Archive for the ‘Sourcing Strategy’ Category

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Is the price of beef affecting your summer?

Tuesday, July 29th, 2025

 

Today’s post is by Troy Lowe; Vice President of Development at SafeSourcing.

Summers here and with that a lot of us like to hang outside and do a lot of grilling.  If you are one of the people that enjoy grilling, you may have noticed the price of beef is reaching record high prices.  The average price for a pound of ground beef just before the Fourth of July was $6.67 a pound, which is about seventy cents more than May and 50 percent more than five years ago.  One of the main factors behind the rising prices is the shrinking cattle population.  According to experts, the national herd has declined to around eighty-seven million, which is the lowest recorded since 1951.  Part of the problem is the prolonged droughts which devastated grazing pastures in the cattle producing states such as Nebraska, Texas, and Kansas.  These droughts have forced many farmers to cull their herds which account for the lower population.   Another issue that also affected the cattle is growing cases of the New World Screwworm which is a parasitic fly whose maggots burrow into and feed on the flesh of the cattle.  This led to the halts of imports from Mexico to the U.S., but the U.S. Department of Agriculture (USDA) recently stated that some of the ports could reopen soon.  Unfortunately, the USDA predicts that cattle prices will remain elevated into 2026, which means the retail beef prices probably won’t drop for several years. Even with the high prices, it remains Americans’ second-favorite choice of meat, according to the USDA, with nearly fifty-seven pounds of it being consumed per person annually. Until the prices start to come down you may want to look into some of the following options to reduce your costs.

  • Choose the Right Cuts
  • Buy Whole Cuts and Trim Yourself
  • Stretch your Meat with Fillers
  • Buy in Bulk and Freeze
  • Consider other Grilling Options like Chicken and Pork
  • Make your own Rubs and Sauces

If you need help sourcing items for your company, feel free to contact SafeSourcing.   We can gather all the necessary information for you and help you decide which company and product meets your needs.  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.

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Prompts developed correctly are critical to benefiting from AI tool usage Part I of II

Thursday, June 19th, 2025

 

Today’s post is by Ronald D. Southard, CEO at SafeSourcing Inc

We have all heard about the impact that AI will have on jobs in the future. For some of us that time is now, for others maybe down the road a bit.

I have personally been using AI tools since they first became available. The speed at which it helps with all types of work is amazing. The tools are becoming better, smarter, faster, and more accurate every day. However, a caveat is that if you are trying to solve a business problem and have no experience in the industry or business area you are prompting to, you may create more issues than you solve for your company and your customers, because you do not know the right questions to ask to begin with. Experience does count even in the AI space.

In the procurement space where I work, there are many people blogging and writing about how to correctly use eRFX tools. Questions abound about the proper use of an RFI’s, RFP’s and RFQ’s. You may even have a desk full of finished examples of these processes. The question is, have you written one, supported one, evaluated one. If the answer is yes, have you done so across multiple industries? Have you delivered the final results  through a written executive summary that recommends award scenarios  and next steps required to proceed to a contract.

If the answer to any of the above is yes, then maybe you can write a Prompt that will deliver clean results in a usable format that may save your business time and save your customer money and potentially process improvement. If the answer is no, how can you write a good Prompt  to begin with and how will you know if the answers being provided by your AI tool of choice are correct.

Once you develop a great Prompt, what do you do with it? That’s a question we’ll answer tomorrow in Part II.

SafeSourcing is a Procurement as a Service (PaaS)  provider of a number of e-Procurement solutions and associated white glove services that are part of our PaaS offered SafeSourceIt™ eSourcing suite. We have the tools, we have the knowledge, we have the experience, and we have the AI prompts that deliver results.

To learn more, please contact a SafeSourcing customer services associate.

 

 

 

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Procurement and Smarter Purchasing!

Tuesday, June 17th, 2025

 

Today’s blog is by Margaret Stewart, Director of HR and Administration at SafeSourcing

In today’s business environment, eProcurement is no longer luxury but rather a necessity. But jumping in without a plan can lead to disjointed systems, inconsistent compliance, and missed savings. That’s why eProcurement planning is critical for organizations aiming to streamline purchasing, enhance transparency, and drive long-term value.

