Some comments on a point he suggests:
Although he certainly has a good point here, I have some remarks:
1) this greater pricing transparency is highly dependent on good eProcurement software which is professionally implemented and used in a proper way by the organization. Furthermore this eProcurement software depends on the informaiton input, see point 2
2) Although the internet is providing more and more access to a lot of information (also on price information), it is creating its own pitfall: an overload of information (and what about the reliability of the information?). With this, a new market is created for organizations which deliver the service to deal with the complexity of this information overload. This market is growing with on the one hand the more general search engines which can be used to organize to a certain extent this information (although it's more gathering than organizing it), on the other hand there exist more specialized organizations/communities which focus on specific markets and industries. Nevertheless, I think this 'new' market is still growing, and will be growing along with the increase of the information overload.
Of course it is not a completely new market because we all know google and similar search engines. Furthermore there are several (more specialized) marketing associations who act in this new market. Anyway due to the growing information overload the role of 'gatekeeper' for information will become increasingly important in the future. It may determine your competitive advantage as organizations and managers act based on the information. Therefore an important question for organizations with respect to the future will be: in- or outsource 'Intel 2.0'?
Logically, this question adresses more than just procurement, and is a strategic question (of importance).
3) I think that, dependent on the market situation, the subject of negotiation remains to take a solid place in the S2C process (especially in conservative slow moving industries) when contracting new suppliers
Nevertheless, I suggest to read the article of Steve Hall as it is very interesting. Furthermore he also wrote a part II.
Check out this article ( http://contractmanagementblog.com/?p=147 )
BeantwoordenVerwijderenThe market is searching for solution to the overload of information
Check out this article
BeantwoordenVerwijderenhttp://www.procurement-iu.com/blog/2011/8/information_systems_-_the_food_of_the_gods_and_procurement
Thanks for sharing the useful article. The reliability of the information is very important for the business. I agree with you that this question adresses more than just procurement, and is a strategic question (of importance). For example, publish procurement information on the www.whatyouwant.cn, as a purchaser should recognize the fraud businessman.
BeantwoordenVerwijderenGood information, thanks for sharing this blog.
BeantwoordenVerwijderenOracle Fusion SCM Online Training