Upload
others
View
6
Download
0
Embed Size (px)
Citation preview
How to Start a Movement: Towards Supplier Relationship Management
Marina Sologubova September 29, 2015
ADL_Lib_20070209_A4_EN
1 Rectangle graphics
More than 15 years of professional experience in Procurement and Supply Chain. Global roll out of Johnson & Johnson Supplier Relationship Management (SRM) program combined with the development and implementation of SRM software solution. Previous experience at Unilever and Procter & Gamble. PhD degree in Economics, MBA in Supply Chain, a degree in IT and Electronics.
Marina Sologubova PhD, MBA
Johnson & Johnson is the world's most comprehensive and broadly based health care company, with products and services for the consumer, pharmaceutical, and medical device markets. It is organized into several business segments comprised of franchises and therapeutic categories
How to start a movement?
https://www.youtube.com/watch?v=V74AxCqOTvg
•
4 Alternative style graphics
Traditional Time Allocation of Procurement
Procurement is still primarily seen as a contributor to cost-cutting initiatives
1 Rectangle graphics
that helps to maximize the value from interactions with third party organizations that supply goods and/or services
SRM becomes a key differentiator
as it creates transparency and process efficiencies while improving knowledge management
IT is an important enabler
Today SRM is on the TOP-10 List of Factors Impacting Procurement in 2015
Towards Supplier Relationship Management
•
Competation on the price Partnering focused on value creation
Marketing
Operations
Quality
Logistics
Research & Development
Finance
Marketing
Operations
Quality
Logistics
Research & Development
Finance
Supplier Buyer
Sales Procurement
Traditionally supplier management and partnerships are often a concern of the procurement function and sales function, with little involvement of the business.
Sales
Marketing
Operations
Quality
Logistics
Research & Development
Finance
Procurement
Marketing
Operations
Quality
Logistics
Research & Development
Finance
Supplier Buyer
Traditional Supplier Management Supplier Relationship Management
Jonson & Johnson created framework to standardize and facilitate deployment of Supplier Relationship Management (SRM) program across it’s organization
-Workfow based system with clear tasks and deadlines assigned -Cross-regional alignment on the terminology and supplier classification -Visibility to shared suppliers /parent companies cross-region and cross -sector -One common database with single supplier record controlled by administrator -Full overview per supplier with the integration to other systems
2 Chevron graphics
Multiple Geographical
Locations
Data Availability Cross Functional
Engagement
Adherance to Standards &
Process
SRM Software solution allowed us to have good visibility of our supplier base in different regions, be closely aligned on definitions and drive overall process standardization
Business Risk (Returns compared to industry average)
Business Impact
Segment 3 Transactional
high
low
low high
1 Rectangle graphics
Segment 1 Strategic
Segment 2 Development
Segment 2 Preferred
The position in the supplier grid determines how intensely each process is executed and managed between the buying company and relevant supplier
•
Strategic Goals Setting and Partnership Development. . .
. . . Prioritization, Resource Allocation and
Course Correction
. . . Execution to Plan and Day to Day Decisions
4 Alternative style graphics
Business Review Running the Business
Governance Meeting
Strategic
Building and managing a partnership is like building and managing a new department or business entity
•
Text
4 Alternative style graphics
-Meeting/Event Schedule -Meeting Agenda -Meeting Notes
-Supplier Scorecard -Aggregation at parent company level -Workflow based - Cross-functional input
-Issue Escalation/Resolution -History
-Colloboration
Monitor & Assess Risks - Financial - Contractual - Quality - Health & Safety - Enviromental etc.
Focus on iterative program steps to yield true benefit and unlock the value