Archive for February, 2022

We Can Source Anything Part 2

Wednesday, February 2nd, 2022

 

Today’s post is by Dave Wenig is the Senior Vice President of Sales and Services at SafeSourcing Inc

In this month’s installment of “We Can Source Anything” we’ll consider fuel. I’m sure many of you don’t purchase fuel in bulk, but this is a really good example of how we can truly source anything. In last month’s entry, we talked about jet fuel and charters, so I suppose many of our readers don’t source that either. The point is that no matter how obscure your need or how challenging it might seem to use an eProcurement process to source it, we can work with you.

Over the years, SafeSourcing has worked with some of our customers to source their fuel needs in a variety of markets and for various categories. If you’re a regular reader of the SafeSourcing blog, you have probably read that we have an average savings greater than 24% and that we consider any event that achieves over 25% to be a Grand Slam. These were certainly not Grand Slams from a percent saved perspective, but I would absolutely call them a Grand Slam from a dollar saved perspective. For example, causing the vendors to have to compete for spot buy volumes on 1000 RBOB, 80 PBOB, 50 ULSD, and more caused over 1.5% savings in one market against millions of gallons of fuel.

Along with fuel, we’ve also sourced many additives in bulk for those same customers, also with great success such as IVD additive and others.

Finally, let’s not forget that fuel services may also come into play. Companies that have a diesel fueling service as an example have done very well using our services to source that program savings on average about 7.5% overall. Depending on fleet size, this can become a very substantial source of savings annually.

The point is that SafeSourcing’s services should not be limited to mere supply categories. We do so much more than that. Check back in the future and I’ll share more examples of some out of the ordinary sourcing activities.

For more information, please contact SafeSourcing.

 

 

 

Revisiting Your Supply Chain

Tuesday, February 1st, 2022

 

Today’s re-post is by Dave Wenig, Senior Vice President of Sales and Services at SafeSourcing.

Many companies have had to make significant changes as a result of the COVID-19 pandemic. The reality is in many cases, businesses have faced the reality that it will be a long time before they are able to get back to where they were at the end of 2019. Whether your company relies on a global or domestic supply chain, it is very likely that some of the vendors that you rely on have faced challenges.

Now more than ever, it is important to revisit your supply chain and be certain that you will have the supplies you need to operate under your new conditions. As part of that effort, it is time to consider whether your previous agreements are still appropriate. For example, you might find that you only expect to do a fraction of the business that you used to. That will mean that you might not be able to meet your previously agreed volume commitments with your vendors. Conversely, you might find that your business now has need for in-demand supply items that you didn’t need before. Many are also under increased pressure to reduce costs as well.

Regardless of your specific situation, the reality is that now is the time to fully assess your needs and to negotiate all aspects of your supply chain which may include renegotiating existing agreements early in light of the new realities.

Whether or not you are currently having challenges with your existing supply chain, this exercise is valuable. In recent online procurement events for customers we have found that many vendors are eager to earn new business and will happily rise to the occasion to be a primary or secondary source of supply. In uncertain times, having your pick between sources of supply might just make the difference in the event of a supply chain interruption caused by COVID-19.

At SafeSourcing, we typically tout the cost savings aspects of our eProcurement services. In this case, our customers have the added benefit of attaining both the cost savings and the added security that comes from ensuring your supply chain is strong.

Stay safe and don’t be shy if you need assistance. We’re all in this together. If you would like more information on how SafeSourcing can help you, please contact a SafeSourcing Customer Service representative.  We have an entire team ready to assist you today.