Yes or No: Soliciting Pricing from Alternative Suppliers is the Best Way to Benchmark Your Incumbent?
This week’s Wiki-Wednesday topic is benchmarking, and we are covering it at the suggestion of BMP member Victor Halchin. A discussion has been going on in the Strategic Sourcing & Procurement group on LinkedIn in response to the following question: "If you are "locked " into a supplier , would you be prepared to try another for benchmarking even if it was just to "bash " down the supplier on price - would you change suppliers if you were offered the same service at reduced costs on your purchasing requirements?”
I recently discovered a white paper that speaks to the exact premise of “The Flip Side” here at Buyers Meeting Point – that sales and procurement have a lot to learn from each other: ‘When Sales and Procurement Collide’.
This post is a follow up to 'Innovation Through Procurement Contests' (Part 1), my thoughts on Procurement Insights’ 3 part (so far) series on contests in public procurement. I’ve had a chance to think about the idea a little more and as far as I’m concerned, if it allows the buying organization to put the right solutions in place, then it is a benefit. As I commented in my previous post, the concern becomes for the procurement professional whose role becomes one of administration rather than strategy and negotiation. Although I didn’t realize it at the time, I had started down the road towards what would become a sticking point for some of the collaboration-style projects often resulting from new solution development: intellectual property rights.
The event had an interesting format - four speakers, same topic: quick savings wins. While all of the speakers were qualified, two set themselves aside by taking on the harsh realities of trying to increase savings for the year with only a sort time left to go.
This week's Wiki-Wednesday topic is Innovation, and you can click here to read an excerpt or to link back to the Wikipedia article. We chose this topic because of a series of posts being done this week by BMP mentor Jon Hansen on his blog Procurement Insights. He is addressing a growing debate over the benefits of using procurement contests - particularly in public procurement - to innovate without absorbing the direct costs of a major R&D investment.
This week’s Flip Side topic comes from a webinar and white paper put out by The Executive Conversation and the Brandon Hall Group in July 2011 “Essential Selling Competencies: The Buyers Side Perspective”. I haven’t been able to find a place on either company’s website for you to directly download the whitepaper or listen to the archive of the webinar, so let me start by giving you a quick rundown on the whitepaper itself.
Six Ways to break a Negotiation Deadlock (Plus One More) A You Tube Video from Blue Elephant Consulting
I’m taking a break from the usual this week, and rather than covering a webinar, I’d like to share a new series of YouTube videos with you. Don’t get your hopes up – there are no home movies of cute cats falling down stairs or into grocery bags. Instead, I’d like to introduce you to a series of 5-7 minute videos made by Dr. Jim Anderson of Blue Elephant Consulting, and the writer of “The Accidental Negotiator” blog.
When I am reading the books that may end up on the Buyers Meeting Point Endorsed Publications list (in the Procurement Library), I often find that they are missing a certain… something? Now I know what it is – cartoon illustrations! All joking aside, I am now in a position to recommend a book that contains solid procurement advice and pictures. Read all the way to the end of this interview to see my favorite from the book.