CAPS Research Publications

Pharmaceutical Industry Benchmarking Metric Report 2010 - Emerging Markets

CAPS Research Benchmarking Team — Tue, 17 Aug 2010 00:00:00 GMT

This first in a series of five new pharmaceutical industry benchmarking reports focuses on "Emerging Markets." For this report, emerging markets are defined as geographic regions in which pharmaceutical manufacturers do not currently have a supply management organizational presence. About 46% of the survey participants reported they do have supply management organizations physically located in some emerging market regions. One-half of the survey participants who do not yet have supply management professionals physically located in these regions reported they anticipate doing so within the next three years. Overall, 80% of the participants reported that during the next three years they expect growth within supply management organizations located in the emerging market regions.

Insurance Requirements and Certificates for Suppliers

CAPS Research Benchmarking Team — Fri, 23 Jul 2010 00:00:00 GMT

There were 149 useable responses to the SnapShots survey on Insurance Requirements and Certificates for Suppliers. Of those responses, 34% were from the Manufacturing sector and 66% were Non-Manufacturing. A very large percentage of companies from both sectors (86% and 98%, respectively) required suppliers to maintain insurance in addition to the requirements prescribed by the state or nation where work is being performed. Seventy-six percent of Manufacturers and 93% of Non-Manufacturers require suppliers to provide copies of their certificate(s) of insurance. Of those companies that do not require suppliers to provide copies of the certificates of insurance, 71% of Manufacturers and 66% of Non-Manufacturers have standard contract terms requiring suppliers to certify that they have coverage consistent with insurance requirements and that they will maintain that coverage for the contract performance period.

Industrial Manufacturing Industry Benchmarking Metric Report 2010

CAPS Research Benchmarking Team — Fri, 09 Jul 2010 00:00:00 GMT

The Industrial Manufacturing Industry Benchmarking Metric Report 2010 contains key supply management performance measures including organizational structure, professional development, financial information and supplier relationships and alliances. Also included are metrics concerning supply management operating expense and total managed spend relating to eleven different global regions. In addition, key metrics are reported on thirteen performance measures relating to supplier rating systems/processes.

MRO Items Market Basket July 2010

CAPS Research Benchmarking Team — Fri, 02 Jul 2010 00:00:00 GMT

This report provides the average and median costs for 45 Maintenance, Repair, & Operating (MRO) items. Each of the 45 line items has a unique description for the actual and equivalent item costs of the market basket items as reported. Companies who want to have better control of their MRO spend should review the market basket report.

Implementing Supplier Innovation: Case Study Findings

Fri, 18 Jun 2010 00:00:00 GMT

Firms are always striving to find that innovative strategy element that will make the difference for their product or service. History shows us that important innovations can come from within a company, from an external source, or through a joint development. This focus study examines one of these avenues: how leading companies and their suppliers are engaging in supplier innovation. Firms have not yet fully established how they will most effectively leverage external supplier capabilities to accelerate innovation to the benefit of both buyers and suppliers. Innovation sourcing requires aligned and linked customer-driven strategies between senior company executives, supply and strategic suppliers, which are in early development at most firms. This report, uses case study examples to illustrate the strategic approaches, barriers to success, enablers and overall critical issues. It is a companion study to the CAPS report, "Accelerating Supplier Innovation through Effective Supplier Collaboration," due for publication in 2010.

Assessing Supplier Financial Strength and Dependency Metric Report 2010

CAPS Research Benchmarking Team — Tue, 08 Jun 2010 00:00:00 GMT

The report, "Assessing Supplier Financial Strength and Dependency" brings into focus the need for companies to spot weaknesses within their supply base and act quickly to avoid disruptions caused by supplier vulnerabilities. The benchmarking report provides an overview of how organizations assess the risk tolerance of their suppliers by measuring and evaluating the financial health, organizational stability, and customer-dependency of these suppliers.

Cross-Industry Metric Report May 2010

CAPS Research Benchmarking Team — Wed, 26 May 2010 00:00:00 GMT

The updated CAPS Research Cross-Industry Metric Report published in May 2010 provides standard key performance indicators across 14 industries. This highly regarded report includes key performance indicators for different industry sectors including purchasing operating expense, training spend, diversity spend, total spend as a percent of revenue, supply management organization operating costs, purchase order cycle times, and employee retention.

Championing Environmental Supply Management Initiatives: The Importance of Influence Tactics, Company Climate and Individual Values

Fri, 07 May 2010 00:00:00 GMT

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.

Measuring and Monitoring Supplier Risk 2010

CAPS Research Benchmarking Team — Mon, 12 Apr 2010 00:00:00 GMT

There were 197 useable responses to this SnapShots survey on Measuring and Monitoring Supplier Risk. Given the fact that 99% of the survey population reported they regularly measure and/or monitor specific risk characteristics of their suppliers does indicate there is still a high level of interest in the topic of supplier risk management. More than two-thirds of the participants reported the importance of measuring and/or monitoring risk as being either Very Important or Extremely Important. Financial risk was the supplier risk characteristic most commonly referenced followed closely by operational risk and supply chain risk. The SnapShot report also lists other risk assessment areas that are being regularly measured and/or monitored, and includes a comprehensive list of third-party risk assessment reports/tools currently being used to measure supplier risk.

Pharmaceutical Supply Chain in China: Challenges and Opportunities

JianQiang Hu, Ph.D.; Yue Dai, Ph.D.; Kevin Gu, Ph.D. — Mon, 15 Mar 2010 00:00:00 GMT

As with many other aspects of China, the pharmaceutical industry has rapidly evolved in the last decade. Though still in its early stages of development, it is a large, complex, multi-layered structure that has fragmentation, coordination, and information-sharing challenges. This focus study examines the issues and potential within China's pharmaceutical supply chain. The study is based on visits and interviews with 18 companies in China and includes information about production, quality control, research and development, outsourcing, exportation, the foreign investment environment, and the new healthcare reform plan in China.

Collaborative and Independent Innovation

CAPS Research Benchmarking Team — Wed, 10 Feb 2010 00:00:00 GMT

This latest SnapShots report focuses on innovation strategies which are defined as being either "Collaborative" (using internal ideas, but actively seeking external sources of innovation) or "Independent" (innovation is generated internally, and intellectual property is closely guarded). Results indicate there is not a significant difference between manufacturers and non-manufacturers regarding their current innovation strategies. However, in three years time 36% of the manufacturers expect their innovation strategies to be mostly or strongly collaborative and 46% of non-manufacturers reported their innovation strategies will be mostly or strongly collaborative.

Print Services Market Basket January 2010

CAPS Research Benchmarking Team — Wed, 06 Jan 2010 00:00:00 GMT

The report provides the average costs for 24 different print services jobs identified as being small (up to 2,000 copies), medium (up to 25,000 copies), or large (up to 20 million copies). Each of the 24 line items in the report has a unique item description, and while at first glance some of the descriptions look the same, there are differences throughout. The previous report mean data is also provided. It's interesting to note that the organizations reported 21 of the 24 line items cost less in 2010 than 2009.

DOE NNSA Contractors 2009 Procurement Performance Benchmarking Report

CAPS Research Benchmarking Team — Wed, 23 Dec 2009 00:00:00 GMT

This report contains benchmarks on professional development, financial information, supplier development and eProcurement specific to Department of Energy and National Nuclear Security Administration (DOE/NNSA) Contractors. The report includes information on the impact of American Reinvestment & Recovery Act (ARRA) funding. One of the strengths of the DOE/NNSA contractors is their commitment to diversity spend.

Sourcing in China

CAPS Research Benchmarking Team — Fri, 18 Dec 2009 00:00:00 GMT

The SnapShots questions about locating sourcing/procurement groups or organizations in China showed mixed results. About half of the survey participants indicated that they did have a sourcing/procurement group located in China and about 56% of those participants reported increasing the number of employees assigned to that group. These participants also reported that during the last two years this sourcing/procurement group has assumed more authority (47%) or had no change (44%) to their regional procurement activities. The regional sourcing/procurement organization did not experience a measurable loss in productivity as a result of sourcing/procurement employee turnover. The other half of the survey participants reported they do not have a sourcing/procurement organization located in China and a clear majority (94%) of these participants indicated that they had no plans to locate a regional sourcing/procurement group in China within the next two years.

Supply Strategy Implementation: Current State and Future Opportunities 2009

Robert M. Monczka, Ph.D and Kenneth J. Petersen, Ph.D. — Thu, 17 Dec 2009 00:00:00 GMT

To achieve significant and successful transformation of supply management, companies need to assess how well they have implemented critical supply strategies. To assist in this effort, CAPS Research designed the Executive Assessment of Supply (EAS). This self-administered assessment lets companies determines the importance of various strategic strategies for their organization, the level of implementation and the results achieved. This report summarizes the results from these assessments based on responses from 130 supply organizations across 26 industries. These results can help companies compare their strategic results with those achieved by other companies. Also companies can compare their recent results with the results of similar assessments complete in 2007 to yield an even more comprehensive picture of implementation success and supply management performance.

Supply Management Talent Development and Retention Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Tue, 01 Dec 2009 00:00:00 GMT

The Supply Management Talent Development and Retention Benchmarking Metric Report published in November 2009 includes information and metric data pertinent to recruitment, development, retention, evaluation, compensation, and advancement of supply management employees. The benchmarking report is comprised of data provided by 260 participants. There are three breakout reports that include information provided by companies with revenue less than $500 million; companies with revenue greater than $500 million and less than $5 billion; and companies with revenue exceeding $5 billion. CAPS Research partnered with the Fisher College of Business and Rutgers Business School to develop this report and corresponding survey that measures key supply management talent development and retention strategies.

Use of Reverse Auctions

CAPS Research Benchmarking Team — Fri, 20 Nov 2009 00:00:00 GMT

The SnapShots questions about the use or reverse auctions as part of the organization's sourcing strategy indicates there are mixed feelings within the survey population about the value of reverse auction tools. One-half of the survey participants reported that reverse auction tools are part of their sourcing strategy, and about 46 percent reported an increase in spend using these tools during the last two years. All of the companies who reported they are now using reverse auctions stated they are planning to continue to use reverse auction tools for (at least) the next two years. The other half of the survey participants reported they are not using reverse auction tools. A clear majority (71 percent) of those who reported they do not currently use reverse auctions reported they are not planning on doing so within the next two years.

Use of Social Networking

CAPS Research Benchmarking Team — Wed, 28 Oct 2009 00:00:00 GMT

As the use of social networking tools continue to migrate into the professional work environment, we want to better understand which social networking sites are being used for different business practices. Based on the SnapShots survey results, there is a 10% difference between those who responded "Yes" to the question about using social networking for business practices (45%) and those who responded "No" (55%). Of those who responded "Yes", about two-thirds reported that LinkedIn' is the networking tool most frequently used. About one-third of the participants reported they use either "Facebook" or "Twitter". More than half (55 %) of the participants use social networking for Human Resources communications, and 41% reported using social networking for sales/marketing.

Payment Terms

CAPS Research Benchmarking Team — Thu, 08 Oct 2009 00:00:00 GMT

The changing economy continues to challenge organizations to better manage their supply chains and take better use of eTools to track order information or as procure-to-pay programs. The SnapShots survey participants were asked about their typical (or default) payment terms; whether or not they receive discounts for early payments; and their general use of eTools for order tracking or procure-to-pay programs. About three-fourths of the survey population reported their typical payment terms were either 30 days (42%) or 45 days (32%), respectively. About 14% of the survey population reported 60-day payment terms. The remaining 12% reported payment terms ranging from 15 days (1.5%) to 90 days (4.5%). Almost 90% reported their organizations do receive discounts for paying early; and 83% reported they employ eTools for their Procure-to-Pay programs or other solutions that track order information.

Mining Metals Industry Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Wed, 07 Oct 2009 00:00:00 GMT

The Mining Metals Industry Benchmarking Metric Report 2009 contains key supply management performance measures including organizational structure, professional development, financial information and supplier relationships and alliances. It's interesting to note the reversal in the average percent of supply management organizational recruiting: seventy-one percent internal, and twenty-nine percent external in this report, and twenty-seven percent internal, seventy-three percent external, in the previous report. The average percent of external recruiting that was word-of-mouth was fifty percent in this report, and only one percent in the previous report. Also included in this report are metrics regarding inventory and asset disposal programs.

Supply Chain Alliance Supplier Environmental Performance Evaluation Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Tue, 08 Sep 2009 00:00:00 GMT

This report was developed for the Electric Utility Industry Sustainable Supply Chain Alliance as the baseline report of their suppliers' focus on climate change and environmental sustainability. The metric report includes data provided to CAPS Research by the utility companies' suppliers who were nominated to participate in the survey. The 240 different suppliers were categorized as being manufacturers, services providers, or distributors. The metric report provides benchmarks relative to how these communities of suppliers are addressing Policy & Environmental Management; Greenhouse Gas (GHG) Emissions; Air Emissions; Energy Consumption; Water Use; Waste & Materials Management; and Innovation. The report also summarizes a list of specific topics about collaborative efforts to reduce environmental impacts.

Supply Management Shared Services Centers Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Fri, 14 Aug 2009 00:00:00 GMT

The operational impact of employing a Supply Management Shared Services Center (SMSSC) may result in achieving a desired level of effectiveness at the lowest operational costs through consolidation. As in the 2007 report, this report addresses standardized processes, organizational structure, and SMSSC quality metrics. New for 2009 is a metric on auditing cost-type contracts. Note the increase from the 2007 to 2009 report in the percent of organizations indicating the following functional activities are included in the SMSSC: accounts payable, IT systems, material & supplier data management, purchasing policy compliance, risk management, strategic planning, and travel.

