Clever suppliers will plan to introduce risks after you’ve entered a into contract or started a project. As part of a “foot in the door” strategy, they might be the lowest bidder initially but with a deliberate plan for increasing costs once the “Balance of Power has shifted”. A good example of this is in […]
Avoid, reduce or pass the buck on procurement risk… (Part 1) Read More »
There’s a “slight” difference between being notorious and famous… Succesful procurement projects can lead to being famous for the right reasons. But being notorious for spectacular project failures, leads to fame of the unwanted kind. Statistically, the chances are better that your procurement project would lead to notoriety. Look at some of these figures: Project
Famous or Notorious? Why Procurement Projects Fail Read More »
Supplier complaints that “different South African customer rate our BEE (black Economic Empowerment) efforts differently” and “each time we think that we’ve met the criteria, everything changes”, might be coming to and end soon with the recent introduction of the government’s BEE Codes of Good Practice..
I’ve tried to put the salient points of the new code as they apply to South African Procurement Professionals in this article. This includes an on-line calculator which you can use to calculate your Supplier’s BBBEE rating. (or send the article to them so they can do it themselves!) Links to the various detail documents as supplier by the Department of Trade and Industry (DTI) are also inlcuded.
Highlights: BEE Codes of Good Practice (Part 1) Read More »
By Bernie van Niekerk Its that time of the year…. Your SOLE supplier is about to present you “their valued customer” with their “negotiated” increase. They know, and you know that there is not much that you can do about it…. Now for whatever reason (part 1 of this article dealt with making sure you
PART 2: How to negotiate with a SOLE Supplier Read More »
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Tech Pro Personnel – Leaders in Supply Chain Recruitment Read More »
By Bernie van Niekerk You know the feeling …Their price increases are double that of everybody else’s… As far as their service is concerned well you’ve got 2 choices. 1. Take it or 2.Leave it! Their ”service” personnel are insolent to say the least. But there is one thing that you both know. namely, this
How to negotiate with a SOLE Supplier (Part 1) Read More »
By Bernie van Niekerk If it is true that “You can’t manage what you can’t measure”…, then what exactly is the “management objective” with measuring company buyers on the number of purchase orders they process a day? It is quite possible that this type of measurement could result in buyers buying the company faster and
Is profit made when you BUY or when you SELL? Read More »
By Bernie van Niekerk It seems that everyone in the organisation has a reason why Procurement should not get TOO involved in their particular area of the spend! Ask the IT function, and they’ll be of the opinion that IT’s too technical and only propeller heads can really understand it… Never mind the fact that
Why should SALES, IT or OPERATIONS enjoy a greater mandate than Procurement? Read More »
By Bernie van Niekerk No doubt, BEE is an ultra-hot topic. In this election year, it will dominate many political speeches. It will also dominate many deals and already is. (see BEE News section). For procurement professionals in Government and the Private sector this means meeting BEE targets. And the more broad-based the empowerment targets,
BEE Supplier Development: How to pass the buck but still get the credit Read More »
By Bernie van Niekerk March 1993. The New York Times reported that the Vice President for Worldwide Purchasing at the world’s largest Automotive Company was leaving. As a result General Motors (GM) lost 3.5% of its market value in one day! Jose Ignacio Lopez de Arriortua, was credited with saving GM more than $4bn during
How one procurement manager’s vision shook the auto-industry Read More »
