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CAPS Research Library Summary

To read and download CAPS research and benchmarking reports, create a free account in the CAPS Library now. Please note: reports released within the last four years and event presentations are reserved for CAPS members and will appear locked to non-members. Learn more about CAPS membership.
771. The Metrics of Supply Management: A Cross-Industry Report 2020
August 2020

CAPS Research

The Metrics of Supply Management provides data for Key Performance Indicators (KPIs) for headcount, OPEX, spend, savings, ROI and others. Five industries and three sectors are broken out from the general population, allowing for supply management groups to see how they stack up against comparable organizations. A glossary of terms is included at the end of the report.
 
770. Procurement's Role in Creating Extraordinary Internal Customer Experience, Service Delivery, and Business Performance
August 2020

Ajith Kumar, Ph.D.
Steven Miller
Michelle Steward, Ph.D.

Arizona State University
PureForm Global Inc.
Wake Forest University 

Supply management professionals must create outstanding relationships with external suppliers while also serving internal users to maximize business value. This research investigates successful working relationships between procurement departments and their internal customers and how these relationships can be leveraged to improve business outcomes. In this report, researchers identify seven key themes and novel best practices.
 
  • Report - 44 pages
  • Brief - 8 pages
769. Prove Your Value to Internal Stakeholders
July 2020

CAPS Research

CAPS wants to help you refine your delivery of "so what" messages that colleagues will care about. This one-hour webinar and "fireside chat" with CAPS Executive Director Bryan Fuller and Director of Benchmarking Geoff Zwemke includes examples of how practitioners are communicating the strategic value of supply management within their organizations.
 
  • Presentation - 45 slides
  • Video - 60 min
768. Category Management Virtual Workshop
July 2020

CAPS Research

"Putting the Playbook to Work for You," a CAPS category management virtual workshop presented by former CPO Deb Stanton on June 25, 2020, explored the building blocks of category management according to Deb's own tried-and-true category management playbook including the framework, best practices, and inspiration to refine your own strategy. *Note: this video omits three separate attendee breakout sessions.
 
  • Video - 60 mins
  • Presentation - 45 slides
767. Supply Management Integration into Demand Management: Current State and Future Development
June 2020

Xiaosong (David) Peng, Ph.D.
Gregory Heim, Ph.D.

Lehigh University
Texas A&M University

Traditionally, supply management’s focus has been on the supply side of supply chain. However, in an increasingly customer-centric business environment, many supply chains are becoming more demand-driven. This report offers a look into how supply management can be integrated effectively with demand management. Case studies and examples are included to help you adapt some of these practices to your business.
 
Tags: Process
  • Report - 47 - pages
  • Brief - 10 - pages
  • Video - 3 minutes
766. CAPS Supply Management Virtual Summit 2020: A New Era of Transformation
June 2020

CAPS Research

The first-ever CAPS Supply Management Virtual Summit, presented on June 11, 2020, provided CAPS corporate members with the knowledge, insights, and inspiration of our annual global roundtables from the comfort and convenience of home. In this exclusive sales-free event we dove into supply chain risk, multigenerational communication challenges, cybersecurity, and more.
 
  • Virtual Summit - 8 slides
  • New Era of Cybersecurity - 25 slides
  • Virtual Summit - full event - 2 hrs 35 mins
  • Supply Chain Risk & Visibility - 32 minutes
  • SC Risk & Supplier Partnerships - 30 minutes
  • Agile, Transparent Supply Networks - 25 minutes
  • Multigenerational Talent - 34 minutes
  • A New Era of Cybersecurity - 28 minutes
765. Sustainability: Smart Business for a Better World
June 2020

Mary Siegfried

CAPS Research

Supply management plays a key role in driving and managing sustainability efforts within their organization. Whether a company is just starting its journey or is already managing detailed sustainability programs, supply management leaders agree sustainability is a focus that will only increase in importance in the years ahead. This report captures lessons learned from a day-long discussion on sustainability practices and provides case studies with examples.
 
764. Webinar: Managing Through the Coronavirus (COVID-19) Pandemic
May 2020

CAPS Research

Months into global stay-at-home orders, and as restrictions begin to ease, supply management professionals must look to the future and begin to ease supply chain woes brought on by the pandemic. In Part II of the CAPS COVID-19 webinar series, we will focus on insights and practices from global companies as they navigate through the pandemic business climate.
 
  • Presentation - 25 slides
  • Video - 58 minutes
763. Managing Through the Coronavirus (COVID-19) Pandemic
May 2020

CAPS Research

The Coronavirus (COVID-19) pandemic has shaken global supply chains, disrupted markets, and is changing the way we do business. In this second and updated report addressing the topic, we asked supply management practitioners about the actions they’re taking to mitigate the impact of the crisis. New topics since the last survey include how PPE is being sourced, actions companies are taking to support their communities, and post-pandemic planning activity. A total of 115 global companies responded. CAPS Research has made this report available to non-member companies and the public during this challenging time. In return, we ask that you please cite CAPS Research when reporting any of the data included in this report.
 
  • Report - 20 pages
  • Sector Breakout Report - 28 pages
  • Aerospace & Defense Industry - 11 pages
  • Industrial Manufacturing Industry - 11 pages
  • Oil & Gas Industry - 11 pages
  • Utilities Industry - 11 pages
762. Emerging Technology in Supply Management
April 2020

CAPS Research

This Snapshots report provides insight into Supply Management’s use of new technology (e.g., RPAs, analytics solutions, and Blockchain, etc.) as well as technology that has been around for some time (e.g., eSourcing and ERP solutions). There were 46 companies that participated in the survey.
 
761. Exploring Category Management: Across Different Business and Organizational Settings
April 2020

Janet Hartley, PhD

Thomas Choi, PhD 

Bowling Green State University
Arizona State University

Exploring Category Management offers a cross-industry overview of category management practices and practical steps for building your program. Multiple case studies provide insights on how companies are realizing the benefits of category management and overcoming challenges. No matter where you are in your journey, this report can help you move forward and ensure you are maximizing all the benefits of category management.
 
  • Report - 49 pages
  • Brief - 7 pages
  • Video - 3 minutes
760. Supplier Assessment Tools 2020
April 2020

CAPS Research

This Snapshots report provides insight into Supply Management’s use of supplier assessment tools / services and the 3rd party organizations they use. There were 72 companies that participated in the survey.
 
759. Payment Terms
March 2020

CAPS Research

The data in this CPO Insights report on Payment Terms was gathered at the 2020 CAPS CPO Roundtable, with a total of 34 participating companies.
 
Tags: Finance
758. Travel Policy
March 2020

CAPS Research

The data in this CPO Insights report on Travel Policy was gathered at the 2020 CAPS CPO Roundtable, with a total of 34 participating companies.
 
757. Webinar: Coronavirus (COVID-19): CPOs' Response to the Crisis
March 2020

Deb Stanton, Executive Managing Director

CAPS Research

We are in the midst of an unprecedented global health crisis, resulting in significant market disruptions, supply chains in flux, and new methods of conducting business. We are all still learning to lead effective supply management practices during the Coronavirus (COVID-19) pandemic. Join CAPS Research for a special webinar where we dig into the results of our latest survey, "Responding to the Coronavirus Pandemic". We gathered insights from 74 Chief Procurement Officers and senior supply management executives at Fortune 600 and Global 1000 companies. They told us how the Coronavirus has impacted their organizations and supply management groups, their greatest challenges, and specific actions they’re taking to mitigate the crisis within the organization. We’ll break down responses by industry and sector and discuss top organizations’ reactive and proactive measures.
 
  • Presentation - 23 slides
  • Video - 44 minutes
756. Responding to the Coronavirus (COVID-19) Pandemic
March 2020

CAPS Research

The onset of the Coronavirus (COVID-19) pandemic has shaken global supply chains, disrupted markets, and is changing the way we do business. In the midst of this critical time, we asked Chief Procurement Officers and senior supply management executives about their challenges and actions to mitigate the impact of the crisis. This report includes input from 74 CPOs from major corporations (Fortune 600 and Global 1000) sharing specifics on the impact to their supply management groups and across the enterprise, their greatest challenges, and measures they’re taking in the face of the pandemic. CAPS Research feels the information herein is important and valuable and we offer the report publicly in the interest of advancing supply management. In return, we ask that you please cite CAPS Research when reporting any of the data included in this report.
 
  • Report - 13 pages
  • Sector Breakout Report - 24 pages
755. Accuracy of Spend Classifications 2020
March 2020

CAPS Research

This Snapshots report provides insight into how prevalent inaccurate spend classification is among corporations, and the most common reasons for the incorrect classifications. It also includes numbers for the percent of spend that is classified incorrectly. There were 91 companies that participated in the survey.
 
754. CPO Roundtable - North America - 2020
February 2020

CAPS Research

At the CAPS CPO Roundtable, 2020: A New Era of Transformation, presenters and attendees explored key supply management topics that are shaping the coming decade: organizational transformation, business alignment, talent, emerging technology, cybersecurity, and more.
 
  • Supply Management ROI - 2 slides
  • SCM Journey General Dynamics - 9 slides
  • SC Transformation Dover Corporation - 10 slides
  • SC Transformation Fluor - 10 slides
  • Business Alignment American Red Cross - 20 slides
  • Business Alignment DuPont - 4 slides
  • Future of Talent DuPont - 3 slides
  • RPA at HollyFrontier - 6 slides
  • Cyber Security PNM Resources - 8 slides
  • Economic Forecast ASU - 111 slides
  • New Research Overview - 9 slides
  • Research Reveal 1 - 14 slides
  • Research Reveal 2 - 8 slides
  • SC Value Generator GHX - 1 slide
753. Measuring Supplier Diversity Program Performance
February 2020

CAPS Research

The 2020 update to the highly acclaimed Supplier Diversity Program Performance Report is now available. This report gains insight into the practices and performance of Supplier Diversity Programs across industries. Metrics include Supplier Diversity Program spend as a percent of Sourceable and Managed spend, as well as key characteristics of Supplier Diversity programs, including suppliers and the personnel within those programs.
 
752. Supply Management Transformation
February 2020

CAPS Research

This CPO Insights report provides an overview of supply management transformation occurring within global companies.There were 54 companies that participated in the survey. Most responses were submitted by the CPO / senior supply management leader.
 
751. DOE/NNSA Contractors Procurement Performance Benchmarking Report 2019
February 2020

CAPS Research

The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Procurement Performance Benchmarking Metric Report for 2019 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 19 different DOE and NNSA laboratories (or sites).
 
Tags: DOE
750. Webinar: Building Your Category Management Playbook
February 2020

Deb Stanton, Executive Managing Director

CAPS Research

Category management is very effective for influencing sourcing decisions, developing winning strategies, and achieving the best value from your suppliers. In this webinar, Deb Stanton, Executive Director of CAPS Research and former CPO, describes the building blocks of her category management playbook while sharing lessons learned.
 
  • Presentation - 26 slides
  • Video - 60 mins
749. New Measurements of Value
January 2020

CAPS Research

This CPO Insights report addresses how companies view and measure value creation beyond traditional savings and productivity.
 
748. P2P Cycle Time 2019
December 2019

CAPS Research

This Snapshots report provides insight into average cycle times for the P2P process as well as which segments of the process are measured by most companies. There were 50 companies that participated in the survey.
 
747. Webinar: Creating Future-ready Supply Management Teams
December 2019

Jennifer D. Nahrgang, PhD

CAPS Research

In this CAPS member webinar, Jennifer D. Nahrgang, PhD, lead researcher for research report Future Procurement Talent: Looking Ahead 10 Years, takes a close look at the talent lifecycle and new labor models that are sure to affect your organization in the next decade; specifically, how to source, develop, retain, and transition your supply management talent. We discuss proactive measures you can take now to address skill gaps in strategic thinking, leadership, and data analytics.
 
  • Video - 38:57 mins
  • Presentation - 20 slides
746. Future Supply Management Talent: Looking Ahead 10 Years
December 2019

Jennifer D. Nahrgang, PhD, Bruce Gilmore, MBA, & Joan Brett, PhD

Arizona State University

The role of supply management professionals is evolving and changing. As we look ahead to the future, what skills, abilities, and expertise will future professionals need to succeed in the supply management field? What emerging labor models should you consider to leverage the workforce? How can you create an effective talent management lifecycle to source, develop, retain, and transition your team? These are just some of the questions explored in the research report Future Supply Management Talent: Looking Ahead Ten Years. Included in the report are 6 key focus areas for supply management leaders as well as a talent management lifecycle model.
 
  • Video - 3:16 mins
  • Report - 38 Pages
  • Brief - 9 Pages
745. Centers of Excellence in Supply Management 2019
December 2019

CAPS Research

Many companies create and use Supply Management Centers of Excellence (SM COE) to help identify, develop, and roll-out best practices in key areas and activities. Typically, SM COEs are made-up of teams of experts who provide specific functional execution in support of Supply Management and/or Business Units. This Snapshots report provides insight into Supply Management Centers of Excellence.
 
744. Developing Supplier Ecosystems to Create Value
November 2019

Frank Wiengarten, Ph.D. 

Ramon Llull University

In a traditional supply chain model, companies rely on their internal capabilities and their tier-one suppliers’ capabilities when developing new products and solutions. Supplier ecosystems are an emerging alternative model for innovation, offering benefits that traditional processes don’t provide. Developing Supplier Ecosystems to Create Value outlines a process for initiating supplier ecosystems and the benefits of using this approach. A list of 10 best practices and life cycle management steps are included in the report.
 
  • Brief - 7 Pages
  • Video - 3 minutes
  • Report - 42 Pages
743. Digital Transformation and Data Analytics
November 2019

CAPS Research

The purpose of this Snapshots report is to provide an overview of company digital transformation and data analytics practices. The survey was conducted at the 2019 CAPS Fall Roundtable, with a total of 30 companies that participated in the survey.
 
742. Managing Supplier Risk 2019
November 2019

CAPS Research

This Snapshots report seeks to understand how companies are managing supplier risk. This survey was conducted at the 2019 CAPS Fall Roundtable, with a total of 28 companies responding.
 
741. Business Partner Engagement 2019
October 2019

CAPS Research

Aligning supply management with the goals and needs of internal business partners (also known as business owners or internal stakeholders) continues to be a key priority for strategically focused supply management leaders. This report covers specific activities that typically show the level of engagement with this key stakeholder group. The survey was conducted at the 2019 CAPS Fall Roundtable, with a total of 29 companies responding.
 
740. Supply Management Roundtable - North America - Fall 2019
October 2019

CAPS Research

The roundtable is our flagship event for supply management practitioners, exclusively for CAPS member companies. We put into practice CAPS research findings, benchmarking metrics and best practices, and the thought leadership from leaders and peers to help members prepare for the future and align to goals of their organizations. This year's agenda topics included: transformation, supplier risk, technology and analytics, talent management and organizational structure, ecosystems, and more.
 
  • Data Analytics Journey CAPS - 41 slides
  • Supplier Ecosystems P&G - 8 slides
  • Supplier Risk CAPS - 30 slides
  • SC Financing JP Morgan - 5 slides
  • SC Financing Honeywell - 2 slides
  • Organizational Change Raytheon - 13 slides
  • Blockchain IBM - 13 slides
  • Talent Journey BAE Systems - 9 slides
  • Supplier Ecosystems CAPS - 20 slides
  • Talent Research CAPS - 20 slides
739. Preparing for a Potential Economic Downturn
October 2019

CAPS Research

Many companies are making plans or currently taking action to prepare for a potential economic downturn or recession fueled in part by the Trump administration tariffs and corresponding retaliatory tariffs that have led to a multi-country trade war. This CPO Insights report provides insight into what actions global corporations are planning or currently taking to prepare for potential worsening economic conditions.
 
738. Innovative Approaches to Cost Savings
October 2019

Roberta Jennings

CAPS Research

Cost savings always has been – and likely always will be – a major component of a supply organizations’ function. Organizations strive to create comprehensive savings strategies that will contribute positively to the bottom line, while also meeting quality and service standards. CAPS Research recently co-hosted a Critical Issue Exchange on Cost Savings. The discussion from the day-long meeting is summarized in this report and includes case studies and examples of cost savings strategies being employed by organizations today.
 
737. E-Auctions 2019
September 2019

CAPS Research

This Snapshots report seeks to understand whether companies are increasing or decreasing their use of E-Auctions (also known as Reverse Auctions), and the reasons for the change in their usage.
 
736. New Supplier Assessments 2019
September 2019

CAPS Research

This Snapshots report provides insight into supply management current practices regarding new supplier assessments.
 
735. Third-Party Risk Management
September 2019

Mary Siegfried

CAPS Research

Throughout the years, risk management worries have kept supply chain leaders up at night. How does flooding on the upper Mississippi River affect delivery of parts to plants in Louisiana? Will the financial difficulties faced by a large overseas manufacturing partner impact your supply chain? Third-Party Risk Management was the topic at a recent CAPS Research Critical Issue Exchange event. This report captures lessons learned from this day-long discussion and provides case studies with examples.
 
734. Transparency and Collecting Supply Chain Data 2019
August 2019

CAPS Research

Many companies face decreased transparency into certain areas of supplier risk. Data is scarce on supplier ethical business practices (e.g., child labor, trafficking), regulatory concerns, and sources of supply. This Snapshots report provides insight into company practices of collecting data on these types of supplier risk.
 
733. Webinar: Prove Your Value with Key Metrics
August 2019

Geoff Zwemke, Director of Benchmarking

CAPS Research

Many supply management professionals get caught in the trap of communicating in “procurement-speak” with internal stakeholders. Supply management professionals often fail to “translate” their activity and value into a language that business partners and senior executives understand or care about. In this session, CAPS Director of Benchmarking, Geoff Zwemke, and CAPS Director of Membership, Nicole Leonardi, share KPIs from the recently released Metrics of Supply Management report in addition to talking points that companies are using to communicate the strategic importance of supply management.
 
  • Video - 47 mins
  • Presentation - 54 slides
732. Webinar: How Do You Stack Up? 2019 Metrics of Supply Management ISM
August 2019

Deb Stanton, Executive Managing Director

CAPS Research

The annual CAPS Metrics of Supply Management 2019 has just been released. Get the most recent benchmarking metrics to compare your supply management organization and practices to others. Deborah Stanton, Executive Director of CAPS Research, will feature several of the metrics in this report and share how she put the metrics to work for her as former CPO of MasterCard.
 
731. Aerospace and Defense Industry Benchmarking Metric Report 2019
August 2019

CAPS Research

The 2019 Aerospace and Defense Industry Benchmarking Metric Report includes metrics of importance to the aerospace and defense industry on topics including supply management organizational structure, spend and spend analytics, supply management operating expense, supplier relationships, and supply management return on investment.
 
730. The Metrics of Supply Management (Cross-Industry) Report 2019
July 2019

CAPS Research

The Metrics of Supply Management (Cross-Industry) Report provides data for Key Performance Indicators (KPIs) for headcount, OPEX, spend, savings, ROI and others. Five industries and three sectors are broken out from the general population, allowing for supply management groups to see how they stack up against comparable organizations. A glossary of terms is included at the end of the report.
 
  • Aerospace & Defense Industry - 4 pages
  • Financial Services Industry - 4 pages
  • Industrial Manufacturing Industry - 4 pages
  • Petroleum Industry - 4 pages
  • Utilities Industry - 4 pages
  • Report - 7 pages
729. Investment Recovery Metric Report 2019
July 2019

CAPS Research

This report was developed in partnership with the Investment Recovery Association. In addition to the organizational information and operational benchmarks provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs as well as best practice implementation, services and processes, effectiveness of program-related tools and technologies, and investment recovery staffing.
 
728. China: Reassessing the Middle Kingdom in Global Supply Management
July 2019

Barbara Flynn; Markham Frohlich; Amrou Awaysheh

Indiana University

Global supply management is experiencing turbulent times. There are uncertainties surrounding tariffs and trade war, IP issues, cyber warfare, and evolving technologies at a breakneck pace and data analytics. At the center of such pressing issues is China. This whitepaper will address what is happening inside and outside China. What is it like to do business inside China and what is it like to do business with Chinese companies in China and outside China? This paper captures what it has been like for global companies working with Chinese companies and what it will be like moving forward given the current circumstances.
 
727. Oil & Gas Industry Metric Benchmarking Report 2019
June 2019

  

CAPS Research

This Metric Report provides an overview of the results of the survey created by and for procurement/supply management professionals from the Oil & Gas Industry. Results include benchmarks on spend, savings, supply management return on investment, category management, and warehousing.
 
Tags: Petroleum
726. Webinar: Risky Business - Mitigating Third Party Risk in Your Supply Chain
June 2019

Deb Stanton, Executive Managing Director

CAPS Research

Supply networks are becoming longer and more complex and companies are relying more heavily on their suppliers. What steps can companies take to minimize exposure to risk while maximizing the value of supplier relationships? This CAPS member webinar presented by Deb Stanton, features the steps to develop a risk management plan, including data from CAPS bench marking, types of risk, technologies and ways to measure risk.
 
  • Video - 54 mins
  • Presentation - 23 slides
725. Emerging Technologies in Supply Management
June 2019

John V. Gray, Ph.D.; Andrea M. Prud'homme, Ph.D.; Andrew C. Barley

Fisher College of Business The Ohio State University

New transformative and potentially disruptive technologies promise large companies faster, cheaper, and more effective procurement and supply management processes. We identified 11 key emerging technologies and analyzed their potential benefits, effectiveness, and opportunities for practical application. In light of a growing number of options, this research will inform supply management organizations on how to avoid the risk of either adopting unnecessary technologies or becoming comparatively less effective with actionable recommendations on whether, when, and how to implement new solutions.
 
  • Report - 62 pages
  • Brief - 8 pages
  • Video - 2:55 mins
724. Measuring and Managing Risks in the Supply Chain
April 2019
Tobias Schoenherr, Ph.D.;Carlos Mena, Eng.D.;Thomas Choi, Ph.D.
Michigan State University, Portland State University and Arizona State University
What risks should supply management executives be concerned with and, more importantly, how can these be measured and evaluated? These are the questions our new research report Measuring and Managing Risks in the Supply Chain sought to answer. Risk management is often under the charge of supply management groups, but responsibility can and should be shared by suppliers and internal partners. Risk measurement allows supply management practitioners to anticipate, react to, prioritize, and effectively manage risk, from dealing with significant events to establishing best practices of risk avoidance in every-day operations. This report offers a taxonomy of key risks to consider and best practices for measuring different categories of risk.
 
  • Report - 62 pages
  • Brief - 5 pages
  • Video - 3:00 mins
723. CPOs Reporting KPIs to Senior Executives 2019
March 2019
CAPS Research
This report reflects the responses of CPOs in attendance at the CAPS Research CPO Roundtable on March 12, 2019. It provides a snapshot of how Supply Management and the CPO report KPIs upward.
 
722. Mobile Device Policies 2019
March 2019
CAPS Research
This report reflects the responses of CPOs in attendance at the CAPS Research CPO Roundtable on March 12, 2019. This report is designed to provide a snapshot of company mobile device policies.
 
721. eAuctions 2019
March 2019
CAPS Research
This report reflects the responses of CPOs in attendance at the CAPS Research CPO Roundtable on March 12, 2019. As the business environment becomes more fast paced and agile, companies continue to turn to eAuctions for procurement. This report is designed to provide a snapshot of company practices with eAuctions.
 
720. Counterfeiting in the Supply Chain: Identification, Containment & Prevention by Adopting a Multi-Pronged Approach
March 2019
Robert B. Handfield, Ph.D.;Anand Nair, Ph.D.
North Carolina State University and Michigan State University
The problem of counterfeiting in the supply chain continues to plague companies in every industry. In order to combat counterfeiting, a multilayered strategy that adopts multiple approaches and engages the entire organization is needed. This research investigates counterfeiting’s global growth and provides detailed recommendations to address the issue. It delves into strategies ranging from tracking technologies to working with government agencies in an effort to stem the growing challenge of counterfeiting throughout the supply chain.
 
  • Report - 77 pages
  • Brief - 6 pages
  • Video - 2:42 mins
719. Exploring Strategic Category Management 2019
March 2019
CAPS Research
This Snapshots report provides insight into the benefits, challenges and practices of Category Management across a variety of companies.
 
  • Report - 10 pages
  • Sector Breakout Report - 11 pages
  • Aerospace & Defense Industry Breakout Report - 8 pages
  • Industrial Manufacturing Industry Breakout Report - 8 pages
718. Cost Savings Measurement and Reporting 2019
February 2019
CAPS Research
This Snapshots report provides an overview of company practices in measuring and reporting cost savings.
 
717. DOE/NNSA Contractors Procurement Performance Benchmarking Report 2018
February 2019
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Procurement Performance Benchmarking Metric Report for 2018 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 19 different DOE and NNSA laboratories (or sites). Key measures include spend per procurement employee, and supplier diversity goals and attainment. Other measures include customer satisfaction surveys and procurement card use.
 
Tags: DOE
716. Integrating Safety into Practices and the Supply Chain
February 2019
Roberta Jennings
CAPS Research
Organizations across all sectors are continually investing in safety, not just within their own processes and procedures, but also within their supply chain. “Integrating Safety into Practices and the Supply Chain” was the focus of a recent CAPS Research Critical Issue Exchange, co-sponsored by Bechtel Corporation. How do you make safety a priority for your suppliers? How do you measure and assess supplier safety? How do you determine what your risk tolerance is for special circumstances? This new report captures the lessons learned from the day-long discussion and provides case studies with examples.
 
715. Compliance to the Contracting Process 2019
January 2019
CAPS Research
This Snapshots report provides insight into understanding companies’ use and effectiveness of formal compliance policies and procedures for pre- and post-award activity.
 
714. Data Analytics Teams and Procurement - Who and What
December 2018
Benjamin Shao, Ph.D.;Robert D. St. Louis, Ph.D.
Arizona State University
Procurement leaders are turning to data analytics teams to help them leverage the wealth of data available and meet business goals, but what skills should the team have? This research investigates assembling, structuring, retaining, and supporting the team. It examines how data analytics can facilitate procurement practices related to spend analysis, contract management, market intelligence, and supply chain risk. Insightful comments by CPOs at various stages of the data analytics journey offer a real-life look at how data analytics teams function and succeed in many organizations.
 
  • Report - 54 pages
  • Brief - 7 pages
  • Video - 3:12 mins
713. Demand Management and the Supply Management Group 2018
December 2018
CAPS Research
This report provides insight into the level of engagement of supply management in demand management activity. A total of 19 organizations participated in this survey.
 
712. GPOs and Amazon for Business 2018
November 2018
CAPS Research
This Snapshots report provides insight into the use and effectiveness of Group Purchasing Organizations (GPOs) and Amazon for Business. GPOs are used to create leverage in purchasing power for a group of businesses to attain better prices from suppliers based on collective buying power. Amazon for Business offers access to a variety of products with incentives for members, like Prime shipping and a multi-seller marketplace. There were 67 organizations that participated in the survey.
 
711. Human Rights and the Supply Chain 2018
November 2018
CAPS Research
This report provides an overview of the practices of global corporations in their efforts to identify and mitigate/reduce human rights risks in their supply chains.
 
710. Business Partner Engagement 2018
November 2018
CAPS Research
Aligning supply management with the goals and needs of internal business partners (also known as business owners or internal stakeholders) continues to be a key priority for strategically focused supply management leaders. This report covers specific activities that typically show the level of engagement with this key stakeholder group.
 
709. Recruiting Talent 2018
November 2018
CAPS Research
As efforts to recruit talent have become more competitive, companies are interested in exploring recruitment sources and strategies. This report is designed to provide a snapshot of company practices in recruiting talent.
 
708. Supplier Assessments and Audits 2018
October 2018
CAPS Research
This Snapshots report provides insight into understanding companies’ use of supplier audits and assessments.
 
707. Physician Preference Items Management: Challenges, Opportunities, and Strategies
October 2018
Gilbert Nyaga, Ph.D.;Eugene Schneller, Ph.D.
Northeastern University;Arizona State University
Physicians have autonomy in deciding the devices they use for patient care, which can circumvent cost savings, volume economies, and other benefits that come from including procurement. Approximately 60% of total spend by hospitals comes from physician preference items (PPI) - items that physicians strongly prefer and therefore play a key role in their acquisition. The goal of this report was to study challenges, opportunities, and management efficiencies involved in procuring PPIs. This study also looked to other industries to identify any commonalities and applications outside of healthcare. Download this new CAPS Research report today to find key insights and recommendations for managing PPIs. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 49 pages
  • Brief - 8 pages
  • Video - 3:21 mins
706. Punchout and ERP-Hosted/CIF Catalogs 2018
September 2018
CAPS Research
Punchout catalogs are web-based catalogs hosted at a supplier’s website and accessed through the buyers ERP/procurement application. The buyer leaves (“punches out” of) the ERP/procurement application to enter the supplier’s web-based catalog or e-marketplace and then returns to complete the requisition process. ERP-hosted (also known as CIF) catalogs are static digital files that suppliers provide to the buying company that reside within the ERP/procurement application. CIF stands for Catalog Interchange Format. This report is designed to provide a snapshot of company practices in use of Punchout and ERP-Hosted/CIF Catalogs. There were 62 organizations that participated in the survey.
 
705. Procurement Analytics - Enabling Data Architectures in the Age of Big Data
September 2018
Raghu T. Santanam, Ph.D.;Michael Goul, Ph.D.
Arizona State University
Procurement processes will be at the center of the emerging changes in the way organizations engage with their business partners, customers, and suppliers. This new report from CAPS Research examines the ways companies can architect their procurement data to lay foundations for the discovery of new insights. The research addresses the ways companies organize their procurement data structures and evolving them through various levels of maturity. This includes data sources and requirements at each maturity level, the functional capabilities and processes needed to advance, the value proposition of moving along the maturity curve, and what the future entails for already mature companies. Download the full report today to discover the insights and lessons learned from this new research report. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 45 pages
  • Brief - 6 pages
  • Video - 3:01 mins
704. Supplier Safety Performance 2018
August 2018
CAPS Research
As efforts to drive safety into the supply base continue to gain momentum in global corporations, companies are asking how supplier safety efforts can and should impact sourcing decisions, SRM programs, and supplier life-cycle programs. The starting point to integrate supplier safety into supply management is understanding and measuring supplier safety performance. This Snapshots report looks at company practices in supplier safety performance.
 
703. Talent: Is Your Team Ready for 2020?
August 2018
Roberta Jennings
CAPS Research
There are many reasons to have a comprehensive talent development program in the supply management organization: consistent standards, succession planning, creating a "learning" work culture, better skill and competency assessments, and greater employee satisfaction, among other things. This report summarizes good practices, lessons learned, and general thoughts on talent development, including recruiting, retaining, leadership development, changing demographics, and changing the perception of training.
 
702. Procurement Training 2018
July 2018
CAPS Research
This report provides insight into understanding the training practices, certification and budget for supply management employees.
 
701. The Metrics of Supply Management (Cross-Industry) Report 2018
July 2018
CAPS Research
The Metrics of Supply Management (Cross-Industry) Report provides data for thirty-four identified Key Performance Indicators (KPIs). Included are various headcount ratios for the supply management group, as well as an array of metrics to assess the cost savings generated by supply management employees. The report also has metrics on managed spend and operating efficiencies. Five industries and three sectors are broken out from the general population, allowing for supply management groups to see how they stack up against comparable organizations.
 
  • Report - 4 pages
  • Aerospace & Defense - 2 pages
  • Financial Services Industry - 2 pages
  • Industrial Manufacturing Industry - 2 pages
  • Petroleum Industry - 2 pages
  • Utilities - 2 pages
700. Procurement Automation 2018
July 2018
CAPS Research
This Snapshots report provides insight into organizations use of automation within procurement for selected activities.
 
699. Petroleum Industry Metric Benchmarking Report 2018
June 2018
CAPS Research
This Metric Report provides an overview of the results of the survey created by and for procurement/supply management professionals from the Petroleum Industry. Results include benchmarks on spend, savings, supply management return on investment, category management, and warehousing.
 
Tags: Petroleum
698. EDI and API 2018
June 2018
CAPS Research
This report provides insight into current EDI practices and the use of APIs to complement or replace EDI. EDI is a well-established, long-standing technology that enables efficient business communications between business partners. Application Program Interfaces, or APIs (the foundational technology underlying on-demand applications like Google Maps and Uber), have been transforming business for some time, but have seen slower adoption rates by supply management/chain groups as an alternative to EDI.
 
697. Procurement Team Skills and Roles 2018
June 2018
CAPS Research
This report provides insight into participating organizations practices regarding the development of the global procurement team, with a focus on skill sets and role design. It was requested by a CAPS Research member company. There were 84 organizations that participated in the survey.
 
696. Eyeing Success - From Analytics to Value Generation
May 2018
Mary Siegfried
CAPS Research
Supply management organizations need a comprehensive talent management program that starts with building a pipeline that attracts new talent and continues with learning and development programs to retain top talent. This topic was discussed at a recent CAPS Research Critical Issue Exchange. Other topics discussed included managing your value generation and innovation funnel, supplier risk and compliance management, and analytics strategy. Supply chain leaders from discrete manufacturing companies explored their challenges and solutions for these top-of-mind concerns. Lessons learned and case study examples are included in this new report from CAPS Research.
 
695. Cost Savings 2.0
May 2018
Roberta Jennings
CAPS Research
Cost savings is arguably the oldest and most anticipated function of procurement. As the supply management function continues to evolve and become more competitive, cost saving activities need to become more sophisticated. "Cost Savings 2.0" was the topic of a recent CAPS Critical Issue Exchange, where supply management executives discussed how to define, capture, and measure cost savings. This new report features real world examples and case studies from that event.
 
694. Sustainability in the Supply Chain
May 2018
Mary Siegfried
CAPS Research
In today’s ever-changing business world, managing risk and sustainability are no longer options – they’re requirements. Supply chain sustainability is of growing importance as companies realize that effective, comprehensive sustainability practices can contribute to a better world and a healthier bottom line. Sustainability covers a range of issues, from environmental concerns to fair labor practices to waste management. CAPS Research recently co-hosted a Critical Issue Exchange on “Sustainability in the Supply Chain.” This new report features lessons learned and case studies from that event.
 
693. How Tech and Innovation Create a Safer Supply Chain
May 2018
Roberta Jennings
CAPS Research
Regardless of industry, company size, geographic area or market share, all organizations have a vested interest in establishing safe operations at their facilities. Securing data, information, and intellectual property can be just as much of a safety issue as working with heavy and dangerous equipment. More than ever, firms are looking for ways to incorporate technology and innovation into their safety practices. "Safety in the Supply Chain" was the focus of a recent CAPS Research Critical Issue Exchange, co-sponsored by Bechtel Corporation. This new report features best practices that were shared as well as case studies with examples.
 
692. Supply Management Trends 2018
May 2018
CAPS Research
This report provides insight into involvement in various trends for participating supply management organizations. A total of 42 organizations participated in this survey.
 
691. Approval Thresholds Outside Procurement 2018
April 2018
CAPS Research
This report provides insight into participating organizations’ practices regarding approval limits outside supply management/procurement and the parameters that organizations use to instruct their employees when to involve supply management/procurement with purchases. There were 82 organizations that participated in this report.
 
690. New Tariffs Impact 2018
April 2018
CAPS Research
In a White House signing ceremony on March 8, President Trump announced new import tariffs of 25% on steel and 10% on aluminum. Canada and Mexico are currently excluded from the tariffs, and other allies may pursue talks to have the tariffs lifted. This report provides insight into participating supply management organizations’ anticipated impact of the new tariffs and potential U.S. withdrawal from the NAFTA pact. There were 28 organizations that participated in the survey.
 
689. Health Care Sector Supply Chain Research Consortium Trends Report 2018
April 2018
CAPS Research
The purpose of this report is to identify the level of importance of key trends in the U.S. Health Care value chain. Participants helped to identify which of the thirty-four trends included in the survey would be of the utmost importance to their supply chain organizations in the near future. The trends are divided into the following eight categories: Economic, Integration, Technology, Management, Organization, Reform, Supplier Relationship Management, and Value Based Purchasing.
 