Semiconductor Industry Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Thu, 13 Aug 2009 00:00:00 GMT

The Semiconductor Industry Benchmarking Metric Report 2009 contains key supply management performance measures including organization structure, professional development, financial information and supplier relationships and alliances. Unique to this report is geographical area breakout information. New for 2009 is the percent of organizations in which supply management employees have increased, decreased, or did not change, during the past two years in the following regions: Asia Pacific, China, Europe/Middle East/Africa, India, Japan, and North America.

Low-Cost Country Sourcing and Procurement Activities Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Fri, 07 Aug 2009 00:00:00 GMT

The Low-Cost Country Sourcing and Procurement Activities Benchmarking Metric Report 2009 contains key metrics on supply management employees and suppliers located in low-cost countries and in other than low-cost countries. The report also focuses on spend for direct and indirect goods in low-cost and other than low-cost countries. Companies from the Aerospace & Defense, Automotive & Transport, Consumer Products Manufacturing, and Industrial Manufacturing industries provided data for this report.

Petroleum Industry Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Thu, 30 Jul 2009 00:00:00 GMT

The Petroleum Industry Benchmarking Metric Report 2009 contains key supply management performance measures including organizational structure, professional development, financial information, and supplier relationships. The report includes breakout reports for Integrated, Upstream, and Downstream operations.

ISO 14000 at Veris Industries

Thomas F. Gattiker, Ph.D. — Wed, 29 Jul 2009 00:00:00 GMT

ISO 14000 is the international standard for environmental management systems (EMS). With a focus on supply management, this article describes the implementation and operation of an ISO 14000 certified EMS at Veris Industries, a leading supplier of energy and environmental sensors located in Portland, Oregon.

Office Supplies Market Basket July 2009

CAPS Research Benchmarking Team — Wed, 29 Jul 2009 00:00:00 GMT

This report provides the average and median costs for 50 Office Supply items. Each of the 50 line items has a unique description for the actual and equivalent item costs of the market basket items as reported.

The Role of Optimization in Strategic Sourcing

Larry C. Giunipero, Ph.D. and Phillip L. Carter, D.B.A. — Fri, 19 Jun 2009 00:00:00 GMT

Sourcing optimization is a process that can be used to simultaneously analyze large numbers of supplier and business rules or scenarios to identify sourcing solutions that can lead to significant cost savings. This report explains how optimization uses a combination of mathematical models, specialized computer software and computer hardware to find the optimal sourcing solutions. The report is based on case studies with actual users of optimization and providers of optimization services. The report includes case studies of several applications of the process to actual buying situations along with the advantages and challenges of using optimization.

Utilities Industry Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Thu, 11 Jun 2009 00:00:00 GMT

The Utilities Industry Benchmarking Metric Report for 2009 contains key supply management performance measures specific to the utilities industry on topics including organizational structure, professional development, financial information, and supplier relationships. New this year are benchmarks providing supply management operating expense per supply management employee in multiple categories and functions; percent of organizations that use external supply management consultants; and pCard spend and Outsourcing information.

Investment Recovery 2009

CAPS Research Benchmarking Team — Mon, 08 Jun 2009 00:00:00 GMT

This report is sponsored by the Investment Recovery Association. In addition to the operational benchmarks and organizational information provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs. Key performance indicators (KPIs) include total cost benefit dollars to operating expense dollars, best practices, investment recovery services and processes, program-related tools and technologies, and professional investment recovery program staffing. The report also includes a list of the 66 companies who provided data for this study.

Front-End Loading: Supply Management and New Product Development in Japan

CAPS Research Japan Group — Mon, 20 Apr 2009 00:00:00 GMT

Front-end loading is taking a proactive approach to examining a product's concept and value as well as developing a business strategy early in the development process. From a supply management point-of-view, this translates to early participation in concept, design, and implementation, including involving resources and suppliers at the earliest possible juncture to ensure costs, processes, and materials are compatible with a successful outcome. This focus study, from the CAPS Research Japan Group, defines front-end loading and analyzes results of several past surveys about early supplier involvement and supply's involvement in new product development. It also provides several case studies from various industry groups and details the level of supply management involvement in processes for each. The authors highlight the connection between early involvement in new product development and expanded roles for those in the supply management field.

Aerospace and Defense Industry Benchmarking Metric Report 2009

CAPS Research Benchmarking Team — Tue, 14 Apr 2009 00:00:00 GMT

The Aerospace and Defense Industry Benchmarking Metric Report for 2009 contains key supply management performance measures on topics including organizational structure, professional development, financial information and supplier relationships. New this year is the focus on measuring the importance of various initiatives and programs as well as the implementation status of these initiatives and programs. Survey participants reported the importance (high, medium or low) of 32 different initiatives and programs as well as the status implementation throughout the organization. These initiatives and programs range from employing 'balanced scorecards' to the 'unique identification (UID)' of tangible items. Understanding the relationship between importance and implementation can help determine which initiatives and programs can be considered as being best practices within the Aerospace and Defense industry sector.

Supply Chain Integration: Challenges and Good Practices

Mon, 16 Mar 2009 00:00:00 GMT

Competitive challenges of the last decade have a strong direct effect on supply chain strategy and integration. This report focuses on two key issues - alignment and linkage (both inside an organization and across organizations) and how supply chain management must support the broader enterprise strategy. The research identifies four critical supply strategy areas (providing "winning" strategies for each area); key supply chain execution processes; supply chain enablers; and 14 challenges organizations must meet to achieve true supply chain integration. The report includes illustrative practices from case studies and industry analyses for five sectors, detailing competitive forces and supply chain integration's critical role.

The Greening of Expedited Packaging: A U.S. Postal Service and Supplier Collaboration

Anna E. Flynn, Ph.D. — Fri, 12 Dec 2008 00:00:00 GMT

Many organizations are increasing their focus on sustainability - efforts to find more efficient and effective ways to do business profitability while lessening the negative impact of current operations on future generations. At the Postal Service, both internal and external forces have motivated projects in sustainability.

Supply Management's Strategic Role in Environmental Practices

Thomas F. Gattiker, Ph.D., Wendy Tate, Ph.D., and Craig R. Carter, Ph.D. — Thu, 11 Dec 2008 00:00:00 GMT

Most companies realize that environmental sustainability performance is a critical issue. Fortunately, the supply management function has the opportunity to engage heavily in these programs, but many professionals are unsure of what their role might be for strategic contribution. This study, based on a series of focus group interviews provides guidance for those wanting to implement environmental practices within their organizations and supply management strategies. It discusses the business case requirements; top management support requirements; the complexity of defining "success" in this area; the need for standard definitions; barriers such as costs, metrics, and resources; the supply base's role in new technologies; and the overall expanded role of supply management.

ISM Services Group: Organization and Workforce Metric Report 2008

CAPS Research Benchmarking Team — Mon, 17 Nov 2008 00:00:00 GMT

A comprehensive review of supply management organizations, professional development, financial information and supplier relationships and alliances within different organizations belonging to the ISM Services Group.

ISM Services Group: Services and Commodities Spend Metric Report 2008

CAPS Research Benchmarking Team — Mon, 17 Nov 2008 00:00:00 GMT

A comprehensive review of purchases and the purchasing methods involving capital goods, indirect materials and MRO and services. The benchmark, purchased in-house vs. outsourced is also captured.

"Green" Corporate Strategies: Issues and Implementation From the Supply Management Perspective

Bryan Ashenbaum, Ph.D. — Thu, 13 Nov 2008 00:00:00 GMT

Sustainability and "green" business practices have become the hot topic in today's business climate. Yet, many firms are struggling to uncover what "green" and "sustainable" actually mean in terms of their operations and objectives. Can businesses simultaneously pursue green practices while boosting the bottom line? Can they afford not to? To what extent are consumer and political forces shaping their approach? A group of supply executives attending a CAPS Research Critical Issues conference on this topic discussed a framework for the way in which companies will address green issues from a supply management perspective. This report delves into some of the definitions used, the drivers for such initiatives, the business case for green, and recommendations for establishing internal and external strategies. It also includes a case study from The Auto Club Group and several Internet resources for further information.

Process Guide for Supply Management Environmental Sustainability

James Hershauer — Tue, 14 Oct 2008 00:00:00 GMT

Many firms are seeking universally accepted models for environmental sustainability programs. Unfortunately, few exist. As an immediate aid to supply managers and as a precursor to creating industry-specific benchmarks for environmental sustainability, this brief guide to initiating a program for supply management environmental sustainability can serve as a starting point. It is the result of various interviews and in-depth discussions with supply management executives from CAPS Research sponsoring companies and other thought leaders. The report covers five major stages in the environmentally sustainable program creation process, from defining the topic to running a pilot program.

Enterprise-Wide Shared Services Centers Benchmarking Metric Report 2008

CAPS Research Benchmarking Team — Tue, 23 Sep 2008 00:00:00 GMT

This report provides a cross-industry snapshot of the popularity of enterprise-wide Shared Services Centers, the functions being performed within the Shared Services Center, and the level of executive who has overall management responsibility for each center's operations.

Lean Supply Chain Strategies and Implementation

George A. Zsidisin, Ph.D., C.P.M. — Mon, 15 Sep 2008 00:00:00 GMT

Lean practices are used by many organizations who are trying to optimize the efficiency in their supply chains and eliminate non-value-adding activities and costs. Two case studies, from Raytheon and General Mills, are presented with regard to the lean practices that exist within their firms, as well as how those practices are beginning to evolve in their respective supply chains. In addition, this report examines the role of metrics in creating lean supply chains, and describe some of the obstacles as well as successes that firms obtain in their journey toward creating lean supply chains.

Supply Strategy Implementation: Current State and Future Opportunities 2007

Robert M. Monczka, Ph.D and Kenneth J. Petersen, Ph.D. — Thu, 28 Aug 2008 00:00:00 GMT

To achieve significant and successful supply transformations, firms worldwide need to assess how well they are implementing supply strategies considered most important to the success of their organization. With this in mind, CAPS Research executed the 10X Executive Assessment (10X EA), the primary objective of which was to determine the importance organizations worldwide place on various supply strategies, their level of implementation and results achieved from these strategies. This report summarizes data concerning 23 supply strategies and performance results from 110 supply organizations across 24 industries. The assessment can be used to establish a baseline for current and future analyses.

Telecommunications Services 2008

CAPS Research Benchmarking Team — Tue, 19 Aug 2008 00:00:00 GMT

The Telecommunications Services Industry Benchmarking Metric Report 2008 contains key supply management measures including organizational structure, professional development, financial information and supplier relationships and alliances.

Financial Services 2008

CAPS Research Benchmarking Team — Tue, 15 Jul 2008 00:00:00 GMT

The Financial Services Industry Benchmarking Metric Report 2008 contains key supply management performance measures including organizational structure, professional development, financial information, and supplier relationships and alliances.

Cross-Industry Summary Report 2008

CAPS Research Benchmarking Team — Tue, 01 Jul 2008 00:00:00 GMT

Cross-Industry Reports include key performance indicators from different industry groups. The survey process is relatively constant, ensuring that the KPI's can be measured year-over-year. This summary report compares data from the 2006, 2007 and 2008 Cross-Industry Metric Reports.

Engineering/Construction 2008

CAPS Research Benchmarking Team — Wed, 25 Jun 2008 00:00:00 GMT

The Engineering Construction Industry Metric Report 2008 contains key supply management performance measures including organizational structure, professional development, financial information, and supplier relationships and alliances.

Pharmaceutical 2008

CAPS Research Benchmarking Team — Fri, 06 Jun 2008 00:00:00 GMT

The Pharmaceutical Industry Benchmarking Metric Report 2008 contains key supply management performance measures including organizational structure, professional development, financial information and supplier relationships and alliances.

Measuring Purchasing's Effectiveness

Roberta J. Duffy — Wed, 12 Mar 2008 00:00:00 GMT

As supply executives try to optimize their organizations and drive more value to the company, they're looking for ways to measure performance, contribution, efficiency, and effectiveness. These measures not only help them assess a current state but provide a context on which to make improvements. This Critical Issues Report, based on a 2007 event in Madrid, discusses several aspects of measurement systems and models, including: what is appropriate to measure, how are measures constructed, what metrics are important, how can measurements be used to drive improvement, can measures impact forecasting, and what are general lessons companies have learned? The Report also includes case examples from three firms.

An Investigation of Supplier Development and Its Role in New Product Development

Daniel R. Krause, Ph.D. and Stephan M. Wagner, Ph.D. — Tue, 22 Jan 2008 00:00:00 GMT

New product development is one area in which firms look to gain competitive advantage. Engaging in innovative activities to produce new products or upgrade existing ones can differentiate a firm from its competitors and/or increase profit margins. Suppliers can be involved at the stages of concept, design, prototyping, process development and product release. This research examines German industrial firms' new product development processes, the importance of suppliers in these processes, and how organizations try to influence supplier performance. It compares buying firms' efforts to influence supplier performance through supplier development efforts during the new product development process.

Business Process Outsourcing in a Pharmaceutical Company

Anna E. Flynn, Ph.D. — Thu, 17 Jan 2008 00:00:00 GMT

Business process outsourcing occurs when the management of an organization decides its employees will stop performing certain processes or subprocesses and, instead, an external party will be paid to perform these activities. Critical decision points include: 1. Which business processes or subprocesses can be outsourced, given the organization’s overall business strategy? 2. To what extent can subprocesses be bundled with one provider? 3. Where should the provider be located onshore or offshore? 4. Which provider(s) should be used? This paper synthesizes key discussion points from the Forum and presents a process for outsourcing business processes.