The process of designing, coordinating, and implementing an effective e-procurement strategy involves evaluating current procurement workflows, identifying technological needs, aligning stakeholders, and setting measurable objectives for automation and improvement. This ensures that the technology is integrated into the broader supply chain and business objectives.

First, an organization should begin with a thorough review of existing procurement practices, including manual processes, bottlenecks, supplier relationships, and current spend visibility. This baseline is essential for identifying pain points and setting goals. Procurement doesn’t operate in a vacuum. Involving finance, IT, legal, and departmental users in planning helps secure buy-in and ensures the solution meets cross-functional needs.

Next is to determine whether your goals are to reduce spend, shorten procurement cycles, or increase supplier diversity, establishing clear Key Performance Indicators (KPIs) will help measure progress and ROI. Choosing an e-sourcing platform and partner, like SafeSourcing, that supports your goal and considers features like e-sourcing, catalog management, approval workflows, and integration with existing ERP or finance system is essential to the success of the project.

A thoughtful eProcurement plan sets the foundation for a successful transformation. When done right, it aligns people, processes, and technology to unlock procurement’s full potential. Whether you’re modernizing a legacy system or implementing eProcurement for the first time, planning is what turns automation into advantage. By approaching eProcurement with strategy and structure, companies not only digitize purchasing — they empower it.

For more information on how SafeSourcing can help with your e-procurement needs, or on our Risk-Free trial program, please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.

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Procurement and Tariff Increases

Friday, April 18th, 2025

 

Today’s blog is by Margaret Stewart, Director of HR and Administration at SafeSourcing.

In an ever-challenged economy, procurement professionals are no strangers to volatility. One of the most impactful—and unpredictable—variables in recent years has been the rise in tariffs. Whether due to trade disputes, geopolitical tensions, or efforts to protect domestic industries, tariff increases are reshaping how organizations approach procurement.

Tariffs, essentially taxes on imported goods, directly increase the cost of affected items. For procurement teams, this can quickly escalate total spend, especially if critical materials or components are sourced internationally. Tariff-related cost hikes can blow through carefully planned budgets, especially for long-term contracts negotiated before tariff changes. Suppliers in tariff-affected regions may raise their prices or pass on additional costs to buyers. Frequent changes in trade policy make it difficult to forecast and plan procurement strategies with confidence.

To mitigate the impact of tariff increases, procurement professionals can adopt more agile and strategic approaches. Relying too heavily on suppliers from a single country or region increases vulnerability. Diversification helps reduce exposure to tariffs and supply chain disruption. For instance, if tariffs rise on goods from China, sourcing alternatives in Vietnam, India, or Mexico could offer relief. Some organizations are reevaluating their global sourcing strategies altogether. Bringing production closer to home—or at least to regions with favorable trade agreements—can reduce tariff exposure and shorten lead times.

Changing markets reinforce the need for changing contracts as well. Many companies are renegotiating terms to include clauses that account for tariff changes, allowing for cost-sharing or pricing adjustments in response to policy shifts. Focusing on purchase price alone is no longer sufficient. Procurement leaders must also factor in tariffs, shipping costs, lead times, and risk factors—to evaluate the full cost of sourcing decisions.

Tariffs are just one of many forces reshaping global procurement, but their impact is profound. With the right strategies in place, procurement partners, like SafeSourcing, can help your organization not only weather the storm but also thrive.

For more information on how SafeSourcing can help your e-procurement needs, or on our Risk-Free trial program, please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.

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The Evolving Procurement Environment!

Friday, February 28th, 2025

 

Today’s blog is by Margaret Stewart, Director of HR, and Administration at SafeSourcing.

Procurement plays a vital role in the global economy, but it is constantly influenced by geopolitical tensions, economic changes, and technological advancements. As we move forward, current affairs can and will shape procurement strategies.

The ongoing Russia-Ukraine conflict has disrupted global supply chains, especially in sectors like energy, raw materials, and food. Procurement teams are now prioritizing supply chain resilience, diversifying suppliers, and exploring nearshoring and reshoring to reduce dependence on unstable regions.

