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P2050-006 | IBM Optimization Supply Chain Mgmt Technical Mastery Test v1

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P2050-006 - IBM Optimization Supply Chain Mgmt Technical Mastery Test v1 - braindump

Vendor IBM
Exam Number P2050-006
Exam Name IBM Optimization Supply Chain Mgmt Technical Mastery Test v1
Questions 30 Q & A
Recent Update November 12, 2018
Free PDF Download P2050-006 Brain Dump
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P2050-006 exam Dumps Source : IBM Optimization Supply Chain Mgmt Technical Mastery Test v1

Test Code : P2050-006
Test Name : IBM Optimization Supply Chain Mgmt Technical Mastery Test v1
Vendor Name : IBM
Q&A : 30 Real Questions

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IBM IBM Optimization Supply Chain

Blockchain know-how can revolutionize the food supply chain, says IBM VP | killexams.com Real Questions and Pass4sure dumps

02 Nov 2018 --- Blockchain expertise has the potential to revolutionize the food provide chain as manufacturers are compelled to respond to client force round transparency of sourcing and the give chain in usual. here's in keeping with Ramesh Gopinath, vice president at Blockchain options at IBM, who spoke to FoodIngedientsFirst at the Future food Tech Summit in London remaining month. He mentioned the launch of the IBM food have confidence platform, which is now commercially accessible.

a couple of retailers, logistics establishments and growers are working with IBM-developed blockchain know-how – the IBM meals have confidence blockchain community – adopting the game-changing technology to enhance traceability of definite food products within the meals supply chain. The blockchain-based mostly cloud network presents companies and meals business providers with facts from throughout the food ecosystem to allow greater traceability, transparency and effectivity.

closing month, FoodIngredientsFirst suggested that Europe’s greatest retailer, Carrefour, is adopting blockchain with a purpose to right now support trace food again to its source inside seconds, not like ordinary transactions, with plans to expand to all Carrefour brands by using 2022. The network is now often accessible after 18 months in testing, all through which agents and suppliers have tracked hundreds of thousands of particular person meals products.

click to magnify Ramesh Gopinath, Vice Presidentat Blockchain solutions at IBM

The stream by Carrefour comes just a couple of weeks after Walmart, an early proponent of blockchain technology, introduced that its leafy eco-friendly suppliers could be required to catch digital, conclusion-to-end traceability adventure suggestions the usage of IBM meals believe. the new through these predominant sellers indicates that their suppliers could have little alternative however to go on the blockchain bandwagon within the medium term earlier than it becomes a prerequisite.

“The IBM food trust product itself is a platform for relied on permissioned information sharing in the meals ecosystem. it is enjoyable for us on account of so many of the concerns we see in the food ecosystem nowadays, together with meals fraud, food safety and food waste. food waste is a crucial subject as a lot more organic food is produced than what is consumed as an instance,” says Gopinath.

a whole lot these issues we see these days, can also be traced in the food give chain – from the grower to the packer, to the corporation and then to the retailer with logistic agencies along the manner,” he notes. “relied on suggestions sharing doesn't happen as smartly as it should still turn up, so this is the platform for that collaborative alternate. upon getting the platform in vicinity, supply chain flows for the a number of food items, meaning that you should add price and remedy many of the problems within the food system.”

Blockchain is terribly universal and topical in the meals business, however the technology itself is seen as elusive, according to Gopinath. “there is loads of hype around it,” he accepts. “the way wherein i'd describe it's in case you examine blockchain and its applications in this particular instance, IBM food believe, the difficulty you are trying to solve is depended on advice sharing. if you have a farmer or a grower, as an example, the manner they should still be looking at here is an information sharing platform. The questions they should still be thinking about are – ‘how do I add my counsel and share it with others?’ ‘How do I set permission so that best the individuals who are allowed to see get to peer the tips?’ ‘Is the data protected and relaxed?’” he muses. 

those are the questions that groups should still be given that, says Gopinath. “They may still even be pondering concerning the mechanics of it and making certain that the entire respect guidance can be seen and shared when imperative, attractive during the device and solving meals give issues,” he notes. 

