Entries tagged as suppliers

Auto sales were one of the first hit by the economic crisis in 2009 and even such well known for their quality brands like Toyota and Honda were not exempt. The only company out of the top 5 car manufacturers not to follow this trend is Hyundai Motor, a company that only few years ago was mainly known for its so-so but affordable cars. The mere fact that Hyundai is in the top 5 speaks volumes about their commitment to succeed and to quality in particular.

The nature of trade has dramatically changed over the last 20 years with the arrival of internet, the fall of the Berlin wall and the rise of China and India to prominence. These changes contributed to shifts in purchasing profession, one example being arrival of sourcing agents. We discussed the changing nature of the job with Martin Brooke, principal consultant in Direct Supply Management. Martin spent 22 years of his carrier in the industrial fastener and hardware industries and held various sourcing positions in purchasing organizations of Fortune 500 and Forbes 100 Manufacturers and Distribution companies.

I always like to control freight costs. Whether an express shipment company, an LTL or TL carrier, or 3PL, I think it is important to control the cost of freight and indicate freight collect terms with suppliers. In addition to negotiation with carriers (an underutilized negotiation) it helps in freight claims, not matter the FOB point. Always consider the leverage.

I had the pleasure yesterday of spending the day with 35 members of the Purchasing Management Association of Western New England in Holyoke, MA. I conducted a seminar about contracts, agreements, and legal issues.