ebf Procurement Forum 2014, Ostrava Best practice sharing in Purchasing from USA

Transcription

1 ebf Procurement Forum 2014, Ostrava Best practice sharing in Purchasing from USA Ingrid Tochackova

2 Objective Best practice sharing in Purchasing from USA Goal To share the best practice, techniques and experiences from Purchasing that provides benchmark to the most efficient tools and approaches in Procurement.

3 Agenda Introduction Business Ethics and Behaviours Processes Tools Organization/ People Lesson learned

4 Introduction Ingrid Tochackova Education University of Technical Science (Brno, Czech Republic) MS in Economy MS in Operational Management Leadership Working Experience Siemens, Honeywell, Deloitte, Mann+Hummel Professional experience Involved in Purchasing for 15+ years while working for multinational & multibusiness companies on the corporate level as well as in the manufacturing plant. Living and working in the USA, MI for the past 10 years One year assignment in Shanghai, China (2013)

5 Business Ethics and Behaviours Integrity is the cornerstone of the business conduct.. Integrity is expected from Suppliers and from Employees Adherence to moral and ethical principles to conduct business Soundness of moral character Honesty Saying No to unethical practices Follow Business Code of Conduct and require the same from suppliers Open book transparency generating respect and trust from customers and suppliers No Grey areas = no room for misinterpretation New York Times news paper test

6 Business Ethics and Behaviours Cont. Verbal commitment is legally bounded Delivery confirms your agreement with conditions Live by Company Values Zero tolerance to Compliance issues Strong focus on IP (Intellectual Property)/ Export Compliance Meeting management

7 Business Ethics and Behaviours - Example Company Values 1. Have a Passion for Excellence and Hate Bureaucracy 2. Be open to Ideas from anywhere 3. Live Quality... and Drive Cost and Speed for Competitive Advantage 4. Have the Self-Confidence to Involve Everyone and behave in a boundary less fashion 5. Create a Clear, Simple, Reality-Based Vision... and communicate it to All 6. Have Enormous Energy and energize others 7. Stretch... Set aggressive goals 8. See Change as opportunity... Not Threat 9. Have Global Brains... and Build Diverse and Global Teams E s Energy/ Energize/ Edge/ Execution

8 Processes White paper (fact evaluation sheet) overall supplier evolution and risk assessment (Ownership, structure, financial stability, investment, capacity, customer structure, process capability) Financial risk assessment D&B, max 25% of the supplier business Focus on Sustainable Profitable Growth and TCO. True Supplier Development and Partnership Long term plan E-Auctions where applicable and practical Proximity sourcing source close to the point of use to drive short lead time, flexibility and low TCO Data driven decisions Commodity Strategy long term partnership program for Strategic suppliers and risk mitigation plan

9 Tools EDI Electronic Data Interchange to streamline communication with Suppliers for demand and deliveries Kaizen as one tool of Continues Improvements 7 Waste walk Tim Wood ((TIMWOOD; Transport, Inventory, Motion, Waiting, Over-processing, Overproduction, Defects) Problem solving/ Root cause analysis 5 Why s, Fishbone Open book policy cost break down E-RFQ Six Sigma tools (D-M-A-I-C focused on reduction of variation) Proper communication tool selection ( ; phone; face to face; WebEx; )

10 Organization/ People Commodity based structure to leverage spend across multiple locations SQE s to gradually evolve in Supplier Development Universities in the USA offers specific major in Supply Chain Tactical vs Strategic responsibility Language can be a challenge when dealing with CEE and Asia Time zone challenge Limited knowledge of LCC and Asia region

11 Lesson learned Competitiveness the major difference between US and Europe Have to be aware of Business Code of Conduct ALL the time Operational Excellence driven by Continuous Improvement and part of daily work Lean principles adopted in every area including Organization Six Sigma adopted as Mind-set to drive business improvements Low cost country sourcing evolving to Proximity Sourcing TCO used to drive business decisions ebusiness Growth