurement of materials needed to manufacture products. Logistics

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Why Supply Chain Managers & Procurement Should Collaborate

Cerasis

The roles of logistics and procurement in an efficient supply chain cannot be overstated. According to Paul Myerson , reports Industry Week, up 70 percent of a company’s costs come from procurement and logistics operations. However, both logistics and procurement often become isolated in modern companies, resulting in inefficient practices and a sluggish production value. Supply Chain Managers and Procurement Professionals Avoid the Conversation.

21st Century Procurement Skills (Guest Post by Christoph Flöthmann)

SCM Research

Our guest post today comes from Christoph Flöthmann, an expert in strategic and digital procurement, who has recently co-authored a new report. Digitalization already has a major impact on procurement, as we write in our new report: 21st Century Procurement Skills. This is ultimately driving procurement effectiveness, efficiency and compliance. Practice Research Digitalization Procurement Report

Speed, Collaboration and Innovation – Key Words for the New Procurement Decade

ivalua

Competitors or new market entrants can use it to attack you these days – you don’t need a chain of retail shops on the high street, just a good idea, a great website and an outsourced logistics operation. What does this mean for procurement and supplier management? That’s not something many procurement professionals traditionally consider. . The post Speed, Collaboration and Innovation – Key Words for the New Procurement Decade appeared first on Ivalua.

Digital Procurement Improves Supply Chain!

Supply Chain Game Changer

Digital Procurement article and permission to publish here provided by Katherine Barrios of xeneta.com. The Hackett Group has recently released their analysis of their procurement benchmarking database. It demonstrates the advantages of working with a digital procurement strategy.

10 Tips Shippers Can Use to Reduce Costs in LTL Procurement with Better Request for Pricing Bidding

Cerasis

As a third-party logistics company focused on over the road transportation management, and having an LTL rating engine and web-based TMS for nearly 20 years (web-based even before Google!), at Cerasis, we know a thing or two about the nuances of LTL procurement. LTL procurement is something we do very well. So we thought we would impart upon all the shippers out there some tips on how to reduce overall costs for effective LTL Procurement. Logistics LTL ltl procuremen

Procurement and Suppliers on the Same Page: How to Craft an Effective Terms & Conditions Sales Document

Cerasis

Editor's Note: Today's blog is the second part of Chuck Intrieri's series on how procurement and suppliers can avoid issues with their contracts. Procurement and suppliers often assume that small print is highly complicated legal jargon that is both boring and largely irrelevant. It Would Benefit Both Procurement and Suppliers To Write in a Clear, Friendly, and Organized Manner. Procurement

How to Procure Full Truckloads in Tight Capacity

Cerasis

Unfortunately, the use of full truckload shipments and expenditures have hit an all-time high, reports Kate Patrick of Supply Chain Dive. These rates will have natural implications for smaller shippers seeking to lower overall transportation and freight spend, and paired with a “blurred lines between peak shipping and shopping seasons,” shippers will experience increasing trouble when trying to procure full truckload capacity. Conducting annual procurement exercises.

Want better supplier adoption of your procurement portal? Start by asking your own sales staff.

OneSCM

A good portion of the value provided by automating procurement and payables processes comes from the labor and cost savings generated from fewer errors and less manual work. The procurement portal has to have enough transactional volume running thru it. For companies of this size and influence, supplier adoption of the procurement portal simply becomes a criteria for inclusion in the company’s approved vendor list (AVL).

Procurement – How to Enable Spend Aggregation!

Supply Chain Game Changer

Check out Procurement: The Spend Aggregation Obstacle Course! Aggregating your procurement spend for the purpose of delivering greater value is a sound objective. We discussed these in greater detail in our post Procurement (Part 1!) – The Spend Aggregation Obstacle Course! I have been in the Procurement organization trying to get our arms around spend. This may be the head of Procurement, the CFO, the COO or the CEO. Clear Reporting.

Sustainable Logistics: Quantifying Sustainability Measures of Your Logistics

Cerasis

Calculating the carbon footprint of a company’s comprehensive logistics framework is tremendously complex. Creating more sustainable logistics is even more important for the trucking industry. Sustainable Logistics | Quantifying Sustainability Measures of Your Logistics. LTL gets even trickier according to a report by C.H. Robinson and the MIT Center for Transportation and Logistics. Logistics

Tips for Effectively Managing E-Commerce Logistics

Cerasis

Yet, as few as 33 percent of shippers have taken advantage of a transportation management system (TMS), reports Michael of Levans of Logistics Management. In order to manage e-commerce logistics and maintain cost efficiency, shippers need to know the challenges in managing e-commerce logistics, how a TMS can help, and a few tips to streamline the process. What Are the Challenges in Managing E-Commerce Logistics? E-Commerce Logistics

Report Points to Increase of Shippers Outsourcing Transportation Management Due to These 4 Core Benefits

Cerasis

Consider the many shippers who have outsourced transportation management and other logistics functions to third-party logistics (3PL) providers the past few years. A distributor or manufacturer’s strength is in making product—its focus is procurement and streamlining production, but without the capability to fulfill orders, it is doomed. third party logistics industry was at a healthy 4.5 Businesses today often need a bit of help moving their bottom line forward.

