Ask any master woodworker what the most important skill is in woodworking. The answer won’t have anything to do with saws, chisels, or hand planes. It won’t be about design, planning, or building. The most important skill is fixing their mistakes. Master woodworkers will saw outside their line, they’ll have an errant hit with a chisel, they’ll ding the corner of their piece. They all make mistakes. Great woodworkers, however, know how to fix their mistakes.
Source-to-Pay (S2P) deployment projects are a large undertaking for any organization. These initiatives require a large resource investment, so there are high expectations on value delivery. There can be pressure to complete the project quickly leading many organizations to dive right into the deployment, which can cause challenges and risks to project delivery.
As discussed in Part 1 of this blog series, companies strive to maintain margins and maximize cash flows by managing the variables over which they exercise control. Efforts from the Procurement team focus on maintaining competitive bidding for the material and service inputs needed in the production and delivery of goods or services to market. Once suppliers are identified and contracted by the buyer, a balancing act occurs to negotiate favorable payment terms and/or capture discounts and rebates. In return for these concessions, the buyer can now offer options to facilitate expedited payments utilizing technologies that offer processing efficiencies. As with all trading relationships, the underlying dynamics are needed for both the buyer and supplier to manage counterparty risk, remain competitive, and maintain individual profitability.
Even if you do not play video games, chances are you’ve heard of Mario Kart. The goal of this game is to finish the race first, or in the least amount of time, while avoiding shells and banana peels, which make you lose control. A Source-to-Pay (S2P) deployment is very similar – the goal is to implement the right tool as quickly as possible while avoiding major pitfalls. So, before you jump into your S2P deployment “Kart,” here are some shells and banana peels to avoid.
CLEVELAND, March 14, 2019 /PRNewswire/-- Nitor , a leading transformation services firm, has been awarded the contract by the State of Maryland for a new statewide e-procurement system, eMaryland Marketplace Advantage (eMMA).
“With the addition of this e-procurement system, Maryland is taking a significant step forward in the way we do business,” said Governor Hogan.
This article was first published by ForbesBrandVoice at https://www.forbes.com/ on April 20, 2017.
Blockchain epitomizes network-centric business, and procurement departments must take the lead exploring its possibilities for supply chain disruption. “Blockchain will radically change how we drive transactions and what procurement does as a profession,” said Robert Kain, Principal Consultant at Nitor Partners. “Being able to create and connect the networks that allow things like digital and mobile payments, bitcoin, data analysis, financial platforms and crowdfunding will create a much faster and secure world where who you are and who you’re dealing with are completely visible.”
The world of Procurement, including the different technologies, methodologies and strategies will continue to evolve and have a significant organizational impact in the coming year.
Staying abreast of the latest trends and offerings will differentiate best in class organizations from those that fall behind.
Throughout 2016 there were many significant events that shaped the current state of the Oil & Gas industry. As the price of oil continued to plunge, world events hinted at a very slow recovery in the sector. Projects were put on hold, headcounts slashed, but production seemed to continue unabated. Some of the events that have had or will have a major impact in this space are:
- "Brexit" shook up the EU, continued financial chaos in Italy and Greece, and a general fear of the unknown led to declines in European markets. These events drained demand for oil, putting increased downward pressure on crude prices.
In Western astrology, it is believed the universe is formed by four Elements: earth, air, fire and water.
Each of the four contains its own unique and beneficial properties within itself and when they work together they create one perfectly formed universe.
The same is true with the Source-to-Pay environment. Each Element is individually important and valuable to create and /or deliver value. However, when all the Elements across the Source-to-Pay spectrum work together, a holistic and integrated best-in-class Procurement organization is enabled.