Shared Services Center Benchmarking Metric Report 2007

CAPS Research Benchmarking Team — Thu, 13 Dec 2007 00:00:00 GMT

The operational impact of employing a Supply Management Shared Services Center (SMSSC) may result in achieving a desired level effectiveness at the lowest operational costs through consolidation. This report looks at standardized processes, organizational structure and SMSSC quality metrics.

The Supply Manager's Role in Corporate Social Responsibility Among Japanese Companies

CAPS Research Japan and NPO ISM Japan, Inc. — Thu, 13 Dec 2007 00:00:00 GMT

This research report examines to what extent Japanese companies, and specifically supply managers, are engaged in corporate social responsibility activities. CAPS Research Japan, authors of the study, based its work on the Institute for Supply Management (ISM)'s concepts and research of corporate social responsibility, which includes seven main focus areas: community, diversity, environment, ethics, financial responsibility, human rights, and safety. Data includes the level of activity in each area, a comparison between ISM's study results and Japanese study results, and a discussion of social responsibility’s integration into company culture.

American Electric Power Business Planning & Analysis Group: Turning Raw Data into Informed Decisions

Bryan Ashenbaum, Ph.D. and Scott Pannelle — Tue, 11 Dec 2007 00:00:00 GMT

Learn how American Electric Powers Business Planning and Analysis (BP & A) Group, a team of various supply chain analysts, provides an advantage through organizational innovation in leveraging its supply chain by gathering, analyzing and presenting market intelligence data to internal AEP clients. The BP & A Group's driving slogan is "Turning Raw Data into Informed Decisions".

Creating A Procurement Shared Services Center

Anna E. Flynn, Ph.D. — Mon, 03 Dec 2007 00:00:00 GMT

This paper discusses various approaches to structuring a procurement shared services center to better manage some or all of an organization's spend. It addresses the questions of: what is the value proposition for a shared services model (costs and benefits); what organizational models are being used; and what are the challenges when designing, developing, and maintaining a shared services procurement organization? Based on a CAPS Research event at The Boeing Company Inc., it includes three case studies.

eSourcing and eProcurement Benchmarking Metric Report 2007

CAPS Research Benchmarking Team — Thu, 15 Nov 2007 00:00:00 GMT

A comprehensive look at how different organizations use eSourcing and eProcurement tools and technologies including the amount of associated spend. The report references eReverse Auctions, eMarketplaces/Exchanges, eRFx tools and Supplier Portals. The report also includes a Manufacturing/Non Manufacturing comparative of eSourcing and eProcurement tools.

Supplier Diversity Programs Benchmarking Metric Report 2007

CAPS Research Benchmarking Team — Thu, 15 Nov 2007 00:00:00 GMT

A comprehensive look at trends and directions in supplier diversity programs. The report includes benchmarking data on supplier diversity program goals and awards; policies, procedures and expectations; outreach events; and which tools and technologies are being used to help identify and qualify new diversity suppliers.

IT Market Basket October 2007

CAPS Research Benchmarking Team — Fri, 26 Oct 2007 00:00:00 GMT

This report provides the average and median costs for 37 IT Goods and Services items. Each of the 37 line items has a unique description for the actual and equivalent item costs of the market basket items as reported.

Succeeding in a Dynamic World: Supply Management in the Decade Ahead

CAPS Research & A.T. Kearney, Inc. — Wed, 03 Oct 2007 00:00:00 GMT

What could change in the decade ahead and how might those changes affect the future of supply management? CAPS Research, A.T. Kearney, and the Institute for Supply Management (ISM) have just released a research study entitled "Succeeding in a Dynamic World: Supply Management in the Decade Ahead" that provides some answers. The study found that over the next ten years, business will be buffeted by strong forces of change including globalization, new demographics, natural resource constraints, heightened environment concerns, shifting consumption patterns, regulation and activism, technology and innovation, and the possibility of high-impact disruptive events. Business models and strategies will change as companies pursue new revenue streams, further squeeze costs, lean-out their asset base, and reshape their capital structures to meet the opportunities and threats that lie ahead. In turn, CEOs will ask supply to take on a broader, more strategic mission, to embrace a more comprehensive set of goals, and to deliver a higher level of performance. Supply management will be expected to deliver more innovation from suppliers, contribute more broadly to revenue generation, anticipate and monitor supply risk to ensure business continuity and sustainability, and expand the breadth and impact of cost management efforts. The study concluded that success will be based on how well supply executives plan and execute in seven critical areas: (1) developing forward-looking category strategies, (2) engaging, developing and managing key suppliers, (3) designing and operating multiple supply networks, (4) leveraging technology enablers, (5) collaborating internally and externally, (6) attracting and retaining supply management talent, and (7) managing and enabling the future supply organization globally.

The Key to an Effective Purchasing System: Is It Technology or Supplier Relationship Management?

Keah Choon Tan — Tue, 11 Sep 2007 00:00:00 GMT

This best practice article describes the lean but highly efficient supply management system of a world-class casino hotel chain that owns eight properties in Las Vegas. The company emphasizes strategic supplier relationships over implementation of sophisticated information technology and has developed a supply management system, founded on a contemporary management philosophy that stresses long-term relationships, trust and sole sourcing.

Achieving World-Class Supply Chain Collaboration: Managing the Transformation

Stanley E. Fawcett, Ph.D.; Gregory Magnan, Ph.D.; Jeffrey Ogden, Ph.D. — Wed, 15 Aug 2007 00:00:00 GMT

As firms examine their supply chain management models for ways to be more competitive, the nature of the discussion often turns toward collaboration. The authors of this study define supply chain management as "the collaborative process and project management to meet the needs of end-customer efficiently and effectively." However, despite efforts by firms to work toward this goal, this research suggests that few are fully able to grasp the nature of collaboration and what it takes to achieve a true collaborative capability. This study details how proactively firms are engaged in supply chain collaboration; the drivers for it; how well firms balance the driving and resisting forces of achieving higher levels of creative collaboration; and whether or not a roadmap can be developed to manage the transformation to true collaborative supply chains that can be competitive. Note: This Focus Study was slightly modified in March 2008 to amend some minor data points, which did not affect the overall conclusions and themes of the work. Please disregard any version you may have downloaded in 2007.

E-Tool Optimization

Roberta J. Duffy — Mon, 16 Jul 2007 00:00:00 GMT

If the big question from the last decade was: What are e-tools and what are their features? Then, the question facing supply management professionals today might be best summarized as: How do we ensure we're getting the most out of the e-tools available? When you couple the multiple uses for e-tools with varying agendas that each segment of the business might have, the supply management professional must set some priorities about using e-tools and the resources they require. This report, based on a CAPS Research Critical Issues Partnership event co-sponsored by Philips Lighting Company, examines the drivers and value proposition for e-tool initiatives; examples of the most common tools being employed; setting priorities for e-tool projects; and lessons learned from e-tool implementations.

The Evolution of Electronic Invoicing at MRD

Tom Gattiker — Tue, 19 Jun 2007 00:00:00 GMT

This article describes the implementation of electronic invoicing (e-invoicing) at a large original equipment manufacturer and services provider in electronics and computing.

Investment Recovery 2007

CAPS Research Benchmarking Team — Wed, 13 Jun 2007 00:00:00 GMT

Sponsored by the Investment Recovery Association, these reports focus on the overall benefits of investment recovery, and the tools and technologies employed.

Diversified Foods/Beverages 2007

CAPS Research Benchmarking Team — Mon, 07 May 2007 00:00:00 GMT

Purchasing Performance Benchmarking Study for the Diversified Foods/Beverages Industry

Chief Purchasing Officers’ Mobility Compensation Benchmarks and Demographics: A Study of Fortune 500 Firms

Thomas E. Hendrick, Ph.D. and John Ni — Wed, 02 May 2007 00:00:00 GMT

This study continues on past CAPS Research work on this topic. To track mobility, the authors examined careers, functional experiences and educational paths that CPOs have taken to get to their current positions. Demographics and compensation information was collected to analyze salary, bonus and benefit trends. The focus study shows that, in 2006, the average CPO’s salary (inclusive of bonuses and benefits) was $380,818; average age was 49; average tenure in current position was 2.81 years. This focus study also provides career paths of 12 cases study individuals, detailing position and tenure.

Supply Leadership Changes

P. Fraser Johnson, Ph.D. and Michiel R. Leenders, D.B.A. — Mon, 12 Mar 2007 00:00:00 GMT

This study examines the chief purchasing officer (CPO) role within large multi-national companies, particularly the path that a CPO takes into that position and to whom in the organization the CPO reports. This study is the third phase, following two other CAPS Research Focus studies by the same authors (one on structural changes in supply and the other on supply chain responsibilities). This study looks at both initial CPO appointments that result from a centralization process and CPO replacements that result from a personnel change within an existing structure. CPO background, experience, tenure, and drivers for change are all analyzed.

Supplier Diversity Programs for the Pharmaceutical Industry

CAPS Research Benchmarking Team — Fri, 26 Jan 2007 12:47:39 GMT

This report is a subset of the larger Supplier Diversity Programs benchmarking report, and includes metrics provided by pharmaceutical companies.

Zeta - A Model of Process Excellence

Nicole DeHoratius and Joseph Van Orden — Fri, 26 Jan 2007 12:46:50 GMT

In this paper, we document the actions one retailer has taken to prevent and correct record inaccuracy at its retail stores. Specific actions include the improvement of inventory control, the design of new picking and shipment processes, and the development of measures to monitor and hold individuals accountable for record inaccuracy.

Business and Supply Chain Continuity

George A. Zsidisin, Ph.D., C.P.M. — Thu, 11 Jan 2007 11:45:01 GMT

This report examines the risk of supply disruptions and the ways firms manage this risk through business and supply chain continuity planning. It addresses the question of: “What are the critical elements in a successful business continuity planning process?” and provides case study examples of how firms have handled supply interruptions.

ISM Services Group Purchasing Performance

CAPS Research Benchmarking Team — Tue, 12 Dec 2006 15:17:53 GMT

Measures the supply management performance of companies who are members of the ISM Services Group. The report contains demographic information on the participating companies as well as information on professional development, supplier relationships, and purchasing spend management.

Operational Excellence in Procurement

Roberta J. Duffy — Tue, 12 Dec 2006 15:00:30 GMT

This Report examines the ways in which procurement and transaction activities can be optimized across a broad spectrum of operational activities and organizational structures. Some of the common approaches include improving data gathering and analysis, a separation of strategic versus tactical responsibilities, implementing e-procurement or automation systems, and effecting organizational structure changes to optimize workflow. The Report includes case studies that focus on the best practices at three large global firms.

Effective Global Sourcing and Supply for Superior Results

Robert M. Monczka, Robert J. Trent, and Kenneth J. Petersen — Thu, 16 Nov 2006 09:45:18 GMT

This focus study reports on the critical factors, benefits, progress, problems, strategy approaches, best practices, lessons learned, and results from the development of global sourcing and supply practices and strategies. It identifies the features and characteristics of organizations that excel in integrated global sourcing and supply. The study includes case examples from large global firms and addresses the growth of sourcing in emerging markets, such as China and India.

Procurement Shared Services Centers

CAPS Research Benchmarking Team — Mon, 06 Nov 2006 10:58:53 GMT

In theory and practice, the operational impact of employing procurement shared services center can result in achieving a desired level effectiveness at the lowest operational costs through consolidation. This report looks at standardized processes, consolidating the purchasing organizations’ operational ‘bandwidth’ and streamlined procurement activities.

Environmental Purchasing for Indirect Materials

Tom Gattiker — Wed, 27 Sep 2006 10:41:36 GMT

This article focuses on environmental purchasing, or “green” purchasing, in the indirect or non-production material area. Factors that make indirect material challenging with respect to environmental purchasing are, first, the variety of materials, users and applications present in most organizations and, second, the decentralized nature of the spend. The organization studied employs numerous practices to facilitate environmental purchasing of indirect materials.

Identifying and Evaluating Chinese Suppliers: China Sourcing Practices of German Manufacturing Companies

Fabian Hedderich, Rebecca Giesecke, and Daniel Ohmsen — Mon, 31 Jul 2006 13:50:14 GMT

Tapping the cost reduction potential of emerging supply markets like China has become an ever more important element of internationalization strategies across industries. This PRACTIX report summarizes the insights of 18 personal qualitative interviews with executives of mainly mid-sized (i.e., < 5,000 employees) German manufacturing companies with sourcing operations on the ground in China.

Change Management in Purchasing - Best Practices from Germany's No. 1 Airline Deutsche Lufthansa AG

Dr. Ingo Bülow, Ulrich Schott-Wüllenweber, and Fabian Hedderich — Mon, 26 Jun 2006 14:32:47 GMT

This Practix article describes how Lufthansa determined the required development path to become a value-adding purchasing organization, how new purchasing thinking was conveyed to purchasers by the application of specific training formats, and what other companies can learn from this example.

Services Spend Management (Outsourcing/Offshoring)

Wendy L. Tate Ph.D., Lisa M. Ellram, Ph.D. — Thu, 11 May 2006 10:19:50 GMT

This benchmarking research focuses on the trends and directions in services spend outsourcing and offshoring. The growth in services spend and the recognition of the opportunities to improve business results through better management of services activities are indicative of the importance being given this topic by senior supply management professionals.

Bank of America: Services Purchasing and Outsourcing

Lisa Ellram, Ph.D., C.P.M. and Wendy Tate — Mon, 08 May 2006 10:22:25 GMT

Bank of America is one of the world’s largest financial services institutions. This best practice report describes the innovative process used for services purchasing and outsourcing.

eProcurement Benchmarking

CAPS Research Benchmarking Team — Thu, 27 Apr 2006 14:31:22 GMT

A comprehensive look at how 195 different organizations use eProcurement tools and technologies, and the amount of spend pushed through the tools. Also included is a look at eAuctions, eRFx documents, eCatalogs, eMarketplaces, and supplier portals.