688. Blockchain and Supply Management
April 2018
Dale S. Rogers, Ph.D.;Todd W. Taylor;Raymundo Beristain-Barajas;Thomas Y. Choi, Ph.D.
Arizona State University;CAPS Research
Blockchain is an emerging technology that can assist a firm to securely manage its financial and inventory data to reduce risk, improve trust and validity through a supply network. Blockchains utilize a distributed ledger that use shared databases, consensus approval, and peer validation. Veracity of data is maintained among network participates through cryptographic proofs and data visibility. This research report explains blockchain technology, provides examples of early adopters, and details potential uses and barriers for mainstream implementation. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 41 pages
  • Executive Brief - 7 pages
  • Video - 3:23 mins
687. Automation and Digitization in Procure-to-Pay
March 2018
Roberta J. Jennings
CAPS Research
Robotics process automation (RPA) can help organizations be more efficient by utilizing computers to complete predictable, repeatable tasks that would normally require human personnel. The automation programs can be implemented quickly and are ideal for the most routine and repetitive tasks. CAPS Research and ExxonMobil recently co-hosted a Critical Issue Exchange event on "Automation and Digitization in Procure-to-Pay." In this report you will find insights, best practices, and lessons learned from approximately 30 supply management professionals who have employed or are investigating these tools for their organizations. Case studies with examples are included.
 
686. Managing Real Estate Leasing Portfolios 2018
March 2018
CAPS Research
This report provides insight into participating supply management organizations’ involvement in Real Estate Lease Portfolio management. For this report, Real Estate Lease Portfolio activity includes negotiations, contracting, lease administration, and termination. It does not include facilities management/operations activities.
 
685. Cyber Security in Supply Chains: Understanding Threats and Potential Security Practices
February 2018
Zac Rogers, Ph.D.;Victor Benjamin, Ph.D.;Mohan Gopalakrishnan, Ph.D.
Colorado State University;Arizona State University
Of all recent cyber breaches, approximately 60 percent are supply chain based. A new CAPS Research report identifies five supply network vulnerability archetypes. They are intended to help companies understand the malicious actors who search for the "path of least resistance" into their networks. The report offers an in-depth examination of publicly disclosed cyber breaches, details the various methods of cyber attacks, and demonstrates the key role procurement plays in ensuring a companys cyber security. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 43 pages
  • Executive Brief - 7 pages
  • Video - 2:53 mins
684. Buyer Training & Certification 2018
February 2018
CAPS Research
The "Buyer Training & Certification" report will help you gain insight into organizations buyer training and certification programs. For the purpose of this report, buyers are defined as supply management/procurement employees engaged in tactical purchasing of a repetitive, administrative nature in support of the Requisition-to-Payment cycle.
 
683. DOE/NNSA Contractors Procurement Performance Benchmarking Report 2017
February 2018
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Procurement Performance Benchmarking Metric Report for 2017 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 21 different DOE and NNSA laboratories (or sites). Key measures include spend per procurement employee, and supplier diversity goals and attainment. Other measures include customer satisfaction surveys and procurement card use.
 
Tags: DOE
682. Measuring Risk in Supply Chains 2018
January 2018
Research Team
CAPS Research
With advancements in technology and increased connectivity, risk measurement has become a moving target. While the changing supply chain landscape is the source for many of these risks, we also have opportunities to identify, measure, mitigate and manage risks today. This short report identifies how supply chain risks are measured in organizations.
 
681. The Role of Supply Management in Merger and Acquisitions: Separation and Integration
January 2018
Kevin Linderman, Ph.D.;David Wohler
University of Minnesota;MD Partners, LLC
Involving supply management in mergers and acquisitions (M&As) will help ensure a successful transition and avoid any missteps. In this new report from CAPS Research we detail four capabilities to help supply management can support M&As. Is your M&A business process up to date? Are you one of the 37 percent of companies today that do not have a formal business process in place for M&As? Download our new research report to find out what you will need to be successful. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 49 pages
  • Executive Brief - 7 pages
  • Video - 3:16 mins
680. Aerospace and Defense Industry Benchmarking Metric Report 2017
November 2017
CAPS Research
The 2017 Aerospace and Defense Industry Benchmarking Metric Report includes metrics of importance to the aerospace and defense industry on topics including supply management organizational structure, spend and spend analytics, supply management operating expense, supplier relationships, and supply management return on investment.
 
679. Lead Time Management 2017
November 2017
CAPS Research
This report provides insight into current lead time management and processes for direct materials that are MRP relevant.
 
678. Indirect Bid Thresholds 2017
October 2017
CAPS Research
Seventy-six percent of responding organizations indicated that they have bid thresholds for buying indirect goods and services. The average reported threshold is $88,492, with a range from a minimum reported $2,000 to a maximum of $500,000. Other factors may affect this threshold including specific commodities or spend categories or geographic location.
 
677. Managing Startup Suppliers
October 2017
Stephan M. Wagner, Ph.D.;Stefan Kurpjuweit;Thomas Y. Choi, Ph.D.
Swiss Federal Institute of Technology Zurich;Arizona State University
Buying companies source from startup suppliers, relatively young entrepreneurial firms, with the intent of tapping into their innovative products and services. The challenge comes when buying companies attempt to integrate startup suppliers into their current supplier management process. Startup suppliers require a different management style and process that buying companies may not be prepared for. In this new CAPS Research report we detail the three strategies that emerged for working with startup suppliers and provide examples through case studies. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 48 pages
  • Executive Brief - 7 pages
676. Delivering Value to the Enterprise 2017
October 2017
CAPS Research
This short SnapShots report looks at how supply management groups deliver value. Among those that were reported as "currently in place" were "Develop joint metrics with internal customers" and "Have Supplier Sustainability integrated in Supplier Risk".
 
675. Data Analytics Teams
October 2017
Research Team
CAPS Research
We are witnessing the rise of new data analytics teams in procurement. Procurement leaders are moving away from one or more data analytics individuals scattered throughout the function, to creating a cohesive, well-defined team that sits inside procurement and supports activity across the procurement/supply management group. This short report provides insight into the importance of these emerging teams.
 
Tags: Analytics
674. Classification of Indirect Spend 2017
October 2017
CAPS Research
The survey for this report was distributed at the CAPS Research Supply Management Roundtable North America. It asks which spend classification codes are used for Indirect Spend and how the codes are assigned. Responding companies also reported that 74 percent of indirect purchases have spend classification codes assigned.
 
673. Automating the P2P Process 2017
October 2017
CAPS Research
The procure-to-pay (P2P) process represents an opportunity for automation for many companies. Automation and digitization can help eliminate human error and allow supply management employees to focus on strategic, high-value activity. This report provides an overview of the level of automation and digitization integrated into the procure-to-pay process of survey respondent companies.
 
672. Training and Development 2017
September 2017
CAPS Research
Improving the performance of Supply Management/Procurement employees is key to creating and maintaining a function that is strategically-focused and delivers value to the enterprise. Many Supply Management/Procurement leaders rely on training and development programs to improve their employees performance. This report provides an overview of the current state of such programs for Supply Management/Procurement groups at global organizations.
 
671. The Supply Chain Finance Journey and Beyond
September 2017
Roberta J. Jennings
CAPS Research
Standard practice for supply management professionals who identify and implement ways to save money has been to focus on reducing costs of goods and services, negotiate the best pricing from suppliers, and operate more cost-effectively. More recently, supply chain financing has emerged as a sophisticated practice that can produce high-yielding results for both the supply management organization and their suppliers. In this new Critical Issues Report from CAPS Research, you will gain an understanding of supply chain financing practices as well as possible challenges you will face and how to overcome them. Case studies are included with examples of current companies who are leading the way in these practices.
 
670. Gifts and Entertainment Policy 2017
September 2017
CAPS Research
It is a common practice for companies to give gifts and entertainment benefits to customers, strategic partners, and suppliers to strengthen business relationships and express gratitude. However, accepting gifts and entertainment, especially those offered frequently or that are of significant value, may create an actual or perceived conflict of interest or illicit payment. This report provides insight into current gift and entertainment policies of Supply Management/Procurement organizations from global organizations.
 
669. The Metrics of Supply Management (Cross-Industry) Report 2017
August 2017
CAPS Research
The Metrics of Supply Management (Cross-Industry) Report provides information on thirty-four identified Key Performance Indicators (KPIs). Included are various headcount ratios for the supply management group, as well as an array of metrics to assess the cost savings generated by supply management employees. The report also has metrics on managed spend and operating efficiencies. Five industries and three sectors are broken out from the general population, allowing for supply management groups to see how they stack up against comparable organizations.
 
  • Report - 4 pages
  • Aerospace & Defense Industry - 2 pages
  • Financial Services Industry - 2 pages
  • Industrial Manufacturing Industry - 2 pages
  • Petroleum Industry - 2 pages
  • Utilities Industry - 2 pages
668. Managing Service Outsourcing Triad: Decision Tools and Strategies
August 2017
Mei Li; Ph.D.;John Fowler, Ph.D.;Thomas Y. Choi, Ph.D.
Michigan State University;Arizona State University
A service outsourcing triad is composed of three nodes – a service buyer, a service supplier and the service buyers end customer – with three links between the node pairs. Mismanagement of any of these links can be a major risk, resulting in the possibility of increased costs, product defects and even lawsuits. In this new CAPS Research report, we detail the interdependencies among links between nodes and explore Service Triads and Service Diamonds. A customizable Excel-based tool has been developed to help quantify the impact monitoring has on single and multiple projects. This tool can be utilized by any service buying firm, but can be especially helpful for customer facing services. A detailed guide is provided with instructions to help you put this tool to work, today! This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. Related project documents are a Brief which lists the most salient points of the research findings; and an Excel-based tool. This study was funded, in-part, by The Center for Services Leadership at Arizona State University.
 
  • Report - 53 pages
  • Managing Service Outsourcing Tool - Excel File
  • Brief - 8 pages
667. Future Procurement Talent 2017
August 2017
Research Team
CAPS Research
CPOs are deeply concerned about future talent/skillset requirements. This CPO Insights Report identifies the key emerging trends that will impact Procurement/Supply Management in the next decade, as well as the knowledge, skills, and abilities (KSAs) needed to address these trends. Associated plans for dealing with talent/skillset deficiencies and lacking KSAs are also reported.
 
666. Supplier Relationship Management Communications 2017
August 2017
CAPS Research
Supplier Relationship Management (SRM) communications are part of an organized approach to help facilitate two-way communication between the buying company and its suppliers. This report details some of the channels (inbound and outbound) through which an organization will communicate with its suppliers, as well the frequency at which these communications occur across different organizations. Different methods will, understandably, be more appropriate and available for more frequent communications.
 
665. 3D Printing and the Impact on Supply Chain Costs and Working Capital 2017
July 2017
Research Team
CAPS Research
3D printing is an additive manufacturing process that creates a physical object from a digital design. There are different 3D printing technologies and materials, but all are based on the same principle: a digital model is turned into a solid three-dimensional physical object by adding material layer-by-layer. 3D printing is still a relatively new technology. As a result, we found fewer companies had interest in this survey. At CAPS, we believe the interest in and actual use of 3D printing will only grow over time, and wanted to begin tracking data on the topic early-on in the adoption stage. Even if your organization does not use 3D printing, this short report can provide you with a framework to think about its future application and importance to your organization.
 
664. Investment Recovery Performance Metric Report 2017
July 2017
CAPS Research
This report was developed in partnership with the Investment Recovery Association. In addition to the organizational information and operational benchmarks provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs as well as best practice implementation. One key metric shows that for every dollar of investment recovery operating expense, $21 is returned to the bottom line. Other benchmarks relate information about investment recovery services and processes, the effectiveness of program-related tools and technologies, and investment recovery staffing. Breakout reports include Investment Recovery Association Members, Oil & Gas Companies, All Utility Companies, Utility Companies with Revenue Greater than $5 Billion, and Utility Companies with Revenue Less than $5 Billion. Sixty-one companies provided data for this report.
 
  • Report - 73 pages
  • Investment Recovery Performance Benchmarking Highlights Report 2017 - 22 pages
663. Profile of a CPO Benchmarking Metric Report 2017
July 2017
CAPS Research
Establishing roles and responsibilities can be a difficult task for any organization, and it all starts from the top on down. This metric report provides details on Chief Purchasing Officer (or equivalent) job responsibilities, character qualities, career trajectories, and forms of compensation.
 
662. Supply Chain Cost Saving Strategies - Establishing and Achieving Cost Saving Goals
June 2017
Lisa M. Ellram, Ph.D.;Wendy L. Tate, Ph.D.;Thomas Y. Choi, Ph.D.
Miami University;University of Tennessee;Arizona State University
Cost savings is one of the key priorities for all procurement. Are you meeting your companies cost savings goals? With continued developments in business analytics and data availability, new ways of setting and achieving cost savings targets are being realized and implemented. In this new research report well walk you through what cutting-edge approaches are being used to set and achieve cost saving goals, how these goals are measured and tracked, who gets involved in cost savings, and how firms meet targets in multiple categories. More than 10 case studies, with examples, are provided in this in-depth report. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 194 pages
  • Brief - 12 pages
661. Petroleum Industry Metric Benchmarking Report 2017
June 2017
CAPS Research
This Metric Report provides an overview of the results of the survey created by and for procurement/supply management professionals from the Petroleum Industry. Results include benchmarks on spend, savings, supply management return on investment, category management, and warehousing.
 
Tags: Petroleum
  • Report - 13 pages
  • Corporate Data - 10 pages
  • Downstream Data - 10 pages
  • Upstream Data - 10 pages
660. Supplier Anti-Corruption Due Diligence 2017
June 2017
CAPS Research
Compliance with global anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act and the U.K. Bribery Act, has taken on renewed importance. With settlements routinely including multiple countries and fines into the billions of dollars, maintaining a sound global compliance and anti-corruption due diligence program is essential to avoid drawn-out government investigations and significant financial penalties. The purpose of this report is to offer a glimpse into organizations’ anti-corruption due diligence practices.
 
659. Material Handling Rates 2017
June 2017
CAPS Research
Material handling rates are the per unit cost of moving materials from one point to another. The exact calculation of this rate, starting with the specific items included in the material handling rate, will vary from organization to organization. The purpose of this report is to illustrate the different ways that organizations outline their material handling rate, if applicable.
 
Tags: Logistics
658. Sourcing Marketing Spend Categories 2017
May 2017
CAPS Research
More and more global companies are influencing, and managing, the sourcing of marketing services as a spend category. The purpose of this report is to present data on specific activities related to the sourcing of marketing services as a spend category, as well as gauge the level of maturity of respondent organizations.
 
657. Procurement Policies Benchmarking Highlights Report 2016
May 2017
CAPS Research
This summary report features select benchmarks from the comprehensive metric report called “Procurement Policies 2016.” Its purpose is to present relevant benchmarks in chart format for CAPS member companies. The comprehensive metric report, which includes all of the study benchmarks, is also available to CAPS member companies. There were 84 companies that provided data for the original survey.
 
656. New Measures of Value 2017
May 2017
Research Team
CAPS Research
As part of an ongoing effort to better understand how companies view and measure value creation beyond traditional savings and productivity, CAPS Research asked its member company CPOs about their internal efforts to establish new measurements of value. Responses reflect the frequency of evaluating potential value creation initiatives, as well as specific metrics monitored for cost savings.
 
655. Talent Skills Gap 2017
May 2017
Research Team
CAPS Research
Talent management is becoming a growing concern for organizations as their workforce is undergoing a generational shift. To better understand these concerns, CAPS Research asked the CPOs of its member companies about possible gaps in knowledge, skills, and abilities for members of their supply management groups.
 
654. Emerging Procurement Technology: Data Analytics and Cognitive Analytics
May 2017
Robert B. Handfield, Ph.D.;Thomas Choi, Ph.D.;Jaikishen Venkatraman;Shweta Murthy
North Carolina State University;Arizona State University
Where are you in the analytics journey? If you are like most major business organizations, you are near the beginning of this journey. The rise of the next wave of data analytics and cognitive analytics will probably affect procurement/supply chain management more than other business areas in the coming decade. What are the fundamentals you need to get in place today to prepare your company for this whole new world of data analytics? Through this new research report by CAPS Research you will gain an understanding of the future landscape, what future technologies might be able to do and what you need to do today to prepare yourself for tomorrow. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 81 pages
  • Executive Brief - 8 pages
653. Health Care Sector Supply Chain Research Consortium Trends Report 2017
April 2017
CAPS Research
The purpose of this report is to identify the level of importance of key trends in the U.S. Health Care value chain. Participants helped to identify which of the thirty-four trends included in the survey would be of the utmost importance to their supply chain organizations in the near future. The trends are divided into the following eight categories: Economic, Integration, Technology, Management, Organization, Reform, Supplier Relationship Management, and Value Based Purchasing.
 
652. Business Partner Engagement Benchmarking Report 2017
April 2017
CAPS Research
Aligning the Supply Management Group with the goals and needs of its internal business partners (also referred to as business owners or internal customers) continues to be a key priority for strategically focused supply management leaders. This report details specific activities that typically show the level of engagement with this key stakeholder group.
 
651. Measuring and Managing Supplier Innovation
April 2017
Tingting Yan, Ph.D.;Kevin J. Dooley, Ph.D.
Wayne State University;Arizona State University
More than 90 percent of CPOs think its important to measure supplier innovation, but only 25 percent actually have a system to do so. Supplier innovation is critical to competitive advantage and can help increase revenue and open new markets, improve quality and timeliness, and reduce costs, but how do you go about measuring it? "Measuring and Managing Supplier Innovation," a new CAPS study will give you the tools to assess suppliers innovation performance and potential, and assess your organizations ability to capture value from supplier innovation. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 56 pages
  • Executive Brief - 9 pages
650. Blockchain 2017
March 2017
Research Team
CAPS Research
Background: CAPS Research asked CPOs from its member companies about whether or not they are familiar with blockchain, and if so, to what degree their organization is currently using blockchain. A blockchain is a shared, immutable ledger for recording a history of transactions that occur across distributed computing platforms. Blockchains provide a secure means for authenticating transactions without the need for a central authority approving the veracity of the transactions. They also provide full, end-to-end visibility of transactions within the business network.  
 
649. Supply Chain Mapping Benchmarking Metric Report 2017
March 2017

CAPS Research

Effectively managing complex, multi-tier supply networks is a critical activity for today’s Supply Management Group. Knowing where and how suppliers are situated in relation to your organization and customers is important information that can be used to maximize the strategic value of suppliers while also mitigating potential risks. This benchmarking metric report details whether or not organizations conduct supply chain mapping, and if so, to what degree.   Supply Chain Mapping typically uses a graphical tool that creates a representation of the supply network and maps your organizations products/services to specific customers.
 
648. Building the Research Pipeline
March 2017
Mikaella Polyviou, Ph.D.
Arizona State University
Four top topics emerged from the research pipeline meeting in January 2017: 3-D printing, data infrastructure, data analytics team composition, and measuring risk. These topics are summarized in this meeting brief.
 
647. Currency and Procurement: Mitigate Risk and Reduce Costs
January 2017
CAPS Research
This CPO Insights explores the various ways organizations manage currency exchange. The report includes percentage of respondents that pay in foreign currency, how they manage foreign currency payments, the use of formal metrics, and more.
 
646. DOE NNSA Contractors Benchmarking Metric Report 2016
January 2017
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Procurement Performance Benchmarking Metric Report for 2016 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 19 different DOE and NNSA laboratories (or sites). Key measures include spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. Other measures include customer satisfaction surveys and procurement card use.
 
Tags: DOE
645. Supply Chain Safety in the 21st Century
January 2017
Roberta J. Jennings
CAPS Research
Organizations across many sectors, but especially those in construction/engineering, industrial manufacturing, and petrochemical, continually look at improving safety within their own processes and procedures but also driving it into the supply chain. In this third iteration of a Critical Issue Exchange devoted to safety, companies met again to look at how their peers deal with the challenges posed by a worldwide base of suppliers. How can a procurement organization ensure that they are reinforcing with their suppliers the high value that the organization places on safety? What processes are in place in the best organizations? What new technologies can help them with safety in terms of tools and on-site resources that provide data, monitor conditions, or automate processes? This report captures the lessons learned from the third, day-long discussion by professionals and safety experts at the CAPS Research Critical Issue Exchange.
 
644. Procurement Delegation of Authority 2017
January 2017
CAPS Research
This report illustrates the results of a recent CPO Insights survey that was designed to find out how organizations structure their procurement delegation of authority. The results show how certain spend limits apply to different positions within the supply management hierarchy, examples of situations where the delegation of authority is not followed, and allowable exceptions to bypass the procurement delegation of authority.
 
643. Using FOB Origin to Manage Inbound Logistics Costs 2017
January 2017
CAPS Research
Effectively managing the costs of inbound logistics typically means buying goods under the shipping designation of FOB Origin. While this designation requires more complexity and effort for inbound logistics, for many organizations the benefits outweigh the added effort. This report highlights the practices of organizations that use FOB Origin for their inbound logistics.
 
642. Purchasing Operations Centers Benchmarking Metric Report 2016
January 2017
CAPS Research
The Purchasing Operations Center (POC) at many companies handles the transactional or tactical elements of the Purchase Order (PO) process. Most activities center around the PO transaction (i.e. creating, amending, revisions), and sometimes includes issuing RFx’s. This report offers insights into how organizations operate their POCs, or similarly dedicated group.
 
641. Payment Terms 2016
January 2017
CAPS Research
A CAPS Research member company requested information on typical net payment terms used by other global organizations. A survey asking two questions (company industry and typical net payment terms) was distributed at the CAPS Executive Roundtable North America. The findings are reflected in this report.
 
640. Gender and the Supply Management Group 2016
January 2017
CAPS Research
A short survey addressing the topic of gender and the supply management group was distributed at the CAPS Executive Roundtable North America. The findings in this short report provide a snapshot of the efforts of global organizations to recruit and retain women into their workforces.
 
639. Procurement Policies Benchmarking Metric Report 2016
January 2017
CAPS Research
The purpose of this report is to provide an overview of procurement policies at organizations that participated in the survey. The report includes details about these policies, as well as organizations perceived level of compliance to their established policies.
 
  • Report - 21 pages
  • Aerospace & Defense Industry - 4 pages
  • Industrial Manufacturing Industry - 4 pages
  • Utilities Industry - 4 pages
638. Sourcing Services and Indirect Spend Benchmarking Metric Report 2016
December 2016
CAPS Research
Services, indirect, and non-traditional spend typically includes categories such as marketing, professional services, travel, IT (services and hardware), HR, facilities, MRO, capital equipment and others. The purpose of this report is to provide a baseline of metrics to track year-over-year trends in the sourcing of services, indirect, and non-traditional spend categories.
 
  • Report - 12 pages
  • Financial Services Industry - 8 pages
  • Industrial Manufacturing Industry - 8 pages
  • Utilities Industry - 8 pages
  • Sourcing Services and Indirect Spend Benchmarking Highlights Report 2016 - 11 pages
  • Sourcing Services and Indirect Spend Benchmarking 2016The Curve Report - 11 pages
637. Successfully Managing Supplier Quality
December 2016
Mary Siegfried
CAPS Research
Getting ahead of supplier quality is a demanding task. Based on a Critical Issue Exchange co-hosted by a member company with CAPS Research, this report summarizes the key takeaways from the discussion and presentations by practitioners managing Supplier Quality within their organizations. A robust quality program requires monitoring, assessing, and evaluating suppliers. Great programs allow all parties to find and correct problems before they grow into large ones. Adept organizations sift available data to translate it into actionable items. Two case studies within this report show how each organization created a successful program that reduced costs, developed strong relationships, and fostered the belief that everyone has a stake in supplier quality.
 
636. Procure-to-Pay Metrics Benchmarking Metric Report 2016
December 2016
CAPS Research
The purpose of this study is to help procurement/supply management professionals gain new insight into the metrics most commonly used by other organizations to measure their procure-to-pay (also known as P2P) process. The findings and benchmarks can be used to support any existing or planned review and revision efforts of current procure-to-pay metrics, or act as a template for organizations using such metrics for the first time. Compared to the report from 2015, this report offers 6 new metrics for organizations as well as a list of other metrics that may be less commonly used but still relevant in the discussion of measuring the procure-to-pay process.
 
635. Cognitive Procurement
November 2016
Roberta J. Jennings
CAPS Research
Were living in an interesting age. Many businesses are realizing, as they strive to gain competitive advantage, that the next new "natural" resource isnt something from the ground. Its data. As a society, were generating unprecedented amounts of structured and unstructured data, and the technology industry has found ways to capture it all. However, merely capturing the data doesnt provide any benefit unless it can be put to use for progress or improvement. Many would say we are "data rich, but knowledge poor." Enter the possibility of cognitive tools — specifically cognitive procurement cognitive systems.
 
634. Price Benchmarking 2016
November 2016
CAPS Research
A CAPS Research member company wanted to better understand how companies use and collect price benchmarking information. A SnapShots survey was distributed at the October 2016 CAPS North American Executive Roundtable event. The results of the survey are found in this short report.
 
633. Procurement Analytics 2016
November 2016
CAPS Research
Procurement Analytics is an emerging tool that is becoming more necessary to help drive value to the enterprise, especially in the decision-making process. This report identifies current applications and the need for procurement analytics at organizations. The highest need reported for deeper analytic insights was spend analysis, with the highest importance rating as spend data.
 
Tags: Analytics
632. Managing Supplier Quality Benchmarking Metric Report 2016
November 2016
CAPS Research
Managing supplier quality is a priority for most global organizations. The impact and potential risk of poor quality products, services, processes, and/or performance can be far-reaching in the value chain. This metric report offers insights into how organizations structure their supplier quality efforts and their use of supplier quality data, physical supplier audits, having dedicated supplier quality employees, plus more.
 
  • Report - 24 pages
  • Managing Supplier Quality Benchmarking Summary Report 2016 - 11 pages
  • Utilities Industry - 11 pages
  • Aerospace & Defense Industry - 11 pages
  • Industrial Manufacturing Industry - 11 pages
  • Petroleum Industry - 11 pages
631. Supply Management Metrics (Cross-Industry) Summary Report 2016
October 2016
CAPS Research
This summary report takes a closer look at the 2016 Supply Management Metrics Report, offering visual representations of the data, as well as a closer look at select metrics. Find out how you compare to other organizations when looking at areas such as the percent of spend that is managed/controlled, operating expense per supply management employee, and the return-on-invesment of the supply management group.
 
630. M&A Activity and the CPO
October 2016
CAPS Research
CAPS Research asked CPOs from its member companies about their Mergers & Acquisitions (M&A) activity and their CPOs involvement in that activity. The participants were also asked about the metrics used to measure the success of the integration as well as those used to measure the performance of the CPO and the Supply Management Group. Several companies were cited as demonstrating best practices in how their CPOs are involved in M&A Activity.
 
629. Healthcare GPOs: The Journey from Tactical Supply Chain to a Strategic Asset
October 2016
Pete Allen
Vizient
The first Group Purchasing Organization (GPO) started in Chicago in 1977 to aggregate and leverage purchasing volume for discounts from manufacturers, distributors and vendors. Acting on behalf of healthcare providers, GPOs can realize savings and increase efficiencies. Vizient is a non-profit organization with 3100 members, 1600 vendor relationships, and a portfolio of 3300 contracts. While purchasing is a core part of the business, serving 95% of academic medical centers, Vizient is now the fifth largest consulting company in healthcare, and has a massive analytics business with access to data on purchases by 16,000 healthcare systems in 14 different countries and patient-level detail in a clinical database. As increasing healthcare costs force hospitals to consolidate and cut administrative expenses, GPOs like Vizient are playing an increasingly important role in purchasing for hospitals, data analysis, trending, member advocacy, education and budgeting.
 
628. The New Supply Chain - THE Competitive Advantage
October 2016
Todd Snelgrove
SKF Group
What is the next frontier beyond Total Cost and Should-Cost strategies? In this presentation, Todd Snelgrove of SKF makes the case for focusing on Total Profit, and looking through the eyes of the ultimate customer/consumer. The ultimate goal is for the buying organization to look all the way through the supply chain, always focused on discovering where profit can be found. This strategy has changed the way SKF operates.
 
627. Procurement Analytics
October 2016
Robert B. Handfield, Ph.D.
North Carolina State University
Consider this: 90 percent of the worlds entire data has been produced in the last two years, and its mostly unstructured. So, how will the procurement professional begin to tap into this rich stream of data to help make better, faster, smarter procurement decisions? Professor Rob Handfield of North Carolina State University presents information on the mindset and skill sets required to begin to broach the brave new world of cognitive procurement in this presentation.
 
626. Managing Risk in the Supply Chain – Preventing Fraud
October 2016
Dennis Dienno
Dell Technologies
Dell works hard to diminish the amount of service fraud their company experiences. Industry experts estimate that 10 – 15% ($10 Billion industry wide) of service demand is fraudulent. Dell has developed dedicated teams and robust programs to pursue and prevent warranty claims on Dell products that were never purchased, and excessive or unneeded entitled warranty claims to obtain service parts or upgrades. Dennis Dienno describes the journey of developing the service fraud program, included the needed change in thinking the use of analytics, the integration of procurement and supply chain in the overall fraud prevention effort, and the launch of their successful pilot program.
 
625. Supply Base Cybersecurity
October 2016
CAPS Research
CAPS Research asked CPOs from its member companies about their general cybersecurity policies. The report details the frequency of policy updates as well as who leads the cybersecurity operation and how it is paid for. The report also explores the use of mobile phones connecting to the companys network and the controls in place for network security.
 
624. Travel & Entertainment (T&E) Expense Management Benchmarking Summary Report 2016
September 2016
CAPS Research
The T&E spend category is one of the largest controllable expenses for most global organizations. Improving corporate T&E policy, sourcing and operations is, therefore, a top priority for many supply management and procurement professionals. Find out how you compare to other organizations with your spend, as well as managing travel operations. This summary report highlights key data taken from the 2016 Travel & Entertainment Expense Management Metric Report.
 
623. Managing Supplier Quality
August 2016
Research Team
CAPS Research
CAPS Research asked CPOs from its member companies about how they manage supplier quality in their supply base. The report details how supplier quality responsibilities are distributed within entire organizations, as well as specific rationales for choosing each distribution. Respondents also self-assessed the level of maturity of their supplier quality efforts, providing insights into whether these organizations consider their supplier quality issue responses as either preventive or reactive in nature.
 
622. 2016 Financial Services Industry Benchmarking Report
August 2016
CAPS Research
The 2016 Financial Services Industry Supply Management Performance Benchmarking Report shows that 54 percent of organizations reported that the supply management group is directly responsible for supplier risk management and 67 percent include Tier 2 suppliers in their supplier risk program. These and many other metrics are found in the report that was created using data from a survey created with input from procurement and supply management professionals from financial services companies.
 
621. Supplier Innovation - CPO Insights
July 2016
Research Team
CAPS Research
CAPS Research asked CPOs from its member companies about how they view potential for innovation in their suppliers. Respondents offered their take on both the importance of this potential for innovation in their suppliers, as well as an assessment of how their current organization evaluates supplier innovation performance.
 
620. Supplier Diversity Program Performance Benchmarking Report 2016
July 2016

CAPS Research

The 2016 update to the highly acclaimed Supplier Diversity Program Performance Report is now available. Key metrics include supplier diversity spend as a percent of managed spend and goals and spend in each socioeconomic category. New this year is a more strategic view of the diversity programs. The top three drivers behind having a supplier diversity program are corporate responsibility, compliance, and regulations. Challenges and barriers facing organizations when measuring the value of supplier diversity and communicating that value are also explored.
 
  • Report - 28 pages
  • Supplier Diversity Program Performance Benchmarking 2016Aerospace & Defense - 8 pages
  • Financial Services - 8 pages
  • Health Care - 8 pages
  • Industrial Manufacturing - 8 pages
  • Utilities - 8 pages
  • Supplier Diversity Program Performance Benchmarking Summary Report 2016 - 12 pages
619. Supply Management Metrics (Cross-Industry) Report 2016
July 2016

CAPS Research

The Supply Management Metrics (Cross-Industry) Report provides information on thirty-one identified Key Performance Indicators (KPIs). New this year are various headcount ratios for the supply management group, as well as an array of metrics to assess the cost savings generated by supply management employees. Seven industries and three sectors are broken out from the general population, allowing for supply management groups to see how they stack up against comparable organizations.
 
  • Report - 2 pages
  • Aerospace & Defense Industry - 2 pages
  • Diversified Foods & Beverages Industry - 2 pages
  • Engineering & Construction Industry - 2 pages
  • Financial Services Industry - 2 pages
  • Industrial Manufacturing Industry - 2 pages
  • Petroleum Industry - 2 pages
  • Utilities Industry - 2 pages
618. Petroleum Industry Metric Benchmarking Report 2016
June 2016
CAPS Research
This Metric Report provides an overview of the survey results and includes benchmarks on spend, savings, supply management return on investment, as well as new benchmarks on contract management and warehousing.
 
Tags: Petroleum
  • Report - 12 pages
  • Corporate Group - 10 pages
  • Downstream - 11 pages
  • Upstream - 11 pages
617. New Measurements of Value
June 2016
Research Team
CAPS Research
CAPS Research asked CPOs from its member companies about how they view and measure value creation beyond traditional savings and productivity. More and more supply management groups are looking for ways to enhance the value they deliver to their internal customers and key stakeholders. Responses reflect the frequency of evaluating potential value creation initiatives, as well as specific metrics monitored for cost savings.
 
616. Migrating ERP Systems to the Cloud
June 2016
Research Team
CAPS Research
CAPS Research asked CPOs from its member companies about how supply management/procurement groups are migrating their enterprise resource planning (ERP) systems to the cloud. Many large global organizations are grappling with whether they should take the leap and migrate their ERP systems to the cloud or maintain their current systems. Information about cycle time for the migration, as well as individual modules that have been migrated, can be found within this report.
 
615. Futures Study 2020
June 2016
Thomas J. Kull, Ph.D.;Thomas Y. Choi, Ph.D.;Rama Srinivasan, Ph.D., M.B.A.
Arizona State University
This report addresses the major issues and initiatives the supply management profession can expect five years into the future. Building on past CAPS Research "futures" studies, the results of this study should help supply management professionals understand potential factors that will impact their business models and change expectations for the supply function. Ultimately, the study should give valuable information that supply management professionals can use in discussion with the leadership of their company when developing and deploying supply strategies for the coming years. This Research Report provides the most comprehensive look at the research findings, conclusions, and recommended actions. A related project document is a Brief which lists the most salient points of the research findings.
 
  • Report - 70 pages
  • Brief - 6 pages
  • Overview - 10 pages
614. Managing Your Supply Base to Comply with Cyber Security
May 2016
Richard A. Boyle
CAPS Research
Cyber security attacks are a growing concern, in every industry sector. Procurement professionals are increasing and heavily involved in securing their own networks and making sure that suppliers bring no vulnerabilities to them as they interface with the buying organization. Subject-matter experts from aerospace-defense and other industries reviewed at a CAPS Research Critical Issue Exchange best practices and current strategies, as well as government regulations. This report reviews the lessons learned from new methods to make networks more secure to developing "kill chains" that thwart attackers.
 
613. Futures Survey 2020
April 2016
Thomas J. Kull, Ph.D.;Thomas Y. Choi, Ph.D.
Arizona State University
This presentation offers an overview of the results of the recent futures survey 2020. The focus of supply management professionals seems to be shifting from contending with upstream supply chain disruptions to managing downstream customer demands and integrating with other internal functional areas.
 
612. Fault Lines in the Global Economic Landscape
April 2016
Arvind Singh
University of Arizona
What should the astute CPO of a Global 1000 company need to be paying attention to in the 2016 global economy? Professor Singh, a leading economist, answered these with his focus on six key questions. 1) What will be the short-term U.S. monetary policy? 2) Can India and China lift up the “BRIC”s? 3) What is the near-term forecast for the decline in oil prices and the effect on global trade? 4) Will the US dollar’s strength continue in global currency markets? 5) Is world trade turning the corner and ramping up? 6) Is Britain going to exit (“BRexit”) the European Union?
 
