Video: Integrating Procurement & Supply Chain Strategy

GRA Partner James Allt-Graham and GRA Director Craig Millis presented Integrating Procurement & Supply Chain Strategy - The next frontier of competitive advantage to the audience at the Finance and Procurement Sit-Down at the Sofitel in Sydney.

About the presentation:

Today organisations are experiencing increased sourcing complexity with extended global supply chains, increased product and supplier proliferation; longer lead times and increased supply risk. At the same time there’s an expectation to lower costs and increase service levels, while improving supply chain visibility and predictability and ensuring that supply chains meet ethical and environmental standards. 
 
When developed independently, Procurement and Supply Chain Strategies can have different goals (typically optimising gross margin versus net margin). This can inadvertently lead to conflict, incurring additional net cost, quality and / or service levels issues. By integrating Procurement and Supply Chain strategies there is a real opportunity to increase both gross and net margins – and ultimately deliver a competitive advantage. 
 
Focus Areas covered:

  • Key competitive capabilities for the new world
  • Common objectives and joint ownership of business outcomes 
  • Co-creating strategic sourcing & supply chain strategies to increase gross & net margin
  • Collaborative activities that will lead to improved supplier performance and value for money
  • Joint efforts towards building ethical and sustainable supply chains

 

Reproduction of GRA whitepapers and articles

GRA permit the reproduction of GRA authored whitepapers and articles so long as all the following conditions are understood and met:

  • Entire credit details must be included:
    • Author's name(s)
    • GRA name and contact details
    • GRA URL link to the original article
  • All hyperlinks within the article must also be retained
  • Articles must not be resold
  • GRA retain full copyright.

If you have any queries about reproducing a GRA article or whitepaper, please contact GRA Marketing

Testimonials

"We commissioned GRA to complete a detailed review of our supply chain and identify opportunities to improve our performance. GRA created a clear and comprehensive strategy to transform our business towards best practice and enable our supply chain to become a source of competitive advantage."

– Melinda Johnston, Supply Chain Transformation Lead, Allnex

Typical results

  • 20-40% inventory investment reduction
  • increased service levels ranging up to 99.9%
  • 10%-15% reduction in supply chain operating costs
  • 5%-20% spend management savings
  • the ability to fund business initiatives from operating cash flow (OCF) improvements
  • improved return on capital employed (ROCE)
  • a minimum 3:1 ROI (10:1 to 30:1 typical)