When talking to executives inside space, the conversation generally starts off with definitional matters: am i talking logistics here? Or contracts? Which hat should I wear?
But exactly how different are these roles? And the way different if it is?
I was speaking recently which has a salesman coming from a technology supplier who given to me his difficulty when controling large organizations. He sells services of interest to both supply chain teams and Procurement Books Online. However, he only sells to at least one department. When the product is installed, the information is not given to one other.
Rarely does he target both simultaneously. The truth is, it will require some years for these walls into the future down. After the divisions are erased, he believes his technology will start to incorporate real value to his client.
It’s an interesting side-effect that the technology, sold to a single department can actually help bring the business together and challenge the silos this agreement it labors. My colleague believes that it must be his tools which allows the organization to perceive the similarities in roles and a totally new strategy for participating. Initially they perceived their overlapping interests. Probably the distinction between ‘procurement’ and ‘supply chain’ might not be so relevant in reality.
What do these terms mean?
In most cases, supply chain means the post-contractual phase, that covers logistical issues and matters associated with suppliers from the lower tiers (the suppliers in the suppliers). Procurement can often be considered pre-contractual, regarding sourcing and negotiation.
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