611. Travel and Entertainment (T&E) Expense Management Benchmarking Metric Report 2016
April 2016
CAPS Research
The Travel and Entertainment spend category is one of the largest controllable expenses for most global organizations. Improving corporate T&E policy, sourcing and operations is, therefore, a top priority for many supply management and procurement professionals. This report includes benchmarks and metrics on topics that are important for managing an effective T&E program.
 
610. Safety in the Supply Chain: Part 2
March 2016
Richard A. Boyle
CAPS Research
Many organizations – especially those in utilities, construction/engineering, industrial manufacturing, and petroleum – have made safety a top priority within their company. The topic is of such importance to them that they reconvened in a second Critical Issue Exchange to discuss how they have improved the standards of safety both within their internal programs and within their suppliers’ programs. This report captures the key points and lessons learned from the second, day-long discussion of this vital topic by procurement/supply management professionals and safety experts at a CAPS Research Critics Issues Exchange. Note: The first "Safety in the Supply Chain" report was authored by Roberta Jennings and was published in November 2014.
 
609. Supply Chain Costing Strategies - Establishing and Achieving Cost Goals
March 2016

Research Team

CAPS Research

Background: CAPS Research asked CPOs from its member companies about how they establish goals for purchasing-related cost savings or reductions, and what approaches are most successful. With the emergence of business analytics and more data availability in the last five years, companies may be taking advantage of these tools and developing new approaches to setting cost savings goals or targets, for both materials (e.g., raw materials, parts, modules, etc.) and services (e.g., backroom, maintenance, legal, etc.). The responses are in this report.
 
608. Managing Supplier Contract Audits Benchmarking Metric Report 2016
February 2016
CAPS Research
This report provides an overview of the many ways that organizations manage their supplier contract auditing activities. The results of supplier contract audits can be used to determine whether suppliers are abiding by the terms and conditions of their contracts, as well as to determine if controls and processes are being followed internally by key stakeholders.
 
607. Investment Recovery Performance Metric Report 2015
February 2016
CAPS Research
This report was developed in partnership with the Investment Recovery Association. In addition to the organizational information and operational benchmarks provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs as well as best practice implementation. One key metric shows that for every dollar of investment recovery operating expense, $49 is returned to the bottom line. Other benchmarks relate information about investment recovery services and processes, the effectiveness of program-related tools and technologies, and investment recovery staffing. Forty-two companies provided data for this report
 
  • Report - 21 pages
  • Investment Recovery 2015 All Other Industries Breakout Report - 16 pages
  • Investment Recovery 2015 All Utilities Breakout Report - 16 pages
  • Investment Recovery 2015 Investment Recovery Association Members Breakout Report - 16 pages
  • Investment Recovery 2015 Oil and Gas Breakout - 16 pages
  • Investment Recovery 2015 Utilities with Revenue Greater than $5B Breakout Report - 16 pages
  • Investment Recovery 2015 Utilities with Revenue Less than $5B Breakout Report - 16 pages
  • Investment Recovery Performance Benchmarking Summary Report 2015 - 21 pages
606. Supply Chain Financing: Funding the Supply Chain and the Organization
February 2016
Dale S. Rogers, Ph.D.;Rudolf Leuschner, Ph.D.;Thomas Y. Choi, Ph.D.
Arizona State University;Rutgers University
This report recognizes an opportunity for supply professionals to expand their role into financial issues, as they can significantly alter how relationships with suppliers are managed. The study highlights areas of collaboration, especially involving the corporate finance function and treasury, in addition to suppliers and even customers. Some of the tools presented in this report can bring significant value to the organization because they provide access to liquidity, which is often difficult to access otherwise. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents in the series include an Executive Report, a condensed version of the larger report and an Executive Brief, which lists the most salient points of the research findings.
 
Tags: Finance
  • Report - 53 pages
  • Supply Chain Financing (ERT 2015) - 26 pages
  • Supply Chain Financing at Siemens - 13 pages
  • Supply Chain Financing (BPW 2015) - 50 pages
  • Executive Brief - 7 pages
  • Executive Report - 29 pages
  • Executive Overview - 10 pages
  • Video - 15 minutes
  • Short preview - 5 minutes
605. DOE NNSA Contractors Benchmarking Metric Report 2015
January 2016
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Benchmarking Metric Report for 2015 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 20 different DOE and NNSA laboratories (or sites). Key measures include training hours and costs, spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. Other measures include procurement card usage and customer satisfaction surveys.
 
Tags: DOE
604. Feasibility Study of Nexus Supplier Index: Identifying and Categorizing Nexus Suppliers through Business Analytics
January 2016

Benjamin B. M. Shao, Ph.D.;Zhan (Michael) Shi, Ph.D.;Thomas Y. Choi, Ph.D.

Arizona State University

Nexus suppliers are a new kind of critical supplier. Their criticality comes from their structural positions in the multi-tiered supply network of a focal buying firm. Nexus suppliers may have a profound impact on a buyer’s performance, due to their network characteristics rather than their internal capabilities or knowledge. The objective of this feasibility study is to develop and assess a data-driven business analytics model for Nexus Supplier Index (NSI) through which we can identify and categorize nexus suppliers in a focal buying firm’s supply network. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents in the series include an Executive Report, a condensed version of the larger report and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 42 pages
  • Nexus Suppliers and Multi-Tier Supply Management (ISM2015) - 19 pages
  • Executive Brief - 8 pages
  • Executive Report - 21 pages
  • Executive Overview - 13 pages
603. Sourcing Cloud-Based Services: Underlying Issues and Strategies
December 2015
Sriram Narayanan, Ph.D.;Thomas Y.Choi, Ph.D.;Yu Huang
Michigan State University;Arizona State University
Despite high awareness of cloud-sourcing, buying firms are still in the process of developing more mature cloud strategies to better leverage the potentials. Procuring cloud-based services is taking on increasing salience for CPO’s today. More firms are considering outsourcing various forms of IT-related activities to suppliers that provide cloud-based services. However, effectiveness in cloud sourcing still remains elusive for many buying firms. This CAPS Research project was commissioned with the intention to better gain insights into strategies and risks of cloud sourcing for procurement managers. As firms are increasingly migrating to the cloud, understanding how the cloud can be leveraged for business growth, while minimizing the risks from pursuing cloud sourcing is critical. To facilitate this process, this report identifies cloud sourcing enablers; risks of cloud sourcing; risk mitigation and contract negotiation and governance issues in cloud sourcing. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents in the series include an Executive Report, a condensed version of the larger report and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 59 pages
  • (BPW 2015) - 27 pages
  • Executive Brief - 6 pages
  • Executive Report - 19 pages
  • Executive Overview - 20 pages
602. 2015 International Traffic in Arms Regulations (ITAR)
December 2015
CAPS Research
With input from companies that export and/or import defense-related articles and services found on the United States Munitions List (USML), this report explores how supply management/procurement groups ensure compliance with the International Traffic in Arms Regulations (ITAR)
 
601. Customs Broker Benchmarking Metric Report 2015
November 2015
CAPS Research
This report details the different methods being used by organizations to clear customs during the import/export process. The findings are mostly qualitative, with respondents providing specific information regarding the advantages and/or disadvantages of their current method(s).
 
600. Sourcing in Emerging Markets Benchmarking Metric Report 2015
November 2015
CAPS Research
This report provides insight into how companies are sourcing in emerging markets with a focus on mitigating risk and managing suppliers. The findings of the report demonstrate key differences between sourcing activities in developed and emerging markets, with details on topics ranging from unique documentation processes to the frequency of supplier development activities in emerging markets.
 
599. First-Time Buy Cost Savings Calculations
October 2015
Deborah Stanton
CAPS Research
Background A CAPS Research Member Company requested input regarding how supply management/procurement groups calculate cost savings in first-time buy negotiated savings scenarios, for products or services. Answers to the following questions are found in the report. 1. Does your supply management/procurement group measure cost savings for first-time buy scenarios? YES NO IF YES What calculations are used for first-time buy scenarios? (check all that apply) ? Lowest qualified initial bid price minus final awarded price ? Average qualified initial bid price minus final awarded price ? Highest qualified initial bid price minus final awarded price ? First-round negotiated price minus final negotiated price ? Impact to budget ? Business case savings ? List price minus final awarded price ? Typical corporate discounted price minus final awarded price ? Other (text box) IF NO Please explain why. (text box) 2. What is the first-time buy cost savings recorded as (check all that apply)? ? Cost avoidance ? Other 3. Please provide any other insights or explanations about how your organization calculates cost savings for first-time buy scenarios. (text box)
 
598. Supplier Segmentation
October 2015
Jeff Wood
Allegion
The supplier segmentation models must be driven by the customer needs and revenue side logic. Segmentation allows matching of supplier capability to the customer needs. In a traditional model, forecast pushes all production activities. The supplier segmentation follows a pull system where forecast is only for capacity planning, and sales at customer drives the production activities.
 
597. Category Strategy Management
October 2015
Marc Garrett
The Boeing Company
Category strategy management is presented from the perspective of Shared Services Group within Boeing Supplier Management Organization. Their model considers: supply chain architecture, category strategic plan, category management, and category profile. Category strategy management contributes to improving supplier relationships, driving innovation, and ensuring category strategy sustainability.
 
596. Supplier Relations at Honda
October 2015
Tom Lake
Honda North America
Honda, like many other companies, is involved in producing a wide variety of products. Therefore, it is not possible do a job without suppliers. If a small part breaks down on the road, from the consumer’s perspective, a Honda broke down. Therefore, maintaining good supplier relations is critical to Honda’s success. Honda establishes a fair and clear business relationship with the suppliers, equal partnership regardless of the size of the supplier, and respect for suppliers’ dignity. Factors that contribute to “voice of the supplier” are enumerated. How to remove barriers and promote communication are discussed.
 
595. Capital Expenditures Sourcing
October 2015
Roberta J. Jennings
CAPS Research
Capital purchases are necessary in every type of organization. However, they create a unique environment for sourcing professionals — with both challenges and opportunities. On one hand, purchases may not be tied directly to productivity or revenue generation, so securing funds and forecasting needs takes a different spin. In a project environment or one-off buy, sourcing professionals must be creative about negotiating prices and ensuring supplier performance, without the leverage that repeat buys afford. However, goals around diversity spending is one area that can nicely compliment capital purchases. A recent CAPS Research Critical Issue Exchange event explored this topic.
 
594. Procure-to-Pay Metrics Benchmarking Metric Report 2015
September 2015
CAPS Research
The purpose of this study was to help procurement/supply management professionals gain new insight into the metrics most commonly used by other organizations to measure their procure-to-pay (also known as P2P) process. The findings in this report can be used to support any existing or planned review and revision efforts of current procure-to-pay metrics, or act as a template for organizations using such metrics for the first time.
 
593. Best Practices for Driving Sustainability into your Supply Chain
September 2015
Roberta J. Jennings
CAPS Research
Leading organizations are continuing to incorporate environmental and sustainability best practices into their operations. In addition to considering it “the right thing to do,” some have realized economic benefits as well that can accompany, for example, waste reduction or more efficient energy use. However, companies are searching for more value throughout the entire supply chain and have become more active in assessing, measuring, and influencing suppliers’ sustainability activities as well. There are challenges, however, to establishing such a program. Activities take time and resources, suppliers may or may not be receptive, and it may be difficult to directly tie sustainability efforts to a firm’s economic performance. As such, a firm often must determine which suppliers to target for a sustainability program. Criteria include size, supplier criticality, suppliers’ existing sustainability programs, and risk. Based on a CAPS Research Critical Issues forum held on supplier sustainability, some strategies that firms use to segment suppliers are presented.
 
592. Air Freight Fuel Surcharges
August 2015
Deborah Stanton
CAPS Research
Background: A member company had questions regarding Air Freight Fuel Surcharges and how companies approach this issue when procuring air freight transportation services. Please respond to the following questions. Questions: 1. Do you primarily pay for fuel as an accessorial with your air transportation suppliers? ____Yes ____No If yes, how do you calculate fuel surcharges (select all that apply)? ____Based on an index or set of indices ____Air transportation suppliers charge a fuel surcharge based on actual pass-through costs from the airlines How do you audit those costs? ____Based on an index or indices created by your company ____Other (Please list) 2. Do your air transportation suppliers embed fuel costs into their freight rates? ____Yes ____No If yes, what pros and cons have you experienced with this approach? 3. Do you use an index or indices to determine the allowable fuel surcharge? ____Yes ____No If yes, which global or regional index or indices do you use? If your company has created its own index or indices, how was it created? Is your payout the full amount of your index or some portion of the index? Is your payout based on chargeable or actual weight? Are there any regional, distance, or other differences in your index and/or payout? How often do you update the allowable fuel surcharge? 4. Please describe any other methods used in dealing with Air Freight Fuel Surcharges when procuring air freight transportation services:
 
591. Managing Supplier Innovation
August 2015

Roberta J. Jennings

CAPS Research

As companies strive for competitive advantage, many are looking to the supply base as a source for innovative processes and products. Whether the motivation is purely financial or there is a desire to be at the cutting edge in the industry, firms are seeking the best methods for tapping into the knowledge and ideas that supply partners might have. According to a recent survey by CAPS Research, 82.6 percent of responding companies indicated that they either have, or shortly plan to have, a supplier innovation program in place that includes specific policies and practices. The challenge, however, is how to best cultivate the best ideas at the right time — and ultimately reward the supply partner for its contribution. If an innovative idea can come to fruition and meet a current need — ideally on an exclusive basis — it can be a game-changer. Many motivations for innovation link back to financial gain, whether it be profit, market share, process efficiencies, or time-to-market.
 
590. Aerospace and Defense Industry Benchmarking Metric Report 2015
July 2015
CAPS Research
The 2015 Aerospace and Defense Industry Benchmarking Metric Report includes metrics of importance to the aerospace and defense industry on topics including supply management organizational structure, spend and spend analytics, supply management operating expense, supplier relationships, and supply management return on investment.
 
589. Managing Supplier Risk
July 2015
CAPS Research
Highlights of this report show that 65% of companies with a Supplier Risk Management Program (SRMP) rated their programs maturity as Most Advanced or Moderately Advanced. When rating the level of importance (High, Medium, or Low) to their organizations, participants rated Availability of Supply as the highest importance, followed by Quality and Financial. Participants also reported that of the suppliers in their SRMP, an average of 10% were in the highest risk segment or tier.
 
  • Report - 24 pages
  • Aerospace Industry - 8 pages
  • Financial Services Industry - 8 pages
  • Industrial Manufacturing Industry - 8 pages
  • Transportation Services Industry - 15 pages
588. Persistence and Change in Trends: The Post Reform Environment For Supply Chain Management
July 2015
Eugene S. Schneller, Ph.D.
Arizona State University
A new term is entering our vocabulary – "post reform" – referring to the five year period since the enactment of the Affordable Care Act. It has been a period of uncertainty, change, challenge and opportunity. It is characterized by a combination of stressors and opportunities that impact supply chain, for providers, suppliers and intermediaries and ultimately patients – in significant ways. Since 2008 the Health Sector Supply Chain Research Consortium has published its list of "top trends." This year we took a somewhat different approach to identifying trends and important issues in the health sector supply chain by requesting that our panel of Consortium members identify the three most persistent trends/issues and assesses the evolution of these trends in the changing marketplace.
 
587. Cross-Industry Metric Report July 2015
July 2015

CAPS Research

The Cross-Industry Report of Standard Benchmarks provides information on twenty-one commonly referenced Key Performance Indicators (KPIs). One of the newer KPIs is Supply Management Return on Investment (ROI). The average ROI across all industries is 676.9%, or a return of $6.76 for every $1 of supply management operating expense. ROI values are provided for eight industries. Other KPIs show the percent of total spend managed/controlled by the supply management organization, managed spend per supply management employee, the average operating expense per supply management employee, etc. In addition to this metric report, CAPS Research corporate members and benchmarking subscribers are provided corresponding industry-specific breakout reports and comparative reports showing their data alongside industry-specific aggregated data.
 
  • Report - 1 page
  • Aerospace & Defense Industry - 1 page
  • DOE & NNSA Contractors - 1 page
  • Engineering & Construction Industry - 1 page
  • Financial Services Industry - 1 page
  • Industrial Manufacturing Industry - 1 page
  • Metals & Mining Industry - 1 page
  • Petroleum Industry - 1 page
  • Utilities Industry - 1 page
  • Other Manufacturing Industries - 1 page
  • Other Non-Manufacturing Industries - 1 page
586. Best Practices in Sourcing Cloud Services
June 2015
Roberta J. Jennings
CAPS Research
Cloud technology services are becoming increasingly popular in todays business environment. The cloud model can bring many monetary and efficiency advantages, but requires an organization to do a total value analysis and deeply assess its own comfort level with the risks introduced in a cloud-based environment. What is the cloud and why are so many firms finding cloud technology services attractive? CAPS Research recently conducted a Critical Issue Exchange on this topic: this report is based on comments from the several supply and technology professionals who shared their experiences with sourcing and implementing cloud services.
 
585. Labor/Service Agreements for Utilities Industry Companies 2015
June 2015
CAPS Research
This report addresses the frequency and types of contract labor agreements, service agreements, etc., that utility companies use for various programs or projects. Four types of commonly referenced labor/service agreements are specifically examined: Time & Material, Unit Price or Lump Sum, Cost-Plus, and Cost Reimbursable.
 
584. Outsourcing Supply Management Activities
June 2015
CAPS Research
Supply Management Groups are reevaluating all sourcing activities and/or business processes to determine if a new outsourcing model or approach can be identified that will reduce overlooked costs and deliver newly discovered value back to the company. This report identifies companies use of 3rd party outsourciing solutions for direct/indirect, high/low strategic categories, and for business activities that support sourcing. The report also provides a list of other spend activities/areas that are (or may be) outsourced, along with different criteria used for outsourcing determinations.
 
583. Corporate Procurement/SCM Employees Benchmarking Metric Report 2015
April 2015
CAPS Research
This report was developed from a brief, 8-question survey that asked about the numbers of corporate procurement/supply chain management employees (full-time equivalent and contract temporary) assigned to the supply management group. The survey data yielded 11 benchmarks, as well as an overview of 9 different activities (policy, strategic governance, market intelligence, etc.) that are usually aligned within a company’s supply management group.
 
582. Investment Recovery Job Descriptions and Titles 2015
April 2015
CAPS Research
The Investment Recovery Association and its member companies asked CAPS Research to identify commonly accepted job descriptions and position titles assigned to employees whose primary function is to support the companys investment recovery operations. The summary report shows frequently used position titles of individuals assigned primarily to support their company’s investment recovery operations; the numbers of individuals assigned to different categories (level 1 through level 4); the percent of companies who reported their investment recovery positions are aligned with CMIR certification; and the percent of companies who require (or encourage) level 1 & 2 employees to achieve CMIR certification.
 
581. New, Expanded Buyer-Supplier Relationship Management
April 2015
Thomas Y. Choi, Ph.D.
CAPS Research
The cooperative-adversarial dichotomy has served as the prevailing buyer-supplier relationship. Cooperative buyer-supplier relationships have been associated with closely-tied relationships, while adversarial relationships have been equated to arms-length relationships. However, there can be a closely-tied yet adversarial relationship and an arms-length yet cooperative relationship. The new framework is organized in two aspects—(1) relational posture, i.e., how two firms regard each other (as cooperative partners or as adversaries) and (2) relational intensity, i.e., how much two firms’ operations are interlinked (closely-tied or arms-length). The framework labels a closely-tied and cooperative buyer-supplier type as "deep"; closely-tied but adversarial type as "sticky"; arms-length and adversarial type as "transient"; and arms-length but cooperative type as "gracious." The data are collected from Toyota Motor Engineering and Manufacturing North America, Inc. and 163 of its suppliers. The results of analysis suggest that the expanded relationship types are associated with different relational outcome trade-offs.
 
580. The Dramatic Fall in Oil Prices and the Impact on Logistics/Supply Chains
April 2015
William Villalon
APL Logistics, Ltd.
Falling oil prices equals better transportation rates? Not so fast. The informed CPO needs to be thinking about other factors as well. Representing APL Logistics, part of the $9-billion NOL Group, a global provider of ocean and intermodal logistics, the speaker noted the current "Rubik’s Cube" of logistics challenges, including, but not limited to: varying pricing mechanisms on transport modes, the rising costs of warehouse labor especially in the coastal regions of the North America and elsewhere, and the shortage of truck drivers in specific corridors in North America. The speaker also reviewed the challenges presented by selective volatility in ocean freight rates, reshoring and near-shoring decisions, infrastructure challenges, as well as currency fluctuation.
 
579. Supply Chain Segmentation: Linking Business Strategy with Sourcing Strategy
April 2015
Gordon Lam
The Fung Group
The speaker began by giving an overview of the vast and segmented supply chains that Li & Fung—a Hong Kong-based global company more than a century old and now employing 31,000--controls and directs, in its four core businesses of sourcing, logistics, distribution, and retail. He then focused on the seven core principles that drive their supply chain management, which work together to help Li & Fung discover and deliver more value along the supply chain than its competitors. He cited several cases in their recent history that highlighted how they employ the resources of a large company but act like a small one. He also reviewed their strategic planning, their approach to acquisitions, and their talent development that help ensure continuous improvement in their supply chain management business.
 
578. Strengthening Your Supply Chain Strategy
April 2015
Vincent J. Hrenak
Raytheon
During this presentation, the speaker provided an overview of how he has utilized CAPS Researchs different products and services to establish credibility across all levels of supply management. Key examples include different benchmarking metrics that provide industry-specific comparisons of supply management key performance indicators; the Executive Assessments that identify the relative importance of, and implementation of, different critical strategy areas. The speaker pointed out that he actively participates in new and leading edge research and has repeatedly found that the detailed focus study research projects help identify best-in class metrics. He and his leadership team have gained valuable insight from participating in International Executive Roundtables, Industry Advisory Group Meeting, Best Practices Workshops, and Critical Issues events. He summarized his presentation by encouraging other member companies to use CAPS Researchs various resources to bring best practices to their own strategic planning process.
 
577. Semi-Autonomous Knowledge Base Statement of Work Development
April 2015
Joseph A. Yacura
Fannie Mae
The underlying theme of the presentation was the observation that the need for real-time business information is driving the evolution of "smart systems" based on inference engine technology. Inference engines are developed using artificial intelligence techniques to instantaneously derive conclusions from a knowledge base that contains different facts and information. The presentation suggests that companies will, in the near future, establish a formal method of creating "Institutional Knowledge" that resides within their own smart systems. These smart systems will provide procurement organizations an ability to make real-time decisions based on multiple/variable sources of information. Fannie Mae is using a smart system (based on inference engine technology) to create a semi-autonomous Statement of Work (SOW) generation tool that uses different sources of knowledge from human-based information and systems data.
 
576. Industrial Manufacturing Industry Metric Benchmarking Report 2014
April 2015
CAPS Research
This industry-specific benchmarking report provides a comparative look at how industry supply management dynamics have changed since this report was last published in 2012. In addition to data earlier published (e.g., functional assignments within the supply management group, financial management metrics, key supplier relationship data, and supply management’s engagement in hedging strategies) new metrics include the percent of companies with supply management employees assigned to different global regions, and the increase/decrease in spend in the global regions. Also new this year is the percent of organizations that are responsible for spend associated with inbound and outbound logistics and transportation.
 
575. Petroleum Industry Metric Benchmarking Report 2014
March 2015
CAPS Research
This Metric Report provides an overview of the survey results and includes new benchmarks which include cost savings as a percent of supply management operating expense (often referred to as the supply management groups Return on Investment), as well as several new benchmarks that measure strategic and operational supply management employees, both as aggregated and by function.
 
Tags: Petroleum
  • Report - 13 pages
  • Upstream Operations - 11 pages
574. Impact of Recent Declines in Oil Prices (March Update)
March 2015
CAPS Research
The topic of declining oil prices and the uncertainties around any near-term price reversal has created opportunities for businesses to rethink their strategies for acquiring oil and related petroleum-based products (fuels, chemicals, etc.). This report provides insight into the actions organizations are taking (or have taken) to realize savings and other benefits as a result of the decline in fuel costs.
 
573. Utilities Industry Benchmarking Metric Report 2014
March 2015
CAPS Research
The 2014 Utilities Industry Metric Benchmarking Report provides an overview of the industry-specific survey and includes metrics of importance to the utilities industry on topics including supply management organizational structure, spend, supply management operating expense, supplier relationships, and supply management return on investment.
 
Tags: Utilities
572. Demand-Side Energy Management
February 2015
CAPS Research
Effective demand-side energy management programs include energy efficiency practices that do not necessarily impact business operations during periods of peak energy demand. Efficiency practices may include drawing power from backup generators, reduced lighting, adjusting heating/air conditioning levels, etc. A key finding from the study was the overwhelming success organizations found in both the implementation of their demand-side energy management program, and in meeting the programs goals and objectives.
 
571. Measuring Capital Projects Sourcing and Management Metric Report
January 2015
CAPS Research
There are numerous types of capital projects for which companies allocate resources to build, acquire, and maintain assets such as production and process equipment, buildings, and other related infrastructure. This metric report is based on responses from large, global companies in capital intensive industries and addresses capital expenditures issues including sourcing team structure, internal client engagement, metrics and goals, and future trends.
 
570. Impact of Recent Declines in Oil Prices
January 2015
Deborah Stanton
CAPS Research
Background: In view of the rapid decline in oil prices, and the uncertainty around any near-term price reversal, CAPS Research would like to learn what actions you have taken (or will take) to realize savings and other benefits as a result of the decline in fuel costs. Please respond to the following questions. Questions: 1. Has the recent decline in oil prices had a positive or negative effect on your supply chain costs? ____ Positive ____ Negative What costs were affected? 2. Have lower oil prices impacted your ability to source and secure oil and related petroleum-based products (fuels, chemicals, etc.)? ____Yes ____ No How? 3. Does your organization currently use hedging techniques/strategies to minimize your exposure to fluctuating prices for oil and related petroleum-based products? ____Yes ____ No 4. If you are locked into a contract price for oil and related petroleum-based products, how do you plan on taking advantage of the lower costs? (check all that apply) ____ Seek alternate sources of supply ____ Purchase minimal amounts from current supplier(s) ____ Postpone fuel purchases from current supplier(s) ____ Renegotiate current contract(s) ____ Other actions (please list below): 5. Based on the current cost of oil, is this is the right time to secure a long term hedge for oil and petroleum-based products that you will need in the future? ____Yes ____ No Why? 6. How has the current price for oil and petroleum-based products influenced your organizations "buying behavior"? (for example, increased related inventories, renegotiated long-term contracts, postponed purchases, etc.)
 
569. DOE NNSA Contractors Benchmarking Metric Report 2014
January 2015
Benchmark Team
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Benchmarking Metric Report for 2014 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 22 different DOE and NNSA laboratories (or sites). Key measures include training hours and costs, spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. Other measures include procurement card usage and customer satisfaction surveys.
 
Tags: DOE
  • Report - 21 pages
  • 2014 DOE/NNSA Procurement Performance Benchmarking - 10 pages
568. Measuring Capital Projects Sourcing and Management 2014
January 2015
CAPS Research
This summary report corresponds to a CAPS Research benchmarking survey which asked participants to provide information about four areas related to capital projects within their organization: Sourcing team structure; Internal client engagement; Capital expense (CapEx) metrics and goals; and significant trends that might impact future capital projects sourcing. The survey participants reported the spend for capital projects within their companies is about 8.1 percent of revenue.
 
567. Creative Agency Sourcing
December 2014
Deborah Stanton
CAPS Research
In many companies Supply Management is just beginning to engage their organization’s marketing group and others to source non-traditional spend categories such as Creative Agencies. 3M Company is interested to learn how your organization is managing creative agencies, agency spend, and the process for identifying new creative agencies. Please respond to the following questions from 3M Company. Questions: 1. What is your supply management group’s role in creative agency sourcing? ____ Supply management has sole responsibility for sourcing the creative agencies. ____ Supply Management has shared responsibility for sourcing the creative agencies. List other groups with whom this responsibility is shared (e.g., marketing, communications, public relations): ____ Supply management is not responsible for sourcing creative agencies. 2. How many creative agencies does your organization presently have under contract, and what services do they provide? Number of creative agencies under contract ________ Services provided (e.g., creative design, digital media, web-design, media placement): 3. What percent of your total annual budget for creative services is outsourced to creative agencies? ________ % 4. Does your organization have a process to identify new creative agencies? ____ Yes ____ No If Yes, and you are willing to share your creative agency sourcing process with other CAPS Research members (teleconference, web event, or one-on-one discussions), please provide the name and contact information for the appropriate person in your company. (This information will not be disclosed in our response summary.)
 
566. Financial Services Industry 2014 Supply Management Performance Benchmarking
November 2014
CAPS Research
Gain insight into how financial services companies report their supply management groups ROI, and how they perceive their level of maturity across different activities ranging from supplier capability assessments to supply chain sustainability. This report includes key benchmarks and best practices specific to Managing Supplier Risks and Relationships, Influence and Value of the Supply Organization, and Organizational Design and Policy.
 
565. Safety in the Supply Chain
November 2014
Roberta J. Jennings
CAPS Research
Many organizations – especially those in construction/engineering, industrial manufacturing, and petroleum – have made safety a top priority within their company. They have experienced the benefits of well-defined, long-standing internal programs and initiatives that create safe working environments. The next step for many firms, however, is to drive safety throughout their supply chains. This report captures the highlights of a day-long CAPS Research Critical Issues event where procurement/supply management professionals discussed this important topic.
 
564. Sourcing Public Cloud Services
November 2014
Phil Carter
CAPS Research
Enterprises are increasingly interested in using public cloud services* due to the advantages these services may offer. Advantages include: avoiding capital investment in infrastructure, getting applications up and running faster, and rapidly adjusting IT resources to meet fluctuating and unpredictable business demands. (Note: The responses were compiled in April 2014.) Questions: 1. Does Supply Management at your company source (or help source) public cloud services? ____ Yes ____ No If you answered No, you are finished with this CPO Insights question set and can submit your responses by replying to this email. If you answered Yes, please answer the questions below. 2. On a scale of 1 to 5 (1= very immature/just getting started, 5 = very mature/lots of experience) how mature is your sourcing strategy for public cloud services? ___ 1 ___ 2 ___ 3 ___ 4 ___ 5 3. What are your three biggest challenges in sourcing public cloud services? 1. 2. 3. 4. Would your Subject Matter Expert on sourcing public cloud services be interested in discussing this topic with a group of SME sourcing professionals from other companies? ____ Yes ____ No If you answered Yes, please provide their name and contact information. (We will keep this information confidential.) * Public cloud services are dynamically allocated and delivered applications or units of computing power made available through the internet. These services are sold or leased by organizations that own the infrastructure and consist of sophisticated automation, provisioning, and virtualization technologies to decouple data and software from the servers and storage systems running them.
 
563. Multi-Tier Supply Management
October 2014
Thomas Y. Choi, Ph.D.
CAPS Research
Dr. Choi’s remarks began with an overview of the current thinking around multi-tier supply management and some of its drawbacks. He showed how some companies are managing sub-tier suppliers retaining control over BOM or work requirements; considering supplier’s innovation potential; taking into account the environmental and social impact; and staying close to “touch-point” suppliers. He also discussed new ways to look at the multi-tier network structure that can help identify critical sub-tier suppliers using contractual and materials flow sociograms.
 
562. Global Economic Outlook
October 2014
Sara Johnson
IHS
Using data from IHS Economics practice, Ms. Johnson highlighted key trends and in-depth analysis of the current economic outlook. She demonstrated: a gradual acceleration in the global economy led by the United States; improving household finances, strengthening private investment, and reduced fiscal drag will support the US expansion; after stalling this spring, the Eurozone’s slow recovery will resume as the policy focus shifts from austerity to growth; a downturn in housing markets will restrain China’s growth; growth paths in emerging markets will depend on structural reforms that raise productivity and allocate capital more efficiently; and there is an abundance of geopolitical risks.
 
561. Corporate Supplier Sustainability
October 2014
Jay Joyce;Anne-Cecile Remont
Procter & Gamble Company
After a brief overview about P&G’s internal environmental sustainability efforts, the presenters turned toward the important topics of advancing environmental sustainability outside the company. Examples and strategies were shared about advancing sustainability through partnerships with specialty groups and other companies, as well as driving sustainability into the supply chain and P&G’s use of scorecards and third party audits to get supplier buy-in.
 
560. Skills and Experiences for Success in Procurement and Supply Chain
October 2014
Simon Revere;Geddings Roche
Korn/Ferry International
Using the Korn Ferry framework of the four dimensions of leadership and talent (competencies, experiences, traits, and motivators), the speakers demonstrated how best-in-class procurement executives share a specific trait of leadership characteristics. They also addressed how to differentiate performance from potential, and how to identify high-potential talent.
 
559. Global & NAFTA Supply Chain Trends
October 2014
William Villalon
APL Logistics, Ltd.
Mr. Villalon’s presentation provided data and trends to gain insights about various factors driving a shift in global supply chains; shifting trends in the NAFTA supply chain; several factors that have converged to place significant stress on the logistics network that underpin NAFTA / US supply chains; the implications for companies engaged in global sourcing; and key considerations for procurement and supply chain managers.
 
558. SnapShots 2014: Effective Collaboration for Supplier Innovation
October 2014
CAPS Research
The most significant opportunities for driving innovation within the supply management organization include clearly established functional roles, early supplier engagement, developing and maintaining customer/supplier trust, supplier performance, and cost models that compensate suppliers for research and development costs. The report shows that the effectiveness of supplier innovation programs lags the relative importance of these programs. Two-thirds of the participants reported Supply Management is primarily responsible for championing supplier innovation. The appendices provide information on the benefits suppliers have received from innovation programs; a list of tools being utilized to managing supplier innovation projects; and practical information from lessons learned.
 
557. Financial Services Industry Identification of Critical Activities and Supplier Risk Categories
September 2014
CAPS Research
Based on a survey developed with input from a CAPS Research Industry Advisory Group, this short report identifies the functions and activities that are considered to be critical to financial services organizations. It also highlights respondents supplier risks (information security, natural disaster, brand reputation, geopolitical, etc.) and whether or not these supplier risks are currently being managed or monitored. Contact the Benchmarking Team at CAPS Research (metrics@capsresearch.org) if you have any questions about this report, or are interested in receiving a comparative benchmarking report.
 
556. SnapShots 2014: Availability of Internet-Based Terms and Conditions for Current and Potential Suppliers
September 2014
CAPS Research
For this report, Aerospace & Defense companies were asked about the industry’s use of the internet to post supplier standard Terms and Conditions. The majority of respondents reported they posted terms and conditions on their websites. Respondents also identified perceived benefits and shared their opinions regarding whether or not potential suppliers visit their website(s) in order to preview the standard terms and conditions. For a list of websites that reported their terms and conditions are made publically available, email metrics@capsresearch.org.
 
555. Chief Purchasing Officers Mobility and Compensation: A 2014 Study of Fortune 500 Firms
September 2014
Phillip L. Carter, D.B.A.
CAPS Research
This study provides an analysis of the compensation and mobility patterns of Chief Purchasing/Procurement Officers for Fortune 500 sized companies. The research reports on the salary and bonus compensation for CPOs for 2014 and 2013 and the mobility patterns of individuals who achieved the CPO role. Demographic information on the CPOs is also presented in the report. Additionally the report compares the results from this study with the results of similar research published by CAPS Research in 2000 (based on 1999 data), 2002 (based on 2001 data) , and 2007 (based on 2006 data). This Focus Study provides a detailed analysis of the study findings. Related documents include an Executive Report - a condensed version of the larger report and an Executive Brief that presents only the most salient points from the study.
 
