Today’s blog is by Gayl Southard, Vice President of Administrative at SafeSourcing.

After a year of promoting chicken sandwiches and wings, many restaurants such as Buffalo Wild Wings, KFC, and Wingstop are paying much more for poultry.  Some restaurants are running out of chicken or limiting the amount of tenders, fillets, and wings sold.  Some independent eateries and bars have gone weeks without wings.  The price of chicken breasts have more than doubled since the beginning of the year, and wing prices have hit record highs, according to Urner Barry, a market research firm.  Wingstop reported they are paying 26% more for bone-in wings this year.  One of the problems with the poultry industry is getting employees to work.  The lack of workers is affecting many industries.

At the beginning of 2021, chicken looked like a bargain for US restaurants.  Closures of dining rooms had contributed to the stockpile of chicken in cold-storage facilities.  Boneless, skinless breasts averaged $1 a pound last year.  Today, the same product is $2.04 a pound.  Over the past decade the average price was $1.32 a pound.  This is a huge increase!

The chicken sandwich wars in fast food chains have also contributed to increased prices.  Companies such as McDonalds, Popeyes Louisiana Kitchen, Inc., and Wendy’s introduced new crispy chicken offerings.  Chicken sandwiches have always been a better dollar value, especially for families.  The biggest problem for supermarket, fast food chains, and restaurants is keeping up with the demand.  A KFC spokesperson reported that they look forward to getting back to normal once the short supplies ease.

Chicken-wing prices have risen to $2.92 a pound. Fast food restaurants serving wings grew 33% in the past 12 months, ending in March 2021, compared to the previous year.  For chicken producers, the restaurants growing poultry appetite is driving a windfall and offsetting the higher grain prices.

For more information on how SafeSourcing can help your procurement efforts, or on our Risk

Free trial program, please contact a SafeSourcing Customer Service Representative.  We have an entire team ready to assist you today.

References———–

Heather Haddon and Jacob Bunge, WSJ, 5/7/2021

“When you talk, you are only repeating what you already know. But if you listen, you may learn something new.”—Dalai Lama

Today’s post is from our archives at SafeSourcing Inc.

A Knowledge Management framework is a complete system of People, Process, Technology and governance, which ensures that Knowledge management is applied systematically and effectively to improve business results.₁.

➢ People; knowledge management roles have to be established in the business, communities need to be set up to share and reuse tacit knowledge, behaviors such as seeking for and sharing knowledge need to be incentivized, and to become ‘the way we work’₂

➢ KM Processes; there has to be a tried-and-tested process for capturing, distilling, validating, storing, applying and reusing knowledge, and also for innovating.

➢ KM Technologies; the people and the process need to be supported by enabling technology, which allows knowledge to be found and accessed wherever it resides (in databases, on the Intranet, in people’s heads). IT plays an important role in KM, by providing the technology to allow people to communicate.₂

➢ KM Governance; without a governance system that promotes and recognizes sharing and the re-use of knowledge, any attempts to introduce KM are going to be a hard struggle. Stay tuned for next month’s blog where we explore more about Knowledge Management Framework.₂

Why is this important in your business?

A strong KM framework is vital for the success of Knowledge Management; as follows ₃

➢ With no accountabilities, it is nobody’s job.

➢ With no processes, nobody knows how.

➢ With no technology, nobody has the tools.

➢ With no governance, nobody sees the point.

We hope you enjoyed today’s blog. Stay tuned for next month’s blog where we explore more about Knowledge Cycle.  For more information on how SafeSourcing can assist you in exploring your procurement solutions for your business or on our “Risk Free” trial program, please contact a SafeSourcing Customer Service Representative.  We have an entire customer services team waiting to assist you today.

We look forward to your comments.

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^Resource: 

1. ^{http://www.knowledge-management-tools.net/different-types-of-knowledge.html}
2. ^{http://www.knowledge-management-cafe.com/faq/what-knowledge-management-}
3. ^{www.knoco.com/knowledg-management-framework-design.ht}

Today’s post is written by Ivy Ray, Senior Procurement Specialist at SafeSourcing Inc.

As the saying goes, necessity is the mother of invention.  Most often, it is not necessary to recreate the wheel; you just have to make the wheel more efficient. Some of our nation’s top inventions were created to make a task faster, or a product better than it was.  This was true for the food wars during and after WWII.

