Procurement leaders in the United States face a critical challenge: ensuring clear definitions and seamless handoffs. This is essential for an effective sourcing process. This article delves into the practical aspects of RFP, RFQ, and RFI. It highlights how each influences the bid process and vendor selection. RFPs are designed to capture proposals for specific…
U.S. actions under Section 301 and Section 232 have significantly altered sourcing and factory locations. From 2018 to 2025, companies have reevaluated costs and risks due to global trade impacts. Boards must now quantify the effects of trade policies on pricing, lead times, and working capital. A tariff tool shows U.S. tariffs on China and…
Direct vs Indirect Procurement outlines how companies manage their purchases, risks, and operations. Direct procurement involves buying inputs that directly become the product, such as raw materials and machinery. Disruptions here can halt production and revenue. Indirect procurement, on the other hand, covers goods and services essential for business operations. This includes IT equipment, facilities…
Many organizations confuse procurement and purchasing, seeing them as interchangeable terms. Yet, they represent distinct disciplines with different scopes, intentions, and levels of control. This section aims to clarify the differences for business leaders who oversee budgets, suppliers, and compliance. Procurement is a strategic process that guides decisions before, during, and after a purchase. It…
Supplier Diversity Programs (DEI in Procurement) are evolving from mere compliance to a fundamental strategy. U.S. corporations have set clear targets, signaling this shift. The 200 largest public companies aim to spend about $50 billion on diverse suppliers by 2030. This goal represents roughly 4% of the $1.3 trillion annual procurement budget if fully utilized….
In the U.S., companies aim for performance excellence to enhance quality, reduce costs, and expedite delivery. This piece compares Lean, Six Sigma, and Lean Six Sigma, highlighting best practices for leaders. It focuses on practical process improvement to boost operational efficiency and lower risk. Lean originated from Toyota’s Production System, focusing on eliminating waste to…
Trade Compliance in Global Supply Chains has evolved from simple checks to a critical strategic function. The landscape is now characterized by stricter enforcement, complex cross-border rules, and digital documentation. The goal remains the same: to ensure legitimate trade, protect profit margins, and keep goods flowing. The U.S. Customs Modernization Act of 1993 introduced a…
Global supply chain management integrates planning, sourcing, procurement, inventory control, finance, and logistics into a unified system. The aim is to transport materials from suppliers to manufacturers to customers efficiently and cost-effectively, as J.P. Morgan emphasizes. The pandemic and tariff shocks have elevated its importance, with executive teams now viewing it as a critical performance…
Volatility has become the norm. Companies now face weather shocks, port congestion, sanctions, and scrutiny on emissions and labor. We offer a concise, data-driven guide to operations and supply chain management. It focuses on agility, end-to-end visibility, cost control, and resilience. The aim is practical execution, not just theory. Evidence supports the shift. KPMG reported…
The Supply Chain Operations Reference model offers a structured approach to enhance end-to-end performance. Introduced in 1996 by Pittiglio, Rabin, Todd and McGrath, it was later refined by the Supply-Chain Council and the Association for Supply Chain Management. This model standardizes metrics and process language from order to payment. It aids organizations in assessing maturity,…