  • Report - 68 pages
  • Chief Purchasing Officers Mobility and Compensation: A 2014 Study of Fortune 500 FirmsExecutive Brief - 5 pages
  • Chief Purchasing Officers Mobility and Compensation: A 2014 Study of Fortune 500 FirmsExecutive Report - 23 pages
  • Chief Purchasing Officers Mobility and Compensation: A 2014 Study of Fortune 500 FirmsExecutive Overview - 14 pages
  • Profile of a CPO: Based on 2014 Research Study "CPO Mobility and Compensation" - 18 pages
554. Using Big Data for Supply Management Purposes
August 2014
Deborah Stanton
CAPS Research
Background: An increasing number of companies are collecting and using "big data" (see a definition below) as a strategic investment. Most examples and news stories about big data, however, are focused on downstream efforts related to forecasting consumer trends, new product development, custom selling/communications, etc. CAPS Research would like to find out how many companies are using big data within their supply management organization and how they are using it. "Big data" refers to data sets whose size is beyond the ability of traditional business-intelligence tools to analyze in a timely manner. "Big data" includes structured and unstructured data from multiple sources, often associated with individual transactions and events in the supply chain, that pour into data warehouses with great speed and volume. Specialized tools and specialized skills are needed to turn "big data" into useable business intelligence. Questions: 1.  Does your company now use "big data" to support supply management analysis and strategy formulation?            ____ Yes         ____ No If you answered No, please describe any plans over the next one to three years to start any "big data" projects to support supply management. If you answered No, you are finished with this CPO Insights question set and can submit your response by replying to this email now. Otherwise, please continue. 2.  Please describe how "big data" is used to support supply management at your company. 3.  Please estimate the number of FTEs which are devoted to supporting "big data" projects for supply management.       Data manager FTEs within supply management: ______       Data manager FTEs elsewhere in your company: ______       Data analysis FTEs within supply management: ______       Data analysis FTEs elsewhere in your company: ______ 4.  How would you rate the maturity level at your company of supply management’s application/use of big data? (1 = Just starting; 5 = Very mature)    ___ 1    ___ 2    ___ 3    ___ 4    ___ 5
 
Tags: Analytics
553. Engaging 2014 - Health Care Supply Chain Top Trends
July 2014
Eugene S. Schneller, Ph.D.
Arizona State University
The US health care delivery system is experiencing an unprecedented rate of change. New financial models, characterized by pay for performance, gainsharing and bundled payments bring forth important opportunity for knowledge of product impact on clinical performance and for product-related savings in the continuum of care. As improved product management and synchronization of products across service lines and settings of care become the standard for excellence in supply chain management, many of HSRC-ASU earlier-year trends are being accelerated in response.
 
552. Metrics of Supply Management - Cross-Industry Metric Report July 2014
July 2014

CAPS Research

This Cross-Industry Report of Standard Benchmarks provides information on twenty-one commonly referenced Key Performance Indicators (KPIs). New this year is a look at each industrys average Supply Management Return on Investment (ROI). For example, the metric report shows the ROI for Financial Services companies of 1,398% or a return of $13.98 for every $1 of supply management operating expense. ROI values are provided for six unique industry sectors. Other KPIs show the percent of total spend managed/controlled by the supply management organization, managed spend per supply management employee, the average operating expense per supply management employee, etc. In addition to this metric report, CAPS Research corporate members and benchmarking participants are provided corresponding industry-specific breakout reports. Member companies and benchmarking subscribers also receive comparative reports showing their data alongside industry-specific aggregated data.
 
  • Report - 2 pages
  • Aerospace Industry - 1 page
  • Chemical Manufacturing Industry - 1 page
  • DOE & NNSA Contractors - 1 page
  • Engineering & Construction Industry - 1 page
  • Financial Services Industry - 1 page
  • Industrial Manufacturing Industry - 1 page
  • Petroleum Industry - 1 page
  • Utilities Industry - 1 page
  • Other Manufacturing Industries - 1 page
  • Other Non-Manufacturing Industries - 1 page
551. Best Practices for Sourcing Pharmaceutical Benefits
June 2014
Roberta J. Jennings
CAPS Research
With escalating healthcare costs, pharmaceutical benefits management (PBM) has appeared on the radar screen of many organizations, and is a category ripe for opportunity, as many executives say they are striving to apply proven sourcing principles long used for materials and services to this unique, non-traditional spend area. With total U.S. pharmacy spending topping $325B in 2012, companies are seeking opportunities to effectively gain control of the pharmaceutical benefits spend area, optimize contract management, and gain data transparency, all while offering competitive employee benefits. This report highlights the key points and lessons from the presentations and discussions of a Critical Issues Partnership event “Best Practices of Sourcing Pharmaceutical Benefits" hosted by CAPS Research, a member company, and the Health Sector Supply Chain Research Consortium at Arizona State University.
 
550. Managing C-TPAT Programs and Activities
June 2014
Phil Carter
CAPS Research
The Customs-Trade Partnership Against Terrorism (C-TPAT) is a voluntary government-business initiative to build cooperative relationships that strengthen and improve overall international supply chain and U.S. border security. Many U.S. manufacturing companies participate in this program. However, resources are required to become certified, to keep certifications up-to-date and to work with supply chain partners to ensure that the requirements of C-TPAT are met. Tom Linton, CPO of Flextronics, would like information on how companies are managing their C-TPAT programs and activities. Please respond to the following questions. Questions: 1. What is your companys C-TPAT certification status? ___ Certified at Tier 1 ___ Certified at Tier 2 ___ Certified at Tier 3 ___ In process to become certified ___ Not working on certification If you indicated that your company is not working on certification, you are finished with this CPO Insights question set and can submit your response by replying to this email now. Otherwise, please continue. 2. Approximately how many years has your company been C-TPAT certified? ______ years certified 3. What executive office or function is responsible for overseeing C-TPAT in your organization? 4. Over the next three years, how do you expect responsibility for C-TPAT in your organization to change? 5. Approximately how many FTEs are assigned to managing C-TPAT? ______ FTEs assigned at the corporate level ______ FTEs assigned in your business units/divisions 6. Briefly describe the relationship among the C-TPAT personnel assigned to your organization’s business units/divisions and your corporate C-TPAT personnel. 7. What other supply chain security programs, if any, are C-TPAT management personnel responsible for managing? 8. Over the next three years, how do you expect the number of the number of FTE resources assigned to C-TPAT activities to change?
 
549. Measuring Supplier Diversity Program Performance 2014
June 2014
CAPS Research
The 2014 update to the highly acclaimed Supplier Diversity Performance Report is now available. Key metrics include the observations that more than 40 percent of the survey respondents reported an increase in their total number of diversity suppliers while 25 percent reported a decrease in their base of diversity suppliers. The remaining 34 percent reported that their total number of diversity suppliers did not change during the reporting period. In previous years the reports only focused on diversity spend as a percent of total spend. This years report also looks at diversity spend as a percent of spend that is managed and/or controlled by the supply management group. Some organizations refer to this as sourceable spend.
 
  • Report - 13 pages
  • Measuring Supplier Diversity Program Performance2014 - 8 pages
  • Industrial Manufacturing - 7 pages
  • Diversified Foods and Beverages - 7 pages
  • Engineering & Construction - 7 pages
  • Financial Services - 7 pages
  • Healthcare - 7 pages
  • Manufacturers - 7 pages
  • Non Manufacturers - 7 pages
  • Petroleum - 7 pages
  • Utilities - 7 pages
  • ISM Supplier Diversity Group - 7 pages
548. China’s Global and Economic Position
June 2014
Siew Loong Wong
APL Logistics, Ltd.
Mr. Wong details the position, strengths and vulnerabilities of China as a global economy, and provides an internal view of what economic activity is happening and where in the country. His observations include: (1) China will remain the world’s economy engine and become the No. 1 trading country; (2) China is striving for a more balanced economy; (3) as per estimation, China will move towards an unprecedented urbanization scenario in human history; (4) however, China’s urbanization will still follow today’s pattern, highly concentrated in the east with pockets in the west; and (5) there are tremendous logistics needs brought by China’s urbanization and improved purchasing power that will drive imports.
 
547. Procurement Practices of Chinese Companies
June 2014
Dr. JianQiang Hu;Dr. Qiying Hu
Fudan University
Very little research has been published on the purchasing practices of Chinese companies in China. In this report researchers from Fudan University in Shanghai, China provide readers with information on Chinese business practices for supplier selection and qualification, supplier development, and supplier relationship management. Additionally the researchers discuss how Chinese companies organize their purchasing functions and the differences and similarities between Chinese firms and multi-national firms. For this project the researchers conducted extensive interviews at 11 Chinese companies, conducted a Roundtable at which purchasing managers discussed these issues, and also collected data on these issues using a survey distributed to Chinese companies. This report is also available in Mandarin.
 
  • Report - 46 pages
  • Overview - 8 pages
  • (AERT 2014) - 38 pages
546. Managing Commodity Price Volatility and Risk
June 2014
George A. Zsidisin, Ph.D., C.P.M.;Janet L. Hartley, Ph.D.;Lutz Kaufmann, Ph.D.;et al.
Virginia Commonwealth University;Bowling Green State University;WHU - Otto Beisheim School of Management
All organizations including those in the private sector, non-profit entities, and governmental agencies, are exposed to risk from commodity price volatility. This risk exposure is either from direct raw materials and energy purchases or from purchases of commodities and energy by companies upstream in their supply chains. The purpose of this research was to identify how firms assess and manage commodity price risk associated with their direct purchases and purchases in their upstream supply chains. This Focus Study provides research findings, lessons learned and other insights. Related documents include an Executive Report - a condensed version of the larger report and an Executive Brief that presents only the most salient points from the research.
 
  • Report - 102 pages
  • Executive Brief - 6 pages
  • Executive Report - 25 pages
  • Executive Overview - 11 pages
545. SnapShots 2014: Corporate/Commercial Payment Card Information
May 2014
CAPS Research
This SnapShots report summarizes information provided by more than 120 companies about their use of one or more of the following corporate/commercial payment cards: Purchasing/procurement cards, Travel & entertainment cards, and Commercial multi-cards. About 64% of the participants reported they use only one payment card solutions provider for all of their payment card requirements, and most of those organizations reported their card solutions provider is capable of supporting all of their global T&E requirements. About 57% of the survey participants reported overall payment card spend is increasing, and the maverick spend associated with payment cards is decreasing. The report shows the percent of participants who receive less than/more than 100 basis points for each dollar spent. Survey data indicates there is no correlation between basis points awarded and total card spend. Overall, the participants reported they are satisfied with the overall program quality (5.5 on a 7.0 scale) of their payment card solutions provider(s).
 
  • Report - 8 pages
  • Aerospace and Defense Contracting - 4 pages
  • DOE and NNSA Contractors - 4 pages
  • Financial Services - 4 pages
  • Industrial Manufacturing - 4 pages
  • Manufacturers - 4 pages
  • Non-Manufacturers - 4 pages
  • Petroleum Industry - 4 pages
  • Utilities - 4 pages
544. Digitally Integrating the Supply Base
May 2014
Roberta J. Jennings;Phillip L. Carter, D.B.A.
CAPS Research
Based on a Critical Issues event co-hosted by CAPS Research and a member company, this report is a summary of the discussion and presentations by sourcing professionals who spent the day exploring best practices and decision making concerning digital integration of suppliers. Topics captured from the day and summarized in this report include: Making the Business Case; Technology Tools; Survey results on the subject; Lessons Learned; Demonstrated Benefits; Known Challenges and Prerequisites to Success Implementation of Digital Integration. Brief overviews of each presentation are included.
 
543. Best Practices for Managing Outsourced Manufacturing
April 2014
Roberta Jennings
CAPS Research
Based on a Critical Issues event co-hosted by CAPS Research and Intel Corporation, this report is a summary of the discussion and presentations by sourcing professionals who spent the day exploring best practices and decision making concerning outsourcing manufacturing and services. Topics captured from the day and summarized in this report include: Considering the Outsourcing Decision; Procurements Role in Outsourcing; The Outsourcing Relationship; Multiple Outsourcing Models; Information Sharing and Visibility; and Measurements/Metrics. Brief overviews of each presentation are included.
 
542. Emerging Global Supply Strategies
April 2014
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.;William J. Markham;et al.
CAPS Research
What are the emerging global business and supply strategy trends? To answer this question, a major CAPS Research Initiative, Value Chain Strategies for a Changing Decade: Emerging Global Supply Strategies studied the strategies companies were implementing to respond to changing global conditions. Emerging company competitive strategies, outsourcing/insourcing, supplier location approaches and those supply strategies that further enable globalization were the focus. Fourteen companies across multiple industries participated in interviews and seven case examples were developed. E-survey responses from 100 companies also provided findings data. Four key company strategies to achieve worldwide competitiveness, growth and profits that directly impact global supply were identified. In addition, the research provides findings and insights about emerging outsourcing/insourcing strategies and possible changes to supplier locations and reasons why. Critical supply strategies to enhancing global competitiveness are also discussed. The Focus Study provides the most comprehensive look at the research findings, conclusions, and provides executive guidance. The other documents in the series include an Executive Report, a condensed version of the larger report; and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 90 pages
  • Global Sourcing and Supply: Trends and Strategies - 31 pages
  • Executive Report - 20 pages
  • Executive Brief - 7 pages
  • Executive Overview - 16 pages
  • (AERT 2014) - 40 pages
  • (BPW 2014) - 43 pages
541. Shaping the Strategic Business Model: A Case Study in Healthcare
April 2014
Jacklyn A. Sturm
Intel Corporation
Jackie began her presentation by explaining how supply chain fits into the overall business model at Intel, and the goals and drivers for the procurement organization. She also shared the journey Intel has recently undergone in piloting a new health care initiative in one of their geographic locations. She detailed the all-too-familiar soaring healthcare costs, and the opportunity these increased costs provide supply management to deliver even more value to the organization. By taking a closer look at the problem of health care costs in the U.S., understanding the market, and using enhanced data visibility and analysis, Intel was able to redesign and optimize the health care value chain in an innovative way that is based in a new structure of compensation.
 
540. The Global Economic Recovery Is on Track, But There Is No Shortage of Risks
April 2014
Nariman Behravesh
IHS
Dr. Behravesh provided a truly global snapshot of the economic drivers impacting world economies of the most important countries. He also addressed key trends and an outlook for the North American economy. Some of his key conclusions include: Overall global growth in 2014 will be better than 2013; the US energy boom is one of the bright spots, and there are other upside risks; Europe and Japan will do better, but not as well as the US; the recent sharp deceleration in the BRIC countries and other emerging markets is worrisome, and a return to the boom years of the 2000s is unlikely – but another crisis is also unlikely; low energy prices are a competitive "stimulus" for North America; other commodity prices are not a serious threat; inflation and interest rates will remain low for at least another year; and despite recent increases relative to emerging market currencies, the US dollar continues to provide a competitive advantage.
 
539. SnapShots 2014: Supplier Performance Measurement Programs
March 2014
CAPS Research
The Supplier Performance Measurement Programs benchmarking report looks at the tools, processes, and measures used by companies to determine if their suppliers are aligned with their business goals and objectives. Supplier performance measurements can help to drive product and service improvements, cut costs, and moderate risk. Not unexpectedly, the majority of survey participants (70 percent) reported they have a formal supplier performance measurement program in place. About 85 percent of the companies that reported they do not yet have a supplier performance measurement program in place expect to have one within the next two years. Survey participants were asked to rate 13 different performance measures on a scale from 1 (not important) to 7 (very important). Four of the 13 performance measures - Quality, Delivery, Customer Satisfaction, and Service - averaged a score of 6 or higher.
 
  • Report - 16 pages
  • Aerospace and Defense - 4 pages
  • Engineering & Construction - 4 pages
  • Financial Services - 4 pages
  • Industrial Manufacturing - 4 pages
  • Petroleum - 4 pages
  • Semiconductor - 4 pages
  • Utilities - 4 pages
  • Manufacturers - 4 pages
  • Non-Manufacturing - 4 pages
538. Supply Strategy Implementation: Current State and Future Opportunities 2013
March 2014
Robert M. Monczka, Ph.D.;Kenneth J. Petersen, Ph.D.
CAPS Research;University of Tennessee
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 determine 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 74 supply organizations across 19 industries regarding 22 supply strategies and performance results. 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 completed in 2007, 2009, and 2011 to yield an even more comprehensive picture of implementation success and supply management performance.
 
537. Exchange Traded Commodities Risk Management Benchmarking Summary Report 2014
March 2014
CAPS Research
Based on the results of the CAPS Research SnapShots Benchmarking survey titled Exchange Traded Commodities Risk Management, it appears that supply management organizations are not yet fully engaged in exchange-traded commodities risk. Less than one-third of the respondents answered yes to the question, "Does your organization have an investment strategy that includes Exchange Traded Commodities?", and only about 25 percent of those who do not yet have an ETC investment risk strategy reported they expect to have one within the next two years. The companies who do currently have an investment strategy reported they also have a risk management program for their exchange-traded commodities that is centrally managed by their Procurement, Finance, or Treasury groups.
 
536. Strategic Supplier Development Programs and Activities Benchmarking Metric Report 2014
February 2014
CAPS Research
Defined as the efforts of a company to increase the performance and/or capabilities of selected suppliers to meet the companys short-term and/or long-term supply needs, strategic supplier development is the focus of this new CAPS Research report created in partnership with a member company headquartered in Europe. The report examines the programs/processes organizations are using to enhance their supplier performance and/or capabilities. More specifically, it addresses the percent of participating organizations that have established policies and procedures in place to develop strategic suppliers, which development methods are currently being employed, and how companies execute their strategic supplier development projects. Almost 80% of participants reported that their organization has standard programs/procedures in place to support supplier development programs and activities, and these companies rated highly both the importance and effectiveness of their supplier development programs.
 
535. SnapShots 2014 - Digitally Integrating the Supply Base
February 2014
CAPS Research
Companies have long depended on their supply base as a source for product and process innovations. Todays increasingly complex and rapidly changing business environment is requiring companies to determine if they can achieve a competitive advantage by developing a fully integrated and collaborative digital environment that will be shared across the enterprise and its suppliers. This report explores how some companies are addressing the challenges of digital integration. Slightly more one-half of the survey participants reported they have digital integration initiatives currently in process, and in most cases (65%) these initiatives are being driven by the Supply Management group and some combination of other departments (engineering, information technology, operations, etc.). The report highlights the scope and objectives of various digital integration initiatives; the strategies and tactics being used to protect sensitive information; digital integration methods, tools, and technologies; program incentives; and digital integration challenges.
 
534. DOE NNSA Contractors Benchmarking Metric Report 2013
February 2014
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Benchmarking Metric Report 2013 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 22 different DOE and NNSA laboratories (or sites). Key measures include training hours and costs, spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. Other measures include procurement card usage and customer satisfaction surveys.
 
Tags: DOE
533. Environmental Sustainability across the Extended Value Chain
February 2014
Janet L. Hartley, Ph.D.;Phillip L. Carter, D.B.A.;Craig Carter, Ph.D.;et al.
CAPS Research
Are companies working effectively with their supply bases to meet their environmental sustainability challenges? A major CAPS Research initiative, Value Chain Strategies for the Changing Decade: Environmental Sustainability across the Extended Value Chain, studies how companies are approaching this activity. Environmental sustainability projects are categorized as product improvements, internal operational improvements, or joint buyer-supplier operational improvements. In-depth company interviews explore both the success factors and barriers that companies should consider when identifying and implementing environmental sustainability projects with their supply bases. The research also elaborates on supply managements role in environmental sustainability, internal organization related to topic, and engaging suppliers. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents in the series include an Executive Report, a condensed version of the larger report; a Case Analyses report, which includes 13 case studies from the firms interviewed; and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 66 pages
  • Executive Overview - 10 pages
  • Executive Brief - 5 pages
  • Executive Report - 25 pages
  • Implementing Value Chain Environmental SustainabilityCase Study Findings - 67 pages
532. Digitally Integrating the Supply Base 2014
January 2014
Phil Carter
CAPS Research
Background: In the manufacturing sector, Digital Integration is defined as "a fully integrated and collaborative environment founded on 3D product definition detailed and shared across the enterprise and suppliers to enable rapid, seamless, and affordable deployment of products from concept to disposal." However, digital integration is not limited to technical information or to manufacturing companies. For example, service sector companies also need to better integrate suppliers, large and small, into their services development processes. Digital integration of the supply chain can have several commercial and technical benefits including reduction of new product development lead times, cost reduction and risk mitigation. Please answer the following questions regarding digital integration. Questions: 1. Does your organization have initiatives underway to increase digital integration within your supply base? ____ Yes ____ No If you answered No, you are finished with this CPO Insights question set and can submit your responses by replying to this email. If you answered Yes, briefly describe the scope and objectives of your digital integration initiatives: 2. Is the importance of your digital integration initiatives specific to the commercial side or technical side of your business? _______ Commercial _______ Technical _______ Both 3. Is your Supply Management group responsible for driving the organizations digital integration initiative? ____ Yes ____ No If you answered No, which group (engineering, information systems, etc.) has digital integration responsibilities? 4. What are your organizations biggest challenges in digitally integrating your supply base?
 
531. Investment Recovery Performance Metric Report 2013
December 2013
CAPS Research
This report was developed in partnership with the Investment Recovery Association. In addition to the organizational information and operational benchmarks provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs as well as best practice implementation. One key metric shows that for every dollar of investment recovery operating expense, $27 is returned to the bottom line. Other benchmarks relate information about investment recovery services and processes, the effectiveness of program-related tools and technologies, and investment recovery staffing. Fifty-nine companies provided data for this report.
 
530. SnapShots 2013 - Non-Stock Material Management
December 2013
CAPS Research
As companies become more efficient at maintaining inventories necessary for predictable operations some are focusing their attention on unique items that are not carried as part of their organizations normal inventory table. This short report provides information on the accounting and disposal methods the survey participants are using for non-stock materials and provides insight on the typical end-user for such material.
 
529. MRO Inventory Measures 2013
October 2013
CAPS Research
This benchmarking report provides information on metrics specific to MRO (Maintenance, Repair, and Operations) products, and the dollar value of inventory being held to support the companies Capital Projects. The survey was released to companies within the Petroleum industry sector and the Metals and Mining industry sector. The benchmarks focus on the dollar value of MRO inventories at the start and end of the reporting period, and the dollar value of MRO inventory consumed. The survey participants were also asked if they have an inventory category specifically for Capital Project-related equipment and products. This data was used to calculate the value of the inventory being held as a percent of the organizations total CapEx spend. The survey corresponding to this report was developed in collaboration with a CAPS Research corporate member.
 
528. Managing a Strong Supplier Relationship
October 2013
CAPS Research
Strong supplier relationships occur when organizations become dependent on one or more unique suppliers because of the need for the suppliers products/parts for market differentiation. A strong supplier relationship might result in increased prices, market vulnerability, supply disruptions, quality issues, etc. This report looks at various strategies that companies might employ to minimize potential issues including acquisition, exclusive patents/licensing agreements, technology alliances, subsidizing other suppliers, use of alternative products/parts, and developing the capability to manufacture the products/parts in-house. The report also looks at different methods used to effectively manage strong supplier relationships. The survey corresponding to this report was developed in collaboration with a CAPS Research corporate member.
 
527. Aerospace and Defense Industry Benchmarking Metric Report 2013
October 2013
CAPS Research
The 2013 Aerospace and Defense Industry Benchmarking Metric Report provides an overview of the industry-specific survey and includes data for a number of new benchmarks. For example, this report shows the percent of organizations reporting an increase, decrease or no change in the number of active suppliers and the percentages of supply management professionals assigned to specific core functional areas (e.g., buyers, acquisition, management-level). Also new this year are key financial metrics including the supply management organizations Return on Investment (ROI).
 
526. Shared Services and Best Cost Resources
October 2013
John S. Gundersen CPSM
Emerson Process Management
Get an overview of Emersons well-thought out plans and strategies behind their global and regional shared service centers and the reasons why certain cities/regions were selected, including insights about Emersons project process, purchasing activities, transactional and tactical activities, with observations and challenges they face.
 
525. The Economic Outlook in an Uncertain World
October 2013
Lee McPheters, Ph.D.
Arizona State University
This presentation focuses on the macro and micro views and examples of the world and domestic economies. Topics include China and the Eurozone; determining if things are getting better, or worse; why we shouldnt expect a "Great Recovery"; unemployment and job creation; and the rate of recovery (yes, things are getting better, but slowly).
 
Tags: Finance
524. Driving Sustainability into the Supply Chain
October 2013
David Pulling
Sonoco Products Company
Get an inside look at Sonocos commitment and strategy to take environmental sustainability beyond the four walls of their own organization and how they are driving it into their supply base.
 
523. Procurement - Driving Business Results
October 2013
Michael E. Slomke, C.P.M.
Honeywell International
In a thought-provoking and interactive session, Mike Slomke posed questions that include: What are the measures of procurement success? Who determines whether procurement is successful? Who influences these decisions? He provided insights about defining success, business results vs. priorities, how procurement can drive business results, speaking business language, and more.
 
522. Geopolitical Realities, Trends, and Forces Shaping Your Companys Future
October 2013
James A. Crupi, Ph.D.
Strategic Leadership Solutions, Inc.
A compelling presentation about political, demographic, technology, and future trends and their probable impact on business. Specific topics included the social media revolution, resource scarcity, volatile global economic integration, and the new leadership paradigm.
 
521. Utilities Industry Benchmarking Metric Report 2013
September 2013
CAPS Research
The 2013 Utilities Industry Metric Benchmarking Report provides an overview of the industry-specific survey and includes data for a number of new benchmarks. For example, this report shows how closely aligned are the percentages of actual supply management professionals assigned within core functional areas (planning, purchasing, and operations) to the planned assignments. Also new this year are key financial metrics including supply management operating expense as a percent of both total spend and managed/controlled spend, and supply management operating expense per supply management employee. The metric report includes demographic information about the utility companies participating in the survey and more than 35 benchmarks specific to supply management employees, financial information, and supplier data. Also included a list of the participants top three supply chain initiatives during the reporting period. All of the utilities companies that participated in the 2013 Utilities Industry Benchmarking Survey will receive this metric report as well as the follow-on summary report. CAPS Research corporate members and companies that subscribe to the benchmarking program will also receive individual comparative reports showing each companys performance alongside the aggregated data. It is important to remember that all data in each of the three unique reports are unattributed and will remain anonymous.
 
Tags: Utilities
520. Outsourcing Manufacturing and Packaging
September 2013
Background: This company is giving renewed attention to the topic of outsourcing manufacturing and packaging. They would like to find out, at a strategic level, how other companies approach manufacturing outsourcing decisions. This includes questions of when, how and by whom outsourcing decisions are made. Also, once third parties have been engaged, what strategies have been found useful for maximizing value from the relationship. Please answer the following questions regarding contract manufacturing, including finished goods packaging. 1. At what stage in the new product development process do you conduct an analysis of whether to make the product internally or outsource it to a contract manufacturer? 2. On a year-over-year basis, approximately what overall average cost reduction percentage have you been able to achieve from your contract manufacturers? 3. What are your three most effective strategies for generating additional value (e.g. new growth and increased revenue streams) for your company from working with your contract manufacturers? 4. What are the three greatest risks associated with contracting manufacturing and how are you mitigating these risks? 5. What are the three most important skills that will be needed internally in your company over the next three years to successfully manage contract manufacturing?
 
519. Buy America Regulations Compliance within the Utilities Industry Benchmarking Metric Report 2013
September 2013
CAPS Research
“Buy America” or “Buy American” requirements are federal laws and regulations generally applying to the use of steel, iron or manufactured products in federally funded public projects. The survey corresponding to this report was developed in collaboration with a major electric utility company who is a CAPS Research corporate sponsor. The report looks at the numbers of utility companies who have been asked by any federal agency to certify their compliance with Buy America regulations, and provides examples of how the utility companies have responded to requests from federal agencies to certify their compliance.
 
518. Supply Chain Risk Management Metric Report 2013
September 2013
CAPS Research
The 2013 Supply Chain Risk Management benchmarking report explores some risk management issues being faced by companies that rely on extended supply chains and specifically points out that although most of the survey participants (80%) reported they have good risk management visibility into their Critical Tier 1 supplier base, almost 95% of the participants reported they could not even identify their total number of Critical Tier 2 suppliers. Unfortunately, many companies have learned the hard way about the need to identify and assess risk for Critical Tier 2 (or deeper) suppliers after experiencing a major supply disruption caused by a risk event. The CAPS Research survey asked participants if they experienced business interruptions that were attributable to their Critical Tier or Tier 2 suppliers. About 36% of the survey participants reported they could attribute at least one business interruption to their Critical Tier 2 supply base.
 
517. Petroleum Industry Metric Benchmarking Report 2013
September 2013
CAPS Research
The 2013 Petroleum Industry Metric Benchmarking Report is the first of three reports designed for the petroleum (oil & gas) companies who participated in our Strategic Benchmarking Program as either a corporate sponsor, or a subscriber to the CAPS Research Benchmarking Programs. This Metric Report provides an overview of the survey results and includes new benchmarks which include total cost savings as a percent of supply management operating expenses (often referred to as the supply management group’s Return on Investment), and the percent of the supply management group’s managers and other employees with formal development plans and/or succession plans. This is the first of three reports being developed for the petroleum industry as part of the CAPS Research Strategic Benchmarking Program. The follow-on summary report provides a more detailed overview of the industry’s key benchmarks; and the individual comparative reports focus on each company’s data alongside the other participants. It is important to remember that all data in each of the three unique reports are unattributed and will remain anonymous.
 
Tags: Petroleum
  • Report - 12 pages
  • Petroleum Industry Benchmarking Metric Report 2013Upstream Operations - 11 pages
  • Petroleum Industry Benchmarking Metric Report 2013Downstream Operations - 7 pages
516. Strategic Supply Performance Measurement in Japanese Companies
September 2013
Osamu (Sam) Uehara; CPSM; C.P.M.; MBA; JGA
CAPS Research Japan
How do supply organizations at Japanese firms execute performance measurements? CAPS Research Japan surveyed more than 100 firms, primarily manufacturing, and queried them about measurements related to cost, quality, delivery, information technology, education, social responsibility, and innovation. For each of those areas, this study details the factors that contribute to performance and what is measured; to what extent measurement programs are implemented, not implemented, and/or being considered; and to whom measurements are reported. The researchers conclude that while measurements may be prevalent at large firms, in general, there is still progress to be made regarding measurements specifically for the purchasing and supply function.
 
515. Engaging 2013 - Health Care Supply Chain Top Trends
July 2013
Eugene S. Schneller, Ph.D.
Arizona State University
Over the last five years the Health Sector Supply Chain Research Consortium (HSRC-ASU) has annually published a Top Trends list for health care supply chain. Based on analysis of these five years of top trends, we have placed recurring themes within four top trend categories: Organizational Strategy, Collaboration and Trust, Health Care Reform & Regulation, and Information Technology and Data. Discussion of each trend is provided in this years list.
 
514. Collaboration across the Extended Value Chain
July 2013
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.;William J. Markham;et al.
CAPS Research
Collaboration across enterprises is a necessary and strategic response to the demands brought about by external mega-trends and changing business models. Collaboration can be employed to create strategic value in virtually any area of business activity, including cost, revenue, technology, quality, service level, new product development, and productivity improvements. Every organization — big and small — has opportunities to use collaboration to create value. Furthermore, beneficial collaboration opportunities can be found in all categories of the supply base and need not be reserved for only "strategic" suppliers or partners. Heretofore guidance about when to engage in collaboration and what is required to successfully develop and implement a collaboration strategy has been limited. This report presents best practices and a process to help guide companies develop successful collaborative relationships, from opportunity identification through implementation and wrap-up. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents include an Executive Report, a condensed version of the larger report; a Case Analyses report, which includes 10 case studies from the firms interviewed; and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 76 pages
  • Collaboration across the Extended Supply Chain (ERT2013) - 25 pages
  • Implementing Value Chain CollaborationCase Study Findings - 91 pages
  • Executive Report - 25 pages
  • Executive Brief - 5 pages
  • Executive Overview - 13 pages
  • (BPW2013) - 24 pages
513. Cross-Industry Metric Report July 2013
July 2013
CAPS Research
The Cross-Industry Report of Standard Benchmarks published in July 2013 provides information on twenty commonly referenced supply management benchmarks including total spend as a percent of revenue, the percent of total spend managed/controlled by the supply management organization, average operating expense per supply management employee, cost reduction and avoidance metrics, etc. Information reporting the percent of companies within each industry sector that reported either an increase or decrease in the numbers of strategic and operational supply management employees is also reported. The Glossary of Terms provided to participants is attached. CAPS Research corporate sponsors and benchmarking participants are also provided industry-specific breakout reports that correspond to their organizations industry sector.
 
  • Report - 3 pages
  • Aerospace and Defense - 1 page
  • Automotive and Transport - 1 page
  • Chemical Industry - 1 page
  • DOE and NNSA Contractors - 1 page
  • Engineering and Construction - 1 page
  • Financial Services - 1 page
  • Industrial Manufacturing - 1 page
  • Metals and Mining - 1 page
  • Petroleum - 1 page
  • Utilities - 1 page
  • Other Manufacturing Industries - 1 page
  • Other Non-Manufacturing Industries - 1 page
512. Driving Environmental Sustainability Into the Supply Base
July 2013
Craig Carter, Ph.D.
Arizona State University
Environmental sustainability principles are widely accepted and embraced in small and large organizations. While many companies have articulated and implemented an actionable "green" strategy for their organizations, most are challenged as they try to drive the principles of environmental sustainability into their supply base. Convincing suppliers to become more "green", to offer up "green" products and services and to propose joint supplier-buyer "green" projects quickly runs into the economic realities of the need for additional R&D investment and the imperative to meet cost reduction goals. This report highlights the key points and take-aways from the presentations and discussions of a Critical Issues event hosted by Sonoco Products Company and CAPS Research that addressed the challenges of "Driving Environmental Sustainability into the Supply Base."
 
511. SnapShots 2013 - Travel and Entertainment (T&E) Expense Management June Update
June 2013

CAPS Research

Because restricted T&E budgets often translate to restricted travel opportunities, many companies are starting to zero in on best practices for T&E expense management. This CAPS Research report provides information about the corporate travel operations and the steps being taken to minimize travel expense while maximizing travel opportunities. Not surprisingly, a majority of the survey participants (94%) reported they use an outsourced travel management company in lieu of employing an internal corporate travel department.
 
510. SnapShots 2013 - Supplier Quality Control Programs and Measures
May 2013
CAPS Research
The SnapShots report titled "Supplier Quality Control Programs and Measures" is an extension of previous CAPS Research reports on supplier quality management. This report provides information about supplier quality audits, incoming material inspections, defective materials, and the use (and structure) of performance scorecards. The report shows that 15 percent of the survey population inspect all direct materials as they are received from their suppliers, and the balance (85 percent) reported they inspect, on average, 27 percent of the direct materials received. About three-fourths of the survey population reported they use scorecards or similar assessment tools to measure their suppliers (direct goods) performance. The top three measures are quality, delivery, and cost management.
 
509. Accelerating Transformation Strategies for Change
April 2013
Shelley Stewart, Jr.
DuPont
After providing a background about his work history and Dupont, Shelley Stewart unfolded his plan for change at Dupont. This plan includes his top sourcing and logistics priorities for the next 3-5 years; the drivers to focus on for transformational change (speed, agility, accountability, transparency, and collaboration); understanding and leveraging the distinction between adaptive leadership and technical leadership; the top 12 programs and initiatives for 2013; and a blue print for an initiative to accelerate value creation.
 
508. SnapShots 2013 - Supplier Selection and Qualification Strategies
March 2013
CAPS Research
This SnapShots survey resulted in 148 useable responses from companies representing 25 different industry sectors. A majority of the participants (87%) reported they employ supplier qualification processes that include steps necessary to become a qualified supplier, About 75% of the participants have different supplier requirements for different commodities, products, and services. Appendix A to the benchmarking report lists the different supplier selection and qualification processes reported. CAPS Research corporate and benchmarking program sponsors have access to the breakout reports: Aerospace & Defense, Financial Services, Industrial Manufacturing, Petroleum (Oil & Gas), and Utilities.
 