“patrons are the riding force nowadays concerning believe and transparency,” claims Gopinath. “We predict third parties small and large organizations to additionally bring value on desirable of this platform, so it's how we share and make the most of this platform to deliver cost to others,” he concludes. 

besides the fact that children to date there were few examples of its huge-scale software, blockchain is a burgeoning technology and many agile groups within and the food trade are adopting it as a transparency solution. different industries comparable to finance and retail are additionally the use of blockchain options. 

The attributes of blockchain and the potential to permission information, permits community contributors to profit a new stage of trusted assistance. Transactions are endorsed by using varied events, leading to an immutable single version of the truth, says IBM, as momentum grows amongst users and third-birthday party statistics suppliers on the community.

The IBM food believe community has extended to center of attention on optimizing the meals give, including generating insights on product freshness, reducing waste and making the deliver chain more collaborative and clear.

IBM food have faith uses a decentralized mannequin to permit multiple collaborating contributors of the food supply chain – from growers to suppliers to dealers – to share meals origin details, processing records, and delivery advice on a permissioned blockchain community. A separate entity controls each and every node on the blockchain and all data on the blockchain is encrypted. The decentralized elements of the network enable all parties to work collectively to ensure the records is depended on.

that you would be able to view the full video interview with Gopinath here. 

by means of Elizabeth eco-friendly and Lucy Gunn

To contact our editorial team please e-mail us at editorial@cnsmedia.com


Seagate Is using IBM Blockchain To Fend Off computer Counterfeiters | killexams.com Real Questions and Pass4sure dumps

computing device parts And accent Shoot - August 2011Getty

facts storage massive Seagate has a counterfeiting issue. All one need do is Google "Seagate and fake" and the results produce a large number of guides to help ensure users the hardware they’re inserting of their desktop is precise.

but the difficulty is truly better than just retail customers purchasing fraudulent hard drives, which now and again come shipped as nothing greater than dressed  up USB sticks. no longer most effective are counterfeits making it onto some mainstream systems like eBay, but whatever thing referred to as the reverse give chain, when valued clientele return goods, is additionally prone, expanding the risk that Seagate itself, which generated $11.8 billion salary this 12 months, is accepting counterfeits back into its own give.

To evade that from occurring, the Cupertino, California, company has devised a twofold plan aimed toward cutting off the $one hundred billion counterfeit hardware trade from every attitude. On one facet, the hardware itself is coming beneath improved coverage the use of cryptographic signatures similar to folks that be certain each bitcoin is unique.

however to make sure the deliver chain itself—the genuine manner during which each a part of each product is accounted for when it's moved—is additionally protected, Seagate has been quietly working with IBM for the past two months to circulate that procedure to a blockchain.

If the proof of concept, which is anticipated to be accomplished as soon as the end of this year, is successful, it might aid shine a light on the better inclined computing device hardware supply chain, which is increasingly being seen as a count of country wide protection.

“We discovered a special means of tying the actual product to the digital world, through the blockchain,” says Seagate managing technologist Manuel Offenberg, who is overseeing the undertaking. “We consider that’s where one of the crucial novelty is, the place we truly can go from a physical product to the digital blockchain world.”

while this effort marks Seagate’s first public push into blockchain, it’s also only a continuation of a years-historic expert relationship with IBM, in line with Offenberg. at least way back to 2009, Seagate has been presenting tough drives for IBM items, and after a brainstorming session in June helped verify Seagate’s hobby in the underlying expertise, the organizations formalized their latest challenge.

nevertheless within the early stages of the build, Offenberg and his team of six in Freemont, California, are using the enterprise grade IBM Blockchain, which accommodates the open-source Hyperledger cloth, to song the stream of items from the point of manufacture to the point of sale, and if quintessential lower back once more.

while the natural Seagate deliver chain consists of numerous middlemen, each and every manually scanning and getting into each computer part into their personal accounting software, Offenberg hopes the IBM Blockchain answer will aid move the system to a single append-handiest database that would accelerate the technique and give clients accelerated walk in the park fraud wasn't being committed. moreover, Offenberg says some steps such because the process of definitely checking a product is authentic are replicated by using IBM, Seagate and different counterparties, and will be decreased to a single motion.

