2014 Global SRM Research Report - Customer of choice

STATE OF FLUX

2014 GLOBAL SRM RESEARCH REPORT 

PEOPLE & SKILLS 127

Figure 4.6. Resourcing / organisational design model for SRM – industry sectors

80%

○ FULL TIME DEDICATED

MANAGING ONE SUPPLIER RELATIONSHIP

70%

60%

○ FULL TIME DEDICATED

MANAGING MULTIPLE SUPPLIER RELATIONSHIPS ○ PART OF A BROADER CATEGORY MANAGEMENT / SOURCING ROLE ○ PART OF A BROADER OPERATIONS / SERVICE MANAGEMENT ROLE ○ OTHER (PLEASE SPECIFY)

50%

40%

30%

20%

10%

0%

FINANCIAL SERVICES

MANU FACTURING

OIL AND GAS

FOOD AND BEVERAGES

IT / HIGH TECH

UTILITIES

PUBLIC SECTOR

HEALTH CARE

PROFESSIONAL SERVICES

AUTO MOTIVE

© 2014 State of Flux

The view in figure 4.6 . shows the variations by industry sector. All industry sectors except financial services and the public sector tend to favour the role combined with the category management role. The automotive and utilities sectors have the highest proportion of companies where the role is dedicated and managing a portfolio of suppliers. The comments received from respondents reflect the variations that are being explored in this area across organisations and sectors. A combination of full-time vendor managers and others who do the role as part of their substantive role. US financial services company Flexible operating model across procurement and business resource applying a common reportable framework. UK insurance company Supplier managers are in the business unit but have a dotted line into procurement and supplier management. Some are dedicated to managing supplier relationships; others have this as an element of their overall business responsibilities. All have clear objectives in relation to their SRM responsibilities. Global financial services company

Full-time dedicated to one strategic supplier (top tier) and then multiple (four to six) for operational suppliers (second tier). UK technology company For direct material, there are a few large suppliers for whom the SRM role is full-time dedicated resource, and for other suppliers it’s a full-time dedicated role managingmultiple suppliers. With indirect material, it is part of a broader category management / sourcing role. International packaging company Full-time SRM personnel to develop strategy and governance. Category teams manage supplier relationships on a day-to-day basis with individual suppliers. UK public sector company Both full-time dedicated SRMfor key strategic relationships and broader categorymanagement approach for other important suppliers. UK insurance company Full-time dedicated for strategic suppliers. For other suppliers SRM is a part of a combined job. New Zealand financial services company By the end of this year it will be full-time dedicated –managingmultiple supplier relationships. Global financial services company

We are piloting dedicated SRM director roles. International oil and gas company

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