  • Report - 17 pages
  • Aerospace and Defense - 6 pages
  • Financial Services - 6 pages
  • Industrial Manufacturing - 6 pages
  • Petroleum - 6 pages
  • Utilities - 6 pages
  • Diversified Foods and Beverages - 6 pages
507. SnapShots 2013 - Working Capital Improvement
February 2013
CAPS Research
Working Capital is a standard measure of a companys efficiency and short-term financial health. Supply management groups have a key role in identifying and sustaining their organizations working capital initiatives. A short CAPS Research survey asked participants about their organizations working capital improvement targets as well as related topics including supplier payment terms and prepayments. Of the 77 total responses representing 20 different industry sectors, approximately 70 percent of participating organizations indicated that they have annual performance targets for working capital improvement. More than 72 percent of the participants provided examples of practices/actions their organization has taken to improve working capital.
 
506. SnapShots 2013 - SAP Enterprise Resources Planning (ERP) Implementation
January 2013
CAPS Research
Has your company implemented (or in the process of implementing) any SAP Enterprise Resource Planning software modules/applications? A survey asking this question was released to CAPS Research sponsors companies. The 38 responses represent 32 percent response rate. About 42 percent of the participating companies reported they have one single (global) instance of SAP implementation. About one-fourth of the participants reported they have either implemented, or are in the process of implementing at least one SAP module/application. The survey participants reported they are more likely to have implemented Catalog-based Requisitioning and Service Record Masters than the other applications listed in the survey.
 
505. DOE NNSA Contractors Benchmarking Metric Report 2012
January 2013
CAPS Research
The DOE/NNSA (Department of Energy/National Nuclear Safety Administration) Contractors Benchmarking Metric Report 2012 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Data was provided by 24 different DOE and NNSA laboratories (or sites). Key measures include training hours and costs, spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. Other measures include procurement card usage and customer satisfaction surveys.
 
Tags: DOE
504. Supplier Environmental Sustainability Performance Report - 2012
January 2013
CAPS Research
This is the fourth benchmark report developed for the Electric Utility Industry Sustainable Supply Chain Alliance that focuses on their suppliers commitment to environmental sustainability. The 2012 metric report includes data provided by 273 different suppliers who were categorized as being manufacturers or non-manufacturers. The benchmark report looks at how key suppliers are addressing Policy & Environmental Management, Greenhouse Gas (GHG) Emissions, Energy Consumption, Water Consumption, Waste & Materials Management, and Innovation.
 
503. Managing Commodity Price and Supply Volatility
November 2012
Lutz Kaufmann, Ph.D.;Johan Rauer
WHU – Otto Beisheim School of Management
Just about every business organization acquires commodities in some form as part of its firms operations. Commodities, such as metals (copper, steel, gold, lithium); agricultural products (sugar, wheat, corn, soybeans); and energy (oil, natural gas), can be sourced directly as raw materials that are part of a firms products, indirectly as components of purchased items from suppliers, or as consumable energy as part of a firms operations and overhead expenses. In many cases, the commodity may be two, three or more tiers down the supply chain. The prices and availability of the products/components may be greatly influenced by the price and availability swings of the commodities. Many firms face a significant challenge managing the price and availability volatility of these commodities, which can have detrimental effects on profitability, supply continuity, budgeting, and pricing of products to customers and consumers. This report addresses some of these concerns and is a summary of the presentations and discussions at the day-long Critical Issues Partnership Event hosted by Siemens AG and CAPS Research in Munich, Germany, October 25, 2012
 
502. Industrial Manufacturing Industry Benchmarking Metric Report 2012
November 2012
CAPS Research
The Industrial Manufacturing Industry Benchmarking Report for 2012 includes key supply management performance metrics such as organizational structures, functional assignments, operating expense, spend per supply management employee, supplier rating systems/processes, and other supply management-related topics. The data shows that supply management organizations have oversight of 88 percent (average) of their companys total spend, of which 75 percent is for direct goods. All of the participants reported they have supply management employees located in North America, Mexico, and the Asia-Pacific region (China, Southeast Asia, etc.), and with only two exceptions, the procurement headcount in these three regions increased or did not change. Only two of the participants reported fewer supply management employees in North America. The survey results show that 75 percent of the participants reported their supply management organizations are actively engaged in hedging strategies, and the top commodities being hedged include energy, copper, steel, and other traded metals.
 
501. SnapShots 2012 - Measuring Accounts Payable Business Practices
November 2012
CAPS Research
This report provides information about the percent of invoices that require three-way invoice matching, the use of evaluated receipts settlement, price tolerances, and payment exceptions for suppliers. We anticipated that most companies would employ three-way invoice matching, and all but one of the 79 survey participants reported doing so. Our data shows that mismatched invoices are usually held for 30 days on average, but the numbers of days held might be different for direct goods, indirect goods, and services. And a few of the participants reported they hold mismatched (unresolved) invoices for 120 days or longer. How often do those responsible for budgets receive notification of invoice mismatches? About 70 percent of the participants receive notification within a weeks time. You will see in the report the percentage of companies who receive these reports daily, weekly, monthly, ad hoc, etc. If your company makes payment exceptions to suppliers whose invoice mismatches have not been resolved, youre not alone - about 30 percent of the survey population reported they do make payment exceptions.
 
Tags: Finance
500. A Japanese Study of Strategic Supply Continuity Planning
November 2012
Osamu (Sam) Uehara, CPSM, C.P.M., MBA, JGA
CAPS Research Japan
In 2011, Japan was hit with the most powerful earthquake it had faced in more than a century. The resulting tsunami, power failures, nuclear disaster, and utter destruction brought to light how critical business and supply continuity strategies are to this country and subsequently, the entire global business community. This report examines six aspects related to continuity: suppliers, alternatives, make-or-buy, logistics, inventory, and resilience. Based on survey data and interviews with executives, the report highlights elements of each aspect, shedding light on what strategies are most prevalent, which have gained traction since the 2011 disaster, and which are being considered for the future.
 
499. Identifying Accounts Payable Best Practices
October 2012
Background: This company is deploying a new ERP system and is navigating through the efficiencies in their Accounts Payable process. The decision has been made to utilize three-way matches for the majority of invoicing which means that Purchase Orders, Receipts, and Invoices must match before the payment is affected. As the ERP system implementation process moves forward, this comapny has noticed that it is taking longer to resolve Invoice Mismatch Holds which might be attributable to learning the new system. This company is asking you to help define acceptable and/or best practice metrics around invoice mismatch holds to help set internal goals and standards as the ERP system integration continues. Please answer the following questions. Questions: 1. Does your organization have procedures that require three-way invoice matching (Purchase Order/Goods Receipt/Invoice verification) before payment is made? ____ Yes ____ No a. If No, please briefly describe your organizations accounts payable process. b. If Yes, what percent of invoices require three-way matches before payment is authorized? Direct Goods ______% Indirect Goods ______% Services ______% c. If Yes, what is the allowable number of days that an invoice can be held to resolve the mismatch? Direct Goods ______ days Indirect Goods ______ days Services ______ days 2. Does your organization employ Evaluated Receipts Settlement (ERS) wherein a supplier does not issue invoices for goods, products, or services? ____ Yes ____ No If Yes, what are the top three purchased items/categories of spend for which invoices are not issued (e.g., travel, lodging, cell phones/mobile devices, etc)? 1. _________________ 2. _________________ 3. _________________ 3. How often do those responsible for different budgets receive activity reports or notification of invoice mismatches (hourly, daily, weekly, etc.)? 4. Has your organization set tolerances to notify those responsible for purchases of any differences in prices, quantity, or delivery? ____ Yes ____ No If Yes, is there a maximum number of tolerated events before remedial action is required? ____ Yes ____ No 5. Does your company make payment exceptions to any suppliers whose invoice mismatches have not been resolved? ____ Yes ____ No
 
498. The Future Role of Procurement Executives
October 2012
Heidi Hoffman
Korn/Ferry International
The increasing complexity of the supply executive role, the demands upon the profession, and changing trends all require a different skill set for supply leaders to be successful. Ms. Hoffman, after a brief review of the evolution of the procurement executive, discussed how to prepare for the future with a blueprint for success that addresses four key areas: emotional intelligence, change leadership, career motivation, and a broad perspective. Best-in-class procurement executives share a specific set of leadership characteristics in these key areas. She also shared the "70:20:10" developmental model that keeps leaders engaged, fulfilled, and growing, and wrapped up with the critical characteristic that is the number one predictor of success for procurement and other executives.
 
497. Snapshot of Consumer Spending Trends
October 2012
Andrew Gunnels
First Data Corporation
With more and more importance being placed on obtaining data and analyzing it correctly, Mr. Gunnels provided an interesting look at one the most important drivers of the U.S. economy – consumer spending trends. Drawing from the massive amount of data that his organization regularly collects, Mr. Gunnels gave a review of August consumer spending results, mid-September results, and a preview of the Holiday shopping season. As a procurement executive himself, he also provided some insights into how the data itself can help with purchasing decisions for the organization.
 
Tags: Analytics
496. The Impact of Social Media in Supply Management
August 2012
Larry C. Giunipero, Ph.D., CPSM, CPSD, C.P.M.;Diane. L. Denslow, MBA, MA, CBA
Florida State University;University of North Florida
While still relatively new as media tools, social media sites have become entrenched in the social fabric of modern life. This research study examines how such tools are being used for business versus personal activity and, specifically, how they are being used in the supply management field. The study includes an extensive literature review, and then combines data from three focus groups and a survey conducted on the topic. Researchers discuss what sites and venues are being used, the level of activity, uses in the workplace, benefits, impact on training, management controls, barriers to use, and potential future uses. The report also contains extensive examples of company policies regarding social media use, with sample language.
 
495. SnapShots 2012 - Measuring the Performance of Sub-Tier Suppliers
August 2012
CAPS Research
Effective sub-tier supplier management programs require detailed insight into the sub-tier suppliers performance, capacity, cost effectiveness, and risk tolerance. This report focuses on sub-tier supplier performance strategies being employed, and provides information on the percent of Tier 2 and Tier 3 suppliers for whom performance data is regularly measured. Not surprisingly, the survey participants reported they are more likely to regularly track the performance of their Tier 2 suppliers rather than the Tier 3 suppliers. The survey participants reported they are most concerned about their sub-tier suppliers abilities to respond to fluctuating demand (fulfillment, demand), supply disruptions (natural disasters, single source suppliers), and manufacturing process breakdowns (quality, design changes, etc.).
 
494. The Impact of Sequestration on Supply Management Organizations
August 2012
Phil Carter
CAPS Research
Background: Under the Budget Control Act of 2011, sequestration is the automatic reduction of spending by the United States Federal Government, to be triggered unless Congress acts in the next five months to avoid the reductions. If Congress does not act, approximately $110 billion in cuts kick in Jan. 2, hitting defense and domestic programs equally hard. Although certain programs are protected from the full impact of sequestration, spending reductions would occur largely across the board. Please answer the following questions. (Note that your answers are confidential and will not be attributed.) Questions: 1. Do you anticipate that your company revenue will be significantly affected if sequestration goes into effect in January 2013? ____ Yes ____ No ____ Not Sure 2. Has your supply management organization developed contingency plans that call for reduced spending (or other adjustments) if sequestration goes into effect? ____ Yes ____ No ____ Not Sure 3. Will sequestration impact on supply management headcount at your company? ____ Yes ____ No ____ Not Sure 4. Will sequestration impact the ability of your suppliers to supply you with goods and services? ____ Yes ____ No ____ Not Sure
 
493. Utilities Industry Benchmarking Metric Report 2012
August 2012
CAPS Research
The Utilities Industry Benchmarking Metric Report updated in July 2012 includes key supply management measures that focus on organizational structure, as well as burdened and unburdened salaries per FTE supply management employee by area of operation and function. New to the 2012 report are metrics that take a detailed look at burdened rate as a percent of total FTE employee salaries by area of operation and supply management employee function. Other key metrics include managed spend, cost savings, and average procurement transaction value and number of line items.
 
Tags: Utilities
492. Aerospace and Defense Industry Benchmarking Metric Report 2012
August 2012
CAPS Research
The Aerospace and Defense Industry Benchmarking Metric Report for 2012 contains key supply management performance measures on topics including organizational structure, financial information, and supplier relationships. Included again this year is a matrix that looks at what is included in each of the participating Aerospace and Defense companies supply management operating expense as well as a deeper look at spend for direct and indirect goods.
 
491. Current Fiscal Year Cost Savings Performance
August 2012
Background: This company has found the current Fiscal Year to be challenging and they are interested in learning how other CAPS Research sponsor companies are faring with regard to their Fiscal Year cost saving goals. For example: Are projected cost savings being realized? Have cost savings goals been adjusted to compensate for the difficult fiscal year? How have commodity prices impacted cost savings projections? Please answer the following questions. (Note that your answers are confidential and will not be attributed.) Questions: 1. As of June 30, 2012, how many months of your current Fiscal Year have been completed? ________ months of Fiscal Year completed as of June 30 2. Do you have hard cost savings (i.e., cost down) goals for your current Fiscal Year? ____ Yes ____ No If Yes, What percentage of hard cost savings goals have you realized YTD? ________ % What percentage of hard cost savings do you expect to accomplish by the end of your current fiscal year? ________ % 3. Do you have other cost savings goals (cost avoidances and other items) for your current fiscal year? ____ Yes ____ No If Yes, What percentage of other cost savings have you realized YTD? ________ % What percentage of your other cost savings do you expect to accomplish by the end of your current fiscal year? ________ % 4. Have you readjusted your year-end goals for hard cost savings or other cost savings? ____ Yes ____ No If Yes, please indicate how the goals have been adjusted. Hard cost savings goals Increase ________ % Decrease ________ % Other cost savings goals Increase ________ % Decrease ________ % 5. What are the top three challenges to meeting your cost savings goals for the current fiscal year? 1. 2. 3. 6. On a scale of 1 to 5 (1 = no impact, 5 = significant impact) please indicate how commodity prices and availability have impacted your cost savings projections. ___ 1 ___ 2 ___ 3 ___ 4 ___ 5
 
490. Cross-Industry Metric Report July 2012
July 2012
CAPS Research
The Cross-Industry Report of Standard Benchmarks published in July 2012 provides information on twenty commonly referenced supply management benchmarks including total spend as a percent of revenue, the percent of total spend managed/controlled by the supply management organization, average operating expense per supply management employee, cost reduction and avoidance metrics, etc. New this year is information reporting the percent of companies within each industry sector that reported either an increase or decrease in the numbers of strategic and operational supply management employees. Also new, the Glossary of Terms provided to participants is attached. This Glossary can also be found on the public website. Industry-specific breakout reports are available on the Knowledge Central website.
 
  • Report - 5 pages
  • Aerospace and Defense - 1 page
  • Chemical Manufacturing - 1 page
  • DOE and NNSA Contractors - 1 page
  • Engineering and Construction - 1 page
  • Financial Services - 1 page
  • Industrial Manufacturing - 1 page
  • Metals and Mining - 1 page
  • Petroleum - 1 page
  • Pharmaceutical - 1 page
  • Semiconductor - 1 page
  • Transportation Services - 1 page
  • Utilities - 1 page
489. Petroleum Industry Benchmarking Metric Report 2012
July 2012
CAPS Research
The 2012 edition of the Petroleum Industry Benchmarking Report looks at key supply management performance measures including organizational structures, and numbers of supply management employees assigned to support strategic sourcing, transactional purchasing, etc. The report also includes metrics on supply management operating expenses, cost reduction and avoidance as a percent of spend, and savings attributed to value creation (defined as insightful initiatives including risk mitigation, revenue enhancement, and forward-looking innovations that enhance the worth, relevance or importance of a product, service, or system) and investment recovery operations.
 
Tags: Petroleum
  • Report - 11 pages
  • Downstream - 11 pages
  • Midstream - 11 pages
  • Upstream - 11 pages
488. Managing Spend for Temporary Labor
July 2012
Background: Temporary labor provides the flexibility to address near and/or short-term demands for personnel of varying skills and abilities. Organizations acquire temporary labor (also called contract labor) from various channels such as hiring independent contractors, employing on-call personnel, and utilizing personnel provided by temporary employment agencies. This company is interested in learning about your organizations temporary labor business model. Questions: 1. Does supply management have responsibility for your companys spend for temporary labor? ____ Yes ____ No If Yes, which temporary labor model below best describes your companys approach? ___ Master Supplier: One supplier fulfills your temporary labor requirements through a recruiting network that might include secondary providers. ___ Managed Services Supplier: One supplier bids positions out to multiple temporary labor providers that have your current rate cards (not-to-exceed rates for various labor categories). ___ Hybrid: Combination of models listed above (example: Master Supplier for light industrial workers and Managed Services Supplier for professional and technical personnel). ___ Other: Please describe below: 2. What are the top three criteria you used to select your current supplier(s) for temporary labor? 1. 2. 3. 3. Do you or your key temporary labor supplier(s) currently utilize a Vendor Management System (VMS) to manage temporary labor services (e.g., order fulfillment, consolidated billing, etc.)? ____ Yes ____ No If Yes, please briefly describe the top three efficiencies and productivity enhancements being realized by using the VMS. 1. 2. 3. 4. Which of the following temporary labor pricing models does your company typically use? ___ Markups (from previously established pay rates) to determine temporary labor bill rates. ___ Rate Cards for various temporary labor classifications. ___ Other: Please describe below: 5. Do you use different temporary labor models (sourcing/pricing) in different geographic regions? ____ Yes ____ No 6. What are the top three Key Performance Indicators (KPIs) that your organization regularly uses to measure the performance of your supplier(s) for temporary labor? 1. 2. 3.
 
487. Risk Management across the Extended Value Chain
June 2012
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.;William J. Markham;et al.
CAPS Research
A companys ability to manage risk effectively throughout its extended value chain has become a critical element of business success. A major CAPS Research initiative, Value Chain Strategies for the Changing Decade: Risk Management Across the Extended Value Chain, studies how successful firms are approaching risk management. The project included in-depth interviews with 15 leading companies, from various industries, and uncovers the critical relationship among strategic risk/reward decisions, value chain structural risk, and operational risk management. It also included a look at risk metrics and supplys risk scope, responsibilities, and integration in the process. The researchers detail the future vision of value chain risk management and the specific action steps successful firms and executive will need to take. CAPS Research presents four documents related to the risk management initiative. This Focus Study provides the most comprehensive look at the research findings, conclusions, and recommended actions. The other documents include an Executive Report, a condensed version of the larger report; a Case Analyses report, which includes 12 case studies of the firms interviewed; and an Executive Brief, which lists the most salient points of the research findings.
 
  • Report - 85 pages
  • Supply Risk in an Uncertain World: Managing Risk across the Extended Value Chain - 42 pages
  • Managing Risk across the Extended Supply Chain - 43 pages
  • Implementing Value Chain Risk ManagementCase Study Findings - 46 pages
  • Executive Report - 26 pages
  • Executive Brief - 5 pages
  • Executive Overview - 9 pages
  • Managing Risk in the Extended Supply Chain - 42 pages
486. SnapShots 2012 - Managing Your Organizations After-the-Fact Purchase Order Spend
June 2012
CAPS Research
After-the-Fact Purchase Orders are often required to close out purchases that have occurred outside the organizations established policies and/or procedures. These purchases are often referred to as rogue spend, maverick spend, or unplanned purchases. This SnapShots benchmarking report provides information on the percent of purchase orders created after goods or services were received; the percent of total spend attributable to rogue/maverick spend; and whether or not the numbers of after-the-fact purchase orders are increasing or decreasing.
 
485. Measuring Supplier Diversity Program Performance Metric Report June 2012
June 2012
CAPS Research
This report provides updated information on the diversity spend metrics report published in March 2012. Key metrics include diversity spend as a percent of total spend, the percentage of diversity contracts awarded competitively or as either sole-source awards or single-source awards, and the average numbers of suppliers aligned to commonly referenced socioeconomic categories. About 50 percent of the survey participants reported an increase in their numbers of diversity suppliers during the reporting period, and 72 percent reported they anticipate an increase in supplier diversity spend over the next two years.
 
484. Managing Advertising Spend
June 2012
Phil Carter
CAPS Research
Background: Several CPOs from CAPS Research sponsoring companies have questions about how other companies are managing advertising spend. You can help them out by responding to the following questions. Questions: 1. Does your purchasing/supply management group have shared responsibility for your companys advertising spend? ____ Yes ____ No a. If Yes, what percent of the total spend for advertising spend do you have shared responsibility for? ________ % shared responsibility of total advertising spend b. If No, what function/department is responsible for managing advertising spend at your company? 2. What percent of your advertising spend is competitively sourced? ________ % competitively sourced 3. What function/department selects which advertising agencies/firms will be invited to respond to RFPs/RFQs/RFBs? 4. Which of the following best describes how you contract for advertising spend? ___ a. We typically have separate contracts for different advertising requirements (e.g., creative, production, media buy, etc.) ___ b. We typically bundle all services into one contract. ___ c. We do a mix of separate and bundled contracts. 5. Which of the following pricing structures are typically used in your advertising contracts? (check all that apply) ___ a. Hourly rates ___ b. Fixed rates ___ c. Commissions ___ d. Up-front payments ___ e. Tiered rates ___ f. Other (please specify) 6. Would you or your advertising category manager be willing to discuss this topic with CAPS Research and some of our other corporate sponsors? ____ Yes ____ No
 
483. Social Responsibility Audits for Suppliers
June 2012
Phil Carter
CAPS Research
Background: We would like to know about your companys policies and procedures for auditing your suppliers commitment to social responsibility. Broadly defined, social responsibility is conducting business ethically and with sensitivity for community, social, cultural, diversity and environmental issues. A social responsibility audit is a formal process of reviewing a suppliers compliance with your policies and procedures concerning social responsibility. Please answer the following questions. Questions: 1. Does your company have a supplier code of conduct or other policy statement that requires suppliers to provide you information about their policies, procedures, processes and outcomes with respect to social responsibility? ____ Yes ____ No (If No, do not continue.) 2. Do you audit your suppliers to ensure they are in compliance with the social responsibility performance expectations addressed in your supplier code of conduct? ____ Yes ____ No (If No, please go to Question 6 below.) 3. What percent of your suppliers are audited for social responsibility compliance and how often are the audits conducted? % Audited Audit Frequency (months) Direct Materials _________% _______________ Indirect Goods _________% _______________ Services _________% _______________ 4. When performing social responsibility audits, do you use internal resources and/or external auditors? Internal Resources ___ None ___ Some ___ Mostly ___ Only External Auditors ___ None ___ Some ___ Mostly ___ Only 5. Are you willing to share your supplier social responsibility policies with other CAPS Research sponsor companies? ____ Yes ____ No 6. If your company does not regularly perform supplier social responsibility audits, how do you assess or monitor your suppliers compliance with your supplier code of conduct or related policies?
 
482. A Blueprint for Procurement/Supply Executive Success
June 2012
Diana Chan
Korn/Ferry International
The increasing complexity of the procurement leaders role, the demands upon the profession, and changing trends all require a new skill set for procurement/supply executives to be successful. Ms. Chan, after a brief review of the evolution of the procurement executive, discussed how to prepare for the future with a blueprint for success that addresses four key areas: emotional intelligence, change leadership, career motivation, and a broad perspective. Best-in-class procurement executives share a specific set of leadership characteristics in these key areas. She also shared the "70:20:10" developmental model that keeps leaders engaged, fulfilled, and growing, and wrapped up with the critical characteristic that is the number one predictor of success for procurement and other executives.
 
481. Doing Business with Minority Suppliers in China and Asia Pacific
June 2012
Lou Zhou
IBM China/Hong Kong
Supplier diversity is a new concept in China that is not widely accepted, and possibly misunderstood. Mr. Zhou set the foundation for his presentation using IBMs efforts in China and AP for a compelling discussion about how best to promote the concepts and practices of supplier diversity in China. Citing joint research IBM conducted with Fudan University, Mr. Zhou highlighted the specific business cases of IBMs diversity supplier development, the MSD China program, plus explained the five key aspects of IBMs internal policy on developing global supplier diversity efforts and programs.
 
480. Procurement Management Practices
June 2012
Kong Xiaoqiang
Sinopec Group
As the fourth largest company in the world, Sinopec procurement faces some unique challenges and opportunities in its procurement division. Mr. Kong provided an overview of how Sinopecs Materials Supply Management System is structured, organized, and managed, with insights into departmental functions and centralized procurement. As a result of creating a centralized procurement organization, Sinopec has built a more strategic, long-term procurement focus resulting in stronger relationships with key suppliers and joint R&D efforts. Mr. Kong also shared insights into their Supplier Relationship Management strategies, the particular challenges to sourcing in China, and their substantive e-procurement system.
 
479. Ethics and Compliance in China
June 2012
Philippe Tchen
Alcoa
Complying with ethical standards and guidelines is a universal concern and Mr. Tchen focused on the particular challenges and opportunities of doing so in China. He began by setting the context for discussion around the differences between Western business culture and Chinese business culture and the implications the differences have on expectations for common business practices. Mr. Tchen then presented issues around ethics in particular to procurement, risk assessments, and how to deal with these risks, including specific procedures and controls that can be applied.
 
478. Reporting Supply Management Risk Metrics
May 2012
Phil Carter
CAPS Research
Background: The topic of supply management risk is receiving increased management attention. However, recent research indicates that few companies have good metrics that help them manage supply/supply chain risks. CAPS Research would like to know if our CPOs are using supply/supply chain risk metrics, and, if so, which metrics are most important. Please respond to the following questions. Questions: 1. Do you have metrics that you review/report regularly concerning supply/supply chain risks? ____ Yes ____ No 2. If yes, what are the three most important supply/supply chain risk metrics that you review/report on a regular basis? (1) ______________________________________ (2) ______________________________________ (3) ______________________________________ 3. How often (and to whom) do you review/report each of the metrics identified in Question 2? Frequency Reported To (1) ___________ _______________ (2) ___________ _______________ (3) ___________ _______________ 4. Generally, how satisfied are you with each of the metrics identified in Question 2? (1) (2) (3) ____ 1 ____ 1 ____ 1 highly dissatisfied ____ 2 ____ 2 ____ 2 dissatisfied ____ 3 ____ 3 ____ 3 neutral ____ 4 ____ 4 ____ 4 satisfied ____ 5 ____ 5 ____ 5 highly satisfied 5. What risk metric(s) would you like to have that you do not now have? 6. What are the major challenges to developing the metric(s)?
 
477. Supplys Organizational Roles and Responsibilities 2011
May 2012
P. Fraser Johnson, Ph.D.;Michiel R. Leenders, D.B.A.
The University of Western Ontario
Based on responses from 249 manufacturing and services firms, this study provides a snapshot of how large North American supply organizations are structured and their responsibilities, resources, and leadership. Its 12 research questions are focused on organizational structure, reporting line, acquisition categories and supply chain responsibilities, staffing levels, supply objectives, involvement in major corporate activities, team usage, CPO title and background, environmental issues, social issues, risk management, and future innovations. The study is also a unique look over the past decades, because it is an update of similar studies on the same topic, by the same authors, conducted in 1987, 1995, and 2003.
 
476. SnapShots 2012 - Corporate Credit Card Spend Limits Metric Report
April 2012
CAPS Research
The Corporate Credit Card Benchmarking Report summarizes data collected from 164 companies on the topic of corporate credit cards. Details include the percent of companies that currently use corporate credit cards; the spend limits per transaction and per month; and the percent of corporate credit card spend (estimated) for direct, indirect, and services purchases. This report also includes data about the use of corporate credit cards (increasing, decreasing or staying the same) and the tools being used to monitor credit card usage.
 
  • Report - 4 pages
  • SnapShots 2012Corporate Credit Card Spend Limits and Authorization Summary Report - 8 pages
  • SnapShots 2012Corporate Credit Card Spend LimitsAerospace and Defense - 1 page
  • SnapShots 2012Corporate Credit Card Spend LimitsFinancial Services - 1 page
  • SnapShots 2012Corporate Credit Card Spend LimitsIndustrial Manufacturing - 1 page
  • SnapShots 2012Corporate Credit Card Spend LimitsUtilities - 1 page
475. A Blueprint to Future CPO Success
April 2012
Heidi Hoffman
Korn/Ferry International
The increasing complexity of the CPO role, the demands upon the profession, and changing trends all require a different skill set for CPOs to be successful. Ms. Hoffman, after a brief review of the evolution of the procurement executive, discussed how to prepare for the future with a blueprint for CPO success that addresses four key areas: emotional intelligence, change leadership, career motivation, and a broad perspective. Best-in-class procurement executives share a specific set of leadership characteristics in these key areas. She also shared the "70:20:10" developmental model that keeps leaders engaged, fulfilled, and growing, and wrapped up with the critical characteristic that is the number one predictor of success for procurement and other executives.
 
474. Purchases 2020: An Approach for "Forward Thinking" Procurement Organizations
April 2012
Rick Hughes
The Procter & Gamble Company
Procter & Gamble recently embarked on a journey to understand what the procurement organization and global business environment would like in the year 2020. Mr. Hughes presentation highlighted the reasons why they tackled this project, the impact of their findings, and some early results. He detailed how P&G designed and implemented a progressive model for creating broad organization engagement. The presentation also provided important insights into what the norms and expectations of the business environment will be in 2020, along with P&Gs response in focusing on four key areas that build the foundation of their efforts: talent; tools and technology; structure; and innovation and collaboration.
 
473. Managing a Global Supply Chain
April 2012
David Hammerle
Bechtel Corporation
In a business environment of global uncertainty that is driven by world events, fractured supply chains, market uncertainty, increased regulation of import/export activity, quality challenges, and many more, it is critical that organizations have a firm grasp on active management of their global supply chain. Mr. Hammerles presentation addressed these challenges and the ways his organization is overcoming them. Some of the solutions he provided include in-depth watch programs to identify trends early on, global deployment of resources, strong audit and review programs, strong supplier relationships, developing tools for knowledge capture, plus more.
 
472. Implementing Electronic Invoicing
April 2012
Phil Carter
CAPS Research
Background: Several companies are now requiring or planning to require "touchless", electronic invoices from their suppliers. The following questions ask about the implementation of "touchless", electronic invoices at your company. "Touchless" electronic invoicing is defined as invoices sent from suppliers via the web or dedicated connection that are read and interpreted directly by your ERP or other IS system. No manual intervention (e.g. copying, scanning, rekeying) is required. Please respond to the following questions. Questions: 1. Has your organization implemented automated or touchless invoicing systems? ____ Yes ____ No If No, do you expect to adopt automated invoicing within the next year? ____ Yes ____ No 2. If Yes does your organization accept automated invoices from suppliers? ____ Yes ____ No If Yes, approximately what percent of total invoices received are automated? _________ % 3. Have you experienced (or do you anticipate) any pushback from suppliers as you move(d) to automated invoices as part of your purchase order process? 4. Do you have any lessons learned or best practices specific to automated invoicing that you can share? 5. Would you or another executive on your team be interested in participating in an interactive web event on this topic? ____ Yes ____ No
 
471. Financial Distress of Suppliers: Causes, Management, and Consequences
April 2012
Christoph Bode;Stephan M. Wagner
Swiss Federal Institute of Technology Zurich
With the turbulent economic climate that began with the 2008 financial crises, financially distressed companies have been more prevalent in many supply chains. This focus study examined several case companies to understand how firms are managing those suppliers. It explores how they scan, interpret, and react to information about their suppliers, and how they "learn" from past experiences with financially distressed supply chain partners. The study authors also provide recommendations for buying firms as they try to manage or mitigate this risk factor.
 
470. Maintaining a Talented Workforce in the Supply Management Organization Metric Report 2012
March 2012
CAPS Research
Maintaining a Talented Workforce in the Supply Management Organization offers a primer on whether or not organizations experienced a talent shortage in the pool of qualified applicants for supply management-related job openings in the last two years. As the economy improves and companies focus on streamlining their supply management operations, some organizations are re-evaluating how best to address actual or perceived talent shortages, and how outsourcing and technology will impact supply managements workforce. The benchmark report delves into whether or not participating organizations were able to fill all the open positions, if they exceeded salary guidelines to hire qualified candidates and the difficulties of trying to fill job vacancies in different supply management functional areas. This research offers insight to enable the management of talent trends in supply management.
 
  • Report - 13 pages
  • Talent Management Twenty TwelveA Benchmarking Perspective Summary Report 2012 - 9 pages
469. The Role of Social Media in Supply Management
March 2012
Phil Carter
CAPS Research
Background: Recent research indicates that Supply Management organizations are taking more interest in using social media (e.g., Facebook, LinkedIn, YouTube, Twitter, blogs, etc.) as tools for supply market research, supplier research, sourcing, recruiting and other related activities. Please answer the following questions about the use of social media in your Supply Management organization. Questions: 1. Do your Supply Management associates use social media for work-related activities? ____ Yes ____ No 2. If Yes, please identify which social media tools your Supply Management people are using, and explain how they are used. 3. What are the biggest challenges/risks you have experienced with using social media? 4. What are the biggest benefits you have experienced with using social media? 5. Do you anticipate that your use of social media will increase during the next two years? ____ Yes ____ No If Yes, in what ways?
 
468. Measuring Supplier Diversity Program Performance Metric Report 2012
March 2012
CAPS Research
This report provides updated information on diversity spend metrics (including diversity goals and attainment); the percentage of diversity contracts awarded competitively or were either sole-source awards or single-source awards, and the average numbers of suppliers aligned to commonly referenced socioeconomic categories. Small business, in general, account for about 24 percent of an organizations supplier base. About 72 percent of the survey participants report they expect to see an increase in supplier diversity spend over the next two years. Furthermore, almost 50 percent of participants have seen an increase in their numbers of diverse suppliers during the reporting period.
 
467. Use of Product and Service Classification Systems
March 2012
Background: This company would like to know how CAPS Research sponsor organizations use commodity codes in supply chain management. Commodity codes are used for classifying purchased goods and services into categories. These codes are useful for spend analysis and product discovery and can be implemented into e-purchasing systems. Please answer the following questions about the use of commodity codes at your organization. Questions: 1. Which statement best describes your organizations use of commodity codes? ____ We use the same commodity codes within all (or most) of our business units. ____ We use different commodity codes in different business units. ____ We do NOT use commodity codes. (Please answer question 6) 2. Please indicate which commodity code systems are used in your organization. ____ UNSPSC (United Nations Standard Products and Services Code) ____ SIC (Standard Industry Classification) Codes ____ NAICS (North American Industry Classification System) Codes ____ eCl@ss (Cross-industry product data standard for classification and description) ____ Proprietary or custom code system ____ Other product/service classification system (please identify below): 3. Within your organization, which business function is responsible for assigning commodity codes to new part numbers/products/services? 4. Please rank the top five benefits to your organization from using commodity codes. (1 to 5 with 1= most important) ____ spend analysis ____ enable buyers to search, analyze and perform strategic sourcing ____ help in optimizing the supply base ____ identify spend by supplier for negotiation leverage ____ promote process implementation and maintenance across the organization ____ enables compliance and control (authorization, expenditures, audits, spending limits) ____ assists in part data synchronization from design to supplier to manufacturing ____ assist in product awareness for new product design ____ other (please describe below): 5. Overall, how satisfied are you with your commodity code system(s)? Very Dissatisfied ----------------- Neutral ------------------- Very Satisfied ___ 1 ___ 2 ___ 3 ___ 4 ___ 5 ___ 6 ___ 7 6. If your organization does NOT use commodity codes, please briefly explain why.
 
466. Managing Commodity Pricing and Availability Volatility
March 2012
George A. Zsidisin, Ph.D., C.P.M.
Bowling Green State University
Just about every business organization acquires commodities in some form as part of its firms operations. Commodities such as metals, energy, and agricultural products can be sourced directly as raw materials that are part of a firms products, indirectly as components of purchased items from suppliers, or as consumable energy as part of a firms operations and overhead expenses. This report details some of the critical issues that face professionals as they manage price volatility to reduce the detrimental effects on profitability, supply continuity, budgeting, and pricing of products to customers and consumers. A key theme addresses commodity price movements and how they can be managed. In addition, four company case examples are provided.
 