The equal is right for the reverse give chain, when a consumer returns a product to IBM, which returns the product to Seagate, which returns it to a reprocessing facility, and best then can it's determined if it is correct to promote on a refurbished market.

but the blockchain give chain is barely part of the cryptographic answer. Seagate also announced these days that it'll integrate its own cryptographic signatures, or electronic IDs (EIDs) at the factor of manufacture to function a fingerprint for each piece of hardware alongside every step of the supply chain. When a hard pressure is again, cryptographic proof that the item became erased within the originating jurisdiction will also be hashed on the blockchain.

“according to the counsel in the blockchain, we are able to also immediately check the provenance of the machine, during which case, we could cut out a couple of steps,” says Offenberg. “The proof of idea will tell us extra succinctly which steps will also be eliminated.”

apart from this being the first instance of an commercial enterprise laptop hardware employer publicly exploring IBM Blockchain, the partnership is bizarre because the application company, IBM, is additionally a potential consumer.

As a customer of Seagate, IBM makes use of the hardware being tracked on this deliver chain in its servers, and if the platform is authorised for pilot testing following a deliberate demo to executives from both groups next yr, IBM will likely be the primary to basically use the platform.

“originally, the utility might be used between Seagate and IBM as we use it interior of our own server creation operations,” says Bruce Anderson, IBM global managing director of the electronics trade and head of strategy for the entire computer giant’s excessive-tech customers.

At later tiers of adoption, Anderson expects that some smaller companies with low deliver chain volumes can also come to a decision to license entry to IBM's or Seagate’s blockchain node, thereby reintroducing the intermediary conception to the shared ledger. larger agencies, in spite of this, may additionally have more of an incentive to spin up their personal node on the blockchain platform. "If a person's business is currently counterfeiting, this is going to take a big chunk out of how they do enterprise," Anderson brought.

Given the unique relationship, the place IBM is each offering the blockchain application and the cloud computing aid and is a participant within the deliver chain, Anderson says, he took the additional step of committing multiple contributors of this crew to helping construct out the answer facet-via-facet with the Seagate group.

“We see that fixing the counterfeiting issue as a consumer of Seagate is basically worth it,” says Anderson. "We also see this at an industry degree that others are going to be asking about.”

supply chain purposes of blockchain and other dispensed ledgers are increasingly being sought out as a probable evolution of the expertise first popularized by bitcoin. At stake even though is more than just gadget effectivity that effects from putting off middlemen and syncing up accounting facts.

trade issues go far past potentially fraudulent Seagate products relocating on the deliver chain. The administrations of each former U.S. President Barack Obama and present President Trump have issued statements about competencies countrywide safety threats that may outcomes from poorly managed supply chains.

Most these days, Bloomberg published a hotly contested report claiming that a poorly managed server supply chain may also have resulted within the surreptitious placement of malicious hardware. while blockchain may not necessarily stop such alleged fraud, a shared, immutable ledger may dramatically simplify investigations, giving people that believe the fraud existed, and those who don't, the evidence to help their case.

As for Seagate, Offenberg declined to comment on whether the blockchain solution he's helping increase could address the considerations introduced up in the Bloomberg document. as an alternative he defined that these are nevertheless very early days for the project and that his company is predominantly focused on “bringing the tiers of believe in our items up." even though he did add: “we're looking at the larger photograph.”


Llamasoft acquires IBM's deliver chain utility suite | killexams.com Real Questions and Pass4sure dumps

domestic > technology > Llamasoft acquires IBM's provide chain utility suite

technology April 1, 2015

stream creates potent provider in cloud-based give chain features.

through Ben Ames

In a circulate to consolidate the marketplace for provide chain design utility, LLamasoft Inc. spoke of today it has got the LogicTools supply chain purposes suite from IBM Corp. phrases were not disclosed.