C.E. Doolin, of Texas, did not create the fried corn chip known as Fritos, nor is Herman Lay the creator potato chips.  Using the model of Henry Ford’s assembly line, they each developed and created a way to mass produce a better, more shelf stable product that we enjoy today. Doolin and Lay battled for years to maintain the market share for snack foods within their regions.

Once they had perfected their product to be resistant to spoilage, they each rallied to convince the U.S. Government to provide it as a filling snack for the troops who were serving all across the world.  The competition remained fierce for years until they combined forces in the 1960s to become Frito-Lay, one the largest snack food manufacturers in the nation.  Currently, revenue from the U.S. grain-based snack and bakery industry accounts for over $100 billion in annual retail sales.

The procurement role has been around since the ancient times, and has evolved over time. The basic benefit of supply chain management is to acquire the necessary materials to keep businesses running.  Supplier competition drives savings and gives your organizations the ability to focus on quality and dependability. There are currently several e-procurement platforms on the market; however the benefits of using an e-procurement solution that offers a complete procure-to-pay suite of applications to help your organization reach your strategic goals.  SafeSourcing has improved the wheel of procurement and will partner to help you improve your organization’s bottom line.

For more information on how SafeSourcing can help your procurement efforts, or on our Risk

Free trial program, please contact a SafeSourcing Customer Service Representative.  We have an entire team ready to assist

We look forward to your comments.

Today’s post is from Ron Southard, CEO of SafeSourcing Inc.

When I was in the US Air Force, our TI (Training Instructor) used to conduct “White Glove” inspections.  The obvious reason was to determine if our barracks were clean, And I mean CLEAN. He ran his fingers across shelves, tops of doors, under beds and anywhere that might contain dust or dirt. Believe me as a new recruit you did not want to have anything show up on those gloves.

Merriam-Webster Dictionary provides a simple definition of White Glove: marked by special care or attention : METICULOUS.// white-glove service.

At SafeSourcing, white glove service when it comes to hosting an eRFX RFI, RFP or RFQ which are also called reverse auctions or online bidding includes the following. Our customer services team thoroughly reviews the event strategies, supplier selection, contract terms and conditions, and any other information and requirements a minimum of three times by multiple associates before sending it for customer’s approval. Once the team receives an approval from the client, we send out invitations to the supplier community that have been approved for bidding. Simultaneously, our team plays an interactive role with the suppliers and encourages them to participate in the bidding, reviews all pertinent data with them and responds to any questions and concerns on behalf of our customer and finally teaches them how to use our tool. During the live event, our team is online and on the phone with the suppliers in order to respond to any issues that may arise.

While there are multiple steps and many touch points in the simple process explanation listed above, the results speak for themselves. Our customers over the last 30 months across multiple industries and regardless of company or spend size have averaged 24.7% savings.

If you’d like to learn more about how SafeSourcing can help you source any product, service or commodity that you require for your business, please contact a SafeSourcing customer services representative.

We look forward to and appreciate your comments.

Today’s blog is by Gayl Southard, Vice President of Administration for SafeSourcing.

A year ago, as the COVID 19 pandemic began to emerge, Corona Beer’s Brand name suddenly became very awkward.  The marketing executives responsible for selling Corona didn’t ignore reports.  John Alvarado, Senior VP for Brand Marketing at the beer division of Constellation Brands, Inc. stated, “By and large we were experiencing many of the same challenges as other marketers, but we had the added layer and pressure that this virus was using the name ‘corona.’”1 As the year ended, sales in stores have held up.  Sales for Corona Beer and hard seltzer made up 6.78% of the category through December 6, virtually unchanged from a year ago.  There was no evident negative impact on the brand.  The familiar brand and popularity helped to ride out a very tough year.  During the early stages of the pandemic, when people were shopping so infrequently, they relied on trusted beer brands rather than buying craft beers they had never tried.

“Corona’s favorability score among consumers 21 years old and up dipped this year, perhaps reflecting some confusion or association between the brand and the Coronavirus, according to Victoria Sakura, managing director of brand intelligence at Morning Consult.”2 It was determined that consumers did not relate the name of the beer with the virus.  Giving any attention publicly to the name was purposely avoided.

