Successful supplier management occurs when both sides work together for mutual benefit. As the best performing procurement functions know, it is not about something that’s done to suppliers, but...
Just this week at the Global SAP Ariba conference in Barcelona, Amal Clooney called on corporations to put respect for human rights at the core of their business, highlighting the trend of ‘doing good’ as a way to bolster profits.
Given the difficulty of its missions, NASA might be expected to lead in risk management. But in some cases it does not. The space agency has lost nearly $700 million after using faulty materials to build two rockets that were supposed to deliver satellites studying the Earth’s climate during 2009 and 2011.
Since most businesses depend on suppliers to help deliver their products and services, managing supplier relationships to develop new innovations, avoid risk, and reduce costs can be a key differentiator for future success. But since changing commercial relationships across a whole organisation requires a long-term commitment, can a more nimble programme generate faster returns?