Defining Cost Reduction and Avoidance

Bryan Ashenbaum — Thu, 23 Mar 2006 14:29:05 GMT

Cost reductions tend to come in two broad categories: "hard" year-on-year cost savings and "soft" cost avoidance. This report attempts to establish working definitions for these categories. It explores the key issues and problems faced by companies as they seek to properly assess their cost reduction efforts and to apply them to their bottom lines. Extensive real world examples and case studies of cost reduction efforts are provided as best practice examples for purchasing and supply managers.

Technology and Organizational Factors in the Notebook Industry Supply Chain

William Foster, Zhang Cheng, Jason Dedrick, and Kenneth L. Kraemer — Tue, 21 Mar 2006 11:19:55 GMT

The study addressesthe kinds of information technology that Chinese manufacturers are investing in at different levels of the supply chain and the benefits to upgrade the information technology in the supply chain, who receives the benefits, and who pays for these upgrades.

Best Practices in the Procure-to-Pay Cycle: Perspectives from Suppliers and Industry Experts

Rob Handfield — Fri, 10 Mar 2006 09:54:02 GMT

This benchmarking study sought to define and understand the best practices currently being employed by companies in the procure-to-pay cycle for services.

Strategic Supply Management at Japanese Companies

Supply Management Research Group, Japan — Thu, 09 Feb 2006 13:39:55 GMT

This report describes strategic purchasing’s evolution in the Japanese business environment, particularly over the last decade. It also details how some proactive Japanese companies are using strategic purchasing to gain a competitive edge through business process reengineering and senior-level leadership.

Designing the Supply Chain for Production and Aftermarket Needs

Bryan Ashenbaum — Thu, 09 Feb 2006 13:39:12 GMT

Equipment and machinery supply chains must serve two needs: reliable flow of parts for production, and an appropriate amount of aftermarket parts for current and obsolete models. Aftermarket parts have become an increasing share of OEM revenues and profits. This report explores the potential impacts of supply base segmentation and globalization for these markets, and examines key issues and challenges faced by OEMs in designing optimal supply bases for their market needs.

Supplier Diversity Programs 2005

CAPS Research Benchmarking Team — Mon, 28 Nov 2005 12:05:43 GMT

This report includes data from 113 companies from 26 different industry sectors. Key metrics include the percent of U.S. purchase spend with businesses that are minority-owned, women-owned, disabled/veteran-owned, and with businesses that are defined as being HUBZone enterprises. The report also looks at the percent of diversity spend awarded as a result of competitive bidding, or were awarded as sole source or single source contracts.

Supply Management Performance

CAPS Research Benchmarking Team — Mon, 21 Nov 2005 15:46:25 GMT

The report looks at key supply management performance measures relative to spend management and cost savings, professional development activities, supplier information and factors used to manage suppliers, and information on sourcing activities.

Outsourcing Strategies and Implications

Roberta Duffy — Mon, 17 Oct 2005 16:58:53 GMT

In a continual effort to lower costs and get the maximum benefit from supply chain expertise, many firms have looked to outsourcing. Despite some challenging issues (such as those regarding intellectual property, employee/company/community sensitivity about outsourcing, and the lasting benefits of outsourcing), countless firms have felt that the positives have outweighed any potential risks. Some of the most common benefits associated with outsourcing include cost reductions, optimizing a "24-hour" day with overseas partners, more resources available for core competencies, and leveraging supplier technology. In each company, however, the main question that must be asked is: Is it right for our firm? Will the value that is achieved through an outsourcing model ultimately benefit the enterprise or help it to achieve its goals?

Optimizing MRO Inventory Management

Bryan Ashenbaum — Tue, 02 Aug 2005 16:57:44 GMT

MRO inventory can be difficult to properly manage, as it is an "indirect" spend category and its size and impact are often underestimated. This report discusses the key issues faced by firms as they try to optimize MRO inventory levels, and lays out some selected real world examples of firms that are managing to do so. Firms are best served by a four-step approach: (1) standardize MRO item-level data, (2) provide company-wide visibility to the data, (3) obtain top management buy-in, and (4) choose appropriate metrics to determine success.

Japan's Keiretsu as a Strategic Relationship with Suppliers

Supply Management Research Group, Japan — Fri, 08 Jul 2005 18:18:55 GMT

The primary focus of the study is to explain and develop the Keiretsu relationships, its historical evolution, and its importance to the supply chain.

Managing Commodity Spend in Turbulent Times

George A. Zsidisin, Ph.D. — Fri, 08 Jul 2005 18:16:18 GMT

This report provides three techniques that supply management professionals may want to consider implementing for managing commodity price volatility.

Eastman Kodak Company Worldwide Purchasing Sourcing Process

Anna E. Flynn, Ph.D. — Fri, 08 Jul 2005 18:15:05 GMT

In the late 1990s, worldwide purchasing at Kodak moved from a highly decentralized to a highly centralized structure with a new chief purchasing officer (CPO) and a mandate from the CEO to reduce procurement costs by $1 billion. One initiative to achieve this target was a change to the sourcing process.The sourcing process was designed for all applications, used cross-functional project teams, and consisted of a formalized, consistent eight-phase process with gates and reviews to ensure project success and stakeholder buy-in.

Localizing Sourcing Volumes in China: Insights from the Automotive Industry

Fabian Hedderich, Ralph Nowak, and Ulrich-Bernhard Ochmann — Mon, 16 May 2005 20:26:53 GMT

This PRACTIX report describes how an international car manufacturer has successfully developed a local supply base by convincing its established partners to accompany its internationalization.

Outsourcing Strategically for Sustainable Competitive Advantage

Robert M. Monczka, Ph.D., William J. Markham, et.al — Wed, 13 Apr 2005 14:57:18 GMT

The focus of this research was to determine those factors most critical to successful outsourcing of strategic goods, services, processes, functions, and businesses. Good/best practices will be established through field research. Emerging outsourcing strategies will also be identified and prescriptive model developed.

Individual User Adoption and Diffusion of Internet Reverse Auctions at Shell Chemicals

Thomas F. Gattiker, Ph.D. — Wed, 13 Apr 2005 14:55:01 GMT

This article examines the diffusion of reverse auctions among individual buyers at the Shell chemicals companies.

Strategic Performance Measurement for Purchasing and Supply

Phillip L. Carter, D.B.A., Robert M. Monczka, Ph.D., C.P.M., and Trish Mosconi — Fri, 08 Apr 2005 19:11:28 GMT

This research identifies measurements that are and will be critical to the development and execution of leading-edge sourcing and supply strategies. Field research establishes most critical measures, their use, strengths, and weaknesses.

Consumption and Specification Management Bristol-Myers Squibb Company

Anna E. Flynn, Ph.D. — Tue, 01 Mar 2005 18:56:33 GMT

As procurement organizations map strategies for excellence, one of the tools at their disposal is a program known as consumption and specification management (CSM). CSM is the assessment of internal demand for external goods and services to identify underlying cost drivers, align purchases with business needs, and eliminate unnecessary consumption. The basic premise of a CSM program is that through careful review of consumption patterns, improved communication with internal users, and a rethinking of the purposes for some purchases, the procurement team can drive more savings, than through traditional sourcing alone. Although CSM is not a new concept within Bristol-Myers Squibb (BMS), a formal CSM program was launched in September 2003 as part of a company-wide productivity effort. The objective of this program is to formalize CSM; develop the necessary tools, processes, and operating model to embed CSM; and drive savings across the entire BMS organization.

Defining the Procurement Organization - Phase II

CAPS Research Benchmarking Team — Mon, 07 Feb 2005 11:40:23 GMT

This is Part II of a two-part report on procurement organization structures. This metric report focuses on roles and responsibilities, and the levels of involvement, of the procurement organizations in new product/technology development. The report also looks at the level of involvement that procurement organizations provide technical and engineering support for new product development activities. Part I of the report focuses staffing, outsourcing and offshoring, and related procurement operating costs.

Capital Spend

CAPS Research Benchmarking Team — Fri, 28 Jan 2005 16:24:40 GMT

As the name implies, this benchmarking report looks at the spend for capital goods and equipment, real property and plants, and related manufacturing equipment. When looking at activities and functions being performed by the purchasing organization, this report finds that within the companies surveyed, less than one percent of the total purchasing professionals manage capital spend activities.

Supply Base Rationalization

Roberta Duffy — Tue, 18 Jan 2005 15:27:57 GMT

As firms strive to be competitive, more and more they realize that it's not just a matter of how a single enterprise operates, but how it makes the best use of its supply base. Oftentimes, that leads to the question of what should the supply base "look like" and who should it include? To that end, supply base rationalization (which doesn't necessarily mean reduction) has been a major trend for more than a decade. Best practices around supply base rationalization usually involve identifying current spend, determining a supply strategy for each category, and then subsequently determining the appropriate number of suppliers that can both meet requirements but also make the most of leverage and supplier integration. Adequately managing the technology needed for such assessment, user resistance, conflicting supply strategies, and competition dynamics are just a few of the hurdles that must be overcome to realize the full potential of supply base rationalization.

Better Buyer-Supplier Relationships through Supply Base Reduction and Supplier Performance Measurement

Jeffrey A. Ogden, Ph.D. and Matthew W. McCarter — Thu, 18 Nov 2004 17:22:32 GMT

Supply base reduction and supplier performance measurement can be useful tools in developing closer relationships with suppliers. After successfully reducing its supply base, one company in the transportation industry achieved additional value from its supply base by utilizing a supplier performance measurement system with its remaining suppliers. This best practices report briefly describes the supplier performance measurement system utilized by this company and discusses the increased value that the firm achieved from implementing this tool.

Catalog Management Implementation Strategies

Anna E. Flynn, Ph.D. — Mon, 01 Nov 2004 10:55:37 GMT

This Report addresses the major considerations in developing and implementing an online catalog and content management strategy. It discusses various ways to prioritize catalog development (e.g., by number of transactions, cost of transactions, standards, etc.); various types of catalogs possible (e.g., buyer-hosted, supplier-hosted, third party, etc.); and challenges that arise when implementing a catalog program. The Report includes two case study examples.

Supply's Organizational Roles and Responsibilities

P. Fraser Johnson and Michiel R. Leenders — Thu, 28 Oct 2004 18:48:28 GMT

The study replicates the earlier CAPS studies, in 1987 and 1995, on supply's organizational roles and responsibilities. It provides a useful reference point for benchmarking and understanding organizational trends and approaches.

Procurement Compliance for the Pharmaceutical Industry

CAPS Research Benchmarking Team — Mon, 04 Oct 2004 13:29:59 GMT

This report was developed specifically for the pharmaceutical industry. The survey, developed in collaboration with the ISM Pharmaceutical Forum’s leadership, specifically addresses questions about specific policies and procedures related to procurement compliance programs.

Defining the Procurement Organization - Phase I

CAPS Research Benchmarking Team — Mon, 04 Oct 2004 13:28:07 GMT

Part I of a two part report on procurement organization structures. This report focuses on procurement staffing, outsourcing and offshoring of procurement functions, procurement operating expenses, and standard multipliers to calculate burdened overhead costs. Part II of the report focuses on new product development activities and the roles/responsibilities of the procurement organization.

Tiered Supplier Management

Anna E. Flynn, Ph.D. — Thu, 23 Sep 2004 16:29:05 GMT

This Report details the topic of tiered supplier management, including the process, how it relates to cost reductions, challenges associated with managing multiple tiers, the impact of globalization, and how to resolve supply chain issues that arise from this model. It also includes three case studies.

Developing and Implementing E-Sourcing Strategy

Anna E. Flynn, Ph.D. — Thu, 23 Sep 2004 16:24:41 GMT

This Report details how firms can effectively realize success of an e-sourcing program by first adequately assessing the organizational context in which the system will be used, including the organizational culture, structure, people, processes, and existing systems. It discusses how firms must balance these elements with the sense of urgency that is often present when reports of “quick paybacks” lead to speedy decisions and adoption. There are sections on developing e-sourcing strategy, metrics/ROI, and the future. The Report includes four case studies that illustrate: better buying through alignment of business processes and technical architecture; removing inefficiencies by driving e-enablement of strategic sourcing; increasing procurement effectiveness and sustaining transformation; and developing an e-procurement strategy and measuring the business impact.

Managing and Controlling the Services Supply Chain at Intuit

Lisa Ellram, Ph.D., C.P.M. and Wendy Tate — Wed, 18 Aug 2004 17:16:09 GMT

In many organizations the role of supply management in services procurement and the services supply chain is not clearly defined. This creates unclear expectations in service contracts and a lack of a definitive process for the procurement of services. This best-practices study addresses these issues by describing the process that Intuit Inc. has developed for the procurement of services. The focus of this article is specifically on the process for the development and the management of customer contact centers.

Study of Purchasing Practices in Japanese Manufacturing Companies

Michiya Morita and Osamu Uehara — Fri, 16 Jul 2004 19:51:40 GMT

This report discusses current purchasing practices in Japanese manufacturing companies and the changes that are occurring in these practices in order to meet the economic and strategic challenges facing Japanese manufacturing firms.

Purchasing Education and Training II

Larry Giunipero, Ph.D. and Robert B. Handfield, Ph.D. — Wed, 26 May 2004 14:32:39 GMT

The study provides an analysis of changes occurring in the purchasing function and how these changes will affect the skill sets and knowledge requirements of purchasing professionals. The impact of these changes on the body of knowledge in the purchasing/supply management area also was analyzed. Finally a longitudinal comparison with the previous 1993 study was performed to identify the major changes that have occurred in the past decade.