For more information on how SafeSourcing can help your procurement efforts, or on our Risk

Free trial program, please contact a SafeSourcing Customer Service Representative.  We have an entire team ready to assist you today.

References………………………

1, 2 Nat Ives, WSJ, 12/22/2020

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

It was this time last year that widespread lockdowns began at the rising rate of coronavirus infections. It is hard to believe a whole year has passed. It is also hard to believe it has been only a year, because so much has happened. Instead of going into the details about the bizarre, incredible, and unbelievable things that have happened in the last twelve months, this blog will go into detail about all the things that can be done in the next twelve months.

There are lots of things that can be done in a year, so the following list is of things that people have been able to accomplish in one year. While these things are extraordinary, they can be inspiration for yourself or just ideas for potential goals.

1. Read one book every day: This is something quite extraordinary, not just because of the time needed to accomplish, but because one could grow weary and physically tired of reading so much. This was not the case for Nina Sankovitch, who was able to do this partly in remembrance of her sister who had died of cancer. While we may not all be able to accomplish this, we can still challenge ourselves and read more. Whether you prefer memoirs, historical fiction, or mystery, there are many books out there that can take you away any day or every day.
2. Plant a forest: This may be a tricky one because many of us probably do not have the space to plant an entire forest. However, when an entire country comes together and every person plants one tree, hundreds of millions of trees can be planted. This is exactly what happened in Ethiopia in 2019. Millions of people participated and 353 million new trees were planted in a single day! Perhaps this is inspiration for you to plant a new sapling in your garden this spring.
3. Run the country: This doesn’t mean you could become president in such a short amount of time, but rather that you can physically run the distance of the continental United States in this amount of time. While many of us would need to train and prepare, one individual was able to accomplish this feat in far less than one year. In fact, Louis Michael Figueroa ran from New Brunswick, NJ to San Francisco in 60 days at the age of 16 as part of a promise made to a friend battling cancer. He is actually part of the inspiration for the character Forrest Gump. Perhaps this can help motivate you to go the extra distance in your life.
4. Reduce expenses: This is probably something we all strive to do, but sometimes do not exactly know how. While cutting coupons and shopping around helps, how do you cut expenses in your business? This is where SafeSourcing can reduce the costs of your goods without reducing quality, and it can happen in far less than a year. By using a procurement partner like SafeSourcing, you can cut expenses in several categories that you are likely overspending and have a much better financial outlook this time next year.

For more information on how SafeSourcing can help with your 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.

Today’s post is written by Ivy Ray, Senior Procurement Specialist at SafeSourcing Inc.

The foodservice industry plays an integral part of our nourishment, our culture, and our economy.  This connection has been highlighted during our current battle with a pandemic. Foodservice is challenging in normal times, and when you upset the proverbial apple cart with the added challenge of supply chain interruptions caused by national and international demands and market increases due to trade restrictions, the entire industry is forced to make some critical decisions.

In order for the foodservice industry to provide the apples, they also have to include the cost of the cart, because the packaging of our food is a necessary consideration, especially since we immediately pivoted to a contactless environment. Instead of the cart, it is the paper and the plastic containers in which we receive our take-out orders, as well as our grocery supplies that has gone through the roof.  Whether the food is coming from the field or the factory, domestic or import, it has to be placed in a container in order to travel to your table.

Our three major trade partners are China, Mexico, and Canada, and imports decreased about 20 percent during the second quarter of 2020. Wisconsin is best known for being a dairy state but they are the biggest manufacturer of paper in the United States and sell more paper, employ more people, and have more paper mills than any other state. Paper mills were already struggling prior to the onset of the pandemic due to decline in print media, but most mills were not equipped or it was too expensive to retool for transition to food paper production, and have had to shut down production. Food wrapping paper is a significant chunk of business for Wisconsin paper manufacturers and converters, ranging from paper sleeves between slices of cheese or deli meat, to grease-resistant papers, baking papers and more.

From medical supplies to food packaging, plastics are essential in the effort to stop the spread of corona virus. Plastics have become more and more vital to help keep our families healthy and our food protected, both in the medical and the food industry.  Plastics materials and plastics are in high demand and some of the top sources of plastics imports, such as China and Vietnam have imposed temporary trade restrictions. This has also created a strain on demand from our domestic plastic manufacturers.

