STATE OF FLUX
2014 GLOBAL SRM RESEARCH REPORT
CURRENT STATE OF SRM 29
Figure 0.4. Howwould you rate your progress across the following specific SRMactivities over the last 12 months? – All respondents
○ SIGNIFICANT PROGRESS
○ SOME PROGRESS
○ STAYED THE SAME
○ SOME DECLINE
○ SIGNIFICANT DECLINE
SRM BENEFITS MEASUREMENT AND REPORTING DEVELOPING AN EFFECTIVE OPERATING MODEL INVESTMENT IN TRAINING PEOPLE'S SKILLS AND COMPETENCIES DEVELOPING MORE EFFECTIVE GOVERNANCE DEFINING THE SRM VALUE PROPOSITION NUMBER OF SUPPLIERS INVOLVED SUPPLIER ENGAGEMENT AND SUPPORT INTERNAL BUSINESS AND OPERATIONAL ENGAGEMENT AND SUPPORT SENIOR EXECUTIVE ENGAGEMENT AND SUPPORT
INFORMATION SHARING SHARING BENEFITS WITH SUPPLIERS COLLABORATIVE WORKING SUPPLIER INNOVATION INDIRECT BENEFITS DELIVERED DIRECT FINANCIAL BENEFITS DELIVERED AVAILABILITY AND USE OF TEMPLATES AND OTHER TOOLS FUNCTIONALITY AND USE OF IT SYSTEMS
0%
20%
40%
60%
80%
100%
© 2014 State of Flux
WHAT ELEMENTS OF SRM ARE CHANGING?
Interestingly and of concern, is that 7% of respondents report a decline in investment in training from a point that was already low. Top five areas making the most progress (as reported by all respondents): 1. Senior executive engagement and support 2. Internal business and operational engagement and support 3. Supplier engagement and support 4. Number of suppliers involved 5. More effective governance Bottom five areas making the least progress (as reported by all respondents): 14. Measuring and reporting SRM benefits 15. Supplier innovation 16. Investment in training
Progress across the different elements of SRM is variable. Over our six years of research, we have noticed a gradual change in the areas of SRM where the most progress is being reported. The above chart reflects how organisations rate their progress across various areas of SRM. While the results show where organisations believe they are making progress, this is not always consistent with the responses provided to subsequent questions in the survey. For example, engagement and support from senior executive stakeholders is reported as making the most progress but this is not supported by later responses. Other areas reported as making good progress are more consistent with later responses, including increasing levels of collaboration and more effective governance. Areas of SRM making the least progress remain, as in previous years, the functionality and use of IT systems; sharing SRM benefits with suppliers; supplier innovation; and measurement and reporting of SRM benefits.
17. Sharing SRM benefits with suppliers 18. Functionality and use of IT systems
Powered by FlippingBook