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CAPS Research May 2010 Newsletter
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Included in this Issue:
Newly Published Resources
Focus Study: Championing
Environmental Supply Management Initiatives » more
Executive Roundtable Presentations:
April 2010 International Executive Roundtable » more
Benchmarking Opportunities
Do You Want to Benchmark? »
more
Events
13th Annual Asian Roundtable »
more
Best Practices Workshop »
more
Noteworthy
Corporate Project –
Collaboration Opportunity. » more
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Newly Published Resources:
Focus Study:
Championing Environmental Supply Management Initiatives (sponsors only)
This research investigated how supply management sustainability initiatives take
root within a company and what factors determine buy-in from key players. The study
examined the role that influence tactics, organizational climate, and personal values
each play as managers try to gain commitment for environmental initiatives. The
researchers found that creating company and departmental climates that are friendly
toward environmental innovation, the use of legitimating (appealing to rules, regulations
and positional power), and taking time to learn something about the values of the
target individuals all increase the likelihood the project champion will be successful.
The report provides steps to help supply managers effectively champion sustainable
supply management practices and to create an environment in which sustainability
will be successful throughout the company.
International Executive Roundtable:
April 2010 Event Presentations (sponsors only)
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Accelerating Innovation through Effective Supplier Collaboration
There is an increasing corporate focus on innovation, especially around involving
the supply base. This report focuses on: (1) the strategies and approaches companies
can use to identify, select and effectively collaborate with suppliers and supplier
groups to accelerate innovation and (2) the specific role that supply management
can play in accelerating innovation of product, service and process development.
Results are based on learnings from in-depth field research with seven leading companies.
The report provides guidelines for firms to begin and/or enhance their approaches
to supplier innovation in order to enhance their competitive performance.
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Effective Supply Chain Strategies in a Tough Economy
The vice president of supply management for the United States Postal Service (USPS)
outlines some of the unique challenges that their organization faces due to its
Universal Service Obligation and the "great recession." The USPS had significant
profitability decline between 2006 and 2009, due to the recession, an increase in
delivery points, rising labor costs, and other factors. This presentation details
two cost reduction initiatives meant to help restore profitability. First, USPS's
"rapid renegotiation" initiative was a top-down, aggressive push to renegotiate
supplier contracts that resulted in more than $1 billion in cost reductions. This
included reductions on 556 contracts, or 181 percent of the original target. The
second initiative, "demand management" addressed maverick spending and non-compliance
purchasing. District purchasing positions were replaced with purchasing shared services
centers that leveraged knowledge management, category teams, and a new electronic
buying system.
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Long Road to Recovery
Well-known Arizona State University economist Lee McPheters, Ph.D., shares his insights
into the current economic situation, arguing that it will be a long road to recovery
although many statistics indicate that the recession is over. McPheters identifies
and discusses many of the hurdles to recovery, including: credit markets, the consumer
market, labor markets, housing markets, commercial real estate, federal deficit,
and a skeptical public. He addresses why each is an issue. McPheters says 2010 is
"still ugly" and 2011 will be "homely." Unemployment will remain near 10 percent,
and the consumer will be key as confidence will surge when job growth returns.
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Value Focused Supply - Linking Supply to Competitive Business Strategies
Value Focused Supply (VFS) strategies will provide the next breakthrough opportunity
for companies to create and capture value from their most strategic purchases. These
VFS strategies go far beyond the price/cost reduction of traditional competitive
sourcing. Already, leading companies are clearly demonstrating the power of this
more comprehensive approach. Senior executives who lead their companies to be among
the first to systematically apply VFS across the supply network will have opportunities
to protect and create significant competitive advantages. Insights were provided,
at the CAPS Executive Roundtable, about Value Focused Supply strategies firms have
implemented and key enablers.
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Benchmarking Opportunities:
CAPS Research offers a full suite of applications providing many opportunities to
identify key benchmarks and specific measures for your organization. For more information
on how your company can participate in the CAPS Research Benchmarking surveys listed
below send an email to metrics@capsresearch.org.
Benchmarking surveys in data collection:
- Industrial Manufacturing Industry
- Assessing Supplier Financial Strength and Dependency
Benchmarking surveys soon to be released:
- Capital Equipment Procurement
- Engineering/Construction Industry
- Financial Services Industry
- MRO Market Basket of Goods
- Petroleum Industry
- Pharmaceutical Industry
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Events:
13th Annual Asian Roundtable – CAPS Research invites sourcing
and supply management practitioners to join us in Shanghai, China, June 7 – 8, 2010
for our 13th Annual Asian Roundtable. Network with your peers and share with others
the common challenges and opportunities that face those operating in Asia. Some
of the topics to be discussed include:
- The economic and business climate in Asia
- Supply chain challenges and opportunities
- Operational success stories
- Case study examples
Best Practices Workshop – CAPS Research will hold its 11th
Annual Best Practices Workshop September 26 – 28, 2010, for our sponsors' Chief
Purchasing Officer (CPO) or senior managers who report to the CPO. This workshop
offers highly facilitated group discussions on specific subjects and provides extensive
networking opportunities for all the attendees. The workshops are patterned after
the format of our highly acclaimed International Executive Roundtable.
If you would like more information regarding these events, send an email to
researchevents@capsresearch.org.
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Noteworthy:
Corporate Project – Collaboration Opportunity:
The W. P. Carey MBA supply chain management specialization is offering a no-cost
opportunity for your organization to work with their MBA student project teams to
analyze a supply chain management problem or opportunity. These four-member MBA student
project teams work with your managers and staff December through April to provide:
- A thorough analysis of the problem or opportunity
- Potential alternatives for addressing this problem or opportunity
- A recommendation for a preferred alternative
- An implementation plan for the selected alternative
For more information on how your organization can participate in this MBA corporate
projects program contact Joseph Carter at joseph.carter@asu.edu.
Knowledge Central:
Did you know that Knowledge Central, www.capsknowledge.org,
is a searchable archive of all CAPS Research studies, leading-edge practices, benchmarking
reports, CPO Insights and best-practices presentations created exclusively for our
sponsor companies? The site hosts more than 1000 articles, reports, assessments,
and presentations in one location. Sponsors are able to access all CAPS Research
publications by resource type, supply management topics, the CAPS Research leadership
model, or CAPSearch, our advanced search tool. For the cost of a single membership
of $13,500 every member of your organization worldwide has access to this valuable
website and resource.
New to Knowledge Central?
Watch the 5 minute guided tour.
Sponsors, need help to access Knowledge Central?
Establish your sponsor login.
Not a member of CAPS Research? Learn more about the
value of becoming
a sponsor.
Public access to reports is available at www.capsresearch.org.
First-time visitors to CAPS Research need to
Register to create a user login to access reports.
For more information about CAPS Research programs and products
please contact us at Research@capsresearch.org.
CAPS Research is a global research organization jointly sponsored by the W. P. Carey
School of Business at Arizona State University, and the Institute for Supply Management™.
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