In an earlier post, I described what it takes to be an exceptional supplier. In that post, I said that good suppliers need good customers in order to enhance, even permit good performance. While the capabilities of supplier firms is important, so are their customer’s performance, business relationship and interactions with suppliers. Many supply managers [...]
There are parallels between parenting and management. Parenting can be good preparation for being a manager. Sometimes supplier management can feel like parenting. But some managers make the same mistakes when managing suppliers that they do when parenting their children. Here are seven supplier management approaches that you wouldn’t (and shouldn’t) use on your children.
1. Do [...]
I wrote about ideas for avoiding a supplier price increases in last two posts: 9 Ways to Fight a Supplier Price Increase and Supplier price increases — get creative. Avoiding price increases isn’t purely a matter of “just say no”, which doesn’t usually work unless you’re a big gorilla customer with a lot of market clout or are [...]
If you didn’t think space exploration was dangerous enough, here’s something else to worry about. NASA has been looking into outsourcing parts of the space exploration program to outside suppliers, reasoning that this is the best way to speed up rocket development and to save money. They reasoned that private contractors would be able to provide [...]
At the end of the year, and especially at the end of a decade, many top ten lists are popping up. So I’m joining in this list-making with the top ten reasons why firms should implement supplier performance management (SPM).
Find out how well suppliers are really performing Improve supplier performance such as quality, responsiveness, [...]
Yesterday Toyota announced that it is recalling 110,000 Tundra trucks built in 2000-2003 due to rust on the frames that is causing the spare tire to break off. Toyota is blaming a supplier, Dana Corporation, manufacturer of the cross member that holds the tire to the bottom of the truck, for the problem, and Dana [...]
In the past couple of months I wrote two guest posts on Spend Matters about an independent cycling trip that I went on in France. In the first post (An Uphill Battle with a Poor Supplier), I described how the tour company rented us supplier-provided bicycles that were in less than top condition, ill-fitted, missing air pumps and [...]
I recently heard a presentation at the AME Lean Conference that was given by representatives from Hershey Foods and K-Mart (part of Sears Holdings) about customer-supplier collaboration. A K-Mart General Manager and a Hershey Foods sales executive discussed how the two companies worked together on special in-store programs that delivered very strong financial results [...]
The Purchasing Management Association of Canada (PMAC) is offering a monthly webinar series on various topics of interest. As the second in the series, I am giving a webinar entitled: Evaluating Your Suppliers: Practical Approaches to Getting Results. It runs from 12:00 pm until 1:30 pm ET on Thursday, October 15th. This is a practical [...]
One of the greatest challenges in selecting the right suppliers for your company is know what you’re looking for. In order to know what you’re looking for, you need to have a supplier selection strategy that is linked to the priorities and strategies of your firm. Then this strategy needs to be translated into [...]