465. Managing Your Maverick Spend
February 2012
Phil Carter
CAPS Research
Background: Maverick or unapproved spend is defined as the purchase of goods and services outside of the standard policies and procedures established for the company. This question set refers only to spend that is managed or controlled by the purchasing/supply management group. Please respond to the following questions on how your organization manages maverick spend. Questions: 1. Does your organization measure maverick spend? ____ Yes ____ No If Yes, how often are these spend metrics reviewed? ____Monthly ____Quarterly ____Annually ____Other 2. Does your organization track the total number of unapproved transactions as a percent of total transactions? ____ Yes ____ No If Yes, what is your performance target or goal (e.g. 2% unapproved transactions) 3. Does your organization track the unapproved spend as a percent of total spend? ____ Yes ____ No If Yes, what is your performance target or goal? (e.g., 1% unapproved spend) 4. If your organization has other metrics for maverick spend, please list here. 5. Does your organization require corrective action for unapproved purchases that exceed an established dollar threshold? ____ Yes ____ No If Yes what is the dollar amount of that threshold? $_________________ What are typical "corrective actions"? 6. Which of the following maverick spend management activities does your organization engage in? (check all that apply) ____a. We report maverick spend performance to C-level executives. ____b. We provide reports on maverick spend performance through company-wide communications (newsletters, intranet, etc.) ____c. We have headcount specifically responsible for controlling/reducing maverick spend. ____d. Other: ___________________________________________
 
464. Encouraging Your Suppliers to Provide Superior Performance
February 2012
Phil Carter
CAPS Research
Background: Supplier incentive programs are often based on contract language that rewards suppliers for exceeding performance goals and penalizes them if performance goals are not met. However, in todays complex world contract language is often inadequate for incentivizing suppliers to give their best effort on behalf of your company. The following questions ask about what you are doing to incentivize suppliers to provide superior performance. Questions: What incentives have been most successful for encouraging: 1. suppliers to provide superior performance? 2. suppliers to give you preferential treatment (e.g. in times of supply constraints)? 3. suppliers to bring you ideas for product/process/service innovation? 4. suppliers to bring you ideas for process improvements? 5. your supply management team to create effective supplier relationships?
 
463. Collaborating with Your Value Chain Partners
January 2012
Phil Carter
CAPS Research
Background: As value chains have become more complex and complicated, successful collaboration with value chain partners (suppliers, contract manufacturers, ODMs, customers, joint venture partners, etc.) has become more important. Several CAPS Research sponsor companies are interested in what strategies, processes and policies companies have been developed, or are being developed, to enhance their collaboration with value chain partners. To help in this understanding please respond to the following questions. Questions: 1. Have you implemented new approaches to collaboration with supply chain partners within the past two years?            ____ Yes         ____ No If Yes, what are some of the most important features of the new approaches? 2. If you answered No to Q1 above, what aspects of your current approaches to collaboration do you feel contribute most to their success? 3. If you answered No to Q1 above, do you anticipate any significant changes to your value chain collaboration strategies during the next year or two?            ____ Yes         ____ No If Yes, please summarize the anticipated changes.
 
462. SnapShots 2012 - Commodities Risk Management
January 2012
CAPS Research
Companies that participated in the recent CAPS Research survey titled "Commodities Risk Management" were asked to report how well they are managing the risks associated with commodities and raw materials that are experiencing volatile pricing and availability. Specifically, the survey population was asked to respond to six statements ranging from their ability to identify commodities with volatile prices and availability that might have a significant impact on product and profit plans, to being generally satisfied with their own efforts to manage risk around commodity prices and availability. Thirty-five companies representing 12 different industry sectors provided responses to the survey.
 
461. DOE NNSA Contractors Benchmarking Metric Report 2011
January 2012
CAPS Research
The DOE/NNSA Contractors Benchmarking Metric Report 2011 contains key procurement performance measures including organizational structure, professional development, financial information, and supplier measures. Key measures include training hours and costs, spend per procurement employee, operating costs per procurement employee, and supplier diversity goals and attainment. New this year are measures on procurement card usage and customer satisfaction surveys.
 
Tags: DOE
460. Supplier Environmental Sustainability Performance Report - 2011
January 2012
CAPS Research
This is the third benchmark report developed for the Electric Utility Industry Sustainable Supply Chain Alliance that focuses on their suppliers commitment to environmental sustainability. The 2011 metric report includes data provided by 292 different suppliers who were categorized as being manufacturers or non-manufacturers. The benchmark report looks at how key suppliers are addressing Policy & Environmental Management, Greenhouse Gas (GHG) Emissions, Energy Consumption, Water Consumption, Waste & Materials Management, and Innovation.
 
459. Risk Management for Commodities with Volatile Price and Availability
December 2011
Phil Carter
CAPS Research
Background: CAPS Research is interested in how companies are managing the risk associated with commodities and raw materials that are experiencing volatile pricing and availability. Example commodities include, but are not limited to, rare earth minerals, metals, petroleum and agricultural commodities. Although your company may not purchase these commodities directly, you may be buying products/parts/components that consume the commodities one, two or more tiers up the supply chain. By answering the questions below, you can help CAPS Research better understand how companies are addressing the current fluctuations in commodity prices and availability and the risks posed to product and profit plans. On a scale of 1 to 7 (1 = Strongly Disagree and 7 = Strongly Agree) please indicate how your company is addressing the challenges of risk management for commodities with significant price and availability volatility: Questions: 1. We have identified commodities with volatile prices and/or availability that may have a significant impact on our product and profit plans. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A a. We purchase these commodities directly for input into our manufacturing process. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A b. We purchase products, parts and components that consume these commodities. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A 2. We have an effective commodity risk management program/process in place with clearly defined procedures and goals to manage the impact of volatile commodity prices and availability on product and profit plans. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A 3. We regularly employ external sources of information to track commodity availability and pricing trends. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A 4. We have cost models in place to forecast the impact of changing commodity prices on the total component cost and/or to the total cost of our finished goods/products (e.g., the cost of copper in a printed circuit board or the cost of sugar in food products), or on our operating costs. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A 5. We have sourcing strategies in place to mitigate short term shortages of key commodities or to take advantage of short term over-supply of key commodities. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A 6. We are generally satisfied with our efforts to manage risk around commodity price and availability volatility. __ 1 __ 2 __ 3 __ 4 __ 5 __ 6 __ 7 __ N/A
 
458. Cross-Industry Metric Report December 2011
December 2011
CAPS Research
The updated CAPS Research Cross-Industry Report of Standard Benchmarks published in December 2011 provides twenty standard supply management organization performance metrics across 11 different industry sectors, This highly regarded report includes popular key performance indicators including total spend as a percent of revenue and the percent of total spend managed/controlled by the supply management organization, average operating expense per supply management employee, cost reduction and avoidance metrics, purchase order cycle times, and average total spend per supply management employee.
 
457. SnapShots 2011 - Capital Equipment Sourcing and Procurement
December 2011
CAPS Research
Companies that participated in the recent CAPS Research survey titled "Capital Equipment Sourcing and Procurement" were asked to provide their total spend for Capital Equipment and a breakout of the spend for Capital Equipment sourced from low-cost countries. CAPS Research asked if there is an expectation that Capital Equipment spend, including Capital Equipment being sourced from low-cost countries would increase, decrease, or not change. The survey results imply that more than half of the survey participants have not sourced Capital Equipment from low-cost countries and do not anticipate doing so in the near future. But overall, half the companies indicated they expect a 37 percent increase in Capital Equipment spend during the next two years.
 
456. Indirect Spend Risk Management Strategies
November 2011
Phil Carter
CAPS Research
Background: Much of the recent emphasis on risk management has been on direct material suppliers. However, for many companies, spend for indirect goods and services is the majority of total spend. Companies are starting to focus attention on indirect spend risk management strategies as a means to reduce the risk of supply interruption. The following questions ask about the management of risk for indirect spend at your organization. Questions: 1. Does your organization currently employ risk management strategies for your indirect spend suppliers? ____ Yes ____ No 2. If Yes, how far up the supply chain do you typically monitor/manage supplier risk for indirect spend?? Tier 1 Suppliers ____ Yes ____ No Tier 2 Suppliers ____ Yes ____ No Tier 3 Suppliers ____ Yes ____ No 3. Do you primarily rely on Tier 1 suppliers to manage risk with Tier 2 suppliers? ____ Yes ____ No 4. What conditions or situations would cause your organization to implement risk management strategies beyond Tier 1 suppliers? 5. What are one or two important risk management strategies that your organization employs for indirect spend? 6. Do your organizations risk management strategies differ for service providers versus indirect goods suppliers? ____ Yes ____ No 7. If Yes, what are the most important differences?
 
455. Pushing Green: Driving Sustainability in Supply Management and throughout the Supply Chain
November 2011
Roberta J. Jennings
CAPS Research
Supply management professionals are uniquely positioned to influence a firms environmental sustainability efforts and also the performance of supply base partners in this area. Many recognize the altruistic and commercial benefits of such a program, but struggle with the details of appropriate expectations, implementation, and execution. This report details some of the critical issues that face professionals as they strive to implement environmental sustainability standards in their own practices and in the supply base. Themes include: establishing standards and metrics, supplier communications, and executing this strategy within the context or other organizational goals. In addition, company case examples and external resources are provided.
 
454. Purchasing Consortiums As a Viable Sourcing Strategy
November 2011
Phil Carter
CAPS Research
Background: There is no doubt that the use of consortiums (consortia) to drive greater savings on the purchase of various goods and services has evolved over the past few years. In todays economy, organizations are still challenged to find savings, and there are indications that companies are again turning towards consortiums to help squeeze out additional savings. Simply defined, a purchasing consortium is two or more organizations that join together for the purpose of combining their individual requirements for purchased materials, services, and capital goods to leverage more value-added pricing, service, and technology from their external suppliers than could be obtained if each firm purchased goods and services alone. Please answer the following questions about your companys use of consortiums to purchase goods and services. Questions: 1. Do your sourcing strategies include the use consortiums to purchase goods and/or services? ____ Yes ____ No 2. If Yes do you anticipate that the total spend with consortiums during the next year will increase, not change, or decrease? ____ Increase ____ Not Change ____ Decrease 3. If Yes can you identify the name(s) of the consortiums currently being used, and provide a short list of the key commodities (or spend categories) being sourced through the consortiums? Consortium Names: Commodities/Categories of Spend: 4. Do you believe that including consortiums as part of your sourcing strategies has resulted in increased savings? ____ Yes ____ No 5. Do you have any comments about the effectiveness of consortiums as a viable sourcing strategy?
 
453. Supply Chain and Revenue Cycle Integration: Asset Management in U.S. Hospital Systems
November 2011
Cody Anderson, MBA/MHSM;Kyle Clifton, MBA/MHSM;Bushra Rahman, MBA, MHSM;Eugene Schneller, PhD;Kelley Blair;Derek Paterson;Karen Peterson
Arizona State University;Craneware
As healthcare reform continues to place an emphasis on margin management within provider organizations, creating synergy between the supply chain and revenue cycle has increased in importance. In most provider organizations supply chain management (SCM) and revenue cycle operations function in silos, occasionally responding to anecdotal evidence to make improvements in the processes linking the two areas. Hospitals and health care systems that become proficient in managing the revenue environment achieve strategic advantage by reaching their financial goals and assuring a stream of revenues to support their clinical efforts. Inventory constitutes an important asset for American hospitals. As clinical inventory is utilized for patient care, much of it has the potential to be transformed into revenue through direct billing to third party payors and patients themselves. While the supply chain function has not traditionally been perceived as extending to revenue capture, it is increasingly clear that a linkage between supply chain and those aspects of the hospital that recover money for products used is indispensible for accurate, efficient and consistent cost recovery .
 
452. SnapShots 2011 - Global Supplier Quality Assurance (SQA) Program Support
October 2011
CAPS Research
This CAPS Research benchmarking report on Global Supplier Quality Assurance (SQA) Program Support indicates that 23 percent of the participating companies supply management employees are assigned to support SQA programs that focus on Advanced Quality (advanced product quality planning initiatives), Supplier Quality (product quality goals and continual improvement), and Supplier Development (creating and maintaining a network of competent suppliers). Based on data provided by the survey participants, one-half of the SQA employees support ongoing Supplier Quality programs. Organizationally, the employees who support Supplier Development initiatives are more likely to be assigned to the organizations supply management group than are those SQA employees who support either Advanced Quality or Supplier Quality initiatives.
 
451. Supply Management Operating Expenses for the Next Fiscal Year
October 2011
Phil Carter
CAPS Research
Background: In these uncertain economic times, many companies are carefully reviewing their budgeted expenses for internal operations. At CAPS Research, we define supply management operating expenses as total salaries and other payroll-related expenses, non-allocated expenses (controllable expenses such as travel, training, materials, and supplies), business systems and IT infrastructure, and other allocated expenses. Questions: 1. For your next fiscal year, how do you expect the budget for your organizations supply management operating expense to change? ________% Decrease ___ No Change ________% Increase 2. In what category of expense do you expect to see the biggest change (e.g., salaries, benefits, travel, training, etc)?
 
450. SnapShots 2011 - Business Gifts and Entertainment Policies
October 2011
CAPS Research
The first question on the survey that corresponds to this SnapShots report asked, "Does your organization have written policies that identify, eliminate, or reduce inappropriate influences on the supply process that are specific to the acceptance of gifts and/or entertainment?" Not surprisingly, 98 percent of the survey population (136 out of 140 responses) said ‘Yes’ meaning that policies on accepting business gifts and/or entertainment are in place. But 38 percent of those who reported also said they do not place a dollar limit on gifts or entertainment. The report shows the average limit for gifts is $84, and the average limit for entertainment is $152. About 40 percent of the companies who allow their supply management employees to accept gifts do not require the employees to report the gifts or entertainment; and 68 percent of those who allow their supply management employees to accept entertainment do not require the supplier (or potential supplier) to attend the same event.
 
449. Plans to Re-shore Offshored Materials and Services Spend to the USA
October 2011
Tim Fiore
CAPS Research
Background: During the recent CAPS Research Board of Trustees meeting some board members reported that there are signs that US-based operations are considering bringing back to the USA ("re-shoring") some of the materials and services that were earlier offshored. Several factors are possibly influencing this, including business risk (e.g. the impact from the Japan earthquake), currency fluctuations and the desire to employ more workers in the USA. Please answer the following questions about your companys "re-shoring" plans for your US-based operations only. Questions: 1. Do you currently offshore significant amounts of materials or services? Yes or No If Yes, approximately what percent of your Materials spend is offshored? _________% approximately what percent of your Services spend is offshored? _________% 2. During the next 12 months, approximately what percent of currently offshored Materials spend do you expect to "re-shore"? _________% approximately what percent of currently offshored Services spend do you expect to "re-shore"? _________% 3. What are the key reasons for doing this? (Indicate all that apply) a. Better total cost in USA b. Reduce risk of supply interruption c. Reduce risk of unfavorable currency fluctuation d. Reduce risk of unfavorable government regulations/taxes/etc. e. Bring jobs back to the USA f. Other (please specify below)
 
448. Supply Strategy Implementation: Current State and Future Opportunities 2011
October 2011
Robert M. Monczka, Ph.D;Kenneth J. Petersen, Ph.D.
CAPS Research;University of Tennessee
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 determine 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 119 supply organizations across 25 industries regarding 22 supply strategies and performance results. 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 completed in 2007 and 2009 to yield an even more comprehensive picture of implementation success and supply management performance.
 
447. Value for Money (VFM): Supply Chain Strategies and Potential Contributions
October 2011
Bushra Rahman,MBA,MHSM;Eugene Schneller, PhD;Natalia Wilson, MD,MPH
Arizona State University
As the U.S. health care system is challenged by changes brought about by health care reform and the difficult economic climate, achievement of "value for money (VFM)" has become an increasingly important concept depicting a health care system that seeks to achieve maximum benefit and quality for the funds it expends for both clinical and administrative services. This white paper, based on the HSRC-ASU 2011 Dissemination Conference, discusses six factors pertaining to achieving value for money.
 
446. Difficulty of Finding Qualified Supply Management Candidates
September 2011
Phil Carter
CAPS Research
Background: Despite the high unemployment rate in the U.S., several companies have recently reported experiencing skills shortages across various disciplines. According to the Wall Street Journal, as recent as August of this year, about one-third of companies surveyed reported having few or no qualified applicants for job openings. Please answer the following questions about your company’s ability to fill open supply management positions with qualified candidates. Questions: 1. Do you currently have open positions for which there is a shortage of qualified applicants? Yes or No 2. Has finding qualified applicants become more or less difficult over the past 12 months? More Difficult No Change Less Difficult 3. Do you anticipate that it will be more difficult or less difficult to find qualified job applicants during the next 12 months? More Difficult No Change Less Difficult 4. How difficult is it currently to find qualified applicants in each of the following geographical regions? (Indicate the difficulty as follows: Very Difficult, Somewhat Difficult, Not Difficult, Not Applicable) USA: China: India: Southeast Asia: Western Europe: Eastern Europe: Other Regions (list):
 
445. Economic Update and Outlook - Brighter Skies Ahead
September 2011
Lee McPheters, Ph.D.
Arizona State University
After experiencing a strong upswing in the economy earlier this year, the forecast has turned negative, fueled by the downgrade of the U.S. credit rating and especially by the financial woes and concerns of other countries and their banking communities. A second recession is becoming more likely – one in three chances, in fact, according to McPheters. Consumers, normally the driving force for economic recovery, are still cautious and are not spending and investing to the degree needed for stronger growth. It will be a long road to recovery.
 
Tags: Finance
444. Supply Management Strategies for Success in the New Economy (BPW 2011)
September 2011
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.
CAPS Research
This presentation provides an overview of megatrends, such as demographics, shifting global sourcing and production locations, changing technologies, and economic-political developments that are changing the world. The presentation emphasizes that companies must, for long term success, adapt their value chain strategies to the new circumstances created by the mega-trends. Based on research conducted by CAPS Research over the past few years, the researchers identify specific value chain strategies that will be critical for companies to develop in order to cope with the external trends and business model changes. The trends include: (1) value focused supply and category strategies, (2) risk management, (3) "green" supply, (4) supplier innovation, (5) extended global supplier networks, (6) metrics and measurement systems, (7) supply chain analytics, and (8) talent management. The researchers stress that companies will need to devote resources to develop and execute these strategies at a high level if they are to be competitive in the decade ahead. Finally the presentation discusses some of the actions companies must take to ensure that the new supply chain strategies are fully aligned with the business model of the company and its overall competitive strategies.
 
443. "Green" Supply Chain at Intel
September 2011
Jeff Selvala
Intel Corporation
Intels commitment to create a green/sustainable supply chain fall under the companys larger corporate responsibility program focus on the three areas of environmental, social and governance. Selvalas presentation showed how creating a green supply chain is good for business. It addresses risk management concerns, improves the companys management effectiveness and supports growth and returns on capital. Pursuing green supply along with other corporate responsibility programs is linked to long-term contribution to shareholder value. Intels green efforts center around 1) reducing and recycling waste; 2) using green buildings; 3) water conservation; 4) energy conservation; and 5) green power initiatives. Selvalas discussion also included specifics of measuring Intels carbon footprint and its policy on the use of conflict minerals.
 
442. Whirlpool Innovation
September 2011
Brian Smith, CPIM
Whirlpool Corporation
Within any organization, there are certain "rules" about leveraging innovation as a competitive advantage. At Whirlpool, these rules include 1) innovation must come from everyone; 2) tap the best thinking in the world; 3) expect investment up-front without immediate payoff; and 4) big change requires a massive scalable approach over time. After an overview of Whirlpools legacy of creating new ideas and ways of doing business, Smith discussed a tool critical to their innovation process – Material Value Teams (MVT). Whirlpools MVT are cross functional teams in GPO that 1) formalize cross functional collaboration at the part/commodity level; 2) improve their delivery on cost, quality, speed and innovation; 3) leverage their global resources and supply base; and 4) drive out complexity at the part and supply base level. Smith detailed how MVTs drive cross functional connectivity and accountability.
 
441. Value Chain Resiliency Management and Japan Incident Response
September 2011
John OConnor
Cisco Systems, Inc.
Cisco is undoubtedly one of the best companies at managing risk and resiliency of its value chain. The recent crisis in Japan, and specifically Ciscos response, certainly made that clear. OConnors remarks started with an overview of their resiliency management plan followed by a fascinating Japan incident response case study that included their challenges with Japanese sub-tier suppliers. He concluded with lessons learned from the experience, which included 1) complete/accurate business continuity planning data is the platform for any effective response; 2) having and using your "Playbooks" is essential; 3) sub-tier risk visibility and mitigation is an Achilles Heel for many industries; and 4) internal/external communications must be ready quickly.
 
440. Pursuing Value with Innovative Supply Networks
September 2011
Lisa Haley
Fluor Corporation
This presentation highlighted Fluors success stories in finding value and driving innovation throughout its extended global supply networks. To create this value, Fluor focuses on three major efforts: 1) create new strategies to adapt to todays changing global marketplace; 2) early engagement to encourage innovation from suppliers; and 3) target emerging markets to embrace cost competitiveness. Haley also discussed how Fluor maximizes the value its supply base through a supplier selection process that weighs risk mitigation and strategic impact. Discussion also included low cost country and local sourcing, its sourcing capabilities in China and Fluors supplier pre-qualification program.
 
439. Reporting Environmental Sustainability Metrics Using Supplier Scorecards
September 2011
Phil Carter
CAPS Research
Background: A recent Carbon Disclosure Project (CDP) report suggests that the importance of carbon management at the supplier level will triple over the next 5 years, and large companies may adjust their supply base according to carbon management criteria. Please answer the following questions about your use of supplier environmental sustainability metrics. Questions: 1. Does your organization utilize a supplier scorecard that asks for suppliers environmental sustainability metrics? Yes or No 2. If No, do you anticipate that you will ask for information about carbon management from your suppliers within the next two years? 3. If Yes to Question 1 above, for which of the following topics are metrics collected on your supplier scorecard? a. Direct and/or Indirect Greenhouse Gas (GHG) emissions b. Energy consumption c. Water consumption d. Water discharge e. Waste and materials management f. Innovative and collaborative efforts on improving sustainability outcomes g. Other (list here) 4. If Yes to Question 1 above, what is the weight assigned to the environmental sustainability performance metrics (if any)? Weight : ________ %
 
438. Services Outsourcing and Bridge Transfer: A Social Network Perspective
August 2011
Mei Li, Ph.D.
Lehigh University and CAPS Research
This report focuses on outsourced services successes and failures, and the factors that contributed to each. The research helps to pinpoint some of the causes of services outsourcing failures and sheds light on how to better manage services outsourcing. Since outsourcing is typically defined as the conscious choice of replacing internal functions with the use of external agents to perform one or more production or services activities, it would seem that services outsourcing should be similar to manufacturing outsourcing. The author points out there are fundamental differences underlying the two types of outsourcing arrangements and suggests that companies take different management approaches when managing the outsourcing of different types of services based on the degree of customer interactions.
 
437. Trends in Supplier Auditing Practices
August 2011
Phil Carter
CAPS Research
Background: Several companies have recently reported that they are increasing the numbers of supplier audits. For example, one automobile manufacturer reported doubling the number supplier audits during the past year. In this case, the company used a third-party organization to evaluate their suppliers ethical and sustainability policies. In another example, a pharmaceutical company reported increasing the number of external audits to help gauge their suppliers accomplishments against quality, safety and social responsibility goals. Questions: 1. During the past year did your supply management group increase the number of supplier audits? Yes or No If Yes, by how much did the number increase (e.g. 50%, 100%, etc.)? If No, do you plan on increasing the numbers of supplier audits during the next year and if so, by how much? 2. Do you anticipate the number of supplier audits on the following topics will increase or decrease during the next year? - Risk Management (e.g., business continuity plans): Increase or Decrease - Quality Compliance (e.g., certification to a ISO or Total Quality Program: Increase or Decrease - Compliance to various Government Rules and Regulations (e.g., Foreign Corrupt Business Act): Increase or Decrease - Environmental Sustainability: Increase or Decrease - Second Tier Supplier Diversity: Increase or Decrease - Fair Labor Practices: Increase or Decrease - Other: (List here) 3. Estimate the percent of your supplier audits conducted by: (Note: Total should equal 100%.) - Suppliers (i.e. self-audits) ______% - Your team or another group internal to your company ______% - Third-party organizations, contractors, or consultants ______%
 
436. SnapShots 2011 - Conflict Minerals Reporting Requirements
August 2011
CAPS Research
This benchmarking report summarizes information provided in response to a CAPS Research SnapShots survey that asked supply management organizations how they are addressing recent legislation (Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010) that requires publicly traded manufacturing companies to submit a new annual report on their use of conflict minerals necessary for product functionality and/or production. Although less than one-fourth of the survey participants reported that their organizations have policies/procedures in place, the large majority plan to implement policies and/or procedures within the next year. More than 60 percent of the participants reported their current minerals sourcing strategies will have to be changed to ensure their products or manufacturing processes can be certified to be conflict-free.
 
435. Aerospace and Defense Industry Benchmarking Metric Report 2011
August 2011
CAPS Research
The Aerospace and Defense Industry Benchmarking Metric Report for 2011 contains key supply management performance measures on topics including organizational structure, financial information, and supplier relationships. New this year is a matrix that looks at what is included in each of the participating Aerospace and Defense companies supply management operating expense as well as a deeper look at spend for direct and indirect goods.
 
434. Talent Development for Successful Supply Management
August 2011
Roberta J. Jennings
CAPS Research
Many firms face a multi-faceted and complex dilemma with regard to talent management. A significant percentage of the workforce is of retirement age, so organizations must capture the institutional knowledge these individuals possess, while at the same time onboarding new talent, from a new generation of workers with unique work styles and goals. At the same time, there is a continual challenge to "level-up" supply management talent to meet the more strategic demands of the function. Hence, robust talent management programs are vital for competitive advantage. This report, which is a summary of the discussions at a CAPS Research Critical Issues Partnership program, addresses the following areas: talent assessment practices and methods; talent development strategies; retention challenges; global considerations; and generational issues.
 
433. SnapShots 2011 - Supply Management Organizational Governance
August 2011
CAPS Research
This benchmarking report summarizes the responses to a CAPS Research SnapShots benchmarking survey that asked participants about their governance structures (centralized, decentralized, or hybrid) and use of procurement-related Supply Management Councils or committees. The short, eight-question survey asked those who reported if they have established a Supply Management Council, and if they have adopted a charter or governance document that spells out the council’s authority and functions.
 
432. Petroleum Industry Benchmarking Metric Report 2011
August 2011
CAPS Research
The 2011 edition of the Petroleum Industry Benchmarking Metric Report includes key supply management performance measures that focus on organizational structures, functional assignments (e.g., strategic sourcing, transactional purchasing, etc.), training spend, supply management operating expenses, cost reduction and avoidance, investment recovery, and value creation. Supplier-related metrics indicate a reduction in the overall numbers of suppliers. More than 50% of the survey participants reported they have reduced the numbers of suppliers. About 20% reported there was no change in the base of suppliers, and the remaining 30% reported an increase. Overall, the report shows an 8% reduction in the total numbers of suppliers. In addition to the overall industry report, breakout reports are provided for Integrated, Upstream, Downstream, and Midstream operations.
 
Tags: Petroleum
431. The Role of the CPO in Mergers and Acquisitions
July 2011
Phil Carter
CAPS Research
Background: In todays rapidly changing global economy mergers and acquisitions are a common part of business life. Supply management organizations often play a key role in vetting and generating the value creation envisioned from the merger/acquisition. The following questions are specific to the CPOs role when a merger or acquisition is being contemplated or is being executed. Questions: 1. What specific responsibilities do you have as CPO when your company is considering a merger with or acquisition of another company? 2. What specific responsibilities do you have as CPO when your company is executing a merger with or acquisition of another company?
 
430. SnapShots 2011 - How Organizations Manage Legal Services in Support of U.S. Patent Applications
July 2011
CAPS Research
This benchmarking report summarizes the responses to a CAPS Research SnapShots benchmarking survey that asked for information on the numbers of U.S. Patent Applications filed during the past two years, and who is generally responsible for managing the preparation and prosecution of U.S. Patent Applications. Also reported is the percent of patent applications that were filed first as a U.S. Patent Application or under the Patent Cooperating Treaty (PCT) guidelines; and whether in-house or outside council was used to prepare patent applications. A key take-away from this report is the average cost (as reported) for outside counsel to prepare and file a U.S. Patent Application.
 
Tags: Services
429. Formal Processes for Supplier Development
July 2011
Background: There is no one size fits all approach to supplier development. Supply management leaders understand that the concept of effective supplier development includes different approaches to satisfy demands for new or improved products, cost reduction, product quality, penetration of new markets, etc. The end result of an effective supplier development program should also consider the value being provided. One of our corporate sponsors has asked that you provide some information about your supplier development program. Questions: 1. Does your company have an established formal process to develop new suppliers? Yes or No 2. If yes, please provide a short overview of your supplier development process. 3. If no, please provide a short description of your informal processes used to develop new suppliers. 4. If you have supply management professionals on your leadership team who are primarily responsible for supplier development initiatives, is it likely that you and/or one of them would participate in a day-long Critical Issues conference that focuses on supplier development methodologies?
 
428. Supplier Relationship Management: An Implementation Framework
June 2011
Robert M. Monczka, Ph.D.;Thomas Y. Choi, Ph.D.;Yusoon Kim, Ph.D.;Casey P. McDowell
CAPS Research;Arizona State University;Georgia Southern University;CPM International L.L.C.
Leading firms hold the strong belief that improving supplier relationships will lead to improvement of buying (and selling) company performance, be it at the operations level or overall firm level in technology or innovation breakthroughs. This focus study examines the integrated approach that is required to optimize supplier relationships. Five key work streams are detailed (supply base rationalization with purchase family/supplier segmentation; supplier management; relationship management; buyer/supplier development; supplier performance measurement and management) and several case studies are presented. The study also highlights the significant resource commitment, infrastructure investment, stakeholder education, executive support, and patience required for the most effective supplier management environment.
 
427. Measuring the Effectiveness and Value of ePayment Solutions Summary Report 2011
June 2011
CAPS Research
In response to a recent CAPS Research survey that focused on "Measuring the Effectiveness and Value of ePayment Solutions" the participants reported that they were adopting e-payment solutions or systems for different reasons. In addition to cost reduction, reference was made to a number of other benefits, including improved customer service, improved working capital, increased operational efficiencies and cycle times, processing efficiencies and enhanced compliance to organizational policies and procedures. And, as noted in this survey, only a few companies that participated in the survey reported they will not employ an e-payment capability within the next two years. Most larger, multibillion-dollar companies are finding that the benefits of e-payment solutions to pay suppliers far exceed the risks.
 
426. Supply Assurance - Moving Beyond Low Cost Considerations
June 2011
William Ng
Royal Dutch Shell plc
Driven by a variety of factors, the supply reliability of essential materials for Shell’s day-to-day operations have been greatly threatened, causing a reevaluation of the companys contracting strategy and measures designed to mitigate such supply risks. The reevaluation led to the creation of a systematic approach for handling such risks and the creation of a comprehensive supply assurance plan for all essential materials.
 
425. Developing a High-Performing Team - Pfizer Inc
June 2011
Lisa Becker
Pfizer, Inc.
With a strong global procurement and operations presence in the Asia Pacific region, Pfizer is committed to developing high-performing teams in a manner that addresses the culturally complex nuances of regional markets and supply-bases. Pfizers strategy includes establishing a framework for growth, being focused and patient when recruiting, creating learning environments, and involving key stakeholders including suppliers.
 
424. Research Based Supply/Value Management Strategies for Success in the New Economy
June 2011
Phillip L. Carter, D.B.A.
CAPS Research
Megatrends such as demographic changes, shifting global sourcing and production locations, changing technologies, and economic-political developments, are changing the world. This presentation identified some mega-trends that will have particular importance for supply/value chain strategies. Additionally the presentation identified several specific supply/value chain strategies that companies will have to invest in over the next few years to achieve competitive success. These strategies include value focused supply, innovation from the supply base, global supply networks, risk management, green supply strategies, supply chain analytics, and talent management.
 
423. Resources Utilized to Comply with the Foreign Corrupt Practices Act
May 2011
Phil Carter
CAPS Research
Background: The Foreign Corrupt Practices Act (FCPA) is a United States Federal law known for its two main provisions, one that addresses bribery of foreign officials and the other addresses accounting transparency requirements under the Security Exchange Act (SEA) of 1934. We are inquiring about the time and resources that you and your supply management leadership team expend on FCPA compliance. Questions: 1. What is the role of your supply management organization in ensuring your companys compliance with the FCPA? 2. What percentage of your time (approximately) is devoted to ensuring that your company complies with FCPA regulations? 3. What percentage of your supply management organizations professional resources (approximately) is devoted to ensuring your company complies with the FCPA regulations?
 
422. Utilities Industry Benchmarking Metric Report 2011
May 2011
CAPS Research
The Utilities Industry Benchmarking Metric Report updated in May 2011 includes key supply management performance measures that focus on organizational structure, and fully burdened salary rates by area of operation and function. Other key metrics include managed spend, cost savings reported, and numbers of suppliers. New to the 2011 report are metrics that take a detailed look at inventory turn rates with breakouts for material that is specific to Transmission, Distribution and Generation. This years report also looks at the average dollar value of procurement transactions that were manually released vs. automated.
 
Tags: Utilities
421. Integrating Green Initiatives into Supply Management
May 2011
Phil Carter
CAPS Research
Questions: 1. Have you effectively implemented "green" requirements into your policies and processes in supply management? Yes or No. 2. If yes, what are some of the highlights of your "green" policies and processes in supply management? 3. If no, what challenges do you have in implementing "green" policies and processes in supply management?
 
420. Supply/Value Chain Management Strategies for Success in the Changing Decade
April 2011
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.
CAPS Research
Megatrends such as demographic changes, shifting global sourcing and production locations, changing technologies, and economic-political developments, are changing the world. This presentation identified some mega-trends that will have particular importance for supply/value chain strategies. Additionally the presentation identified several specific supply/value chain strategies that companies will have to invest in over the next few years to achieve competitive success. These strategies include value focused supply, innovation from the supply base, global supply networks, risk management, green supply strategies, supply chain analytics, and talent management.
 
419. Global Challenges Call for Global Leadership
April 2011
Angel Cabrera, Ph.D.
Thunderbird School of Global Management
Are global integration and trade on the decline because of the great recession? Not according to Dr. Cabrera. The global economy continues to grow and generate opportunities, as well as significant challenges, for businesses and economies. In China and India over one billion people dont own cell phones and over two billion dont have Internet access (compared to 23 million and 69 million respectively in the U.S.). Global trade is shifting east to China and stagnating in North America, while future population growth will come from developing countries and create tremendous challenges around the three Fs: Finance, Food and Fuel. As many CPOs shift to global sourcing as a supply strategy, how do they tackle the enormity of these trends? Click to read Dr. Cabreras suggested solutions.
 
418. Open Innovation with the Supply Base
April 2011
Phil Carter
CAPS Research
Background: Procter & Gamble has extolled the virtues of open innovation with its supply base and has implemented this concept through its Connect and Develop program. P&G set a goal that 50% of new initiatives involve at least one external partner. An excerpt from the March 2006 Harvard Business Review article that focuses on P&Gs development of its Connect and Develop initiative can be found here: http://hbswk.hbs.edu/archive/5258.html. Questions: 1. On a scale of 1 to 7, with 1 being very closed and 7 being very open, where would you place your organizations current implementation of open innovation? 2. On a scale of 1 to 7, with 1 being very closed and 7 being very open, where do you expect your organizations implementation of open innovation to be three years from now? 3. What are the major reasons for changing or not changing your approach to obtaining innovation from your supply base?
 
417. Investment in Risk Management Resources Considering Recent World Events
April 2011
Phil Carter
CAPS Research
Question: 1. First the great recession, then unrest in the mid-East and now the Japan earthquake and Tsunami -- all of these events reminds us of the inherent risks in our supply chains. Do you expect the resources that you will be putting into supplier and supply chain risk management in the next 2-3 years will increase, decrease, or stay the same? Increase resources (please explain) Decrease resources (please explain) No Change (please explain)
 
416. Investment Recovery Metric Report 2011
April 2011
CAPS Research
This report was developed in partnership with the Investment Recovery Association. In addition to the organizational information and operational benchmarks provided, there are a number of financial metrics related to the overall cost benefits of investment recovery programs as well as best practice implementation. One key metric shows that for every dollar of investment recovery operating expense, $34 is returned to the bottom line. Other benchmarks relate information about investment recovery services and processes, the effectiveness of program-related tools and technologies, and investment recovery staffing. Fifty-six companies provided data for this report.
 