Ann Arbor, Mich.-primarily based Llamasoft referred to it will buy IBM's LogicNet Plus, the inventory and Product circulate Analyst, and IBM's Transportation Analyst products. Llamasoft has been starting to be fast in recent years due to improved pastime within the enterprise's specialties of provide chain modeling, analytics and optimization. beneath the transaction, Llamasoft will take in the IBM supply chain technology and aid crew.

"We're extremely excited to find a way to serve LogicTools customers and welcome them into the LLamasoft consumer community, the largest neighborhood of provide chain designers on this planet," said Llamasoft CEO Donald Hicks. "provide chain modeling is a must-have capability to continue to exist and thrive in impulsively changing international market circumstances."

Llamasoft and the IBM provide chain units function in overlapping markets, which means there could be one less option for users and better power on other providers to compete with a a great deal higher rival. "there is one less option now. this can put a lot of pressure on the different providers to basically step up," pointed out James Cooke, a major analyst on the analysis firm Nucleus research, Inc.

Llamasoft delivers cloud-based mostly software solutions that enable clients to run software programs from the web rather than software downloaded on a physical laptop or server of their building. Llamasoft offers functions with standard performance and an easy interface for loading information into a give chain mannequin from any transportation management device (TMS), warehouse administration equipment (WMS), or business resource planning (ERP) answer, Cooke mentioned.

The acquisition comes at a time when businesses are putting more emphasis than ever on how they run their provide chains. "The marketplace for deliver chain design is turning out to be as greater organizations realize they should reexamine their networks, and ensure their network of distribution facilities and vegetation are according to changing market conditions," Cooke stated.

One illustration could be a retailer transitioning from promoting product throughout one channel, specifically the natural keep, to selling across digital platforms and pleasing orders from the warehouse or the save itself, or through a drop-shipping association the place the brand or organization handles the deliveries. That enterprise may use deliver chain design utility to simulate the have an effect on on its logistics network of establishing its distribution core to serve both online consumers and to replenish its stores, Cooke observed.

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comments: What did you think of this article? we might want to hear from you. DC velocity is committed to accuracy and readability within the delivery of important and positive logistics and provide chain news and assistance. in case you discover anything in DC pace you believe is inaccurate or warrants extra rationalization, please ?field=remarks - : Llamasoft acquires IBM's supply chain software suite">contact Chief Editor David Maloney. All comments are eligible for ebook in the letters portion of DC pace magazine. Please consist of you name and the name of the company or firm your work for.




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IBM Optimization Supply Chain Mgmt Technical Mastery Test v1

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A Central Address for 7,000 SAP Users | killexams.com real questions and Pass4sure dumps

Sappi Ltd.Sappi Ltd.

In a history that stretches over more than 70 years, the Sappi Group has grown continuously with a series of acquisitions. Today the corporate group unifies a variety of previously independent production facilities. Its IT landscape is just as complex and unique as its business. To balance the load on its operations as efficiently as possible and to optimize the value chain in South Africa, Europe, North America, and the Asia-Pacific region, the paper manufacturer uses SAP software. Along with SAP R/3 and business intelligence functionality from SAP, the company uses mySAP Supply Chain Management (mySAP SCM) and mySAP Customer Relationship Management (mySAP CRM) to support its logistics, sales, and distribution processes. SAP Advanced Planning & Optimization (SAP APO) supports the simulation of requirements and SAP Enterprise Buyer (SAP EB) serves as the basis for the group’s comprehensive purchasing portal. Electronic data interchange (EDI) and archive solutions enhance the IT environment. Overall, the SAP landscape at Sappi consists of 30 systems spread over 100 CPUs.