Sustainability is more crucial than ever, with consumers, regulators, and investors demanding ethical and eco-friendly practices. Companies are adopting green procurement strategies, such as sourcing renewable energy, choosing sustainable materials, and ensuring ethical labor practices. Blockchain and other technologies are enhancing transparency in supply chains, making it easier to verify product origins and sustainability standards.

The rise of AI, machine learning, and data analytics is revolutionizing procurement. These tools help businesses forecast demand, optimize inventory, and select the best suppliers. E-procurement platforms and automation are streamlining processes, reducing administrative costs, and fostering innovation. Blockchain technology is also ensuring secure and transparent contracts, which is crucial in today’s complex supply chain landscape.

Instead of transactional relationships, many companies are now focusing on long-term, collaborative partnerships with suppliers. This approach fosters innovation, ensures continuity, and reduces costs. Businesses are also diversifying their supplier base to include more diverse and inclusive partners, reflecting a commitment to social responsibility.

The procurement landscape is evolving, driven by global events and innovative technologies. To thrive, procurement professionals must embrace innovation, sustainability, and collaboration. By staying agile and adapting to these changes, businesses can position themselves for success in the increasingly complex global marketplace of 2025.

For more information on how the SafeSourcing can help your e-procurement needs, or on our Risk-Free trial program, please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.

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The Evolution of SaaS in Procurement

Friday, February 7th, 2025

 

Today’s post is by Eric Steller, Chief Revenue Officer at SafeSourcing Inc.

The Software as a Service (SaaS) industry has undergone a profound transformation. What once promised efficiency and scalability through out-of-the-box (OOTB) solutions has, in many cases, become a paradox—overly complex yet insufficiently tailored to an organization’s unique needs. The reality is that most SaaS platforms, when left to operate as standalone solutions, fail to deliver their full potential. This is why leading organizations are shifting toward hybrid SaaS and services models—an approach that accelerates time to value, ensures seamless execution, and maximizes financial returns.

The Limitations of Traditional SaaS: A Market Reality

While SaaS solutions were originally designed to streamline operations, market research confirms that the complexity of modern business environments renders most OOTB implementations ineffective. A recent study from Allied Market Research projects the hybrid cloud market—an indicator of demand for mixed technology and services—will surge from $96.7 billion in 2023 to $480.2 billion by 2033, growing at a staggering 17.4% CAGR. This shift underscores an essential truth: organizations require more than software; they need expert guidance and executional support to drive measurable results.

Moreover, pricing models within the SaaS ecosystem have evolved to reflect this reality. Hybrid pricing strategies, which combine software subscriptions with usage-based service components, are now critical in optimizing customer value and revenue scalability. Companies that fail to integrate service-led models risk leaving significant financial gains on the table (Hyperline Research).

SafeSourcing: A Procurement Powerhouse That Redefines ROI

SafeSourcing embodies this hybrid SaaS-services paradigm to perfection. Founded over 15 years ago by procurement visionary Ron Southard, SafeSourcing initially launched as a Software-as-a-Service (SaaS) platform. However, it became evident that while the technology itself was powerful, most organizations lacked the internal expertise to unlock its full potential.

Clients, almost universally, sought SafeSourcing’s direct involvement—not only to deploy the solution but to lead their procurement events with surgical precision. Today, SafeSourcing operates as a fully managed Procurement-as-a-Service partner, leveraging:

  • A proprietary tech stack for seamless execution of RFIs, RFPs, RFQs, also known reverse auctions or on-line bids.
  • A database of nearly 600,000 vendors spanning every conceivable category
  • A dedicated team of procurement specialists who run sourcing events daily, ensuring superior outcomes

The EBITDA Multiplier: Doubling Profits Without Adding Headcount

The results? Unmatched cost reductions. SafeSourcing clients consistently realize savings of 25% or more per category—a staggering figure that, in many cases, translates to a doubling of EBITDA. The impact is so profound that if an enterprise were to do nothing else—no process optimizations, no internal restructuring—SafeSourcing alone could double profitability through sheer procurement efficiency.

