Browsing: Value Maximization

Today’s guest post is from Dalip Raheja, President and CEO of The Mpower Group (TMG) and a contributor to the News U Can Use TMG blog.

This blog entry marks the beginning of a series that will explore ways that Strategic Sourcing and Supply Chain Management can be used to effectively drive competitive differentiation. Here at TMG we believe that these functions are among the most value-laden (and consequently possess the greatest potential for value creation) across industries. Companies that figure out how to unleash the value trapped along the supply chain will drive exceptional business results over the long-term. The problem holding most companies back in this area is that the best practices they follow are highly tactical in nature, and by definition conservative in nature. Think about it; how can anyone drive truly EXCEPTIONAL results doing the same thing that everyone else is doing (that’s what a best practice is after all!!!)

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Join Dalip Raheja, CEO for The Mpower Group, for this webinar as he examines the underlying reasons that a Total Cost of Ownership approach to procurement will NEVER yield exceptional business results.

Date: Friday, September 17, 2010
Time: 12:00 p.m. CDT

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Re-posted from Sourcing Innovation
Today’s guest post is from Dalip Raheja, President and CEO of The Mpower Group (TMG) and a contributor to the News U Can Use TMG blog.

As we pointed out in our last post (where we killed off the old sourcing process), Strategic Sourcing has always been fundamentally flawed. It clearly did not deliver the promised results years ago and it isn’t delivering the right results today. Furthermore, I would argue that the results that Strategic Sourcing is delivering may not be totally accurate because the unintended consequences that the function creates (more on this later) may actually destroy value. The current process is penny wise and pound foolish. That’s never a strategy for long term success. What we need is a new way of looking at this function. We need a set of next practices to elevate us beyond what current best practices recommend.

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Re-posted from Sourcing Innovation
Today’s post is from Dalip Raheja, President and CEO of The Mpower Group (TMG) and a contributor to the News U Can Use TMG blog.

Strategic Sourcing is Dead!!! And if it’s not, it should be. In our last post, we talked about one of the major challenges in a transformation journey for Sourcing/Supply Chain organizations — namely, the vowels A, E, I, O, and U (which stood for Adoption, Execution, Implementation, Optimization, and Utilization). In this post we’re going to address the second, equally important, challenge. Strategic Sourcing has not delivered the promised results years ago, and it isn’t delivering the right results today. Why not?

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There was an article in the Chicago Tribune on Sunday,  American Airlines fuels a debate by Jon Hilkevitch and Julie Johnson, discussing American Airlines aggressive move to cut costs by reducing the amount of reserve fuel carried on commercial flights.  Traditionally, this is a decision made by the flight’s…

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