This Week in Logistics News (June 20-24, 2016)

Talking Logistics

A beautiful woman passed away this morning, my wife’s aunt who we all loved, so I will be brief with my comments about this week’s supply chain and logistics news. Logistics in Transition: U.S. Business Logistics Costs Slow Considerably with 2.6% Triumph Business Capital Provides Instant Cash Funding Via AscendTMS™ Logistics Software. Cass Freight Index Report – May 2016. business logistics costs rose to $1.48

What Does Augmented Analytics Mean for Procurement?

Jaggaer

Read up on How Augmented Analytics Will Transform Your Organization: A Gartner Trend Insight Report. And that, of course, includes procurement professionals. So, let’s examine Gartner’s words in more detail, but from the specific perspective of procurement. As is well known, procurement generates massive volumes of data. In the past, if a procurement professional wanted to run a query against data to determine what might happen in future (e.g.

What is Procurement’s Place in the Value Chain?

Supply Chain Game Changer

Where does Procurement stand in your organization’s Value Chain? I speak with Procurement, Sourcing and Purchasing professionals every day, from various globally functioning organizations, and there’s a resounding similarity in every one of those conversations…. Procurement is?—?still?—?largely Simple answer: Traditional C-Suites don’t typically see procurement as a profit-creator or market differentiator, but rather a capital saver and money spender. Subscribe Here!

The State of Supply Chain Trends Part II: AI, Procurement, & the New Lean

Cerasis

From artificial intelligence to refocusing on procurement, the state of supply chain continued to explode throughout 2016, and you need to understand why. A 2016 Accenture survey, reports RF Gen , explained how more companies are taking advantage of AI benefits through linked supply chains. Another key player in the 2016 state of supply chain report was the move away from rigid, lean processes to agile methodologies. Procurement’s Role Did Become More Important.

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Top 15 Logistics Blog Posts of 2014

Cerasis

We continue our top blog posts of 2014 from our main categories today by focusing on something at Cerasis we are experts in : Logistics. If you are familiar with the term logistics, then you undoubtedly know it conjures up a different meaning to different people , different countries, and different companies even. There are countless number of logistics service providers who offer many different types of broad and niche services. Top 15 Logistics Blog Posts of 2014.

The Top 6 Trends in Logistics Impacting Shippers in 2017

Cerasis

The election is over, but the race is just starting for logistics providers. From Amazon to hyper-local retailers, 2017 will be a year of intense scrutiny and pressure on logistics providers. Fortunately, your organization can get ahead of the learning curve by knowing what trends in logistics to watch for this year. The Top 6 Trends in Logistics Impacting Shippers in 2016. Autonomous Trucks Will Drive Logistics Forward. Logistics

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Why The Time Is Now for Sustainable Procurement

Jaggaer

Earth Day (April 22nd) is a celebration of commitment to creating a safer, healthier and cleaner world, making it a natural time to reflect on the power and value of sustainable procurement programs. Procurement teams are in a unique and important position to drive such initiatives forward as these improvements are only possible through actions taken in the supply chain. Procurement at the pivot point. Clear steps to sustainable procurement.

IKEA’s IWAY Has Lessons For Every Procurement Team!

Supply Chain Game Changer

Check out Procurement Report Card: Most Executives Think Procurement Isn’t Strategic Enough! Looking back on the training process, our research, strategy, implementation and evaluation methods closely mirrored supplier relationship management and procurement management. If you don’t have a Supplier CoC, I’d strongly suggest looking into developing one with your sourcing and procurement team. Subscribe Here! Email Address.

Trends & Strategies in Logistics and SCM

Supply Chain Movement

2013 Trends and Strategies in Logistics and Supply Chain Management: Embracing Global Logistics Complexity to Drive Market Advantage. The key results of this study by BVL International on trends and strategies in logistics and supply chain management are summarized, as follows. They are based on 1757 responses collected in an international survey from supply chain executives (including logistics service providers (LSPs), retailers, and manufacturing companies).

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Blockchain and Reverse Logistics: Recapturing Costs and More

Cerasis

The costs of reverse logistics amount to more than $750 billion per year, and the demand for reverse logistics has risen in recent years with the rise of e-commerce. According to Stacy Rudolph of Business to Community, up to 30% of all products ordered online become returns, placing an insurmountable burden on reverse logistics. This is why blockchain in reverse logistics go well together. Blockchain Reverse Logistics

Logistics Cost Reduction: 6 Focuses to Create More Profit

Cerasis

This is the first of a two-part series where I will curate and cull information from my 4 decades of experience in logistics cost reduction at various positions in the supply chain. According to the CSCMP's "State of Logistics" Report from 2015, logistics costs now make up over 8% of the GDP. Any percentage less for your business with logistics costs as a percent of your revenue, goes straight to the bottom line. . Logistics Cost Reduction by Focusing on Safety.

