The Point

There is a lot of discussion and concern about the economic situation in the United States, otherwise known as the Fiscal Cliff. For those of you new to this issue, Wikipedia defines it as:

The fiscal cliff is a newly coined term referring to the effect of a number of laws that (if unchanged) could result in tax increases, spending cuts, and a corresponding reduction in the US budget deficit beginning in 2013.

This is a perfect example of two political parties considering their BATNA. It would be in the best interest of the economy overall for the two parties to come to an agreement and not walk away. I hope there is a bridge that can be built between the two to prevent a potential recession.

I was shopping with my daughter last week and we purchased 2 dresses for her using my coupons and credit card to get the discounts. We took about 10 steps from the register and she had already transferred the money to my bank from her bank, using her smart phone.

Every day is full of interactions of all sorts. People at work, at home and total strangers. I would wager that we are in disagreement over something several times a day. Something as simple as what to watch on TV can cause an energetic conversation!

The 2012 election for the President of the United States is over and Barack Obama will be in office for 4 more years. Typically, consumer spending slows leading up to elections based on economic uncertainty.

Definitions of excellence are constantly changing. A friend of mine is in rehab, gaining strength and learning to walk again. A few years ago, hiking, swimming and running was no big deal. Now it is excellent for them to walk down the hallway without resting. 

I was at a business dinner this week with some leaders in the grocery industry. I learned that a vast amount of our landfill is from the waste at those organizations. I also learned how many people go to be hungry every night.

What types of skills will you need in three years? It seems like we just had to deal with Y2K and now we are looking at 2015 and 2020. How did that happen so fast?

I sometimes ask people how they ended up where they are in their profession. Usually it is a random series of events and not often actually planned. But the really interesting question is how did they get in the door to begin with?

I was on a Procure-to-Pay project years ago and we spent so much time learning the existing process. I wanted to get on with the project. It took me a while to understand that that was part of the project. A significant part.

How does your family manage when packing for a week long vacation. Let’s just say, we are not light travellers. What we have learned over the years is to bring all the big stuff out and line it up in the driveway first. Then piece by piece, it can fit in the car. We do have to leave room for the passengers too but then we make sure to have the snack pack accessible for the trip! Priorities!!

No matter how many years it has been since you graduated from school, the 'back to school' time period brings a renewal and a fresh start to the coming year. So much to do and to learn and people to meet - it is all quite exciting.

Apple has figured out that people do business with companies with good products, good customer service and an experience they enjoy.

“Just because an animal is large, it doesn't mean he doesn't want kindness; however big Tigger seems to be, remember that he wants as much kindness as Roo.”
― A.A. Milne, Winnie-the-Pooh  

Where is the candy dish in your office or are YOU the keeper of the candy dish? Last week I was very tired in mid-afternoon and went seeking something sweet to give me that boost. I ended up selecting a moist, chewy and sweet chocolate tootsie roll. It really hit the spot and brought a smile to my face. How could it do anything but??  

The cost of higher education continues to be increasingly expensive. I interviewed once at a large university for a procurement position. My children were of college age so I was very aware of the costs. While I did not take the position, they did indicate to me that their efforts to manage spend did get reflected in containing costs for tuition.   

Often in our daily life we are negotiating. Many times my children would want more than the two cookies I was offering. I would offer two , they would want three or four. After a few times back and forth, I would change my offer to ZERO cookies. Then all of a sudden they felt that two cookies was a great option!

In procurement, we are sometimes in situations where we want more cookies than are being offered. Or we want to include cold milk at the same time but that is not available at the price point we are interested in.

The magic of the Olympics is moving into the second week in London. As we watch all the events and cheer on the athletes, it occurred to me that the Olympics is a HUGE procurement engine. There are many people to feed and services to provide in order to make this world event come off smoothly. And if done right, it can help contain costs and also keep the environment from getting crushed with waste and pollutants. We are all responsible and working increasing towards sustainable sourcing results. 

I read this article in the New York Times and it shared some interesting insights. Keeping the environment in mind has been evolving since the 1994 Games in Norway.

The largest carbon footprint is from the construction materials themselves, not the food, travel or waste. London has put together a long term vision of how to utilize the permanent structures after the Games have concluded. The remaining temporary structures were constructed carefully to be able to reuse or recycle the materials.

Of course all of this has economic and social factors to consider. And when it really comes down to it, the athletes must come first. Quality of the product or service is still a high expectation.

Have you had the opportunity to procure for a large event such as the Olympics? What factors did you need to consider for sustainability? Any tips or tricks you can share?

London is center stage for the next few weeks as the 2012 Summer Olympics take place. There are so many inspirational and feel good moments during the Olympics. I was reading the blog from Leadership Freak about an interview with the team leader of the US Olympic Sailing team. In addition to sailing, Dean Brenner is the President of the Latimer Group and has written several books, one of which is called Sharing the Sandbox. The book is promoted to help you become a better leader but also more productive in a team environment. In the blog, there are 6 areas that Dean outlines that have helped people that are working as a team.

One of them is "Ask Simple Questions" and LISTEN - how often do we speak more than we listen and that can lead to misunderstanding of goals and requirements for a product or service.

I would expect as part of the sailing team, it would be a survival skill to listen and understand. Of course if they are going to win a medal in London, they have to be really in tune and streamlined in all their activities and be ready to react to the unexpected. We all know that Mother Nature can be quite unpredictable!

As a procurement professional, what leadership tricks and tools have you used? Have you read Sharing the Sandbox? Or do you have another resource to recommend?

Mother Nature impacts our supply chain in so many ways that are not under our control. The drought in the U.S. this summer is impacting the farmers, and especially the corn supply. That will have an effect on many things such as the price of food and fuel. The law of supply and demand comes into play just as in the textbooks.