Can any other solution make such a claim?

A Strategic Imperative for Every CxO

Every executive, from the CFO to the COO to the CEO, faces a relentless directive: deliver better results, faster, and at a lower cost. Amidst growing economic pressures and increasing competition, the imperative to optimize procurement is no longer optional—it is existential.

SafeSourcing is not just a SaaS provider. It is a strategic partner that transforms procurement from a cost center into a profit engine. If your organization isn’t actively exploring SafeSourcing, the only question is: Why not?

For more information on how the SafeSourcing can help you improve your EBITDA NOW through our Procurement as a Service offerings, or regarding our Risk-Free trial program, please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.

 

 

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A Category Management Primer!

Wednesday, January 8th, 2025

 

 

Today’s post is by Ronald D. Southard, CEO at SafeSourcing Inc.

What is the structure of your buying organization?

Evolution to a category management structure began in the 1980’s. Many companies today have still not completely evolved to this structure. So, what are some of the elements of a category management structure and what do they do. Here are some definitions from the SafeSourcing Wiki which is free for anyone to use.

  1. CategoryManagement is a retailing concept in which the total range of products sold by a retailer is broken down into discrete groups of similar or related products; these groups are known as product Examples of grocery categories may be tinned fish, washing detergent, toothpastes, etc. Each category is then run like a “mini business” (Business Unit) in its own right, with its own set of turnover and/or profitability targets and strategies.
  2. A categorymanager (CM) analyzes product brands and mix, inventory levels, movement, shelf space allocation, promotions, buying, and profitability of a merchandise category. They manage the marketing for a range of related products in a way designed to increase sales of all of the products, as opposed to a brand manager who markets an entire brand of goods.
  3. Within a category, a category captain is the manufacturer‘s representative responsible for analyzing the productmovement, assortment, inventory management, promotion, buying, and profitability for a specific geographic area or an entire chain. They will be expected to have the closest and most regular contact with the retail In order to do the job effectively, the supplier may be granted access to a greater wealth of data-sharing.

If you would like to learn more about our daily posts or other SafeSourcing free tools like our SafeSourcing Wiki, please contact a SafeSourcing customers services associate.

 

 

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A Christmas related spend cube analogy. “Little Jack Horner sat in corner eating his Christmas Pie.”

Monday, December 23rd, 2024

 

Todays post is an oldie but goodie from Ron Southard CEO at SafeSourcing.

And it’s still true today.

The rest of the Little Jack Horner spend cube analogy might go like this. He stuck in his thumb and pulled out a peach and said what the heck is a peach doing in a plumb pie?

If you look to Wikipedia, there is no definition of a spend cube. You can find information relative to spend cubes in a discussion about spend analysis. However t the original discussion we are talking about data in this case multi-dimensional data about spend information. Consultants love to talk about it because it allows them to charge you a lot of money without necessarily delivering any results other than, well a spend cube.

Quite frankly you are going to hear terms like data model, data warehouse, data scrubbing, data cleansing, data access, data sources and incomplete data. All of which allow consultants to charge you more money in order to develop yours from what is likely incomplete data kept in many places like GL’s, ERP systems and the like.

Once you get your model or cube, I promise you additional discovery is going to be required in order to determine what categories or products should go to market. One category manager’s category is another category mangers product. So now what?

Don’t get confused by consultants touting their spend cube analysis software because if you do, you will be in for a dime in for a dollar and continue to get peaches when you are looking for plumbs.

If you’re totally confused, SafeSourcing can help with our SafeSpendAnalysis™, and we deliver results very quickly. Contact a SafeSourcing representative.

 

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Procurement at Christmas

Tuesday, December 17th, 2024

 

Today’s blog is by Margaret Stewart, Director of HR, and Administration at SafeSourcing

When most people think about Christmas, they envision twinkling lights, cozy sweaters, festive meals, and the joyful exchange of gifts. But beneath the sparkle and warmth of the season lies a bustling world of planning, logistics, and procurement. Whether it’s stocking stores with toys, ensuring turkey makes it to the table, or managing corporate holiday gifting, procurement professionals are the unsung heroes of Christmas.

