As most everyone is well aware
As most everyone is well aware, the days ahead are filled with lots of rhetoric regarding ?change? politically in both Washington as well as in our local elections.
I asked Alex Borbely SafeSourcing Inc. Vice President of Sales and Services to collaborate with me on a blog post as to his thoughts on the use of e-procurement tools in retail and what may be impacting their use in the retail market. Alex chose to speak about change; which became a great collaborative subject for this blog post.
Regardless of the elections outcome, I would bet that ?Change? is something that we?ll all become more accustomed as the economic times require all of us to realign ourselves with reality. Reality can mean a variety of things to all of us, smaller homes, less traveling around town in our cars, and even less extravagant dinners on Saturday nights!
The concept of ?change? also applies to what we all do in our daily work lives as we realign ourselves as to how to procure goods and services whether for resale or not for resale. Procurement today can mean many different things depending on who we are speaking with at the time.
One of my favorite Blog posts for e-procurement is Spend Matters where Jason Busch recently wrote ?According to a recent press release on the subject of a Hackett Research Alert , Hackett’s research shows that world-class organizations, “now spend 22% less than typical companies on procurement operations (.64% of spend for world-class companies versus .82% for typical companies), and operate with 37% fewer staff (48.4 per billion US$ of spend for world-class companies versus 76.4 for typical companies). World class companies also generate 129% higher spend cost savings, including reduction and avoidance while also delivering greater stakeholder satisfaction and support for initiatives in sustainability, innovation, working capital improvement, and other areas. At a typical Global 1,000 company (with annual revenue of $22 billion and annual sourceable procurement spending of $8.9 billion) would have more than $16 million in incremental annual savings on procurement operations, and over $263 million in additional annual spend cost savings.” What does this mean to the retail market? Please visit Part II of this blog post tomorrow .
As always we appreciate and look forward to your comments.