Hedging Fuel Surcharge Price Fluctuations

Matt A. Schlosser and George A. Zsidisin, Ph.D. — Wed, 12 May 2004 13:05:08 GMT

This best practice report describes how Hershey Foods Corporation has been able to successfully hedge fuel surcharges passed on from its carriers — even though it does not directly consume diesel fuel, and despite the fact that diesel futures are not exchanged in the commodity markets.

X-BSC - Measuring the Performance of Truly Strategic Supplier Relationships

Lutz Kaufmann, Ph.D. — Thu, 11 Mar 2004 11:54:55 GMT

The concept of the Balanced Scorecard (BSC) is frequently employed to support the implementation of the strategies of individual business units within a multibusiness organization. This Practix best practices report describes how the principles of the BSC concept were successfully applied to strategic supplier relationships at a company from the automotive industry under the term Cross-Balanced Scorecard or X-BSC.

Improving the Total Cost of Ownership of Document Management at Bank of America

Robert Handfield, Ph.D. — Tue, 04 Nov 2003 18:29:15 GMT

Bank of America is one of the world’s leading financial services companies. In 2000, the bank began building a team of supply management professionals to develop new strategies for major commodity families, in an effort to consolidate and leverage major spend items to reduce costs and improve the profitability of Bank of America. The following best practice describes how the bank implemented this strategy that reduces the cost of printing documents by moving the documents to a digital library for better control and cost savings.

Evaluating E-Procurement Solutions

Ram Narasimhan, Srinivas Talluri, et al. — Thu, 25 Sep 2003 20:19:01 GMT

This research develops a structural, multi-phase, analytical methodology for evaluating alternative e-procurement solutions.

Indirect Spend

Phillip Carter, Stewart Beall, et al. — Fri, 05 Sep 2003 17:21:37 GMT

No description available

IBM's Supply-Base Efforts Toward Sustainability

Lisa Ellram, Ph.D., and Wendy Tate — Fri, 22 Aug 2003 14:29:42 GMT

Environmental concerns are playing an increasingly important role within the strategic framework of companies. By enlisting the aid of the purchasing professional, organizations have found a way to improve efficiency, reduce costs, decrease waste, and enhance the overall environmental impact of incoming materials, which directly influences the overall sustainability goals of the organization. This best practices study addresses these issues by describing the process that IBM has developed for including environmental matters in supplier selection.

Supply Organizational Structures

P. Fraser Johnson — Fri, 15 Aug 2003 14:10:39 GMT

No description available

Order Placement and Contract Conclusion in E-Business (This report is made available courtesy of the European Center for Research in Purchasing and Supply (ERPS), Vienna, Austria.)

Dr. Josef VLCEK — Thu, 26 Jun 2003 14:53:57 GMT

This study focuses on the rapid developments in information technology, especially in the use of the Internet as a communication tool that has led to new forms of placing orders and concluding contracts for B2B (business-to-business), B2C (business-to-consumer), and C2C (consumer-to-consumer) transactions.

Kodak's "Breakthrough Idea" Supplier Conferences: A Best Practice for Achieving Productivity Improvements

Timothy Smith and Thomas E. Hendrick, Ph.D. — Thu, 29 May 2003 17:16:41 GMT

The CPO and his newly energized (and centralized) purchasing team began a radical transformation. One component of this transformation was the development of a unique model of annual face-to-face supplier conferences. The primary objective of these conferences was to draft the support of key suppliers to generate “Breakthrough Ideas” to help reach the cost reduction stretch goal.

The Role of Reverse Auctions in Strategic Sourcing: Case Study METRO

Stewart Beall, C.P.M., Craig Carter, Ph.D., et al. — Mon, 19 May 2003 17:02:54 GMT

This research focuses on the value proposition of reverse auctions for a case study involving METRO.

The Role of Reverse Auctions in Strategic Sourcing: Case Study Bechtel

Stewart Beall, C.P.M., Craig Carter, Ph.D., et al. — Mon, 19 May 2003 17:02:20 GMT

This research focuses on the value proposition of reverse auctions for a case study involving Bechtel.

The Role of Reverse Auctions in Strategic Sourcing: Case Study GlaxoSmithKline

Stewart Beall, C.P.M., Craig Carter, Ph.D., et al. — Mon, 19 May 2003 17:01:01 GMT

This research focuses on the value proposition of reverse auctions for a case study involving GlaxoSmithKline.

The Role of Reverse Auctions in Strategic Sourcing: Case Study Volkswagen

Stewart Beall, C.P.M., Craig Carter, Ph.D., et al. — Mon, 19 May 2003 17:00:11 GMT

This research focuses on the value proposition of reverse auctions for a case study involving Volkswagen.

Business-to-Business E-Commerce: A Study of Greater Chinese and U.S. Electronics and Apparel/Textile Firms

Sherry Thatcher, Ph.D. — Mon, 05 May 2003 21:19:29 GMT

The results of this study help purchasing managers to understand the extent to which B2B e-commerce technologies are being used currently in the electronics and textile/apparel industries. In addition, the study examined the risks and benefits associated with B2B e-commerce systems, as perceived by U.S. and Greater Chinese firms, and provides recommendations for companies wishing to use B2B e-commerce tools effectively with their business partners in all four regions.

Raytheon's Buyerless Tools

Anna Flynn, Ph.D. — Sat, 01 Mar 2003 00:00:00 GMT

Automating the purchasing process is one way to lower acquisition costs, streamline the process, reduce the number of people touching the process, and reduce cycle time from need recognition to receipt (and payment if it is also automated). What to automate and how to automate are two critical questions facing most purchasing/supply managers. This best practices study addresses these two key issues by describing the buyer-less tools developed and implemented by a team of people at the Space and Airborne Systems Division of Raytheon Company.

The Role of Reverse Auctions in Strategic Sourcing

Stewart Beall, C.P.M., Craig Carter, Ph.D., et al. — Sat, 01 Feb 2003 00:00:00 GMT

This research focuses on the value proposition of reverse auctions. Based on data collected from buyers, suppliers, and providers of reverse auction services, the research creates a comprehensive insight into best practices for the use of reverse auctions in an overall sourcing strategy. the research also documents the total volume of business transacted through reverse auctions.

Supply Base Reduction Within Supply Base Reduction

Jeff Ogden — Wed, 01 Jan 2003 00:00:00 GMT

As a strategic function, some of the most important and fundamental decisions that purchasing and supply management can make concern the creation and management of its supply base. One important decision relating to the design and administration of an organization’s supply base is the number of suppliers who will be utilized for a given product or service. Reducing the number of suppliers can lead to many benefits for the organization. This best practices report describes the successful implementation of supply base reduction efforts of a company in the transportation industry.

Strategic Cost Management in the Supply Chain

Lisa Ellram, Ph.D. — Mon, 01 Jul 2002 00:00:00 GMT

This research uses in-depth, on-site case studies to explore "best" practices in strategic cost management among leading-edge purchasing organizations today. Specifically, the research (1) identifies and studies a number of "best practice" organizations across several industries; (2) explores both upstream and downstream strategic cost management issues and practices; (3) synthesizes those best practices; (4) develops a prescriptive model for world-class cost management in the supply chain.

Early Supplier Involvement at MRD

Michael E. Smith, Ph.D., and George A. Zsidisin, Ph.D. — Sat, 01 Jun 2002 00:00:00 GMT

Early Supplier Involvement (ESI) in product design has been subject to extensive study in the automotive industry. However, there are limited applications of ESI in other industries. This best practice report describes the successful implementation of ESI in the aerospace industry. The company that is the subject of this study provides vital technology for civilian and military aircraft. By engaging suppliers early in product design, the organization has recognized significant cost savings and enhanced its competitive position. This case provides details about the process for implementing ESI in an engineering-intensive business.

Managing Professional Services Costs

Lisa M. Ellram, Ph.D., C.P.M., C.M.A., and Corey Billington, Ph.D. — Sat, 01 Jun 2002 00:00:00 GMT

As organizations increasingly outsource mainstream functions to consultants and contingent workforce providers, the dollars spent on outside services continue to grow and have a greater impact on firm profitability. Such is the case with Company H, which specifically targeted purchasing of professional services as an area of opportunity for improved satisfaction of internal client demand, increased understanding of costs, and better cost management.

Using Supply Chain Mapping as a Tool to Assess Performance in a Multi-tier Automotive Supply Chain

Robert Handfield, Ph.D. — Sat, 01 Jun 2002 00:00:00 GMT

In order for organizations to function as a truly integrated supply chain, information sharing is critical. Without adequate sharing of information, firms are required to supplement the available information with costly alternatives. This best practice maps the supply chain for a fabric used in an automotive product, beginning with a textile company that forms fabric, through a fabric extruder, to a sunroof manufacturer, and finally to an OEM automotive manufacturer. In this particular supply chain, multiple opportunities exist for collaboration and sharing of information. Before discussing collaboration, however, an important starting point is to use a technique called “supply chain mapping, which involves tracing the product flow through multiple processes and inventory collection points.

Chief Purchasing Officers' Compensation Benchmarks and Demographics: A 2001 Study of Fortune 500 Firms

Thomas E. Hendrick, Ph.D., and Jeffrey Ogden — Wed, 01 May 2002 00:00:00 GMT

This study is an update of the 1999 CPO Compensation study completed by Dr. Hendrick.

E-Commerce Exchanges: Making Informed Decisions. Applying Best Practices.

CAPS Research and McKinsey & Company — Wed, 01 May 2002 00:00:00 GMT

One of the purposes of this study is to help buyers, suppliers, and investors to understand how to best use different types of e-tools in order to realize supply chain management value. Another aim is to help exchanges understand and leverage emerging best practices.

Major Changes in Supply Chain Responsibilities

Michiel R. Leenders, D.B.A., and P. Fraser Johnson, Ph.D. — Mon, 01 Apr 2002 00:00:00 GMT

Supply chain responsibilities refer to the functional activities, such as inbound transportation, inventory control, and warehousing, that report to the chief purchasing officer. This research examined major changes to supply chain responsibilities of the purchasing function in large companies with the objective of understanding the important reasons for the changes and implementation issues related to additions or deletions in responsibilities. the research also reported on the expected benefits of making changes to purchasing's supply chain responsibilities.

Maximizing Purchasing Synergies

Cheryl L. M. Phillips and V.M. Rao Tummala — Fri, 01 Mar 2002 00:00:00 GMT

The Corporate Purchasing Office of a large Midwestern consumer and building products company identified opportunities to aggregate and leverage volume to reduce the total cost of purchases while maintaining the highest levels of quality and service and develop partnerships to promote greater product support, process improvement, developmental and testing programs, through maximizing purchasing synergies. The best practice involves the use of a committee approach to develop and implement national contracts, which can be applied to purchase commodities, products, or services by any operating division of the company. The committee approach can create a guiding coalition that will allow the operating divisions to become empowered in the purchasing process and lead the changes required, including the commitment, participation, and cooperation. It also can involve key decision-makers in the contract development process, and it taps into internal talent and knowledge of the company.

Strategic E-Procurement in Global Pharmaceutical (GP)

Dr. Simon R. Croom and Mihalis Giannakis — Fri, 01 Mar 2002 00:00:00 GMT

Global Pharmaceutical is a pharmaceutical corporation, with a global network of manufacturing locations and whose sales are heavily dominated by the North American and European markets. In 1997, it embarked upon the development of an integrated Information System infrastructure to support its global procurement of both direct and indirect purchases. This case study describes the design and implementation of GP’s e-procurement.

Supply Chain Collaboration in Ship Construction and Repair

Robert Lee Gordon — Fri, 01 Mar 2002 00:00:00 GMT

Cruise ship construction and repair require a variety of supply chain management techniques and innovative procurement strategies. Due to the high financial transaction involved, a new supply chain process has been emerging in the area of ship construction. Supply Chain Leadership (SCL) is the combination of the process of collaboration, the fusion of leadership, and the art of entrepreneurship.

The Strategic Role of Reverse Auctions in the Quotation and Selection Process

Dr. Ronald L. Meier, Dr. Michael R. Williams, and Dr. Rodger B. Singley — Fri, 01 Mar 2002 00:00:00 GMT

As companies place greater and greater emphasis on cost-reduction initiatives, electronic purchasing and reverse auctions are generating considerable interest in many purchasing departments. This article describes the development of a purchasing department’s communication practices and the strategies used to reduce costs through an on-line reverse auction. The article then describes the actual auction logistics and illustrates the cost reductions achieved through the implementation of this strategy in an on-line auction for fasteners.

Compare and Share: A Structured Approach to Understanding Similarities and Differences in Part Costs and Functionality

Lisa Ellram, Ph.D. — Sat, 01 Dec 2001 00:00:00 GMT

This case study describes a manufacturing company’s strategic sourcing improvement efforts aimed at understanding, drawing attention to and reducing non-value added part proliferation among its relatively autonomous business units. The initiative is a structured, six-step process that involves identifying and analyzing parts that serve similar purposes to understand the physical and price differences in parts that are not justified by the functionality of those parts.

Co-Packing: Developing Contract Manufacturing Agreements in the Food Industry

Lambros Laios and Philip Menagias — Sat, 01 Dec 2001 00:00:00 GMT

This report describes a contracting procedure as applied by Elea, a Greek Company and a leader in production of olive-oil products. The contracting procedure results in long-term agreements with local enterprises called co-packers. Co-packers are responsible for the whole value chain, with the exception of marketing and distribution.

Purchasing Complex Services: The Case of E-Purchasing

Larry Smeltzer — Sat, 01 Dec 2001 00:00:00 GMT

The management team recognized that the acquisition and implementation of e-purchasing services would require sophisticated strategic sourcing because the service and market was complex. As a result, a systematic and comprehensive, six-step process for purchasing a complex service was followed.

