When conversing to executives inside the space, the conversation generally begins with definitional matters: am i talking logistics here? Or contracts? Which hat do i need to wear?
So how different are these roles? And how different should they be?
I had been speaking recently with a salesman coming from a technology supplier who distributed to me his difficulty when controlling large organizations. He sells services of great interest to both supply chain teams and Buy Procurement Books. However, he only sells to at least one department. When the product is installed, the information is not distributed to another.
Rarely does he target both simultaneously. In reality, it requires some time because of these walls in the future down. As soon as the divisions are erased, he believes his technology may start to provide real value to his client.
It’s a fascinating side-effect that the technology, sold to a single department can certainly help bring the corporation together and challenge the silos under which it labors. My colleague believes that it must be his tools that permits this company to perceive the similarities in roles and initiate a completely new method of participating. The very first time they perceived their overlapping interests. Possibly the contrast between ‘procurement’ and ‘supply chain’ will not be so relevant in reality.
What can these terms mean?
In most cases, supply chain refers back to the post-contractual phase, that covers logistical issues and matters relating to suppliers from the lower tiers (the suppliers of the suppliers). Procurement is often considered pre-contractual, regarding sourcing and negotiation.
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