Two separate landscapes move toward each other

Currently, the paper manufacturer’s SAP environment is split in two. One environment serves users in South Africa; another environment serves employees in Europe, North America, and the Asia-Pacific region. Until the fall of 2005, two different service providers in South Africa and Europe operated the SAP installations. But the medium-term goal at Sappi is to consolidate its SAP landscapes into one worldwide system to enable uniform business processes for its numerous locations around the world. That’s why the group looked for a service provider that could operate both landscapes from one source and ultimately merge them into a global installation.The choice was T-Systems Austria. The company made a convincing case for itself because of its flexible pricing, which enabled Sappi to forecast its costs exactly. Its service offering was also impressive. “The decisive factors included a cost-effective solution, very flexible and customer-focused service, and on-site assistance,” says Guido Lauwers, the CIO of the Sappi Group. He believes the group’s SAP installation is in good hands at T-Systems Austria. “T-Systems bends over backwards for Sappi,” says Lauwers.Even before the contract was signed in the summer of 2005, the service provider proved itself when Sappi needed to implement new software. Without any bureaucratic haggling, the T-Systems team set up the new infrastructure and installed the software – even before it had taken over operations of the SAP installation in South Africa. The SAP team at Sappi simply had to perform quality assurance, which it could accomplish over remote access.

No risk for day-to-day business

One of the conditions for the transfer of the SAP landscape was keeping the existing IBM AIX system platform. Sappi did not want to accept any risk to the day-to-day operations of core SAP functionalities, such as materials management, financial accounting, and human resources or to SAP APO by migrating the operating system. Given the complex system layout, which includes a large number of interfaces and scripts, the effort needed to install a new operating system and the danger of errors were unacceptable risks.In the T-Center computer center, IBM p5 servers serve as the basis for the cluster computers and database servers of the Sappi installation. Because of its modular system nodes and dynamic portioning abilities, the architecture serves as a platform for the adaptive computing concepts of T-System customers. Sappi uses adaptive computing in a targeted manner with database services and SAP APO. For the most part, the applications run on HP Blade servers with Intel processors on Linux, which also provides resources for flexible, customer-independent adaptive computing.Because the paper manufacturer uses SAP software as a strategic platform for all its business processes – from procurement to payroll accounting – its SAP installation is one of the most functionally comprehensive in the computer center of T-Systems. The complex computer infrastructure demands good documentation and effective monitoring to avoid disruptions to operations and to correct errors quickly.

Transferring data halfway around the world

The greatest challenge of the project was transferring data from group headquarters in Johannesburg, South Africa to Vienna, Austria. The transfer involved moving a terabyte of data just for the production systems; the development and test systems required were two-and-a-half times that volume. Because Sappi planned to covert the South African applications in September 2005, the migration had to be complete only eight weeks after the contract was signed. By the end of 2005, the data had to be moved to Vienna for the SAP users in Europe, North America, and the Asia-Pacific region who previously used systems operating in Schweinfurt, Germany.The project began in July 2005 with the design of the system, hardware installation, and testing. The data was placed on storage media and flown from South Africa to Vienna. It was then migrated to the new systems over one weekend. “The different approaches to work caused by cultural differences were a special challenge to our team. They were taken into account as part of the transition phase in the various regions of Europe and South Africa and played an important role in the project. Despite the perfect mastery of all technical and highly complex requirements, we ultimately focused on the human beings involved, which is true of all global projects undertaken by T-Systems,” says Larissa Gaugl, transition manager of the project.

Ahead of schedule

Although the project involved 30 SAP systems halfway around the world, T-Systems Austria completed the conversion phase as planned. This successful conversion project earned the service provider third place in the International Project Management Award (IPMA) in Shanghai, China.The system landscapes for South Africa and those for Europe, North America, and the Asia-Pacific region now run in parallel on separate infrastructures in the T-Center computer center. Integration of the applications on a foundation of mySAP ERP 2005 is planned for September 2007. Sappi is also considering an upgrade to SAP NetWeaver 2004s.Today, 5,500 Sappi employees on four continents access the SAP infrastructure in the computer center in Vienna in parallel. The group has only one contact person for all questions about the operation of its corporate solutions. And Sappi has moved one step closer to meeting its goal of consolidating its SAP landscape around the world and setting up uniform business processes. As CIO Lauwers says, “After one year of operations, I can clearly say that this outsourcing project has reached its planned objectives. Sappi was able to reduce its outsourcing costs substantially and took an important step toward the realization of a single SAP system. T-Systems has proved itself to be a real partner by creatively working together with Sappi to develop solutions. Sappi has a very complex environment and tends to implement the newest tools from SAP. Although the right knowledge is not always available for the tools, T-Systems puts the necessary resources in place to implement the tools successfully.”