Buyer-Driven Electronic Marketplaces: Developing Business Models for an Integrated E-Procurement Strategy

Dr. Michael Essig and Heinzpeter Kaerner — Sat, 01 Sep 2001 00:00:00 GMT

In this article, we will take a closer look at developing an e-procurement strategy, especially concerning buyer-driven electronic marketplaces. The argumentation will be supported by a case study of a German software vendor.

Evolution of Online Auctions in B2B E-Procurement

Vincent A. Mabert and Tobias Schoenherr — Sat, 01 Sep 2001 00:00:00 GMT

This article describes the developmental process one firm experienced over a two-year time frame, moving from traditional face-to-face negotiation and sealed-bid practices for procurement to being an active user of online reverse auction technology with the assistance of an outside service provider, and ultimately self-sufficiency.

Management of Supplier Network Knowledge for Enhanced Manufacturing Efficiency

Nexhmi Rexha, Ph.D., Tadayuki Miyamoto — Sat, 01 Sep 2001 00:00:00 GMT

This best practice study presents a Japanese manufacturing company’s unique management of supplier network knowledge, based on its two kinds of supplier seminars, in pursuit of its Kaizen practice (i.e., continuous improvement in cost and quality in a journey to perfection).

Senior Purchasing and Supply Managers' (SPSMs') Compensation Benchmarks and Demographics: a 2001 Study

Thomas E. Hendrick, Ph.D., and Jeffrey Ogden — Sun, 01 Jul 2001 00:00:00 GMT

The purpose of this study was to facilitate a first-of-its-kind survey of annual compensation packages for senior purchasing and supply managers of United States' Fortune 500 companies.

A Triangulation Approach to Diversity Supplier Development

Ralph G. Kauffman, Ph.D., C.P.M. — Fri, 01 Jun 2001 00:00:00 GMT

This article discusses how one company triangulates between itself, primary suppliers, and diversity suppliers to develop new diversity suppliers and as a result meets customer needs, reduces non-core activities of its primary suppliers and increases diversity supplier purchases.

Achieving World-Class Supply Chain Alignment: Benefits, Barriers, and Bridges

Stanley E. Fawcett, Ph.D., and Gregory M. Magnan, Ph.D. — Fri, 01 Jun 2001 00:00:00 GMT

This research identifies successful supply chain integration strategies, the conditional that led to success, and the barriers that were overcome. The costs and benefits of supply chain integration will also be documented.

Measuring Supply Risk: An Example from Europe

George Zsidisin — Fri, 01 Jun 2001 00:00:00 GMT

There has not been a significant degree of attention given to understanding the risks that exist with suppliers and the supply market. These supply risks can significantly affect the ability of an organization to achieve financial success. This best practice reports how one division, “Communication” (not its real name), in a multi-national company measures the potential financial impact of supply risks.

Purchasing Strategy in the 21st Century: E-Procurement

Keah Choon Tan and Ray Dajalos — Fri, 01 Jun 2001 00:00:00 GMT

This best practice study describes the Web-based B2B e-procurement system of a leading e-commerce enabler in Las Vegas, Nev. It is compiled based on interviews with two major clients, both of which are prominent hotel casinos in Las Vegas. The e-commerce enabler in this study is a leader in the Web-based B2B industry, providing e-commerce solutions that enable firms of all sizes to streamline their purchasing processes. While the e-commerce enabler provides other services, this study focuses on e-procurement.

An Online RFQ System: A Case Study

Vincent A. Mabert and Tobias Schoenherr — Thu, 01 Mar 2001 00:00:00 GMT

This article explores the development and implementation of an online quoting system within the purchasing function as a means to reduce overall cost for a manufacturer.

Commercialization of Procurement

Ray Carter and Alan Fenwick — Thu, 01 Mar 2001 00:00:00 GMT

This article focuses on the next stage in the development process of an internal Professional Procurement Service (PPS): changing mind and skill sets of the PPS team and the commercial aspects of, what has in effect,become a profitable internal procurement consultancy. In recent times, PPS has been going through the process of changing from a highly functional, price-driven and procedural-based process to a more commercially oriented business-like organization.

Digital Procurement - A Stand Alone Practice?

Rajesh Nellore — Thu, 01 Mar 2001 00:00:00 GMT

Not many companies succeed in implementing a digital procurement strategy and invariably end up destroying their relationships with long-time suppliers. We will investigate Firm P, a company that has successfully built up its digital procurement strategy. This firm is one of the top three firms in a manufacturing intensive industry and is a global player. This article describes the firm's implementation of its digital procurement strategy for the sourcing of paper.

Report on the Job Analysis to Update the Certified Purchasing Manager and Accredited Purchasing Practitioner Examinations

Eugene W. Muller, Ed.D. — Mon, 01 Jan 2001 00:00:00 GMT

This report describes the methods and results of a comprehensive job analysis of the purchasing and supply management function, conducted for the National Association of Purchasing Management from November 1997 to January 1999.

Purchasing's Contribution to the Socially Responsible Management of the Supply Chain

Craig R. Carter, Ph.D., and Marianne M. Jennings, J.D. — Fri, 01 Dec 2000 00:00:00 GMT

The purpose of this research was to examine the involvement of purchasing managers in the socially responsible management of the supply chain. This concept is referred t as purchases social responsibility (PSR) and consists of a wide array of behaviors that fall into the categories of environment, safety, diversity, and human rights, and quality of life, ethics, and community and philanthropy activities. The factors that drive PSR, barriers to PSR, ways of overcoming those barriers, and outcomes of PSR are examined in greater detail in the report.

Coming into Focus: Using the Lens of Economic Value to Clarify the Impact of B2B e-Marketplaces (bw version)

CAPS Research and McKinsey & Company — Wed, 01 Nov 2000 00:00:00 GMT

The goal of the research was to provide an objective analysis of the benefits, strategies, and capabilities of B2B e-marketplaces so that B2B e-marketplace users could better understand the purchasing and supply management functionalities they offer.

Coming into Focus: Using the Lens of Economic Value to Clarify the Impact of B2B e-Marketplaces (color version)

CAPS Research and McKinsey & Company — Wed, 01 Nov 2000 00:00:00 GMT

Developing "Fast Track" Policies and Procedures for the Purchase of Underground Construction: A Public Utilities Example

John M. Browning, Ph.D., C.P.M. — Fri, 01 Sep 2000 00:00:00 GMT

This report provides an overview of the “Fast Track” method of contracting for underground construction by one company to upgrade the City Water and Sewer System.

Strategic Sourcing: A Systematic Approach to Supplier Evaluation, Selection, and Development

James L. Patterson, Ph.D., C.P.M., A.P.P. and Kim M. Amann — Fri, 01 Sep 2000 00:00:00 GMT

This best practices study highlights an original equipment manufacturer’s (OEM) efforts to achieve world-class competitiveness through the development of a standardized strategic sourcing process throughout its several operating divisions.

The QV Way to Avoid Adverse Selection and Moral Hazard

Andrew Cox — Fri, 01 Sep 2000 00:00:00 GMT

This article outlines two cases in which the QuoVectius (QV)™ Way of Thinking was used to improve procurement and supply management practice.

Chief Purchasing Officers' Compensation Benchmarks and Demographics: A 1999 Study of 152 Fortune 500 Firms

Thomas E. Hendrick, Ph.D., and Jeffrey Ogden — Tue, 01 Aug 2000 00:00:00 GMT

The purpose of this study was to develop a model to identify the factors that explain the relative value and extent of compensation components (base salary, bonus, benefits) for Chief Purchasing Officers (CPOs) of Fortune 500 companies.

Deregulation in the Energy Industry: A Vision of the Future

Robert B. Handfield, Ph.D. — Tue, 01 Aug 2000 00:00:00 GMT

This study documents the emerging trends occurring in the electrical utility markets within different regions of the country. It also looks at the process that purchasers can use in evaluating potential suppliers. Selected purchasing managers will be asked to share insights on the following issues: Key evaluation criteria to consider, leveraging opportunities that may arise in the future, and future trends that may affect industrial purchasers of electricity in the near and distant future.

Electronic Reverse Auctions: Integrating the Tool with the Strategic-Sourcing Process

Larry Smeltzer, Ph.D., and Marc Ruzicka — Thu, 01 Jun 2000 00:00:00 GMT

This article describes how the reverse auction was integrated successfully as a tool in the sourcing process for a direct material at a major aerospace corporation. The process used to implement the new procurement tool consists of eight integrated steps: conducting a spend analysis, profiling the categories, identifying opportunities for leverage, developing clear specifications, identifying and qualifying the supply base, selecting the reverse auction provider, communicating with the suppliers, and conducting the electronic reverse auction.

Invoiceless Procurement: Streamlining the Receiving and Billing Processes

Marc Ruzicka — Thu, 01 Jun 2000 00:00:00 GMT

This article reviews the concept of evaluated receipts settlement (ERS), describes how ERS may benefit a procurement organization, and provides an example of how a procurement organization at a global pharmaceutical company successfully implemented an ERS system.

One Buyer's Contribution to Supplier Managed Inventory (SMI)

Arnold Maltz, Ph.D. — Thu, 01 Jun 2000 00:00:00 GMT

One popular trend in procurement is to maximize the supplier's role in managing inventory. There are obvious benefits. The buyer can reduce or eliminate inventory management activities such as daily monitoring, planning, and ordering. Inventory holding cost is minimal because the supplier takes on most of the risk. As long as the supplier performs — delivers the right amount of competitively priced components at the right time — supplier managed inventory (SMI) looks like paradise for purchasing professionals.

Best Value Procurement in Local Authorities

Martin Spring and Angel Dominguez-Ortega — Wed, 01 Mar 2000 00:00:00 GMT

European public procurement is becoming more professional, mainly because of the Best Value or Excellence strategies that are being implemented in public sector organizations. Partnerships, performance assessment, and the constant evaluation of indicators are the key elements of this process.

Creating a Self-funding Purchasing Department: A European Example

Lisa Ellram, Ph.D., C.P.M., C.P.A., and George Zsidisin — Wed, 01 Mar 2000 00:00:00 GMT

Cost containment and cost management continue to be top priorities for senior-level management. Several major companies in the Netherlands have found a way around the continual questioning of purchasing’s value: they fund themselves. Not the same as a profit center, these organizations make zero profit, nor do they charge user business units for their services.

Meaningful Involvement of Purchasing: The Case of Consulting Services

Joseph J. Schiele — Wed, 01 Mar 2000 00:00:00 GMT

The findings from this study suggest that purchasing can add value to those decisions where purchasing involvement has traditionally been low. In addition, benefits that result from meaningful involvement of purchasing are associated with the consulting service purchased and the organization as a whole, the specifier, the purchasing process, and the consulting service supplier. Managers may want to consider these insights the next time they are purchasing similar services.

International Purchasing and Supply Management: A Comparison of U.S. and German Practices

Lutz Kaufmann, Ph.D., and Craig R. Carter, Ph.D. — Tue, 01 Feb 2000 00:00:00 GMT

This research identified successful international purchasing and supply management practices. First, it explored how successful firms have designed their international purchasing and supply management systems, and how these designs relate to both external and internal success factors. second, it looked at how international purchasing and supply transactions can be managed successfully within those contexts. finally, world-class purchasing practices were identified and compared in manufacturing industries in the United States and in Germany.

A Skills-Based Analysis of the World Class Purchaser

Larry Giunipero, Ph.D., C.P.M. — Sat, 01 Jan 2000 00:00:00 GMT

The report documents the attributes of world-class purchasing and supply management individuals based on the experiences and practices at leading corporations.

Major Structural Changes in Supply Organizations

Michiel R. Leenders, D.B.A., and P. Fraser Johnson, Ph.D. — Sat, 01 Jan 2000 00:00:00 GMT

This research examined major changes in the purchasing/supply organization of large companies and ascertained the reasons for the change and the important benefits and costs of the changes. The research established the internal and external drivers of these changes and examined how the changes were implemented.

Gaining Competitive Advantages Through a Supplier Diversity Program

Hokey Min, Ph.D. — Wed, 01 Dec 1999 00:00:00 GMT

In this article, we will profile the successful implementation of a corporate-wide supplier diversity program utilized by one of the Fortune 500 companies.

Procurement Revolution with Intelligent Agent Technology

Mark E. Nissen, Ph.D. — Wed, 01 Dec 1999 00:00:00 GMT

This article describes some key principles for integrating intelligent agent technology into procurement processes — such as working effectively with people in the process and adhering to purchasing policies and procedures in the enterprise — and outlines key features of a revolutionary procurement process design enabled by this advanced information technology.

Worldwide Capital Construction Procurement at GlobaChem

Michael A. McGinnis, D.B.A. — Wed, 01 Dec 1999 00:00:00 GMT

The procurement department of GlobaChem, a multinational chemical company with sales of over US $5 billion, faced a challenge. The company began a strategy of expanding its global operations which included numerous global construction projects and purchasing played a key role in driving the success of this strategic effort.

Purchasing Electricity in a Globally Transitioning Market

Robert Handfield, Ph.D. — Wed, 01 Sep 1999 00:00:00 GMT

Organizations that purchase significant amounts of electricity as part of their operating expenses can benefit from adopting a global energy procurement strategy, as the organization described in this best practice has done.

Statement of Work for Technical Services: A Decision Process Approach

Larry Smeltzer — Wed, 01 Sep 1999 00:00:00 GMT

Global-Net recognized the importance of developing cross-functional teams for acquisition of software/technical services. To accomplish this, it was necessary to complete a decision process for writing the Statement of Work. This led to creation of an SOW process, a way to make the SOW process more easily understood, and the development of a best-practice model for contract-type selection. Once this was accomplished, Global-Net’s goal of harnessing software costs was realized.