These 5 Top Logistics Trends for 2018 are a Response to the Growing Customer Experience Movement

Cerasis

With the rise of e-commerce, the value of logistics has grown. Logistics professionals can no longer simply go about standard operations, and the days of peaks and lulls have ended. To answer that question, let us turn our attention to some of the key top logistics trends we’ll see over the next 12 months, in part as a response to the growing customer experience movement. The Top Logistics Trends that Will Impact Logistics Management in 2018. Logistics Trends

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Corporate Sustainability: Why Procurement Should Pave the Way

Jaggaer

Procurement is at the core of many companies’ efforts to increase green practices. According to our partner EcoVadis’s Global CSR Risk and Performance Index report , depending on their industry, 50% to 80% of a company’s sustainability impact is in their supply chain. “Businesses saw over $1 trillion in financial impacts as a result of environmental risks as reported by suppliers.” Talk of corporate sustainability and responsibility is higher than ever.

SCM Highlights from IBMs New Corporate Responsibility Report

Supply Chains Rock

Every year or so IBM, the company where I am employed, issues its updated corporate responsibility report, which always contains a section on supply chain. Logistics Procurement (in support of our hardware and logistics business operations) occurred with 50 firms and in Services and Here are a few notable updates: In 2012, approximately 90 percent of IBMs global spend in Production and.

SCM 109

The Industrial Internet of Things, Manufacturing, Supply Chain & Logistics: Where Are We & Where Are We Going?

Cerasis

Spending has increased by $2 billion annually, and projections indicate spending rates will increase in 2018 to $3 billion annually, reports Business Insider. Simply using common calendar tools, such as Google, means you are using the IoT, but the Industrial Internet of Things (IIoT) leads to the use of connected, smart devices to reduce inefficiencies, delays, and inaccuracies throughout the product lifecycle, including procurement as well.

Top 5 Roadblocks to Effective Inbound Logistics Management

Cerasis

With the added pressure to lower costs to end-users, your customers, it’s no surprise that the need for increased scrutiny and cost reductions among inbound logistics partners, your vendors, has gone rogue. Some cite a lack of visibility or lack of control for reasons to not manage inbound logistics, and while proponents of “increased visibility” argue more information begets more effective inbound logistics strategy, its meaning gets lost in the murky waters of the internet.

Use of Blockchain in Supply Chain & Logistics: Looking to Examples Across Industries for Better Understanding

Cerasis

Even JP Morgan, Microsoft, and Google, reports Jonathan Chester of Forbes , are working to increase blockchain development and innovation, and supply chain leaders need to understand how the use of blockchain in supply chain and logistics will bring about lasting change and improvements in efficiency. Blockchain is entering a phase of development that will affect every aspect of supply chain and logistics management, ranging from procurement to forward logistics and beyond.

[INFOGRAPHIC] Procurement Trends: Carving a Bigger Role in Supply Chain & Manufacturing

Cerasis

As time passed, procurement gradually gained a larger role in the scope of manufacturing and order fulfillment. By the mid-1950s , procurement had become a commonplace aspect of minor business, and procurement was almost comparable to secretarial work. However, modern technologies are dramatically changing procurement trends and how procurement professionals operate and their role in the company. As a result, procurement seemed to have a technical speed limit.

Imbalanced Investments: Transportation Spending vs. Procurement Technology (Part 1)

Supply Chain Network

Shockingly, though, companies are failing to invest in the necessary procurement tools to manage spend and optimize their transportation networks. Here’s the cliff-note version of the results; the full report is worth a thorough read : Transportation planning is sorely inefficient: According to the survey, only 25 percent of buyers are using a completely systems-based approach for procurement. Freight & Transportation Information Technology PaulMartyn Procurement

Procuring Logistics Services is Not the Same as Buying Paper Clips

Talking Logistics

In a Forbes blog post last week, Kate Vitasek highlighted an issue that continues to negatively affect 3PL-customer relationships: Procurement organizations looking to shift more and more risk on third-party logistics providers — while, of course, also demanding lower costs. Although this was not an outsourced logistics example, it shows, nonetheless, the costly consequences of taking a “What’s In It for Me?” And service, the study reports, was the primary driver.

The Data Behind Amazon’s Logistics and Fulfillment Play

Freightos

In other words, last month’s announcement was a stay of execution, not a reprieve, and it’s only a matter of time before Amazon reveal plans for a comprehensive logistics network. Amazon is at the nexus of ecommerce, data, and logistics, with a drive to constantly improve their logistics network. According to their 2017 annual report, over a quarter of Amazon’s third-party sales (which represent half of Amazon’s sales) are cross-border. Amazon’s logistics hiring plans.

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