Karl SträsslerKarl Strässler

Harte-Hanks Trillium Software Delivers Advanced Enterprise Data Quality in Trillium Software System V12 | killexams.com real questions and Pass4sure dumps

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How to win at the digital transformation of Procurement? | killexams.com real questions and Pass4sure dumps

“Procurement-as-a-platform” is what digital Procurement is about!

All the companies I mentioned at the beginning of this article share the same operating model. This model has been brilliantly described by Aaron Dignan:

His model (Purpose, Process, People, Product, and Platform) is interesting as it extends the classic People, Process, and Technology (or Talent, Transition, and Technology — How Do We Drive Technological Advances? Part I, Sourcing Innovation). It also puts front and center crucial aspects unique to the full potential of a true digital transformation.

“[Companies like Amazon, Airbnb, and Uber] aren’t just market matchmakers using data-driven algorithms to drive better buyer-seller matches; they invest in new value creation. In platform markets, cultivating user capability becomes as strategically important as reducing transaction costs. Successful platforms empower their users”. The Best Platforms Are More than Matchmakers, Harvard Business Review.

Envisaging Procurement as a platform brings together, in a coherent and consistent “package” several characteristics and attributes that will contribute to Procurement’s survival and/or to elevating its role to a strategic one. It also creates the foundations required to be more adaptable and responsive to trends in the modern economy and society.

For example, in another report, he Hackett Group lists the Five Imperatives for Creating Greater Procurement Agility:

  • Reallocate resources from transactional focus to value adding
  • Embrace digital transformation
  • Leverage analytics-based decision making
  • Adopt stakeholder/customer centric service design and delivery
  • Re-skill the Procurement function
  • PaaP addresses all five because platform-based operating models:

  • remove friction and focus on the object of the “transaction” by empowering and engaging parties to get and deliver more. They embed the principle that efficiency fuels effectiveness.
  • will also enable Procurement to support the digital transformation of the whole company.
  • can not exist without data (and a lot of data) as it fuels their recommendation engines and is the base of tailoring experiences to the specific needs of each user.
  • are a means to get access to more and, potentially, on-demand expertise by changing the way the workforce is managed and delivery channels (Procurement-as-a-Service, contingent workforce, gig economy…)
  • Also, looking at Procurement as a platform is coherent with the peculiar role that technology plays in today’s digital and physical business world.

    “The effect of digital technologies is to blur the distinction between creating value in the tangible world of atoms and creating value out of the data that comes from sensing and controlling that tangible world”. Digital to the Core: Remastering Leadership for Your Industry, Your Enterprise, and Yourself, Graham Waller & Mark Raskino.

    Purpose: empowered relationships as competitive advantage

    As a response to a world in constant change, long-term relationships between customers and suppliers in the supply chain is emerging as a critical way to get competitive advantages. It is what I described as SRM²:

    PaaP allows organizations to translate the SRM² principles into practice. It is because to function, platforms rely on:

  • an excellent understanding of each party (stakeholder/supplier) through data
  • a laser focus on delivering value (the definition of what the value is being variable from company to company and from category to category)
  • generating growth (reduction of waste, new markets, innovation…) by enabling participants to realize their full potential
  • This is what creates adherence and adoption.

    It is important to remember that it is not just about digital solutions. PaaP is about the whole experience of working with (and in) Procurement. It encompasses all the various touchpoints in the Procurement processes: the digital ones and the physical ones. Another key characteristic of PaaP is to deliver a first-class and experience (digital and in real life) removed of frictions, of unnecessary bottlenecks, and of unnecessary intermediaries.

    Process: experience, journeys, and touchpoints

    “Speed and access change everything. [M]assive organizations are feeling intense pressure to innovate, as unencumbered startups take shots across their bows. Legacy processes that enforce bureaucracy, command-and-control structures, waterfall development, and risk management are still largely the standard among big corporations, yet they are liabilities in this fight”. The Operating Model That Is Eating The World, Aaron Dignan.