Surrogate Sourcing - Not to be Confused with Outsourcing

Jerry Marstall — Wed, 01 Sep 1999 00:00:00 GMT

Whereas outsourcing has been seen as an undermining of the influence and power of supply management organizations, Surrogate Sourcing resuscitates the influence and power of supply management by providing tools that allow supply management to become the largest contributor to corporate profits of all the organizations within a company. Surrogate Sourcing, in the timeframe of weeks versus months and years, can contribute more to corporate profits than any other business approach, including outsourcing.

A Multi-Country Study of Strategic Topics in Purchasing and Supply Management

Thomas E. Hendrick, Ph.D. — Tue, 01 Jun 1999 00:00:00 GMT

The research looked at what changes (or drivers of change) are under way (or are expected to occur in the next decade) in both external global economic/political environments, and internal organizational environments that are expected to have a direct or indirect impact upon the nature of both traditional and/or leading-edge purchasing and supply management functions, activities, authorities, responsibilities, domains, human resources, organizational structures, services, suppliers, and customers/clients.

Competency Development in Supply Chain Management

Eberhard E. Scheuing, Ph.D., C.P.M., A.P.P. — Tue, 01 Jun 1999 00:00:00 GMT

Using a systematic, team-driven process to assess current state, needed competencies, and appropriate actions has enabled Biz Comm (not its real name) to create a cutting-edge supply chain management organization that practices commitment to continuing professional development and improved performance.

Environmental Management: Purchasing's Cross-Functional Role

Craig R. Carter, Ph.D., and Martin Dresner, Ph.D. — Tue, 01 Jun 1999 00:00:00 GMT

Environmental issues are becoming important not only to firms as a whole, but to purchasing as a function. But what role can purchasing managers play? What type of cross-functional integration is necessary to successfully implement an environmental project, and how can purchasing managers contribute to a firm’s environmental efforts? Is there a tradeoff between environmental friendliness and higher costs?

Reducing the Transactions Costs of Purchasing Low-Value Goods and Services

Robert J. Trent, Ph.D., and Michael G. Kolchin, D.B.A., C.P.M. — Tue, 01 Jun 1999 00:00:00 GMT

This study looked at how organizations can reduce the time allocated to and transactions cost of low-value purchases so that more effort can be dedicated to high-value purchases.

Supply Risk Assessment Analysis

George Zsidisin and Lisa Ellram, Ph.D., C.P.A., C.P.M. — Tue, 01 Jun 1999 00:00:00 GMT

This best practice summarizes the risk assessment process and the proactive supply risk management of a Fortune 500 high technology electronics company in order to elucidate how other organizations can develop their own risk mitigation strategies.

The Impact of Purchasing on Financial Performance

Julia S. David, Ph.D., Yuhchang Hwang, Ph.D., et al. — Tue, 01 Jun 1999 00:00:00 GMT

This research used the CAPS benchmarking database and data on publicly held firms to explore relationships between purchasing performance, as reported on CAPS benchmarking studies, and financial performance of firms. The study speaks to the aggregate relationships between purchasing and financial performance, but will evaluate the performance of individual firms.

ISO 14000 Assessing Its Impact on Corporate Effectiveness and Efficiency

Steven A. Melnyk, Ph.D., CPIM — Sat, 01 May 1999 00:00:00 GMT

This study looked at this new international standard. While the ISO 9000 series focused on quality and the processes developed within the firm, ISO14000 focuses primarily on the environmental management systems developed by firms. The project addresses the following research questions: What is the initial predisposition of potential users of ISO 14000 to the ISO 14000 standard, how are these predispositions influenced by factors such as past experiences with ISO 14000 registration and success, and improved market and corporate performance.

OEM Cycle Time Reduction Through Supplier Development

James L. Patterson, C.P.M., A.P.P., and J. Dougal Nelson — Mon, 01 Mar 1999 00:00:00 GMT

This best practices study highlights a manufacturer’s supplier development activities, providing assistance by focusing on cycle time reduction. To this end, this company, identified as “Accent Equipment,” has provided significant engineering and process management support to its key suppliers, reducing cycle time, decreasing manufacturing costs, and improving product quality.

Strengthening Internal Relationships

Eberhard E. Scheuing, Ph.D., C.P.M., A.P.P. — Mon, 01 Mar 1999 00:00:00 GMT

The Chief Procurement Officer (CPO) of Major Insurance Company wanted to gain more cooperation from the management and his fellow employees throughout the many divisions and locations of his vast international firm. Being in a highly competitive service industry, he felt that his company’s success in the marketplace depended significantly upon the extent and nature of the cooperation between his purchasing team and its internal customers. Because any chain is only as strong as its weakest link, he set out to strengthen his team’s working relationships with internal customers.

The Marketing of Professional Procurement

Ray Carter, MA, MCIPS, MBM — Mon, 01 Mar 1999 00:00:00 GMT

This article describes the development of an internal Professional Procurement Service (PPS) designed to provide value-adding procurement services to the group’s internal customers. The “marketing”of PPS was highly successful and the PPS now provides a valuable service to the company. The article focuses on the service to be provided, promotion of the concept of a commercial and professional procurement service and Global Travel’s procurement executive, and, finally, the delivery of that service to the customer.

Developing a World-Class Supply Base

Daniel R. Krause, Ph.D., and Robert B. Handfield, Ph.D. — Fri, 01 Jan 1999 00:00:00 GMT

compares buying firms' supplier development efforts in the United States to buying firms' supplier development efforts in the United Kingdom and South Korea, in the automotive and electronics industries. Specifically , what are these firms doing to effectively improve their suppliers' performance to world-class levels.

The Role of Supply Management in Target Costing

Lisa Ellram, Ph.D., C.P.M., C.P.A. — Fri, 01 Jan 1999 00:00:00 GMT

This report investigates how leading firms use target costing in purchasing and supply. The research examines factors that influence implementation, the role of purchasing and supply professionals, supplier involvement, and variations among industries.

Getting Suppliers Up to Speed on Y2K

Eberhard E. Scheuing, Ph.D., C.P.M., A.P.P. — Tue, 01 Dec 1998 00:00:00 GMT

To protect itself against disruptions caused by the ‘millennium bug’, Titan Heavy Equipment Co. (not its real name) moved early and decisively by identifying and resolving date sensitivity problems in its supply chain. Its efforts focused on both systems issues and embedded problems at three levels: its own operations, critical first-tier suppliers, and their second-tier suppliers. Consequently, Titan anticipates a smooth transition into the next millennium, resulting in a competitive advantage.

Purchasing Professional Services

Larry R. Smeltzer, C.P.M. — Tue, 01 Dec 1998 00:00:00 GMT

Pharmed’s efforts demonstrate that an integrated program is needed to successfully implement best practices when purchasing professional services. Top management support is needed; buy-in from the various professional disciplines is required; sound purchasing principles must be applied; and value must be demonstrated.

Spinning-off Procurement - Establishing an Independent Procurement Company

Wolfgang Buchholz, Ph.D., and Lutz Kaufmann, Ph.D. — Tue, 01 Dec 1998 00:00:00 GMT

In the process of developing “core competency with outsourcing” strategies, many companies face the issue of whether they continue to carry out purchasing on their own. If somebody offering procurement services has a core competency and can provide added value for the customer, a successful relationship may be established. Identifying the value and successfully marketing it is, and will continue to be a challenge for the “central buyers of the good old days.”

The Influence of the EURO on the Purchasing Function (hard copy only)

Prof. Ing. Dkfm. Dr. Geiserich Tichy, and Mag. Josef Baumgartner, et al. — Tue, 01 Dec 1998 00:00:00 GMT

The focus of this study is to give the first systematic and detailed look of how the EURO will have a major impact on business environments with the increasing importance of materials management, purchasing, and logistics as strategic corporate functions.

Managing the Year 2000 Supplier Compliance Process

Eberhard Scheuing, Ph.D., C.P.M. — Thu, 01 Oct 1998 00:00:00 GMT

This research project explores the efforts being made to address the year 2000 challenge by purchasing professionals. Year 2000 supplier compliance processes, supplier support issues, and organizational issues are explored.

Target Costing

Lisa Ellram, Ph.D. — Tue, 01 Sep 1998 12:00:00 GMT

This best practice study highlights Carsrun Company’s (CRC) current practices in target costing.

Going Global

Robert B. Handfield, Ph.D. — Tue, 01 Sep 1998 00:00:00 GMT

Managers at Sportscar believe most barriers to successful global supplier development are “soft” issues. One cannot “buy” management skills, attitude, and acceptance, yet these elements are most important when selecting and qualifying suppliers.

Making the Most of Your Distributors

Arnold Maltz, Ph.D. — Tue, 01 Sep 1998 00:00:00 GMT

As staffs get leaner and products more complicated, it only makes sense to maximize benefits from your supply base. In the high-tech electronics world, the pressure is intense. Product life-cycles can be 18 months or less, performance expectations are extreme, markets are global, and engineering content is very high. Add to that the very complicated design process and the large number of components, and the purchasing task is challenging, to say the least.

The Future of Purchasing and Supply: A Five- and Ten-Year Forecast

CAPS Research and NAPM — Tue, 01 Sep 1998 00:00:00 GMT

This report provides a forecast of the future environment in which purchasing and supply professionals will be working five and 10 years into the future. This forecast will allow professionals and their organizations to better plan and prepare for the future.

The Making of the CPO: The Mobility Patterns of Chief Purchasing Officers

Aaron A. Buchko, Ph.D. — Tue, 01 Sep 1998 00:00:00 GMT

This report studies the career paths of executives in purchasing and supply management. The research looks for patterns that accompany career moves within, into and out of the purchasing and supply function. It also looks at the history of career moves from the chief purchasing officer position to other executive positions in the organization.

Beyond Purchasing to Life Cycle Management

Linda L. Stanley, Ph.D. — Mon, 01 Jun 1998 00:00:00 GMT

A few years ago, the purchasing director for the North American region of a global semiconductor producer (named Semico for this article) was given responsibility for not only purchasing manufacturing site equipment, but also managing its performance through its entire life cycle. A dramatic move to incorporate their suppliers to becoming a "seamless" extension of the company has resulted in significant improvement in equipment performance.

Doing More with Less: How Teams Can Help Manage the Commodity Management Process

Lisa Ellram, Ph.D., C.P.M., C.P.A. — Mon, 01 Jun 1998 00:00:00 GMT

Doing more with less is an issue that all purchasing departments seem to be wrestling with today. ConsumerPro (not its real name) is a consumer products company that has a surprisingly low purchasing headcount for the dollars of purchasing expenditure. How this company changed the purchasing organization to support a cross-functional team approach is the focus of this best practice. The teams are referred to as strategic sourcing teams, while the commodity management approach is referred to as category management.

Ethical Issues in Global Buyer-Supplier Relationships

Craig R. Carter, Ph.D. — Mon, 01 Jun 1998 00:00:00 GMT

This study investigates the factors that comprise ethical issues in global sourcing, the precursors and outcome of ethical purchasing behavior, and distinctions in the perceptions of ethical behaviors that might exist at different levels within the purchasing organization as well as between purchasing and global suppliers.

Integrated Purchasing System

Michael A. McGinnis, D.B.A., C.P.M., A.P.P., and Rafeekh Mele Vallopra, M.B.A. — Mon, 01 Jun 1998 00:00:00 GMT

ATELX (not their real name), a leading full-service communications company implemented an integrated management information system to assist in solving strategic sourcing problems. This best practice illustrates the development of an integrated purchasing system (IPS) through the use of fundamental and straightforward processes. The result of these efforts allowed ATELX to achieve a very effective and dynamic system that continues to be refined.

A World-Class Supplier Quality Control Program

Hokey Min, Ph.D. — Sun, 01 Mar 1998 00:00:00 GMT

Considering that the quality of incoming parts sets the stage for the quality of finished goods, a supplier quality control program is a major step toward company-wide continuous quality improvement efforts. This best practice study highlights the world-class supplier quality control program that an electronic hardware distributor (hereafter called "NewStar") has successfully developed and implemented over the last several years.

Purchasing and the Internet

Steven Chapman, Ph.D. — Sun, 01 Mar 1998 00:00:00 GMT

A large company with more than $5 billion dollars in annual sales and multiple manufacturing and service sites throughout the world is in the process of developing an effective and interesting application for internet purchasing activities. The Company is aggressively pursuing expansion of the intranet into an internet application, and to put virtually all major MRO material and service needs on-line.

Taking Stock of an Inventory System

James L. Patterson, C.P.M., A.P.P., and Keri Alexander — Sun, 01 Mar 1998 00:00:00 GMT

When a global company strives to achieve world-class competitive status, it frequently focuses on its ability to improve its cost structure through the streamlining of its materials management processes and the overall reduction of inventories. This best practice study highlights a U.S. coal mining company's materials management function and processes, especially the effective management of maintenance, repair, and operating supplies, which have been a significant contributor to its corporate cost improvement program.

Purchasing and Supplier Involvement: New Product Development and Production/Operations Process Development and Improvement

Michael A. McGinnis, D.B.A., C.P.M. — Sun, 01 Feb 1998 00:00:00 GMT

This report assesses early supplier involvement in new product design (NPD). Specific issues examined include the roles of purchasing, supplier identification and certification, timing of involvement, technology sharing, monitoring and control, risks/rewards, timesaving, and quality cost issues in early supplier involvement.

