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Total Cost of Ownership Procurement Model Failure – What’s Missing?

Supply Chain Game Changer

Many businesses use some form of Total Cost of Ownership model to support their Procurement and sourcing decisions. The concept of using Total Cost of Ownership models to inform Procurement sourcing decisions is to take all of these different factors in to account, beyond just price. Subscribe to Supply Chain Game Changer.

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The Dangers of Single Sourcing in Your Supply Chain

Resilinc

While it may seem smart to simplify procurement and lower costs, single sourcing can actually expose businesses to risks that can jeopardize their operations and bottom line. Single sourcing and sole sourcing are two different procurement strategies in supply chain management. If something were to happen in Taiwan—like the recent 7.4

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10 Ins and Outs for Supply Chain Risk Management in 2024

Resilinc

Picture this: a critical part of your product is only made in one factory in Taiwan. This is very possible, considering 60% of the world’s semiconductors are made in Taiwan. In this case, what would happen if China invaded Taiwan? Select a provider that can comprehensively address your current and future resiliency plans.

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The Hackett Group 2024 CPO Agenda

Jaggaer

A Response (Part 1) The annual CPO Agenda from the Hackett Group always makes fascinating reading, as it reveals the changing priorities of the world’s procurement leaders. We’ve also seen disruptions to supply with shipping being targeted in the Red Sea. environment) Improve procurement agility (i.e.,

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Innovative Approaches to Supply Chain Risk

Kinaxis

A major earthquake in Taiwan. A few hours later, your procurement head walks in the office. “We We have a problem.” The alternate source uses the same supplier in Taiwan. Inventory management Supply chain risk management IBM Japan Natural disaster Risk management Supply chain Taiwan Thailand' Then you get the e-mail.

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Upturn in Global Manufacturing in June- Cautionary Signs Prevail

Supply Chain Matters

Of particular note was commentary relative to supplier delivery times in June: “ Suppliers’ delivery times lengthened for the first time in five months amid issues with shipping, port congestion and staff shortages at vendors. During Q2-2024, the average Taiwan PMI value rose to 51.4 Manufacturing PMI® was 51.0 compared to a 51.6

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Restructuring Global Value Chains & Tariff Reduction – A Continuous Evolution for Supply Chains

The Logistics & Supply Chain Management Society

are reporting that they are being inundated with requests from importers seeking to use provisions such as the “321 de minimis” rule, which allows goods worth less than $800 to be shipped to the U.S. Southeast Asian countries, Taiwan and India have become alternative manufacturing locales or sources of supply.