  • Report - 70 pages
  • Investment Recovery Performance Benchmarking Summary Report 2012 - 14 pages
415. Expected Use of Analytics for Improving Supply Chain Performance
March 2011
Phil Carter
CAPS Research
Question: 1. One can define analytics as the study of supply and supply chain data using statistical analysis and modeling in order to discover and understand historical patterns with the purpose of improving supply/supply chain performance in the future. Using the definition above, do you expect to significantly increase the use of analytics in supply/supply chain management over the next two to three years? If yes, what opportunities do you see? If no, why not?
 
414. Anticipated Changes to Sourcing Strategies in China
March 2011
Phil Carter
CAPS Research
Question: 1. Are you contemplating changes to your China sourcing strategies as a result of increased labor and/or other costs in China? If yes, what kind of changes are you considering? If no, why not?
 
413. SnapShots 2011 - Master Agreements - Approval and Authority
March 2011
CAPS Research
Contracts that are used to purchase goods and/or services on a recurring basis are commonly known as Master Agreements which are often used to establish basic terms and conditions that can be later referenced in individual purchase orders, work orders, etc. About 98% of the survey population reported they employ Master Agreements. Benchmarks include the percent of Master Agreements (reported) that are managed as stand-alone documents and the percent of related purchasing documents that are managed as stand-alone documents; the average maximum dollar values of small, mid-size, and large Master Agreements; and the percent of Master Agreements assigned a total dollar value equal to their potential value when approved as well as the percent assigned a value of zero dollars when approved.
 
412. Innovation Sourcing: Contributing to Company Competitiveness
March 2011
Robert M. Monczka, Ph.D.;Phillip L. Carter, D.B.A.;Thomas V. Scannell, Ph.D.;Joseph R. Carter, D.B.A., CPSM, C.P.M.
CAPS Research;Western Michigan University;Arizona State University
Innovation of products, services and business models is increasingly identified as an important strategy to achieve competitive advantage. Some firms have realized the potential of capitalizing on external sources for that innovation. In this focus study, CAPS Research examines the strategies and approaches that are in place at a number of companies to collaborate with suppliers on innovation. It addresses how these can be used and the specific role supply management plays in the process. The primary source of data is in-depth interviews with over 70 key executives at five leading global companies, eight of their SBUs and their suppliers. This report complements the 2010 CAPS Research Focus Study, "Implementing Supplier Innovation: Case Study Findings."
 
  • Report - 102 pages
  • Accelerating Innovation through Effective Supplier Collaboration (ERT 2010) - 30 pages
  • Implementing Supplier Innovation: Case Study Findings - 72 pages
  • Accelerating Innovation through Effective Supplier Collaboration (BPW 2010) - 30 pages
411. Plans to Add Supply Management Employees During 2011
February 2011
Phil Carter
CAPS Research
1. With the strengthening of the global economy and improvement in corporate revenues and profits, do you anticipate adding people in Supply Management during 2011? If yes, how many do you plan on adding in each of the following categories? * Entry Level * Experienced Buyers * Buyers with special commodity expertise * Managers * Directors * Other If no, why not?
 
410. Supplier Quality and Delivery Performance Benchmarking Metric Report 2011
February 2011
CAPS Research
This metric report provides a summary look at how manufacturing-related companies reported they measure the performance of direct materials suppliers in terms of quality, delivery, cost management, and technical support. All of the survey participants (100%) reported they use periodic performance scorecards or assessments to measure quality. Approximately 75% of survey participants reported they calculate PPM (parts per million) defects to measure quality, but only 13% reported they calculate PPM delivery performance.
 
409. Effects of Middle East Unrest upon Supply Management
February 2011
Phil Carter
CAPS Research
Question: 1. Is the current unrest in Egypt and elsewhere in the Middle East causing you to change your supply management business plans? (Yes, No, Dont Know, Not Applicable) If Yes, briefly describe the most important changes:
 
408. Reporting Cost Savings
January 2011
CAPS Research
This report focuses on the top three "baselines" that organizations use to calculate (or project) cost savings, and shows how different organizations set their annual savings targets. Approximately 96% of survey participants reported they measure and track savings attributable to cost reduction. Fewer companies (70% of the survey participants) also measure and track cost avoidance. Not unexpectedly, a majority of the survey participants reported that most of their cost savings for direct and indirect goods are attributable to cost reduction rather than cost avoidance. But there isnt much of a difference between cost reduction and cost avoidance savings reported for capital goods spend. If you want to know who (organizationally) is responsible for setting savings targets and how often these savings targets are reviewed, then you should look at the data provided by the 75 different organizations who responded to the corresponding survey.
 
407. Successful Capital Projects in Uncertain Times
January 2011
Bryan Ashenbaum, Ph.D.
Miami University
Sourcing for capital projects presents both great opportunities and challenges for a company. Such projects are inherently complex, require long-term vision and commitment, and can be affected by several "macro" factors. However, when engineering and sourcing teams goals are synchronized and collaboration is effective and robust, great value can be delivered through the project. This report, based on a Critical Issues Partnership program, summarizes the main challenges and some key successful strategies for sourcing capital projects, particularly in an uncertain economy. Topics include managing uncertainty, building competencies, metrics/KPIs, contract issues, and early sourcing involvement.
 
406. SnapShots 2011 - Measuring Supplier Diversity Program (Tier 2) Effectiveness
January 2011
CAPS Research
CAPS Research was recently asked to provide information specific to Tier 2 supplier diversity spend programs that either require or encourage Tier 1 suppliers to set diversity spend goals. CAPS Research was also tasked to find out whether or not companies who have initiated Tier 2 supplier diversity spend programs include in their procurement agreements (contracts, service level agreements, etc.) language specific to diversity spend as well as performance clauses in procurement agreements that stipulate penalties or other actions when a Tier 1 suppliers performance does not meet agreed-upon levels.
 
405. Electric Utility Environmental Performance Evaluation Benchmarking Metric Report 2010
December 2010
CAPS Research
This report provides a look at how 11 electric utility companies reported their environmental sustainability efforts and includes metrics on Policy & Environmental Management, Greenhouse Gas (GHG) Emissions, Air Emissions, Energy Consumption, Water Use, Waste & Materials Management, and Innovation. Additionally, the report includes information on a broad range of innovative imperatives ranging from environmental education programs for suppliers and employees to the percent of participating companies who have implemented various business practices to reduce their carbon footprints.
 
404. Cross-Industry Metric Report November 2010
November 2010
CAPS Research
The updated CAPS Research Cross-Industry Metric Report published in November 2010 provides standard key performance indicators across 18 industries. This highly regarded report includes popular key performance indicators like training spend, diversity spend, total spend as a percent of revenue, supply management organization operating costs, purchase order cycle times, and employee retention.
 
403. Executing Invoice-Only or Purchase Order Transactions for Indirect Spend
November 2010
This company is investigating methods to increase the level of Indirect Spend Transactions executed through defined Purchase Order processes and/or applications (examples: Ariba, SAP SRM) to minimize the number of invoice-only payment requests. This company wants to better classify their indirect spend reporting and improve upon the payment processes. You can help the company achieve their objectives by responding to the following questions: Questions: 1. What percent of your Indirect Spend is managed as invoice-only (non-PO Invoice Payment Requests)? 2. What are your requirements for executing invoice-only transactions? 3. Has your organization been successful in executing Indirect Spend Purchase Order Transactions for professional services (e.g., advertising, HR services, computer/IT services, real estate, royalties, etc.)? If yes please give examples of the professional services being managed through a defined Purchase Order process.
 
402. Utilizing POs to Streamline Sourcing of Goods and Services
October 2010
This company is working on a process to reduce the volume of contracts that require executive approval and legal review. This compnay's initial approach includes balancing spend and risk, and developing a framework for purchasing managers to utilize that does not require full legal review of each project. To help us accomplish our goal of streamlining the purchasing process, the leadership team at this company would like to know more about your criteria to determine when spend should require a formal contract and/or master service agreement in lieu of a purchase order. Questions: 1. Please define your organizations criteria for using Purchase Orders (spot purchases, one-time purchases, dollar value, etc.). 2. Please define your organizations criteria for using Master Service Agreements (usually stipulates the basis of the services being performed). 3. Please define your organizations criteria for using Other Contracts (scope is beyond that authorized for purchase order, dollar value, period of performance, etc.). 4. What criteria (value, commodity or service, length of contract, etc.) is used to determine which contracts or purchase orders require executive approval and/or legal review? 5. What tools, methods, or other processes (automated systems, checklists, etc.) are in place that directs your buyers to select the correct procurement mechanism for a purchase order or contract? 6. Does your organization utilize different source selection methods (Requests for Quotations, Invitation for Bids, Request for Proposals, etc.) for different types of contracts and/or purchase orders? Please define.
 
401. Supplier Financial and Operational Risk Management
October 2010
Phillip L. Carter, D.B.A.;Larry C. Giunipero, Ph.D., CPSM, C.P.M.
CAPS Research;Florida State University
In recent years, many leading-edge companies have taken a pro-active approach to implement risk management programs. This focus study examines best practices related to supplier risk management, in particular when firms engage third-party service providers (3PRs) to assist them. The report includes sections on the supplier risk management process, financial data analysis, third-party risk management companies, and multiple (anonymous) case studies. It also includes an appendix of various third-party risk management services available.
 
400. Supplier Environmental Sustainability Performance Report - 2010
September 2010
CAPS Research
This is the second benchmark report developed for the Electric Utility Industry Sustainable Supply Chain Alliance that focuses on their suppliers commitment to environmental sustainability. The 2010 metric report includes data provided by 326 different suppliers who were categorized as being manufacturers or non-manufacturers. The benchmark report looks at how key suppliers are addressing Policy & Environmental Management, Greenhouse Gas (GHG) Emissions, Air Emissions, Energy Consumption, Water Use, Waste & Materials Management, and Innovation. The report also highlights specific topics about the collaborative efforts between the utilities and suppliers to reduce environmental impacts.
 
399. Long Road to Recovery (BPW 2010)
September 2010
Lee McPheters, Ph.D.
Arizona State University
Arizona State University economist Lee McPheters, Ph.D., shares his insights into the current economic situation, claiming that chatter about a "double-dip recession" isnt accurate; instead factors indicate the country is just in "slow growth" mode. He credits this sluggish pace to that fact that nothing substantial is driving the economy. Ideally, consumers would be the driving force, but theyre just not spending and investing to the degree needed for stronger growth. McPheters identifies and discusses many of the hurdles to recovery, including: credit markets, the consumer market, labor markets, housing markets, commercial real estate, federal deficit, and a skeptical public. His forecast, as of September 2010, is for employment growth to be negative through 2010, but turn slightly positive in 2011. Real GDP growth will be 2.5 percent in both 2010 and 2011.
 
Tags: Finance
398. Transformation - A Leaders Story
September 2010
Deborah Stanton
MasterCard Worldwide
Upon joining MasterCard Worldwide as its chief purchasing officer, Deborah Stanton recognized the need for a transformation. In this presentation, she details the journey that she led to create a global supply chain team, including strategic category management, organizational structure, the scope of the teams role, processes, tools, metrics, and how it demonstrated value. Most importantly, Stanton candidly discusses the challenges and tactics around gaining executive support, effecting change within team members, and leading individuals through the change management process.
 
397. Creating Value in the New Economy - Dell
September 2010
Michael Tayter;Robert Bernard
Dell Computer Corporation
Dell executives detail several procurement and sourcing activities that are in place to support the larger enterprise strategies. These include design-to-value techniques applied to products; should-be cost modeling to develop accurate targets and fact-based negotiations; analytical approaches to sourcing; and developing world-class talent through a procurement academy.
 
396. Integrated Facilities Management (IFM) Sourcing Initiative
September 2010
Allen Ware
Intel Corporation
Intel describes the thought processes and actions behind its integrated facilities management (IFM) sourcing initiative. After assessing its facilities footprint and their lifecycle, it became apparent that there was a savings opportunity associated with integration and supplier consolidation. This presentation outlines the specifics value drivers, the anticipated savings information, the importance of governance over the new supplier model/relationship, and key success factors.
 
395. Repositioning Supply Chain in Health Care Systems
September 2010
Bushra Rahman, MBA, MHSM;Eugene Schneller, PhD;Natalia Wilson, MD, MPH;Howard Zuckerman, PhD
Arizona State University
Supply chain strategies and operational resources have been demonstrated to be relevant to an organization realizing its competitive capability. For individual hospitals, and the health care systems in which they reside, supplies, which constitute the second largest cost after labor, have generally been managed at a local level with a strong focus on transactions associated with order fulfillment. Systems are increasingly recognizing the value that supply chain management can bring to their organizations and have moved to reposition the supply chain function at a strategic level in the organization.
 
394. Globalization: A Smarter Supply Chain for the Future
September 2010
Roberta J. Jennings
CAPS Research
Globalization is a strategic imperative that is recognized as critical for growth and performance sustainability, but achieving such a model can be complex. This report, a synopsis of the main themes and insights from a CAPS Research Critical Issues program on the topic, defines globalization, identifies the challenges common to many firms, discusses how firms are trying to optimize the balance between centralized control and local autonomy, and highlights the struggle to place appropriate human resources in a global supply organization. The report also includes key points about sustainability, ethics, and laws/regulations that impact the organization and its supply network. A case study from IBM, co-sponsor of the event, is also provided, describing its journey to become a globally integrated enterprise.
 
393. Petroleum Industry Benchmarking Metric Report 2010
August 2010
CAPS Research
The Petroleum Industry Benchmarking Metric Report updated in August 2010 includes key supply management performance measures that focus on organizational structures, functional assignments (e.g., strategic sourcing, transactional purchasing, etc.), training spend, supply management operating expenses, cost reduction and avoidance, and value creation. Supplier-related metrics show a four percent decrease in the in the overall supplier base during the reporting period. About 55 percent of the participants reported a decrease in the numbers of suppliers and 27 percent reported an increase. The remainder (18 percent) reported no change in their supplier base. In addition to the overall industry report, breakout reports are provided for Integrated, Upstream, and Downstream operations.
 
Tags: Petroleum
392. Value Focused Supply: Linking Supply to Competitive Business Strategies
August 2010
Robert M. Monczka, Ph.D.;John D. Blascovich;William J. Markham;Leslie M. Parker;Thomas H. Slaight
CAPS Research;A.T. Kearney, Inc.
CEOs are raising their expectations for supply to include results well beyond just saving money on external expenditures. Value Focused Supply (VFS) is an approach for creating and implementing longer-term strategies for key purchase categories and the related suppliers that create value beyond cost savings. This report defines VFS, provides examples of VFS strategies, provides a framework for implementing VFS, discusses issues for enabling VFS, and includes several company case studies across various industries.
 
  • Report - 90 pages
  • (ERT 2010) - 36 pages
  • (BPW 2010) - 39 pages
391. Pharmaceutical Industry Benchmarking Metric Report 2010 - Emerging Markets
August 2010
CAPS Research
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.
 
390. SnapShots 2010 - Insurance Requirements and Certificates for Suppliers
July 2010
CAPS Research
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.
 
389. Industrial Manufacturing Industry Benchmarking Metric Report 2010
July 2010
CAPS Research
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.
 
388. Assessing Supplier Financial Strength and Dependency Metric Report 2010
June 2010
CAPS Research
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.
 
387. Supply Base Risk Management at 3M
June 2010
Charles Zheng
3M
Supply base risk management at 3M is broader than simply financial risk management. This presentation talks to risk identification, evaluation, mitigation and monitoring strategies at 3M.
 
386. Talent Management: Recruiting and Retaining a Diverse Global Workforce
June 2010
Ling Ling Lee
Intel Corporation
Intel is a globally integrated company operating in numerous venues world wide. This presentation talks about Intels challenges, strategies and best-practices in recruiting and retaining a globally competent and diverse workforce.
 
385. LG Electronics Global Procurement Transformation: New Frontiers for Global Innovation
June 2010
Jason Choi
LG Electronics
LG Electronics won the 2010 R. Gene Richter Award for innovation and transformation in supply management. This presentation documents their route from a highly autonomous and decentralized procurement organization into one that is center-led and the resulting savings and accomplishments.
 
384. Strategies in the Face of the Global Financial Crisis
June 2010
Joseph Maher
Li & Fung Ltd.
China has historically been viewed as a vital low-cost opportunity for services and materials, causing many global companies to establish sourcing operations there in recent years. However, with the turn of the economy, tightening credit, and a rise in protectionism, many Chinese manufacturers are seeing fewer export orders, resulting in decreased production. Li & Fung details some of the strategies that Chinese companies can employ to cope with the financial crisis, and explains why sourcing from China is still an attractive option, particularly if a firm is also selling in that region.
 
383. Teradyne Supply Chain Financial Viability Analysis
June 2010
Scott Cameron
Teradyne
Assessing the financial health of supply chain partners is always a good idea, but with the recent economic crisis, this activity has come to the forefront for many organizations. This Teradyne presentation details a model the company uses that combines interpreting key financial ratios and placing suppliers into a risk matrix, based on leverage and profitability. It also discusses the challenges in obtaining accurate data, what actions the firm takes with at-risk suppliers, and "lessons learned."
 
382. Enhancing Procurements Value Proposition
June 2010
Kinnar Ghiya
Microsoft Corporation
In an uncertain and tight economy, executives are looking at every aspect of their business to provide more value. For purchasing and supply management, that means delivering more than price reductions on inbound materials or services. This Microsoft presentation details some of the areas in which its global purchasing group is attempting to enhance its value proposition, such as: cost management, reducing risk, reducing time-to-market, enhancing the Microsoft brand, and facilitating revenue. Microsoft describes various attributes and activities that signify this changing role of procurement.
 
381. Championing Environmental Supply Management Initiatives: The Importance of Influence Tactics, Company Climate and Individual Values
May 2010
Thomas R. Gattiker, Ph.D.;Craig R. Carter, Ph.D.;Wendy L. Tate, Ph.D.;Xiaowen Huang, Ph.D.
Boise State University;University of Nevada;University of Tennessee;Miami University of Ohio
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.
 
380. Long Road to Recovery
April 2010
Lee McPheters, Ph.D.
Arizona State University
Well-known Arizona State University economist Lee McPheters, Ph.D., shares his insights into the current economic situation, arguing that it will be a long road to recovery although many statistics indicate that the recession is over. McPheters identifies and discusses many of the hurdles to recovery, including: credit markets, the consumer market, labor markets, housing markets, commercial real estate, federal deficit, and a skeptical public. He addresses why each is an issue. McPheters says 2010 is "still ugly" and 2011 will be "homely." Unemployment will remain near 10 percent, and the consumer will be key as confidence will surge when job growth returns.
 
Tags: Finance
379. Effective Supply Chain Strategies in a Tough Economy - U.S. Postal Service
April 2010
Susan Brownell
U.S. Postal Service
The vice president of supply management for the United States Postal Service (USPS) outlines some of the unique challenges that their organization faces due to its Universal Service Obligation and the "great recession." The USPS had significant profitability decline between 2006 and 2009, due to the recession, an increase in delivery points, rising labor costs, and other factors. This presentation details two cost reduction initiatives meant to help restore profitability. First, USPSs "rapid renegotiation" initiative was a top-down, aggressive push to renegotiate supplier contracts that resulted in more than $1 billion in cost reductions. This included reductions on 556 contracts, or 81 percent of the original target. The second initiative, "demand management" addressed maverick spending and non-compliance purchasing. District purchasing positions were replaced with purchasing shared services centers that leveraged knowledge management, category teams, and a new electronic buying system. USPS has realized an estimated $19.8 million savings in the first two years.
 
378. International Payment Terms
April 2010
Background: In an earlier CAPS Research survey on payment terms and discounts for early payments, 74 percent of the participants reported their payment terms were either 30 days (42% of participants) or 45 days (32% of participants). Almost 90% of the survey participants reported their organizations receive discounts for early payment. But since this report does not differentiate between domestic and international operations, this company. would like to know if your organization has established different payment terms for your domestic and international suppliers and whether or not your company offers accelerated invoice payment terms in return for discounts. Questions: 1. What are your procurement organizations default payment terms (number of days) for each of the following regions? a. United States and Canada b. Europe Middle East, and Africa (EMEA) c. Asia Pacific (less China) d. China 2. During the last two years have you either extended or reduced payment terms for suppliers located in the following regions? Region Extended Reduced No Change a. United States and Canada b. Europe Middle East, and Africa (EMEA) c. Asia Pacific (less China) d. China 3. Do your payment terms vary by commodity or category of spend (e.g., indirect spend versus direct materials)? (Yes or No) If Yes please briefly explain your practice for each of the regions listed above. 4. How frequently do you offer accelerated invoice payments in return for cash discounts? (Please indicate one of the following choices.) 100 % (always) 75 % 50 % 25 % 0 % (never) 5. If accelerated invoice payments are more frequent in some global regions or spend categories than others, please briefly explain your practice.
 
377. SnapShots 2010 - Measuring and Monitoring Supplier Risk 2010
April 2010
CAPS Research
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.
 
376. Pharmaceutical Supply Chain in China: Challenges and Opportunities
March 2010
JianQiang Hu, Ph.D.;Yue Dai, Ph.D.;Kevin Gu, Ph.D.
Fudan University;Jointown Pharmaceutical Group Co.
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 Chinas 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.
 
  • Report - 83 pages
  • Chinese Pharmaceutical Supply Chain: Challenges and Opportunities - 31 pages
375. SnapShots 2010 - Collaborative and Independent Innovation
February 2010
CAPS Research
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.
 
374. DOE NNSA Contractors 2009 Procurement Performance Benchmarking Report
December 2009
CAPS Research
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.
 
Tags: DOE
373. SnapShots 2009 - Sourcing in China
December 2009
CAPS Research
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.
 
372. Supply Strategy Implementation: Current State and Future Opportunities 2009
December 2009
Robert M. Monczka, Ph.D;Kenneth J. Petersen, Ph.D.
CAPS Research;Colorado State University
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 determine 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 completed in 2007 to yield an even more comprehensive picture of implementation success and supply management performance.
 
371. Supply Management Talent Development and Retention Benchmarking Metric Report 2009
December 2009
CAPS Research
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.
 
370. SnapShots 2009 - Use of Reverse Auctions
November 2009
CAPS Research
The SnapShots questions about the use or reverse auctions as part of the organizations 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.
 
369. Cross-Industry Metric Report November 2009
November 2009
CAPS Research
The updated CAPS Research Cross-Industry Metric report published in November 2009 provides standard key performance indicators across 20 industries. This highly regarded report includes key performance indicators for different industry sectors including purchasing operating expense, training spend, diversity spend, and total spend as a percent of revenue. New information on supply management organization operating costs, purchase order cycle times, and employee retention were added to the 2009 report. New Industries added to this updated report include: Automotive & Transport, Consumer Product Manufacturers, Health Care Services, Retail and Telecommunications Services.
 
368. Supporting Global Contract Template Development, Maintenance and Standardization
November 2009
This company is interested in learning about the organization of, and/or, roles that support contract template development, maintenance and standardization. They also are interested to know how successful you have been in developing standardized global contract templates. Note: This is a follow-up question to Question # 110 on "Using Standard Contract Templates in Various Regions of the World." Questions: 1. Do you have attorneys dedicated to the procurement contract template development and maintenance process? Please elaborate. 2. Do you have a group that is in either procurement and/or legal that is responsible for standardizing contract templates globally? Please elaborate. 3. How successful have you been in developing standardized global contract templates? Benefits? Barriers?
 
367. SnapShots 2009 - Use of Social Networking
October 2009
CAPS Research
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.
 
366. Snapshots 2009 - Payment Terms
October 2009
CAPS Research
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.
 
365. Mining Metals Industry Benchmarking Metric Report 2009
October 2009
CAPS Research
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. Its 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.
 
364. Supplier Risk Analysis at Intel
October 2009
Sandy Gauthier
Intel Corporation
Intel begins this presentation with an overview of the Big Picture of Supplier Rationalization, outlining the effects of this recession on not just market contraction but also on cash liquidity. Several examples were provided showing clues that a supplier was in trouble. Intel went on to detail their process of supplier risk assessment which includes an ongoing supplier risk monitoring process. After suppliers are assessed, those to be monitored more closely are classified as Critical or Non-Critical. The Critical suppliers are given immediate focus while the Non-Critical suppliers have a developed contingency plan.
 
363. Fluors Approach to Developing Talent in Difficult Times
October 2009
Jay Pendergrass
Fluor Corporation
In this presentation, Fluor begins with an overview of the company and their multiple industries as well as an overview of Procurement at Fluor. Fluor has both a Global Talent Management strategy and a Procurement People Development strategy. Emphasizing that talent management cannot be ignored during the downturn, Fluor states that there is an impending resource shortage among professional staff. Challenges in talent management are outlined as well as strategies that have been employed.
 
362. Talent Management Case Study at L-3
October 2009
Skip Handley
L-3 Communications
In this presentation, L-3 begins with an overview of the company and segments served. The presentation outlines the top three talent management challenges, including development and retention of the workforce. It follows with the strategies L-3 has employed to address these challenges. L-3 has developed a tool to measure the maturity curves of employees from an Order Placer up. These tools have been used to assess the maturity curve of procurement in general.
 
361. Resourcing in the New Economy at Amgen
October 2009
Jan Meier
Amgen Inc.
Amgen, a pioneer in the biotechnologies industry, has two main areas of focus for sourcing in the new economy: transforming their procurement organization into a global strategic sourcing organization, and realigning the focus of the sourcing organization to meet the needs of internal business partners and suppliers. This presentation details the vision of Amgens Global Strategic Sourcing Organization and the process of shifting from a tactical to a strategic organization.
 
360. Competitive Advantage Through Partnerships at General Mills
October 2009
Diego Osuna
General Mills, Inc.
At General Mills, the worlds sixth largest food company, sourcing has evolved into a "multi-disciplinary process." Part of this evolution was the realization that internal partnerships, especially between supply chain and marketing, were necessary to create new opportunities with suppliers. This presentation details General Mills seven steps to creating and maintaining sustainable internal partnerships.
 
359. Supplier Risk Management at Northrop Grumman
October 2009
Brian Massey
Northrop Grumman Aerospace Systems
Northrop Grumman reviewed the typical categories of supplier risk, (product, financial, managerial and other), and their risk management system (RMS). The RMS should cut across various programs to manage risk and allow management and others in the company to sort across attributes. Supplier scorecards are very important, along with communications with suppliers (both international and domestic) to review financials. As financial risk is increased, be prepared to act quickly to retrieve tools, WIP, material, and data before other creditors. Its crucial to be pro-active and look for opportunities to understand and assist your suppliers.
 
358. Global Talent Issues at 3M
October 2009
Wolf Bartel
3M Company
3M Company presents a corporate overview, lists their biggest challenges, and provides strategies employed, successes, lessons learned and the future outlook for their organization regarding global talent issues. Challenges include continuous selling of the value proposition of the center-led organization, and a higher turnover in developing countries. Strategies employed include workload planning, succession planning, gap analysis, recruitment, employee engagement, corporate reputation, support and validation. Biggest successes have come in gap analysis and engagement. Some lessons learned include: start in one area and sustain the activity, monitor and adapt your approach and include on the job experience - not just class time, and supervisor and employees work on strengths to show accountability. 3Ms future outlook includes keeping employees engaged, continue to compete for new graduates, set a new direction and adapt as necessary.
 
357. A Resilient Business in Challenging Times - Rolls-Royce
October 2009
Kathi Bridgewater
Rolls-Royce Corporation
Rolls-Royce begins this presentation by illustrating the different messages that were given to suppliers in 2008 and 2009. Rolls-Royce has been pursuing a holistic transformation process that is illustrated in this presentation. They address four global markets. They are investing for growth with a consistent approach which creates many opportunities for the supply chain. The presentation illustrates how they are managing the downturn and preparing for the upturn.
 
356. Value Creation in Todays Economy at General Mills
October 2009
Hadrian DSouza
General Mills, Inc.
General Mills method of value creation in todays economy is using their "Spend Smart" program. Dramatic raw material inflation brought about a change in their business model and has demanded more and faster savings. General Mills uses holistic margin management (HMM), maximizing the value of a product or service. HMM identifies and eliminates hidden waste in their products and processes. The Spend Smart program delivers value through people, process and technology. Case studies of ShipSmart, PrintSmart, TravelSmart, and StaffSmart are provided. SpendSmart delivers value by leveraging competition, volume aggregation and cash cycles.
 
355. Economic Update and Outlook - Recovery or Relapse?
October 2009
Lee McPheters, Ph.D.
Arizona State University
A leading economist from Arizona State University gives an in-depth look at the current state of the U.S. economy and his outlook for 2010. Lee McPheters says that (as of Fall, 2009) most economists consider the recession over, although public opinion is not as optimistic. Due to the fact that the job market, 401K revenues, housing values, and GDP are all still weak compared to their highs, but better off than "rock bottom," many liken it to "drowning in 20 feet of water as opposed to drowning in 30 feet of water." His presentation details why consumer spending is vital to a recovery, which regions have been hardest hit by the recession, how the recession compares to other historically tough economic times, and why many government programs (change in banking regulations, stimulus packages, etc.) will not be able to single-handedly create a turnaround. Overall, his forecast says that Real GDP will be 2.5% in 2010 and housing starts will rebound, but unemployment may hit 10 percent before it starts an upturn.
 
Tags: Finance
354. Supply Chain Alliance Supplier Environmental Performance Evaluation Benchmarking Metric Report 2009
September 2009
CAPS Research
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.
 
353. Publishing Purchase Order Terms and Conditions on Website
August 2009

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This company would like to know whether you use your website to communicate purchase order terms and conditions to your suppliers. Questions: 1. Does your company publish its purchase order terms and conditions on your companys website in lieu of providing a copy with every PO? Note: assume the PO would have the appropriate clause referencing the supplier to your website. 2. If your company publishes its terms and conditions on its website, how do you refer suppliers to the terms and conditions? Please provide the wording or clause that appears on the PO. 3. If your terms and conditions are published on your company website, do you still mail them to the supplier with each PO?
 
352. Supply Management Shared Services Centers Benchmarking Metric Report 2009
August 2009
CAPS Research
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.
 
351. Semiconductor Industry Benchmarking Metric Report 2009
August 2009
CAPS Research
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.
 
350. Low-Cost Country Sourcing and Procurement Activities Benchmarking Metric Report 2009
August 2009
CAPS Research
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.
 
349. Petroleum Industry Benchmarking Metric Report 2009
July 2009
CAPS Research
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.
 
Tags: Petroleum
348. Supply Management: Strategies for Superior Results in Turbulent Times
June 2009
CAPS Research Team
CAPS Research
This report summarizes presentations and discussions from the 2009 CAPS Research International Executive Roundtable. The 2009 Roundtable was held during the most challenging economic climate of the past quarter century. Roundtable participants discussed and reviewed the current macro economic conditions and trends and the impact on their firms, supply management and supply bases. Roundtable breakout sessions provided an opportunity for participants to hear specific company experiences, as well as exchange information with peers about their situations, challenges and strategies during these turbulent economic times. Additional observations and insights are provided with the summaries.
 
  • Report - 25 pages
  • Supply Management Strategies for Superior Results in Turbulent Times - 23 pages
347. The Role of Optimization in Strategic Sourcing
June 2009
Larry C. Giunipero, Ph.D.;Phillip L. Carter, D.B.A.
Florida State University;CAPS Research
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.
 
346. Utilities Industry Benchmarking Metric Report 2009
June 2009
CAPS Research
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.
 
Tags: Utilities
345. Investment Recovery Metric Report 2009
June 2009
CAPS Research
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.
 
  • Report - 55 pages
  • Investment Recovery Performance Benchmarking Summary Report 2009 - 16 pages
344. IBM Procurement - Global Procurement Transformation Overview
June 2009
Dan Meng Zhang
IBM
This presentation describes IBMs global procurement transformation over the past 15 years and the results achieved. Today IBMs purchasing and supply is organized into global sourcing and three Global Procurement Centers. The Procurement centers are strategically located around the world and are structured to achieve speed, efficiency, consistency, consolidation, and cost reduction in the processing of purchasing transactions.
 
343. Supply Management and Asia - Has Anything Changed?
June 2009
Tim Fiore
Terex Corporation
Terexs response to the current economic environment has been to focus on customers, generate internal cash, continue more focused internal improvement initiatives, and right-sizing business for anticipated demand. Actions have been identified for both developing and developed markets. Supply Management professionals within Terex are looking to redesign the supply chain, increase competition, and assess leadership to assist in recovery.
 
342. Enhancing Procurement Value in Difficult Economic Times
June 2009
Kinnar Ghiya
Microsoft Corporation
A high level overview of Microsofts purchasing organization and strategy in Asia.
 
341. The 2008 Aftermath in China - Crisis and Opportunities in a Tough Economic Climate
June 2009
Jessica Mahre
A.T. Kearney, Inc.
China exports and real estate values have been negatively impacted by the global economy downturn, resulting in a decline in GNP growth and a growth in unemployment. China has responded with an aggressive stimulus package focusing on increasing the domestic spend and export demand. The result of the stimulus on the economy and Chinese suppliers is discussed in detail.
 
340. China Update - APL Logistics
June 2009
Paul Man
APL Logistics, Ltd.
This presentation starts with a comprehensive overview of the trends and current conditions in the Chinese economy. It next describes some economy policy changes and stimulus efforts by the Chinese government to strengthen the economy and keep it growing during the current global slowdown. An overview of China trade centers with statistics on trade are provided. Next the presentation drills down into the fast growing logistics marketplace in China and covers some new infrastructure development. The presentation finishes with some logistics case studies.
 
339. Discount Payment Terms - Their Use in Negotiation and Managing Working Capital
May 2009
This company is interested in learning about your use of discount payment terms in supplier negotiations and the roles that Finance and Sourcing play in determining acceptable discount payment rates and terms. In addition we are interested to know if Finance uses discount payment terms as a way to manage the firms working capital needs and, if so, the consequences of this activity. Questions: 1. What role does sourcing play in cash management? 2. Are you using discount payment terms as a savings lever in your supplier negotiations? If not, why? If so, how? 3. How are acceptable payment terms, including discount terms, determined? Does Finance determine payment term options for Sourcing to use in supplier negotiations? What criteria are used to evaluate acceptability of payment terms? 4. Does Finance use discount payment terms as a vehicle to manage working capital? If so, do you have a mechanism to turn on or off payment of invoices within discount terms depending on the working capital needs of the business? If so, how does Sourcing explain the turning-off of discount terms to its business partners, given that they may be counting on those discounts?
 
338. Front-End Loading: Supply Management and New Product Development in Japan
April 2009
CAPS Research Japan Group
CAPS Research Japan Group
Front-end loading is taking a proactive approach to examining a products 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 supplys 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.
 
337. Supplier Risk Management - Sonoco
April 2009
Marc Ensign
Sonoco Products Company
Sonoco, a global packaging company, shares their methods to identify and manage supplier risk. Their processes include training personnel in bankruptcy law, supplier evaluations, shoring up contract language, and identifying supplier financial risk. Their model identifies key supplier evaluation components in determining potential financial risks.
 
336. Supply Chain Strategy: Consistent Approach During Challenging Times
April 2009
Beverly Gaskin
Rolls-Royce plc
In this presentation Rolls-Royce describes how the current economic down turn has changed their marketplace and supply strategies. Five key strategies for managing the supply chain in the current economic environment are discussed. Next, the presentation discusses how Rolls-Royce is preparing for the upturn by investing in key infrastructure and continuing to execute six key work streams. Collaboration and transparency with suppliers on achieving cost improvements is essential to success at Rolls-Royce.
 