Purchasing Innovation through Pet Projects

Stanley E. Fawcett, Ph.D. — Mon, 01 Dec 1997 00:00:00 GMT

This best practice study looks at how one firm in the minerals extraction industry systematically dismantled its long-standing and reactive materials management style in an effort to create a materials organization that creates and delivers value. Four elements form the foundation for the overhaul: a leadership style that encourages individual initiative, aggressive goal setting, enhanced communication and teamwork, and constant improvement through pet projects. Combining these four initiatives promotes increased profitability and enhanced long-term competitive position.

Supply Chain Management as Profit Center

Arnold Maltz, Ph.D. — Mon, 01 Dec 1997 00:00:00 GMT

Supply chain management is under increasing pressure to prove its contribution to the bottom line. This study relates how one purchasing group has taken the ultimate step and become responsible for profit, as opposed to cost. Key challenges included selling, pricing, and reinventing relationships with internal customers.

Supply Positioning at SGX Corporation

Joseph R. Carter, D.B.A., C.P.M. — Mon, 01 Dec 1997 00:00:00 GMT

The Supply Positioning technique provided SGX Corporation with a mechanism for discriminating between the various goods and services that are purchased and for developing specific strategies to meet the needs of the organization with respect to each item or class of items. It has proved to be a very powerful tool for coordinating the sourcing patterns of the various strategic business units and convincing senior management of the really effective role that purchasing can play in contributing to corporate profit and success.

Handling Small Dollar Orders

Marc Ruzicka and Phillip L. Carter — Mon, 01 Sep 1997 00:00:00 GMT

Effectively and efficiently handling a large volume of small dollar orders is a challenge for all purchasing departments. This best practice study highlights one university's solution to the challenge. The solution, which has evolved over time, was for the purchasing department to design and manage the purchasing process while letting the end-users manage the individual transactions within the process.

How Managers Become Chiefs

Eugene E. Jennings, Ph.D. — Mon, 01 Sep 1997 00:00:00 GMT

The purpose of this study is to address the knowledge managers need about mobility skills, rules, and moves needed by managers to make the transition to the leadership role of “chief.”

Purchasing Consortiums: Horizontal Alliances Among Firms Buying Common Goods and Services. What? Who? Why? How?

Thomas E. Hendrick, Ph.D. — Mon, 01 Sep 1997 00:00:00 GMT

This research explores combining requirements for goods and services of two or more buying organizations to gain the price, design, supply availability/assurance benefits (and other benefits) of higher volume commitments. In what environment(s) or situation(s) does consortium buying work best? What are the problems? What are the benefits? What are the legal issues? How should purchasing develop and structure consortium buying?

Reinventing Purchasing for Competitive Advantage

Eberhard Scheuing, Ph.D. — Mon, 01 Sep 1997 00:00:00 GMT

As the company streamlined itself for the competitive onslaught, its new Chief Sourcing Officer revamped both the structure and approach of its centralized purchasing organization to enhance competitive advantage. The new Corporate Sourcing Organization revolves around 12 product/service streams that draw on Central Sourcing Support in executing the strategic sourcing process. Central to the new approach is a cadre of Sourcing Process Leaders who as process owners drive strategic sourcing with the help of cross-functional teams.

Supply Chain Management

Robert Handfield, Ph.D. — Mon, 01 Sep 1997 00:00:00 GMT

The integration of multiple organizations into a seamless supply chain is a challenging vision that is only beginning to evolve in most industries. This best practice study highlights the experiences of a worldwide provider of electronics manufacturing services to original equipment manufacturers (OEMs). The company (we will call SCM) provides customized, integrated manufacturing services that span all three stages of the product life cycle, including pre-manufacturing, manufacturing, and post-manufacturing. This strategy has allowed them to achieve major growth as OEMs seek to outsource more of their supply chain processes and focus more on design and marketing of new products.

The Design of a Supplier Alliance Program

Vincent A. Mabert, Ph.D. — Mon, 01 Sep 1997 00:00:00 GMT

This best practice review explores the implementation process and experiences of a supplier alliance program for the power division of a manufacturer we will call Alpha Products.

Conditions That Create Influence for Purchasing in Corporate Strategic Planning

Larry Smeltzer — Tue, 01 Jul 1997 00:00:00 GMT

This research looked at what differentiates firms in which the material sourcing process is highly integrated with corporate strategic planning from those in which the sourcing process is minimally integrated into corporate strategic planning. The answers to this question will enable purchasing managers to identify pathways for the inclusion of purchasing concerns in corporate strategic planning.

Measures of Purchasing Effectiveness

Harold E. Fearon, Ph.D., C.P.M., and William A. Bales, C.P.M. — Tue, 01 Jul 1997 00:00:00 GMT

This study addresses the questions of what effectiveness measures are used, and what is done with the measurement results. Data were collected from companies that are in the mainstream of attempting to improve the measurement process.

Outsourcing: Implications for Supply Management

Lisa Ellram, Ph.D., C.P.M., and Arnold Maltz, Ph.D. — Tue, 01 Apr 1997 00:00:00 GMT

This study looked at how an organization decides which purchases to outsource, what skills and organizational approaches seem to be critical success factors for the outsourcing of MRO, and what role the purchasing function has played in the decision and ongoing management of MRO outsourcing.

Purchasing and Supply Management: Future Directions and Trends

Joseph R. Carter, D.B.A., C.P.M., and Ram Narasimhan, Ph.D. — Wed, 01 Nov 1995 00:00:00 GMT

This research uses a modified Delphi technique to gather informed opinions from knowledgeable leaders from industry and academe of what purchasing will look like in the new century. How will the purchasing process operate? What changes will take place and why?

Purchasing's Organizational Roles and Responsibilities

Harold E. Fearon, Ph.D., C.P.M., and Michiel R. Leenders, D.B.A. — Wed, 01 Nov 1995 00:00:00 GMT

This study expands the CAPS' earlier study (1988), Purchasing Organizational Relationships, to include date/ information on the centralization/decentralization issue; head count; changing responsibilities; reengineering/downsizing; teaming; reporting; and how purchasing fits into organizational strategy.

Purchasing from Minority Business Enterprises: Best Practices

Richard J. Auskalnis, C.P.M., Carol L. Ketchum, et al. — Tue, 01 Aug 1995 00:00:00 GMT

This report used CAPS benchmarking data to identify those organizations having the greatest success in purchasing from MBEs. Through in-depth interviews and questionnaires, CAPS identified the policies, procedures, and programs top performers use, as well as what makes their minority efforts succeed.

Purchasing of Nontraditional Goods and Services

Harold E. Fearon, Ph.D., C.P.M., and William A. Bales, C.P.M. — Mon, 01 May 1995 00:00:00 GMT

This study looked at how most purchasing departments limit their activities to raw material and MRO buys. How are the purchases of other items, such as construction, utilities, resale items, an real estate handled? Who does it? What are the relative dollars spent? What works? Can the purchasing department add value? Twenty goods and 69 services were analyzed.

Role of Carriers in Buyer/Supplier Strategic Alliances

Julie J. Gentry, Ph.D. — Mon, 01 May 1995 00:00:00 GMT

This report looked at the role that transportation providers play in the success of strategic supplier partnerships and supply chain management. How do carriers contribute to overall success of the buyer/supplier relationship?

Purchasing and Sourcing Strategy: Trends and Implications

Robert M. Monczka, Ph.D., C.P.M., and Robert J. Trent, Ph.D. — Sun, 01 Jan 1995 00:00:00 GMT

This study provides information about procurement and supply/sourcing strategy trends in selected areas. Research was conducted with more than 100 companies over a three-year period to specifically identify strategy trends.

Purchasing's Contributions to Time-Based Strategies

Thomas E. Hendrick, Ph.D. — Thu, 01 Dec 1994 00:00:00 GMT

This study looked at the current and potential effects of purchasing functions and activities on reducing firms' "Product Design-Development" and "Procedure-Make-Distribute" cycle times.

Total Cost Modeling

Lisa Ellram, Ph.D., C.P.M. — Sun, 01 May 1994 00:00:00 GMT

This research explored (1) the benefits from total cost of ownership approaches, (2) various types of cost models used, (3) the pros and cons of each type, and (4) whether certain models are more compatible with specific types of purchases.

Job Analysis Comparing the Tasks in State/Local Government Purchasing and Institutional Purchasing

Eugene W. Muller, Ed.D. — Sat, 01 Jan 1994 00:00:00 GMT

compared purchasing tasks within State/Local Government and Institutional Sectors.

Cross-Functional Sourcing Team Effectiveness

Robert M. Monczka, Ph.D., C.P.M., and Robert J. Trent, Ph.D. — Fri, 01 Oct 1993 00:00:00 GMT

The research was conducted with more than 100 cross-functional sourcing teams including more than 700 participants in 18 leading companies. Critical factors leading to teaming success were identified.

CEOs'/Presidents' Perceptions and Expectations of the Purchasing Function

William A. Bales, C.P.M., and Harold E. Fearon, Ph.d., C.P.M. — Sat, 01 May 1993 00:00:00 GMT

This report used data gathered from a sample of the CEOs/Presidents of the 500 largest manufacturing firms, 500 largest service firms, 200 leading small firms to assess (1) importance and effectiveness of purchasing, (2) contribution to decisions, (3) value added, (4) inputs, (5) organizational status, and (6) remuneration elements.

Purchasing Education and Training Requirements and Resources

Michael G. Kolchin, D.B.A., C.P.M., and Larry Giunipero, Ph.D., C.P.M. — Thu, 01 Apr 1993 00:00:00 GMT

This report looked at how the purchasing function is changing, how these changes impact the purchasing body of knowledge, and how these changes affect the training and education needs of purchasing professionals now and in the year 2000.

Purchasing and Materials Management's Role in Total Quality Management and Customer Satisfaction

Joseph R. Carter, D.B.A., C.P.M., and Ram Narasimhan, Ph.D. — Mon, 01 Mar 1993 00:00:00 GMT

This report examined purchasing's responsibility for quality, purchasing's ownership of quality, and the quality aspects of supplier certification.

Strategic Supplier Partnering: An International Study

Thomas E. Hendrick, Ph.D., and Lisa Ellram, Ph.D., C.P.M. — Mon, 01 Feb 1993 00:00:00 GMT

This study looked at the factors that lead to successful and unsuccessful strategic supplier partnerships, their impact on competitive behavior and competition, the commodities and industries best suited for these special relationships, and similarities and differences of approach to these relationships in various parts of the world.

Job Analysis Identifying the Tasks of Purchasing

Eugene W. Muller , Ed.D. — Fri, 01 May 1992 00:00:00 GMT

presents data from eight major industry sectors to identify the knowledge needed to perform 69 purchasing tasks.

Benchmarking Purchasing in the Semiconductor Industry with Sigma Barometers

Henry A. Malec, John D. McClean, et al. — Fri, 01 Nov 1991 00:00:00 GMT

This report presents a methodology that facilitates performance comparisons across industries and enables each industry to view other industries in terms of "Best-in-Class" perspectives.

Purchasing's Involvement in Transportation Decision Making

Julie J. Gentry, Ph.D. — Mon, 01 Jul 1991 00:00:00 GMT

This study assessed the current level of participation by purchasing managers in decisions such as carrier and price determination, hazardous materials movement, and carrier performance ratings.

Countertrade: Purchasing's Perceptions and Involvement

Laura Forker, Ph.D. — Fri, 01 Mar 1991 00:00:00 GMT

This report presents statistics on the size, composition, origins, and practices of countertrade, as reported by firms with direct experiences in this form of exchange. The purchasing department’s role in countertrade decisions is also illuminated and explored.

Purchasing from Small Women-Owned Suppliers

Carol L. Ketchum, Susan M. Olson, et al. — Sat, 01 Sep 1990 00:00:00 GMT

This study looked at the impediments to purchasing from small women-owned suppliers.

Purchasing in the Industrial, Institutional, Governmental, and Retail Sectors: A Comparative Study

Michael G. Kolchin, D.B.A., C.P.M. — Wed, 01 Aug 1990 00:00:00 GMT

This research looked at the purchasing process to identify the similarities and differences among the sectors.

Purchasing from Small Minority-Owned Firms: Corporate Problems

Marc J. Dollinger, Ph.D., and Catherine M. Daily — Sat, 01 Jul 1989 00:00:00 GMT

This report focused on impediments to purchasing from minority-owned suppliers, as perceived from suppliers' and buyers' viewpoints, and what can be done to overcome these problems.

U.S. Buyers' Relationships with Pacific Rim Suppliers

Robert E. Spekman, Ph.D. — Thu, 01 Jun 1989 00:00:00 GMT

This report portrays the perceived advantages and disadvantages of dealing with Pacific Rim suppliers.

Purchasing Practices of Large Foodservice Firms

R. Dan Reid, Ph.D., and Carl D. Riegel, Ph.D. — Sat, 01 Apr 1989 00:00:00 GMT

This study examined buyer-evaluation methods, supplier relationships, supplier-selection criteria, organization, and strategic sourcing.

Purchasing Ethical Practices

Robert L. Janson — Thu, 01 Dec 1988 00:00:00 GMT

This research examined the practices of a cross section of purchasing personnel from across the United States.

Environmental Supply Chain Management

Ram Narasimhan, Ph.D. — Wed, 01 Jun 1988 00:00:00 GMT

The research provides practical guidelines and methods of using environmental audit information for dealing with supply base management, capability buying relating to process and product technology, supplier alliances, and early supplier involvement in new product development.

Purchasing Organizational Relationships

Harold E. Fearon, Ph.D., C.P.M. — Mon, 01 Feb 1988 00:00:00 GMT

This report answers the questions, "To whom do purchasers report?" and "What are the functions for which purchasing is responsible?"