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CONTROL TOWER MODELS REPLACE TRADITIONAL PROCUREMENT FUNCTIONS › › Virtual vertical integration › › Mobile and intelligent networks › › Improved logistics tracking capabilities › › Risk and velocity drive cost management › › New tools for supply chain visibility › › Risk mitigation technologies For more on technology, see the State of Flux article ‘ SRM technology - achieving a clear line of sight’ on page 119 While it is clear that the developments described by Tom impact across the whole of procurement, SRM has a vital role to play in procurement and the wider organisation’s ability to either take advantage of these emerging trends or to mitigate against their negative impact. Areas SRM can contribute are: › › True SRM will strive to achieve win-win outcomes and at the top end of strategic segmentation, relationships will become more integrated. › › SRM system tools exist to drive trust and transparency. › › Collaborative working and seeking mutual value in supplier relationships will contribute to improving CSER performance across the supply chain. › › Working collaboratively with suppliers to jointly manage risk and build supply chain resilience. › › Developing flexible governancemodels tomanage global and regional / local sourcing strategies and vertical integration.
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Article by Mel Shutes, Head of SRM at State of Flux. Call him on +44 (0)207 842 0600 or email him at mel.shutes@stateofflux.co.uk to learn more about how SRM can help you take advantage of emerging procurement trends.
This article is based on the publicly available presentation by Tom Linton, chief pro- curement and supply chain officer at the Flextronics investor and analyst day 2013.
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