335. JCPenney Procurements Approach to Current Economic Trends
April 2009
Bruce Kilkowski
JCPenney
JCPenny Procurement sources all non-merchandized good and services. The key supply management themes in 2009 are: (1) Value Add, (2) Operational Excellence, (3) Talent Management and Leadership, (4) Customer Service, (5) Sustainability, (6) Risk Management, and (7) Leverage Technology. Results are discussed for sourcing: Publication Papers, Bunker Fuel, Store Fixtures, and Utilities.
 
334. Supporting the Business During Turbulent Times
April 2009
Leo Lonergan
Chevron
There are many pressures associated with the current economic challenges and Chevron procurement is active both tactically and strategically. Leveraging category and market intelligence, applying functional processes and tools, managing supplier risk and addressing internal costs are tactical approaches being addressed. Strategic challenges are focused on people, partnerships and performance.
 
333. Supply Management: Strategies for Superior Results in Turbulent Times at Hilton
April 2009
Anthony S. Nieves
Hilton Hotels Corporation
Hilton Hotels Corporation strategies include a corporate transformation, strategic cost management and global resource integration. The transformation process was led from the top, with total involvement of the organization. Global functions were consolidated and a cross-functional processes were designed. Collaboration with suppliers provided cost savings and improved communications. Hiltons best in the industry procurement system helps to measure compliance and confirm benefits are being realized.
 
332. The Economic Impact on IBM
April 2009
Dan Rooker
IBM Corporation
IBM has transformed from a primary provider of computer hardware and software to a leader in computer services. The economic impact of the changing environment brought immediate internal spending controls to IBM. This presentation identifies sourcing initiatives in the current economic down turn. It also highlights the opportunities for Integrated Supply Chain in the current economy and for the upturn.
 
331. The Capital Project Supply Chain in Todays Economic Environment
April 2009
Jim Scotti
Fluor Corporation
Fluor Corporations capital project supply chain continues to adapt to market changes. The presentation describes how the changes in market power has changed the traditional model of engineering, procurement and construction (EPC). Fluor Procurement begins a project with strategic sourcing, followed by engineering, procurement and construction (PEpC). With the decline in raw material costs, procurement is taking advantage of the anticipated "low cost window of opportunity".
 
330. Supply Chain Success in Todays Economic Times
April 2009
Vincent J. Hrenak
Raytheon Network Centric Systems
This presentation reviews the lessons learned for supply chain success during the current economic times and shares a case study on supplier risk. It emphasizes that extraordinary times require extraordinary action - not business as usual. Supplier relationships may change dramatically as their capacity changes. The presentation demonstrates that in an integrated supply chain approach there is a need to collaborate with leaders of all functions to manage supplier risk. Raytheons supplier risk strategy is illustrated in the presentation.
 
329. The Role of Supply Chain in Turbulent Times
April 2009
Tim Coats
General Mills, Inc.
General Mills shares their holistic margin management process as a new approach to accelerate competitiveness. General Mills shares methods used to identify and eliminate waste, and capture savings and their reinvestment strategies for brand name building. The AD-MAT (Advantage Materials) process is shared as their vision to amplify competitive advantage in key raw material sourcing and supply chain management.
 
328. Market Softness - Strategies and Challenges at Amgen
April 2009
Farryn Melton
Amgen Inc.
Amgen, Inc. is a leader in the biotech industry. The "seismic shift" in macro economic environment conditions in the last 6-8 months as well as the fact that the biotech industry is becoming increasingly competitive and regulated has resulted in a need for Amgen to reevaluate their supply base. This presentation explains how Amgen uses one 2x2 matrix to evaluate suppliers and maximize benefits from current planned initiatives and another 2x2 matrix to measure supplier saliency and financial health. The presentation includes an example using Amgens fleet suppliers.
 
327. One Schneider Electric
April 2009
Jeff Wood
Schneider Electric
Supply strategies for Schneider Electric are undergoing transformation in response to 2008-2009 economic conditions. Their mission is to build a sustainable supply chain with a unified team, process, and supply base. Tactics include simplifying commodity management, integration of their upstream supply chain and deployment of global processes. Strategies for cost containment, risk management, and talent management are presented.
 
326. Perspectives of a Small-Cap Consumer Company on the Consequences of the Turbulence in the Financial Markets
April 2009
Jason Berg
AMERCO
The principal financial officer of a small-cap consumer company offers his perspective on the current economic climate, what indicators his firm analyzes for signs of a recovery, and expectations for the future. Jason Berg relates current statistics, such as existing home sales, employment, and credit market debt to his firms situation as one that caters to the do-it-yourself mover. Berg says that one big indicator for recovery will be the health of the securitization market; once bad assets are cleared out, there will be room for more transactions in the market again. His expectations for the future include: common sense and due diligence return; mortgage refinancing activity increases, lower energy costs, a slowed but not stagnant economy, and recovery to come sometime in 2010.
 
Tags: Finance
325. Are Grey Skies Gonna Clear Up? Economic Outlook 2009-2010
April 2009
Lee McPheters, Ph.D.
Arizona State University
Lee McPheters, Ph.D., provides an overview of todays current economic situation and offers some insights into the global economy, the recession, and consumer confidence. The two biggest questions most CPOs have are: how long will the recession last and how "deep" will it be? This will be the longest post-war recession - nearly twice as long as any previous recession - but when compared to the magnitude of the Great Depression, the current period doesnt even come close. One survey shows 92 percent of "Blue Chip" economists believe the recession will end by the fourth quarter of 2009, although it will be the second quarter of 2010 before unemployment peaks. Recovery factors include: population growth, pent-up demand spending, government policies, and eventually higher prices and taxes. This presentation offers many charts and statistics from various sources.
 
Tags: Finance
324. Aerospace and Defense Industry Benchmarking Metric Report 2009
April 2009
CAPS Research
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.
 
323. Supply Chain Integration: Challenges and Good Practices
March 2009
Phillip L. Carter, D.B.A.;Robert M. Monczka, Ph.D.;Gary L. Ragatz, Ph.D.;Pete L. Jennings
Arizona State University;Michigan State University;CAPS Research
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 integrations critical role.
 
322. Improving Contract Management, Execution and Control
December 2008
This company has seen tremendous growth over the past 5 years. One area that is feeling growing pains is contract management (procurement, sales, legal). The issues surrounding ideal and "perfect" contracts are ever increasing and complex. Some of these issues are: Risk management, Sarbanes Oxley requirements, internal and external audits, centralized repositories, language translations, derivative accounting reporting and treatment, legal issues and concerns, standardized templates... and the list goes on. We shall appreciate your sharing your insights and best practices on this topic by responding to the following questions: Questions: 1. What initiatives has your company taken (or is considering taking in the coming year) to improve contract management, execution and control? 2. Have you installed a centralized corporate "shared services" or a "center of excellence" team to manage and control contracts? If so, please elaborate. To whom does/will this team report? What functions are represented on the team? 3. Have you, or are you considering installing software systems to aid in an initiative to centrally file, communicate, negotiate, sort, escalate, route for signatures, capture cycle time metrics, and send reminders, on all or multiple contact types? If yes to any of these activities, please elaborate. 4. If you have, or are considering such software, are/will you integrate the "paper portion" of contract management with your purchasing/sales transaction processing systems? 5. Are sales contracts included (or to be included) in the system or just procurement contracts? Do M & A, site services, real estate, and compensation contracts also fall under this umbrella?
 
321. Supply Managements Strategic Role in Environmental Practices
December 2008
Thomas F. Gattiker, Ph.D.;Wendy Tate, Ph.D.;Craig R. Carter, Ph.D.
Boise State University;University of Tennessee;University of Nevada
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 bases role in new technologies; and the overall expanded role of supply management.
 
320. "Green" Corporate Strategies: Issues and Implementation From the Supply Management Perspective
November 2008
Bryan Ashenbaum, Ph.D.
The Richard T. Farmer School of Business, Miami University
Sustainability and "green" business practices have become the hot topic in todays 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.
 
319. Cross-Industry Metric Report October 2008
October 2008
CAPS Research
Cross-Industry Reports include key performance indicators from different industry groups. The survey process is relatively constant, ensuring that the KPIs can be measured year-over-year.
 
318. Process Guide for Supply Management Environmental Sustainability
October 2008
James Hershauer
Arizona State University
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.
 
317. Interactive Strategy Session on Global Sourcing in Inflationary Times
October 2008
Joseph Carter;Casey McDowell
CAPS Research
Firms of all sizes have entered the arena of global supply management in vast numbers. As a result, global sourcing has emerged as a critical component of corporate strategy aimed at reducing costs, raising product quality, increasing operational flexibility, and improving designs. It makes sense to exchange ideas, insights and information that can identify in a total cost framework the foundations for managing global sourcing in a strategic and effective way. This presentation reports the findings from the October 6, 2008 interactive strategy session which discussed the strategic importance of global supply, described procedural and managerial issues of concern in global procurement, examined the transportation/distribution implications of global markets, delineated the operational differences of buying from global sources and examined the impact of foreign currency exchange rate considerations on global sourcing.
 
316. Interactive Strategy Session on Environmental Sustainability
October 2008
Phil Carter;Rick Boyle
CAPS Research
Whether it is due to regulatory, customer, investor, or internal forces, most companies realize that environmental sustainability has become a critical business issue. Supply management has the opportunity to strategically engage in environmental initiatives, projects, and programs, and importantly, guide and influence the environmental performance of the supply base. However, environmental strategies for supply management are incomplete and their development is beset by many unknowns and conflicting information. This presentation reports the findings from the October 6, 2008 interactive strategy session that undertook the task of identifying the foundations for effective supply management environmental sustainability strategies.
 
315. Interactive Strategy Session on Innovation from the Supply Base
October 2008
Robert Monczka;Debbie Maciejewski
CAPS Research
Firms will increasingly compete on their ability to innovate as outsourcing and globalization leads to a more competitive playing field across industries. Products, technologies, business processes, and other areas require ongoing and breakthrough innovations. An increasingly important source of innovation is the supply base. However, firms have not fully established their supply strategies to acquire, evaluate, implement and commercialize innovation. Issues of supply focus, IP ownership risk/reward sharing, trust, supplier capability and so forth frequently limit the acquisition and development of innovation from the supply base. This presentation reports the findings from the October 6, 2008 interactive strategy session which discussed how to most effectively work with suppliers to accelerate and acquire innovations at any stage in the product or service life cycle, in ways equitable to all parties. In addition, the strategic and operational supply processes to achieve supplier innovation were also identified and discussed.
 
314. Managing Human Capital and Workforce Issues
October 2008
Patrick Egan
Pfizer
Pfizer, the worlds largest pharmaceutical products company, believes that "talent makes or breaks an organization, a strategy, or a negotiation" and has applied this belief in developing their Worldwide Procurement Organization. Pfizers Worldwide Procurement Organization covers all areas of the company at the global level by employing centralized category management teams that are responsible for that category on a global basis. Pfizer is constantly recruiting new talent for category management teams, while managing and developing current talent as the organization evolves. This presentation addresses the strategies that Pfizer currently uses to acquire, manage and develop talent as well as strategies for the future.
 
313. Taking Your Company Green and the Supply Chains Role
October 2008
Brian McNally
The Auto Club Group (AAA)
The Auto Club Group defines Green at both the micro and macro levels. Its sustainability program was designed to include supplier end product scorecards with appropriate metrics. The ACG used the U.S. EPA Guidelines in developing these metrics. Scorecards are used to help judge progress toward becoming a green company and as input to sourcing decisions. The ACG journey to green is a top-down initiative from the CEO with Supply Management playing a leadership role.
 
312. A Perspective on Supply Management Transformations
October 2008
Tim Fiore
Terex Corporation
Supply management has undergone transformation over the decades, driven by a focus on more strategic issues. In addition, individual supply organizations often must go through a transformation in order to develop a more appropriate structure, to adapt to new economic conditions, to support a changing business model, or changes in the competitive landscape. The supply leader is imperative to this process, and he or she must understand operational realities, have the courage required for change, know how to demonstrate change to others, be able to chart a roadmap, and ensure the proper team is in place to deploy a transformation.
 
311. Managing Organizational Change
October 2008
Gerry Keim
Arizona State University
All organizations experience change and transformation at some time. Dr. Keims presentation details some of the key elements required to manage change successfully including: the importance of measurements to understand your current state; the vital relationship among metrics, rewards, and incentives for employees; the selection of appropriate talent to realize change; and the best leadership style to effect positive, lasting change. Leaders managing change need to focus on strategy, as opposed to operational effectiveness.
 
310. Accelerating Global Low Cost Country Sourcing at Nilfisk-Advance
October 2008
Randy Christoffersen
Nilfisk-Advance
Nilfisk-Advances low cost country sourcing strategy is a cross-functional initiative that targets cost savings. This TCO initiative spans their U.S., European and China plant sites. Nilfisk-Advance strategies use a supplier change checklist and a TCO model. To achieve these changes, dedicated procurement resources are required, communication is key, and effective project management is critical.
 
309. Annual Sourcing Effectiveness Planning and Commodity Market Guidance/Hedging Program at ITT
October 2008
Pete Gabriel
ITT
ITT Corporations cost reduction strategies include annual sourcing effectiveness planning and commodity market guidance/hedging programs. This presentation includes an ITT global strategic sourcing overview and ITTs annual sourcing effectiveness planning process (ASEP). The ASEP includes a commodity guidance process used to establish a baseline for material cost. The plan establishes savings goals and identifies planned savings targets. Performance measurements with monthly metrics are also included in the process. You may also view ITTs base metal hedging program. The hedging program team includes the Corporate Treasurer, Corporate Controller and Global Strategic Sourcing. The team reviews commodity exposures, market forecasts, internal guidance and hedging recommendations for financial gain or loss to ITT sites.
 
308. Enterprise-Wide Shared Services Centers Benchmarking Metric Report 2008
September 2008
CAPS Research
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 centers operations.
 
307. Lean Supply Chain Strategies and Implementation
September 2008
George A. Zsidisin, Ph.D., C.P.M.
Bowling Green State University
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.
 
306. Purchasing Cards Best Practices - Policies, Usage and Cost Savings Experience
August 2008
This company is in the process of rolling out a new procurement card to employees. In conjunction with the new card we are updating our P-card usage policy and are looking for best practices surrounding the communication of the policy to current and potential P-card holders. If your organization has implemented a P-card policy, your insight would be appreciated. Questions: 1. If your organization uses P-cards, what is your policy for their use? (For example, who gets them? Spend limits? Categories able to purchase? Consequences of misuse, etc?) If you do not use p-cards, please describe briefly why they are not used or not appropriate for your organization. 2. What percentage of your organizations total annual spend is on your procurement cards versus non-PO spend? 3. How is your P-card policy communicated to users to ensure their understanding of the breadth and limits of appropriate use without listing all possible purchase categories? 4. What has been your estimated cost savings/costs avoided from p-card usage? (Hard $ savings by reducing POs and/or soft savings from shortened lead times, delegation of spend authority to card holders, cost control, etc.) 5. What advice/insights can you share with us to assure a successful launch of our P-card rollout?
 
305. Petroleum Industry 2008 Supply Management Organization Benchmarking Report
August 2008
CAPS Research
The Petroleum Industry Benchmarking Metric Report 2008 contains key supply management performance measures including organizational structure, professional development, financial information, and supplier relationships and alliances. Breakouts were provided for Integrated, Upstream, and Downstream organizations.
 
Tags: Petroleum
304. Telecommunications Services Industry Benchmarking Metric Report 2008
August 2008
CAPS Research
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.
 
Tags: Services
303. Industrial Manufacturing Industry Benchmarking Metric Report 2008
August 2008
CAPS Research
The Industrial Manufacturing Industry Benchmarking Metric Report 2008 contains key supply management performance measures including organizational structure, professional development, financial information and supplier relationships and alliances.
 
302. Financial Services Industry Benchmarking Metric Report 2008
July 2008
CAPS Research
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.
 
301. Engineering Construction Industry Equipment Material Procurement Performance Metric Report 2008
June 2008
CAPS Research
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.
 
300. Pharmaceutical Industry Benchmarking Metric Report 2008
June 2008
CAPS Research
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.
 
299. Finding and Keeping Chinas Best Talent
June 2008
Andrew Grant
McKinsey & Company
QUESTIONS ANSWERED IN THIS PRESENTATION: * Why is talent an issue? * What are the underlying talent market dynamics? * What can you do to attract and keep Chinas best talent? ALTERNATIVE STRATEGIES: * Keeping what you have...retention of current talent: ** S-curve compensation ** Stress opportunities versus compensation ** Long term incentives ** Unlocking the potential of women * Re-wiring the fundamental approach: ** "60% ready" solutions ** University Partnerships ** "Tailored to China" solutions ** Environment matters * Re-tooling your talent engine to manage increased scale and complexity: ** Hot-housing ** Creating the "pre" pathway ** Higher velocity apprenticeship pathways Note: Presentation includes several photos to make a point.
 
298. Logistics in China
June 2008
Paul Man
APL Logistics
This presentation by APL Logistics contains an excellent and highly detailed report on the current and forecasted economics and demographics of China followed by a comprehensive description of Chinas current logistical networks (rail, roads, ports), those that are under development, and the logistical challenges facing its 1.3 billion citizens . (One interesting component of the presentation covers Chinas preparation for the 2008 Olympics to ameliorate air pollution and traffic congestion.)
 
297. IBM Procurement - Global Procurement Centers Overview
June 2008
Dan Meng Zhang
IBM
This presentation covers the following topics: * Global Procurement Centers role in a Globally Integrated Enterprise * What are IBM Global Procurement Centers (GPC) * What do GPCs do? At a glance * Procurement Centers - Location and Country Coverage * Procurement Center Chronology * Procurement Center Evolution * China Procurement Center * India Procurement Center * Hungary Procurement Center * Global Procurement Business Case - HCC Vs LCC * Current Headcount in the Procurement Centers * Center Key Performance Indicators * Procurement Center Productivity & Innovation Strategy Status * 2008 Projections WHAT ARE IBMS GPCS? Serve as dedicated Delivery Centers catering to back end source to pay delivery solutions for IBM and our external Business Transformation Outsourcing clients. WHAT DO THESE GPCS DO? * House multiple procurement competencies * Procurement Operations (PO transactions, Supplier Set up, post PO support) * Customer Care (Call Center, Procurement, Application Support, Account Payables Help Desk) * Tactical Sourcing (Source Selection/Fair value, contract administration and maintenance, SOW etc.) * Sourcing Hub (Strategic Sourcing, supplier relationship management, catalog management, market intelligence, cost reductions) IN ADDITION, THEY: * Are strategically located for cost, efficiency and speed of execution * Serve as a specialized procurement Global Call Center
 
296. Cargill Procurement Overview
June 2008
Weicheng Wang
Cargill Investments (China) Ltd.
This presentation focuses upon Cargills China Procurement Initiatives: * Strategic Sourcing ** Spend Analyze ** 9 Step Sourcing Model * Effective Implementation ** Financial Impact ** Challenge & Actions * Organization Alignment ** Global Organization Structure ** China Procurement Structure ** Definition on Role & Responsibility of Procurement Participants Nine Step Strategic Sourcing Model (Details of each step provided): 1. Opportunity Analysis, Spend Analysis 2. Category Analysis / Deep Dive 3. Develop Strategy 4. Screen Suppliers / RFI 5. Bidding Event / RFx (RFP, RFQ, etc.) 6. Negotiate and Award 7. Contract 8. Implementation 9. External Relationship Management Challenges to Effective Implementation of our Initiatives: * Supplier Management: Highly fragmented spend results in suboptimal leverage and bloated supplier base. * Compliance: Lack of visibility to category spend makes compliance virtually impossible. Actions to Meet these Challenges: * Standardize Procure to Pay Procedure / Process * Integrate Procedure / Process into ERP System The remainder of the presentation provides an overview of Cargill-Chinas organization structure and their Best Cost Country sourcing model.
 
295. Physician Preference Item Management: Buffering and Bridging Strategies
June 2008
Eugene Schneller, Ph.D.;Natalia Wilson, MD,MPH
Arizona State University
While many hospitals and integrated delivery network systems employ value analysis strategies to determine and agree upon equivalencies for physician preference items (PPIs), success in standardization, controlling costs, and overall management of PPIs (PPIM) remains very difficult. Case studies from four best practice hospital systems, HCA-West Florida, Nebraska Orthopaedic Hospital, Resource Optimization and Innovation (ROi)/Sisters of Mercy Health System, and New York-Presbyterian Hospital, reveal innovative approaches to PPIM by the respective hospitals through use of buffering and bridging strategies.
 
294. Best Practices for Outsourcing the Sourcing of Indirect Spend
May 2008
We are outsourcing large portions of the sourcing of our indirect spend and want to learn from others who have done similar activities. These indirect goods were managed previously by our internal sourcing professionals who managed sourcing engagements for the users, or stakeholders, of the individual categories. With our new arrangement, an external sourcing professional will manage this engagement. Please help us as we go forward with this outsourcing strategy by responding to the following questions. Questions: 1. Have you outsourced the sourcing of some or all of your indirect spend to a third party? If YES, what percent of your indirect spend is outsourced to a third party? If NO/NONE, you need not continue.) 2. How did your firm decide what indirect spend categories to outsource to a third party and what not to outsource? For example, the category is strategic/non-strategic; internal professionals have inadequate/adequate sourcing knowledge of the category; price and service leverage is gained/not gained by outsourcing; other deciding factors? Please elaborate. 3. What factors did you use to determine if a category was "strategic" or not. Are there examples of this work that you would be willing to share with us? Please elaborate. 4. What type of organization do you maintain within your firm to manage the third party? How many FTE people do you have dedicated to this managerial function? Briefly, what are their responsibilities and titles? 5. How is your third party provider organized to service your company? For example, have they placed resources (people, inventory, etc.) within your firm? If so, please elaborate. 6. Does the third party use a group of centralized resources or just local resources with your firm? 7. What measures define success for the work that is done by the third party?
 
293. Extent of and Experiences with Centers of Excellence (COEs)
April 2008
Many companies ask their supply management professionals to perform every phase of category management and other sourcing and supply management activities for their specific category or supported business unit. Although one professional can learn to be effective at ANY activity from supply market analysis through e-sourcing, negotiation, implementation and supplier management, it is unlikely that they are effective at ALL of them. To overcome this deficiency, some procurement organizations have created Centers of Excellence (COEs). Questions: 1. Have you implemented, or are you considering creating, Centers of Excellence (COEs), defined as: Pools of experts providing specific functional execution in support of business owners across multiple categories or business units) around any of the following Supply Management competencies or capabilities? If YES, please respond to Questions 2 - 12. 2. Spend Analysis: If YES, please briefly elaborate. 3. Supplier Market Intelligence: If YES, please briefly elaborate. 4. eSourcing (executing eRFxs and reverse auctions): If YES, please briefly elaborate. 5. Negotiations teams to support category/sourcing experts in negotiating optimal deals: If YES, please briefly elaborate. 6. New supplier/contract implementation: If YES, please briefly elaborate. 7. Catalog operation and item/master data management: If YES, please briefly elaborate. 8. Savings Forecasting/Tracking: If YES, please briefly elaborate. 9. Call center/ticket management to handle level-1 and level-2 support for any all questions, incidents or issues that come up from the client or supplier base: If YES, please briefly elaborate. 10. For any COEs that you have created, have the teams been partially or entirely virtual (team members located wherever they are and report to a COE leader)? or physically centralized (team members doing one function are all located at the same site)? or off-shored (team members doing some of the function from lower labor cost countries)? 11. Other. COEs, not indicated above, you have created or are planning to create: If YES, please briefly elaborate. 12. In general, what has been your overall experience with COEs?
 
292. Measuring Purchasing Effectiveness
March 2008
Roberta J. Duffy
CAPS Research
As supply executives try to optimize their organizations and drive more value to the company, theyre 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.
 
291. Extending an Innovation Culture Across the Supply Chain
March 2008
Michael Thieneman
Whirlpool Corporation
This keynote presentation focused on Whirlpools formal innovation process that involves everybody in the firm and extends to their suppliers. Whirlpools definition of innovation is: - Unique and compelling solutions valued by our customers and aligned to our brands; - Creates competitive advantage and/or is a part of a sustainable migration path; - Creates differentiated shareholder value. Next, the journey towards a formal innovation initiative is outlined, beginning with a launch meeting of 20 high-level executives in 2000, followed by the level of resources committed to the initiative (2000-2006), the creation of "I-Mentors", the development of a management system to sustain the innovative momentum, the formation of a Global Innovation Council, a system to track progress, and tools to facilitate innovation. In 2005 Whirlpools innovation initiative began to show payback, and case studies of innovations in their appliance line are outlined, including "Eggo" a countertop washing machine shaped like an egg. Next, Whirlpools engagement of their key suppliers in innovation is presented. They target only the most innovative suppliers, train them ion their processes, and give them homework assignments to develop innovative solutions to real problems. To date, over 100 suppliers have been trained and they have produced over 160 innovations. Finally, "Lessons Learned" are presented.
 
290. Enabling Innovation in a High Performing Procurement Organization
March 2008
Harlen Pyle;Jose Morales
Accenture, Inc.
Representatives from Accenture were invited to present an overview of their findings regarding innovation in their client organizations. Extensive definitions of innovation are presented including one by Peter Drucker ("Change that produces a new dimension of performance") a dictionary definition ("A new idea, method, or device") and a 4 stage model by AMR Research that defines procurement innovation. Next is a 2-dimensional model that identifies nearly 30 strategic initiatives developed from the 1980s to the present that procurement can contribute to firm-wide innovation, including reverse auctions, green procurement, strategic sourcing process, early supplier involvement, outsourcing, supplier development, and others. Several case examples are provided, including innovation via green procurement, an oil field services companys innovation strategy, and a global banks use of outsourcing to upgrade its procurement functions. Included are additional models for implementing an innovative culture into an organization are and strategies for involving the supply base in innovation through supplier development initiatives. The presentation ends with a list of "Next Steps: Where Do You Begin"?
 
289. Enabling Business Growth - Acquisition Integrations
March 2008
Mike Slomke
Honeywell
Honeywells strategy for the successful integration of their acquisitions into their Automation and Controls Solutions SBU is presented. Emphasis is placed on the goals and strategy for the integration of procurement functions with acquired entities. "Acquisition Integrations" (the goal is to broaden product and service offerings through acquisitions) is one of six major strategies that Honeywells procurement group focuses upon to create value by growing revenue, earnings and cash. Managements primary expectations from the procurement group regarding the integration of new acquisitions are: * Material savings (direct, indirect) * Continuity of supply * Working capital improvements * Headcount synergies * Organizational integration and fictionalization Other examples of procurement opportunities from AI are provided, including: * Standardization of contracts * Access to new talent and procurement processes * Supply base consolidation * Price and process benchmarking Next, is Honeywells model of the six dimensions of procurement integration followed by a model of AI complexity (less difficult to more difficult) in the supply base, systems, spend, sourcing organization, business unit integration, and production footprint. Finally, the presentation ends with a list of 16 "lessons learned."
 
288. Acquisition and Transformation - GE Aviation
March 2008
Mike Taylor
GE Aviation
This presentation covers GE Aviations strategy for the successful integration/transformation of their acquisitions into the parent company. Emphasis is placed on the strategy for the integration of procurement functions from acquired operations. GEs world class supply chain focuses on four areas: Sourcing, Cost Reduction, Process Improvement, and Talent Management, all of which are considered in acquisition integration and transformation. Take-aways/conclusions cited are: * Every acquisition is different with regards to expectations/benefits, company culture, integration leadership, and products/markets; * Every acquisition is the same in regards to the shareholders expected benefits...1+1=3; * Endorse the change; * Transformation is essential for growth today, it occurs in many ways, and leaders of the transformation must be change agents, and have these traits: have an external focus, be a clear thinker, have an imagination, have courage, be an inclusive leader, and a confident expert.
 
287. Supply Collaboration - U.S. Postal Service
March 2008
Susan Brownell
U.S. Postal Service
This presentation covers the United States Postal Services initiative for collaborating with both internal clients and suppliers to achieve cost savings. A framework is presented for implementing this initiative and the following two case studies present a sampling of the four that are covered in the presentation: Use of Advanced Sourcing Technology for Terminal Handling Services: * Used CombineNet combinatorial optimization software to source 65 THS sites, evaluating over 2,500 bids * Collaborated with business partners and field representatives from each of the USPS Areas * Allowed site bundling to gain visibility into supplier "sweet" spots * Held 2 rounds of on-line bidding and conducted negotiations. * Result: 10.7%, a $70M savings over 6 years compared to historical pricing * Increased small business impact Collaborative Design of Flats Sequencing System: * Integrated team: Engineering, Purchasing, Logistics, Operations, Facilities and Suppliers * Iterative design & development process-simulation, prototype, pre-production, and production * Performance-based requirements: Continual refinements based on cost/benefit/risk analysis * Direct engagement of subs * Spare parts analysis * Value Engineering * Result: >$100M savings
 
286. Sustainability: A Role for Strategic Sourcing?
March 2008
Scott Montgomery
Cargill, Inc.
This presentation details Cargills strategies for environmental sustainability as well as their overall social responsibilities as a food producer. Cargill defines sustainable agriculture as follows: Sustainable agriculture will meet the needs of the present while improving the ability of future generations to meet their own needs by: * Increasing productivity to meet future nutritional needs while decreasing impacts on the environment * Improving human health through access to safe, nutritious food * Improving the social and economic well being of agricultural communities Included in the presentation are their suppliers extensive responsibilities towards the environment. Further, the role of sustainability in their strategic sourcing process is outlined. Included in this outline are the assigned roles, qualifications for these roles, and responsibilities for Cargills: * Supplier Relationship Managers * Subject Matter Experts * Business/Functional Stakeholders
 
285. Innovation that Matters...for Companies and the World - An IBM Viewpoint
March 2008
Kathy Fuller
IBM Corporation
This keynote presentation discusses IBMs rigorous process for continuous innovation. Described are their on-line "ThinkPlace," an electronic suggestion box and their annual "lnnovationJam", a world wide innovation event. Here are the attributes of "ThinkPlace": * Demonstrates that every IBMer can be an innovator * Surfaces innovative solutions to specific challenges * Open, collaborative global forum * Creates a culture in which collaboration and interaction across silos is essential for innovation * Rewards innovators and innovative ideas in tangible, visible ways * Facilitates exchange of "smaller" ideas Innovation-Jam 2006: * A 72-hour "jam" session - there were 150,000 participants in 104 countries * 46,000 ideas contributed * $100M investment needed to bring 10 innovative ideas to reality, as follows: * Near-term: ** Smart Healthcare Payment Systems ** Simplified Business Engines ** Real-time translation Services * Mid-range:: ** Intelligent Utility Networks ** 3D Internet ** "Digital Me" ** Branchless Banking for the Masses ** Integrated Mass Transit Information System * Blue-sky: ** Electronic Health Record System ** "Big Green" Innovations Finally, the presentation covers IBMs supplier collaboration initiatives, providing examples of telecommunication innovation with a Canadian firm, and logistics network optimization in Europe.
 
284. Supplier Relationships - Rolls-Royce
March 2008
Beverly Gaskin
Rolls-Royce plc
This presentation describes the processes that Rolls-Royce developed and used to move from adversarial relationships with their suppliers to one that embraces cooperation and collaboration. Included are their seven principles for best practices in sustaining strong ties with the supply base, as follows: * High performance is critical to sustain relationships * Mutual respect and benefits are the foundation of all supply chain relationships * Joint innovation and improvement achieve more than individuals working alone * Clarity of purpose and transparency of process are essential if we are to successfully work together * We will have the right people empowered to do the job - and doing it * Two-way quality communication that meets the needs of both parties is fundamental to effectiveness * Short-term or opportunistic actions that hurt either party are counter-productive to the health of our key relationships In addition, Rolls-Royce aspires to be their suppliers favorite customer by: * Being the best customer their suppliers deal with * Creating a more supplier-focused organization that can develop strategies and plan and execute them jointly with suppliers * Working closely with suppliers to achieve the change suppliers and Rolls Royce want to see. Finally, future requirements for customer-supplier success are noted: * Less complex organization and supplier interfaces * Developing and deploying clear commodity and supplier strategies enabling earlier supplier involvement * Improving skill set of purchasing professionals * IT improvements - global supplier portal developed and being deployed * Measuring performance by Total Cost * Engaging with suppliers, recognizing their needs and the value of strong relationships * Healthy dose of respect for one another
 
283. General Mills Sustainability
March 2008
Dave Sorensen
General Mills, Inc.
This presentation outlines General Mills strategies for environmental sustainability. An extensive definition is given for sustainability as well as specific activities performed by them and their suppliers and major customers. First, the presentation outlines what sustainability means to General Mills: * Going beyond compliance with applicable environmental requirements and delivering sustainable business value. * Minimize any potential adverse environmental impacts associated with operations through: ** Reduction of water and energy use ** Control of air emissions and wastewater discharges ** Proper management of potentially hazardous materials ** Minimization of solid and hazardous waste generation ** Prevention of spills or releases * Encourage supplier social responsibility on labor laws and environment ** Statements included in Terms and Conditions ** Labor Law Commitment Letters ** Environmental Champions Supplier Sustainability Program * Provide Sustainability Leadership to major customers and industry associations such as: ** Wal-Mart ** Grocery Manufacturers Association ** Suppliers General Mills has a long History of Sustainable Activities: (Reduce, Reuse, Recycle) Here are the additional steps taken since 2002 to elevate General Mills sustainability focus: * Created Corporate Sustainability Officer. * Researched GMs use of raw materials, energy consumption, impact on air and water from manufacturing, materials used in packaging. * Benchmarked current sustainable development programs in food and other manufacturing industries. * Advanced GM research knowledge base for developing sustainable products and packaging. * Improved plant operations reporting of continuous improvement to minimize environmental footprint. * Established WWS program with major suppliers to understand their commitment and performance of their respective energy management systems. * Surveyed and received Supplier Commitment Letters on their Labor Standards Compliance. * Created an internal Online Sustainability Development University for GM employees for better understanding of sustainability in the food industry. * Included Statements on Labor Standards and the Environment in GMs Purchase Order Terms and Conditions. Next, examples of specific environmental sustainability actions are presented, followed by a description of their Supplier Sustainability Program.
 
282. Third-Party Risk Management
March 2008
James Ward
Eli Lilly and Company
This presentation explains Lillys formal process for identifying, assessing, mitigating and managing the potential risk of third parties (suppliers). A step-by-step process of this initiative and their time frame for full implementation is shown. The process steps are: * Identify potential risk associated with a supplier * Assess the probability of the risk occurring and its impact: ** What would the impact be if the event did occur? ** What is the probability of occurrence? ** What mitigating factors are already in place? ** What is the overall score for each criteria? * Accept the risk or mitigate the risk ** All mitigation plans consist of: *** Description of risk *** Priority rating *** Proposed solution *** Solution owner *** Timeline * Communicate to stakeholders: ** All decisions to accept or mitigate risk are communicated to: *** Line management *** Support functions *** Third-Party Governance team *** The Board of Directors
 
281. Inventory Verification and Management Processes
January 2008
This company is always engaged in continuous improvement initiatives. They are currently interested in obtaining information from other CAPS Research CPOs on best practices in regards to verification and management of inventories. 1. How do you formally classify your inventories of parts (or items, components, categories, or commodities)? ABC Classification? Pareto 80-20 classification? Other classifications? Please elaborate, including your classification break points for A, B, and C categories, or other classification methods, (e.g., A items are 10% of items, but account for 60% of the total value of inventory of items; Bs are 40% of items, 30% of value; Cs are 50% of items, and 10% of value.) 2. If you classify, for inventory management purposes, how do you assign a part to a classification? For example, by individual part value? By total value of the inventory of the part? By ship-set quantity and dollar value? By degree of criticality of the part to sustain production? Other or some combination? If you do not classify, please indicate here, and please continue with Question # 3. 3. Do you conduct a complete physical inventory count, or do you perform cycle-counts? Please elaborate on the methodology used, including if the activity is outsourced or done internally? 4. Do you have an electronic cycle-counting system? If so, please elaborate on its value. 5. Do you conduct "blind" counts? 6. Do you use "eye-balling", scales, or other methods to count large quantities?