    In many organizations, people complain about the technology that they use at work (and not just Procurement technology) and say “It should be as easy as Google or Amazon.” This explains why technology providers describe their offering to be Google-like or Amazon-like as they are what people often use as benchmarks. This shows that polishing and simplifying the design of the experience (the term experience covers the process and the technology that it supports) is important. (But, it would be a misunderstanding of the psychology of change to believe that it is the only aspect that matters for long-term adoption).

    “There can be little question that the relatively mundane, repetitive jobs in today’s Procurement functions will disappear. Indeed, that extends to many jobs that SHOULD be mundane and repetitive and are only ‘complex’ because we choose to make them so (and it should be noted, this is an issue that is endemic to business activity, in no way specific to Procurement)”. Procurement — it’s time for a re-birth, Tim Cummins, CEO of the International Association for Contract & Commercial Management (IACCM).

    As technology usually follows process, blaming technology to be too complex is very often a reject of the process itself. And, as the quote above illustrates, processes became complex by design (maybe not consciously, though).

    So, Procurement has to also move to an experience-based approach to designing its processes. Like it is the standard practice on the sales/marketing side of business. To do so, it should not only aim at automating current processes but at obliterating them:

    “Companies tend to use technology to mechanize old ways of doing business. They leave the existing processes intact and use computers simply to speed them up.” Reengineering Work: Don’t Automate, Obliterate, Harvard Business Review.

    Striving to remove frictions changes the perspective. Instead of continuing to do the same as before (and doing most probably like all others — the so-called best practices), it encourages to look at doing things that were previously impossible.

    “Challenging people to visualize processes as platforms completely changes how trade-offs between innovation, optimization, and user experience are debated and discussed”. Instead of Optimizing Processes, Reimagine Them as Platforms, Harvard Business Review.

    Here are a couple of examples of processes illustrating a user-experience based approach.

    - Touchless:

    The first example that comes to my mind is what Amazon did with Amazon Go.

    Beyond the buzz and technobabble, Amazon Go should provoke the interest of Supply Chain professionals.

    By the way, it is “just” taking the use of vending machines (for MRO, for office supplies, or other consumables) a step further.

    “We can start to imagine all those occasions and processes where the administration of stuff being handled, moved, bought, consumed could be made “touchless” — no need for the humans involved to do” anything consciously in order for the parties involved to know that the activity has taken place”. Amazon Supply Chain Innovation — Just Help Yourself!, Spend Matters UK

    Compare the seamless experience of Amazon Go with a typical consignment process! Now, imagine what that consignment process could be if it was designed in the same spirit as Amazon Go. The design of the experience is centered on “growth”. Meaning that it enables parties to mutually realize their potential and remove the superfluous from the foreground and make it happens behind the scenes.

    - Assistants and chatbots:

    Another illustration of entirely rethinking processes as experiences, journeys, and touchpoints to make them more efficient and effective (and in par with mainstream ones) is what I called a Procurement assistant:

    The idea behind the assistant is what the technology world is currently doing (Siri, Cortana…). Chatbots and conversational commerce are hot topics in the tech sphere. Even if no one has yet fully figured it out and moved beyond the gadget/geeky aspects (except, maybe, Amazon — again! — with Alexa), it is a massive opportunity to revamp experiences regarding interactions and personalization.

    - Blockchain:

    The blockchain, beyond Bitcoins and other digital currencies, has the potential to drastically change the way organizations manage transactions and the exchange of value. But there is more.

    As I mentioned earlier, PaaP supports the SRM² model. And, for the model to work, a certain number of conditions exist. One is trust:

  • between the supplier and the customer,
  • between the Procurement organization and the other departments,
  • between the Sales organization and the other departments.
  • These three “circles of trust” are the building blocks of a genuine dialogue (instead of one-way communications). Blockchain is the means to create digital trust between parties by bringing security and transparency in transactions.