From the bustling aisles of retail stores to the merry melodies of online checkout carts, procurement plays a crucial role in ensuring the products and experiences that define Christmas are delivered seamlessly. Behind the scenes, professionals are negotiating contracts, monitoring supply chains, and mitigating risks to ensure that stockings are filled, and tables are set. Procurement starts long before the holidays arrive. Retailers must forecast demand months in advance, securing deals with suppliers for toys, decorations, electronics, and clothing. A miscalculation in procurement could mean shelves are bare on December 24th—or worse, warehouses overflow with unsold inventory come January.

Holiday meals are central to Christmas celebrations, and procurement ensures the turkey, ham, cranberries, and all the fixings make it to households across the globe. Restaurants, supermarkets, and food producers rely on precise forecasting and resilient supply chains to source perishable ingredients. Procurement teams must address seasonal spikes, potential shortages, and weather disruptions—especially during the winter months. The same principles apply to Christmas treats: chocolates, cookies, and candy canes all require raw materials like sugar, cocoa, and dairy. A kink in the supply chain could lead to a very un-sweet holiday.

So, this Christmas, as you admire a beautifully stocked store, open your gifts, or enjoy a festive meal, take a moment to appreciate the invisible network of procurement, supply chains, and logistics that made it all possible. So, here’s to the procurement professionals who keep Christmas running smoothly because without them, Santa’s workshop wouldn’t stand a chance!

For more information on how SafeSourcing can help your e-procurement needs, or on our Risk-Free trial program , please contact a SafeSourcing Customer Service representative. We have an entire team ready to assist you today.

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Want to be more Efficient? Here are some MSFT Teams application shortcuts.

Thursday, November 21st, 2024

 

Today’s post is by Troy Lowe; Vice President of Development at SafeSourcing.

Are you utilizing the Teams application shortcuts?

A while back I wrote a BLOG on how to utilize the shortcut keys for Zoom.  Since then, Microsoft Teams has become a lot more popular tool used by professionals.  If you spend a lot of time using the Teams application, you could save some time and be more efficient by learning some of the built-in shortcuts.  The keyboard shortcuts are used by clicking a combination of the keyboard keys.  Two things that you probably do most often while using Teams can be done by using the shortcuts “Alt+Shift+V” and “Ctrl+Shift+H”.  These two shortcuts allow you to start a new video call and to end the active video call.  Besides these two shortcuts there are many more shortcuts available for use.  For example, using “Ctrl+Shift+K” will allow you to raise or lower your hand and “Win+Alt+K” will allow you to toggle mute during a meeting.  Memorizing the available keyboard shortcuts will make you more efficient because you don’t have to remove your hands from the keyboard to use the mouse.  Below are some other shortcuts that can be used.

Teams Shortcuts

  • Ctrl+Shift+A – Accept a Video Call
  • Ctrl+Shift+S – Accept Audio Call
  • Ctrl+Shift+D – Decline a Call
  • Ctrl+Shift+D – Start Audio Call
  • Alt+Shift+V – Start a Video Call
  • Ctrl+Shift+H – End Audio Call
  • Ctrl+Shift+H – End Video Call
  • Win+Alt+K, or, Ctrl+Shift+M – Toggle Mute
  • Ctrl+Shift+K – Raise or Lower Hand
  • Ctrl+Shift+Y – Admit People from Lobby Notification
  • Ctrl+Period (.) – Show Keyboard Shortcuts
  • Ctrl+E – Go to Search
  • Ctrl+Shift+F – Open Filter
  • Ctrl+Shift+N – Start a Chat in a New Window
  • Ctrl+Comma (,) – Open Settings
  • Ctrl+Equals sign (=) – Zoom In
  • Ctrl+Minus sign (-) – Zoom Out
  • Ctrl+0 – Reset Zoom Level
  • Cltrl+Alt+Shift+R – Report a Problem

Interested in learning how SafeSourcing can help your company run more efficiently?  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.

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