Supplier Management

Strategic leveraging of public procurement critical to success of industrial policy

The latest Industrial Policy Action Plan (IPAP) has slated current public procurement for “not delivering adequately on either value-for-money or key industrial objectives.” The plan calls for a reform of public procurement legislation, regulation and practices that result in “ad hoc” rather than strategic purchases. It details how the Government’s R846-billion infrastructure spend over the […]

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SRM: How not to bite the hand that you feed

The financial meltdown and global economic downturn has put tremendous pressure on suppliers. This, in turn, has strained client / supplier relationships as clients rightfully expect continued supply and service levels while suppliers may be struggling to ensure continuity. The saying goes “Don’t bite the hand that feeds you” but experienced procurement people know that

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Uncovering huge savings possibilities in operational procurement

There’s never been a more important time for procurement to identify and direct their organisations to realise potential cost savings effectively, both within current spending and also when assessing new ventures. One area of focus is the purchase to pay (PTP) arena. A key indicator of a world-class procurement organisation is the use of a

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Cost-cutting measures at the expense of strategic goals

How informed is your organisation about supply chain risks? Why should Procurement professionals only implement cost-cutting measures once they fully understand the ‘big picture’ aspects associated with supply chain risks? This is the third article in SmartProcurement’s World-Class Procurement Practice series, penned by Ronald Mlalazi (MCIPS), Commerce Edge Academy’s Edu cation Manager. This month’s article

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The Role of Strategic Procurement in Supplier Development

It is imperative that supplier development forms an integral part of a buying organisation’s strategic procurement role to ensure a continuous supply of cost effective products and services, Thapelo Petje, Independent Supply Chain Consultant, tells SmartProcurement. “In order to have an integrated supplier development strategy a buying organisation must have the following framework in place:

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4 steps to an optimised supply chain

Today’s supply chains across all industries are becoming significantly more complex. Suppliers, distributors and retailers are faced with the combined challenges of global sourcing and fulfilment, shorter product life cycles, increasing amounts of legislation, the dynamics of multi‐channel retailing, the speed of technological advances and now, the most challenging economic circumstances in a lifetime. These

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Black-owned firms penalised for using white talent

The chairperson of South Africa’s largest wholly owned black auditing firm has expressed concern over BEE codes which penalise black-owned firms who expand their skills base with white talent. “Gobodo Incorporated needs to further expand its skills base and attract top auditing minds for the large accounts for which it is responsible. Based on my

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How well do suppliers receive your RFPs?

What does it feel like to be a bidder or tenderer responding to your Requests for Proposal (RFP) or Requests for Quote? Trained and experienced Procurement professionals labour under the common misapprehension that their RFPs or similar tender documents are perfectly constructed, fully understandable, complete and with no errors. Sadly, this is not always the

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Municipal finance study: dissatisfied customers results in billing queries

Scholarly research into the payment habits of City of Johannesburg (COJ) Municipality customers has linked non-payment of accounts to customers’ queries and dissatisfaction with services. In his Master’s thesis which explores the potential relationship between the accuracy of municipal bills and the propensity of customers to pay them, UNISA School of Business Leadership student and

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SRM offers improved organisational efficiency

An amount of 36% of delegates attending an international purchasing and supply management convention in the UK said that supplier relationship management (SRM) has helped increase their organisations’ efficiency the most, reported Supply Management recently…. This underscores the findings of international research conducted by the Centre for Advanced Procurement Studies (CAPS) in the USA, which

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