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4 Digital Technologies Disrupting Procurement Organizations

June 05, 2017 by Patty Rasmussen

By definition, technology disrupts.

After all, technology is the application of scientific principles for practical purpose. It’s meant to change the way things are done. So, it stands to reason that technology has the capacity to create a seismic shift throughout every aspect of the manufacturing industry, including procurement organizations.

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Filed Under: Strategic Sourcing, Procurement

5 Tips for Building Supply Chain Redundancy

May 26, 2017 by Patty Rasmussen

Let’s say you’re a sourcing manager for a manufacturer. The company’s part/product is in production and things are going well. In fact, they’re going great! Things are going so great that you’re starting to get a little concerned. What happens if one of your machines goes down, you run out of a key material or some disaster — natural or man-made — affects your production?

You, my friend, are out of luck.

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Filed Under: Supply Chain Management, Strategic Sourcing, Supply Chain Redundancy

6 Things a World-Class Strategic Sourcing Team Must Consider

August 23, 2016 by Mary-Kerstin Hassiotis

Let’s be honest. With a show of hands, when we say strategic sourcing, how many of you think this concept is really just about buying at the cheapest price? While engineers and brand managers get most of the credit for successful new product development and commercialization of product launches, the unsung hero is often the team who wears the strategic sourcing hat.

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Filed Under: Manufacturing, Strategic Sourcing

Making the Material Handling Equipment that Moves the Supply Chain

July 30, 2015 by Andy Reese

According to the Material Handling Institute (MHI), Material Handling Equipment Manufacturing represents some $30 Billion (over 25%) for the US Material Handling Consumption of nearly $165 Billion! $30 Billion!  Consider for a moment that $1 Billion = 10 tons (or about 10 pallets stacked neatly with $100 bills). Lots of $100 bills.

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Filed Under: Engineering, Supply Chain Management, Strategic Sourcing

2 Best Ways Engineers Find the Right Contract Manufacturer

July 28, 2015 by Andy Reese

We literally met one of our fastest growing customers walking down the hallway of their office after a meeting with the engineering and purchasing teams when the Global Sourcing Manager stuck his head out of his office and quipped, “Hey, can you guys make this?”  Turns out the answer was, “Yes!”

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Filed Under: Engineering, Contract Manufacturing, Strategic Sourcing

3 Tips for Painless Supplier Agreements

July 23, 2015 by Andy Reese

There are two simple truths I’ve learned in manufacturing: (1) the larger the company, the smaller the NDA.  Why? They have an office building somewhere with more attorneys on hand (or within reach) than most global manufacturing companies would care to count.  And (2) the larger the OEM, the longer the supply agreement.

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Filed Under: Offshore Expertise, Strategic Sourcing

How Cheap Killed Your Supply Chain

April 09, 2015 by Andy Reese

No matter how great the individual talent of each team member is (think the Dream Team – 1992 USA Basketball) the job of the head coach is to get the team to play together.  Thus is the life of the strategic sourcing and supply chain teams for manufacturing companies and OEM’s alike.  While much of the work goes to you, Chuck Daly, he was supported with other coaching greats: Mike Krzyzewski (Duke), Lenny Wilkens, and P.J. Carlesimo.  Those three would be the rest of your team!

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Filed Under: Supply Chain Management, Strategic Sourcing

What a Program or Commodity Manager Job Description Should Really Say!

April 07, 2015 by Andy Reese

While this is not an open position here at East West, I thought it'd be interesting to pull together what we think a Commodity Manager Job Description should really include when a company is looking to hire!

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Filed Under: Strategic Sourcing

5 Tips to Diversify Your Supply Chain

March 26, 2015 by Andy Reese

Diversification of your Supply Chain is the process of removing as much risk as possible.  Yes, cost has its place but if you cannot get product to keep your production line moving than the pennies you saved are now costing you dollars.  Lots of dollars.  Oh, and your boss is really ticked off as well.  Not to mention your customers too!

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Filed Under: Supply Chain Management, Strategic Sourcing

Strategic Sourcing & Engineering: Friend or Foe?

March 24, 2015 by Andy Reese

On the outside both Strategic Sourcing and Engineering have a common goal: Partner with the best supplier possible.  Now defining “best” will have different meanings for the different teams.

Same Goal, Different Meaning

Strategic Sourcing is focused upon factors such as:

  • Competitive Cost
  • Supply Chain Efficiencies
  • Supplier Management Processes
  • Financial Strength of Supplier
  • SQE (Quality)
  • Financial Terms
  • Future Cost Reductions
  • Inventory

Engineering is focused upon elements like:

  • Quality
  • Technical Specifications
  • Control Plans
  • Technical Capabilities
  • Audits, Processes
  • Efficiencies
  • Scalability
  • Repeatability
  • PPM

Both have the same goal:  Reduce Risk!  Sourcing will lean towards cost while Engineering will look to quality! Both are important to ensuring a Supply Chain operates seamlessly whether its length is 12 miles or 12,000.

So why is it that Sourcing and Engineering teams act cordially at best with one another?  Why the tension when both ‘seem’ to have the same end goal?

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Filed Under: Engineering, Strategic Sourcing