Increased demand and fewer resources have led to the climbing cost of safely doing business. In retail, margin management is key to profit retention and category management has become increasingly difficult in these times.  Let SafeSourcing assist you with lowering your cost for the apple as well as the cart.

For more information on how SafeSourcing can assist you in exploring your procurement solutions for your business efforts, or on our Risk Free trial program, please contact a SafeSourcing Customer Service Representative.  We have an entire team ready to assist you today.

Today’s is our archives at SafeSourcing, Inc.

Recent advances in electronics and internet technologies have had major impacts on supply chain management and on sourcing strategies and practices. One such development that has attracted the attention of many companies and gained popularity is the reverse auction, also referred to as on-line reverse bidding. Over the past few years, many companies in a variety of industries have started using reverse auctions. The list includes GE, Boeing, Sun Microsystems, HP, P&G, Dow Chemical, Staples, US Foods and many more.

In speaking recently with a CFO of a leading company in their vertical who believes in using reverse auction technology and has used this procurement method in past organizations that he was also the CFO, he stated “If you really believe in what you do with procurement and reverse bidding, which is more measurable directly to the P&L than any solution I have ever deployed, then reverse bidding is surely the best procurement strategy that a company can deploy. Not only in-direct spends but also capitol and direct spends. It can save jobs as well.” This CFO can effectively argued that nothing they (procurement departments) are working on can have a larger impact on their company and employees. Not new stores, not new branding or new products. Nothing.

The most obvious benefit from reverse auctions is in purchasing cost savings to the buyer. As any dollar saved in purchasing cost adds a dollar to the bottom line. Reduction of procurement costs has always been a high priority for top management. Reverse auctions/on-line bidding can have significant impact on reducing purchasing costs.

SafeSourcing eProcurement, particularly reverse auctions, are a relatively new way to increase your bottom-line using e-Procurement tools to enhance the spend process. Utilizing new technologies as mentioned will add profit dollars without selling one new customer buying your products or services. The savings are traditionally 10X your investment in e-Procurement tools. You’re just accepting a different way to solicit bids/pricing even with your incumbent vendors that you currently work with.

For more information on how SafeSourcing can help in your procurement efforts, or on our Risk Free trial program, please contact a SafeSourcing Customer Service Representative

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

Recently I learned that the old way of obtaining goods, bartering, which pre dates many currencies you can see around now, is still around and for a very good reason. Bartering is what many people used to obtain goods or services when they did not have money or currency to pay for a good or service. It involved offering a different good or service in exchange. For example, a bread maker may offer breads to a butcher in exchange for a supply of meat or perhaps someone would do some amount of farm work for someone in exchange for room and board. This barter system is still in place today in at least one industry and the reason behind it is an interesting one having to do with poaching and furs.

The Zoo industry is an often loved, but also controversial industry. While every day, many people visit zoos to see, explore, and learn more about the animals we wouldn’t be able to see otherwise. And often these animals are obtained in a unique way. Many years ago, the fur trade and the zoo industry led to greater poaching and animal hunting, especially for endangered animals. Because people wanted zoos to preserve the lives of wild animals and discourage poaching and illegal captures and selling of animals, many countries agreed to only allow zoos to barter for their animals.

This barter system to zoos meant that they could not buy any of the animals that they house. This would directly affect those that were looking to profit from trapping rare and large animals by no longer allowing any cash payments. Instead, zoos could trade animals with other zoos. Ultimately, some animals are more easily obtained and so some animals have been used to help with the bartering. For example, one zoo in the United Kingdom primarily trades jellyfish for other animals within its zoo and aquarium.

While bartering may work for zoos and be a deterrent for those who wish to profit at the expense of animals, most of us would struggle doing business this way. Outside of the neighborhood gestures of trading baked goods or soup for help with shoveling snow or mowing a lawn, business must operate on a buy and sell agreement. If your organization falls into this category, which likely does if you aren’t a zoo, then you can use the tools and experience SafeSourcing offers to help you find the right organization to do business with, find the right product or service to fit your need, and know that you are getting a good and fair price for those goods and services.

For more information on how SafeSourcing can help with your 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.