Large-scale purchasing by companies such as the big box retailers, Walmart, Costco, etc., have led them to standardize their supplier labeling and billing. For a buyer with a significant portion of a vendor's market share, it can be worth automating shipment systems to comply with these buyer-specific standards. This seems to be the trend in the industry and as it moves forward we will no doubt see refinements.
I am also of the opinion that privacy can be of concern here. If a company does not want to disclose what it is buying and what price it is paying then using such a tool can be a risk. However, it is good tool for small, mid or large company to keep cost per part or device in check. This e-procurement can be made smarter by building a search engine which automatically updates the prices offered from different manufacturers.
In fact e-procurement system like the one offer by Newark is a smart strategy. If the tool is appealling enough, small companies will start using it instead of purchasing a separate ERP system. Newark, with the reports from this tool, can capture the demand of the markets. Of course, certain things such as terms and conditions for customer information have to be put in place to avoid leaking of confidential stuff.
Great info on productivity. Let's keep in mind that every department plays a key role in driving productivity gains, and there are some very simple ways that mindset can be applied without a hammer. One such tool we've found highly successful is Management by Statistics, a software program that allows managers to measure and track key activities throughout the organization and determine by graph what the operating condition of each area is week to week.
When done standardly, the program creates an objective view over the business and the guidelines that spell out what to do to promote further gains.
It sounds like Newark has found the right set up for any sized company. Their system sounds like it not only speeds up the process of ordering but also makes things a lot easier to track overall expenses. This tool helps Newark in sales and also helps the companies save time and reduce costs. I can see other companies trying to use this as a model to make an easier system for themselves.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.