When conversing to executives from the space, the conversation generally begins with definitional matters: are we talking logistics here? Or contracts? Which hat should I wear?
So how different are these roles? And the way different if it is?
I was speaking recently having a salesman from your technology supplier who said to me his difficulty when controling large organizations. He sells services of interest to both supply chain teams and Procurement Books. However, he only sells to at least one department. When the product is installed, the details are not said to the other.
Rarely does he sell to both simultaneously. Actually, it requires some years because of these walls into the future down. When the divisions are erased, he believes his technology will start to include real value to his client.
It’s a unique side-effect a technology, sold one department can certainly help bring the corporation together and challenge the silos to which it labors. My colleague believes that it is his tools which allows this company to perceive the similarities in roles to locate a an entirely new way of cooperating. For the first time they perceived their overlapping interests. Maybe the difference between ‘procurement’ and ‘supply chain’ will not be so relevant in reality.
Exactly what do these terms mean?
In most cases, supply chain refers to the post-contractual phase, that covers logistical issues and matters associated with suppliers in the lower tiers (the suppliers with the suppliers). Procurement is frequently considered pre-contractual, regarding sourcing and negotiation.
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