Cashing In on Supply Chain Risk Mitigation: From a Spend-centric to Revenue-impact Model
Prioritizing suppliers based primarily on their gross invoices misses many of the most potentially disruptive risks in multi-tier global supply chains.
Consider this: would any procurement professional advise its company to operate without Enterprise Resource Planning? The same mindset must be followed for supply chain risk mitigation. The starting place to re-orient priorities in procurement and SCRM is shifting from a spend-centric approach to a revenue-impact focus. When the focus shifts away from solely driving down costs to identifying what parts are vital to an OEM’s highest revenue products, identifying risks through multi-tier visibility and supplier mapping becomes central.
Read this ROI guide and learn:
- What fundamental changes in procurement must be applied for sustainable supply chain revenue impact
- How to prioritize supply continuity for improved OEMs and supplier relations
- Long-term value derived from a mature SCRM program