In a survey of 74 CPOs, we explored the disruptions that U.S.-imposed travel bans are causing for Fortune 600 companies.
SM's Adoption of New Tech
Supply management organizations are increasingly adopting new technology to adapt to current business needs, boost efficiency, and increase cost savings.
Centers of Excellence
69% of the companies we surveyed have or plan to have a center of excellence in the next two years
Supply Management Tariffs & Trade Wars
81% of companies report a moderate to significant impact on the business from tariffs & trade wars.
Supply Management ROI
Supply management return on investment (ROI) is a simple way to demonstrate the value of the function, calculated by dividing cost savings (reduction + avoidance) by supply management operating expenses.
Investing in More Strategic Roles
It’s important for organizations to evaluate their needs and consider strategic headcount as they design the supply management organization of the future...
SM employees to total employees
While the strategic focus of supply management groups is quickly expanding, increased responsibility is not supported by growing headcount. Many supply management groups, in fact, are expected to do more with less...
Total Cost Savings
Our annual Metrics of Supply Management (Cross-Industry) Report provides data for Key Performance Indicators (KPIs) for headcount, OPEX, spend, savings, ROI and and more, broken out further into five industries and three sectors, allowing for supply management groups to see how they stack up against comparable organizations.
Turning the Corner on Tactical v. Strategic
Supply management groups realize the importance of a shift toward strategic practices, but the transition is slow. Across industries, we’re seeing 3% growth in the strategic employee balance, with companies reporting 62% tactical employees and 38% strategic employees.
Managed spend, growing influence
Supply management teams with high levels of managed spend are better able to leverage spend, mitigate supplier risk, and bring more strategic value to the organization.