    “[The] blockchain is a major breakthrough. That’s because its decentralized approach to verifying changes in important information addresses the centuries-old problem of trust, a social resource that is all too often in short supply”. Blockchain technology: Redefining trust for a global, digital economy, Michael Casey

    One of the more direct benefits of using blockchain is to lower transaction costs. From contracting (more on that later) to payments, blockchain removes intermediaries and fees. It is therefore the ideal solution to streamline processes where what you do to buy costs more (or close to) that what you actually buy. It will have Procurement rethink what to do with the tail spend! Also, the experience is quite different when compared to traditional processes. Easier and faster are the keywords as explained in this episode of the Thriving At The Crossroads podcast.

    In addition to payments, the blockchain opens new horizons for contract management. As Alec Ross says in “the industries of the future” (using the purchase of a house as an example), contracting hasn’t fundamentally changed in the last 45 years and involves a lot of papers, lots of signatures and lengthy procedures. It is because of the lack of trust between parties with regards to the financial transaction and the timeframe of such transactions. Also, the need to prove/define ownership adds to the burden. As already mentioned earlier, blockchain can make payments real-time, and it also solves ownership issues as blockchain records log who owns what in an easily retrievable (public), up-to-date, and secure manner (which also represents benefits for IP protection).

    On top of that, execution of contracts can be drastically streamlined and automated with smart contacts:

    “A smart contract has the capability to facilitate, execute and enforce the performance of negotiation of a contract. The entire lifecycle of a smart contract is automated and can provide valuable as a complement to or substitute to a legal contract”. Blockchain enabled Trust & Transparency in supply chains, Jørgen Svennevik Notland

    Source: How smart contracts automate digital business, PwC

    Other applications tap into the traceability and transparency that the blockchain embeds. By being a permanent and secure record of all transactions between all tiers of the supply chain, it can replace all existing paper-based systems. Plus, as it is available publicly (anyone or all partners in a network), it is broader and deeper than usual practices that only apply to Tier 1 (sometimes Tier 2) suppliers.

    “The project — a collaboration between Walmart, IBM and Tsinghua University in Beijing — was first unveiled in October, when the project partners claimed they were creating a new model for food traceability, supply chain transparency and auditability. “By harnessing the power of blockchain technology designed to generate transparency and efficiency in supply chain record keeping, this work aims to help enhance the safety of food on the tables of Chinese consumers,” noted an IBM press release. In fact, the pilot project was initially planned to track and trace Chinese pork; U.S. produce was added later.” Walmart Testing Blockchain Technology for Supply Chain Management, Bitcoin Magazine.

    Blockchain may sound like science-fiction or for the uber-geeks only, but it is not. Mainstream companies and actors use blockchain or enable the use of it. For example, Microsoft. Also, blockchain exemplifies the “platform” philosophy. Organizations can build numerous applications on top of the blockchain architecture (technical platform). Also, it removes friction and intermediaries allowing

    “The notion of shared public ledgers may not sound revolutionary or sexy. Neither did double-entry book-keeping or joint-stock companies. Yet, like them, the blockchain is an apparently mundane process that has the potential to transform how people and businesses co-operate”. The promise of the blockchain. The trust machine, The Economist

    All the examples I just mentioned illustrate the fact that Procurement has to think about engaging internal customers/stakeholders and suppliers in different ways. Procurement has to build omnichannel and replicable but unique experiences that fits with:

  • the type of purchase,
  • who purchases,
  • the context of the purchase.
  • - Human touchpoints:

    The concept of omnichannel experiences extends to the real world. Not everything is about technology and digital. Human touchpoints are also very critical to manage, maintain, and nurture relationships.

    For example, organizing business reviews (BR) with key stakeholders and with major suppliers is an opportunity to look at the business from a different perspective than during day-to-day interactions. Here too, it is crucial to design the BRs in a way that matches the relation and the business needs. BRs are moments where involved parties have more intimate and trust-based exchanges about where they are and where they want to go.

    In the same spirit, setting up “single points of contacts” (SPOC) participates, like the BRs, to creating more proximity and intimacy between Procurement and stakeholders.

    “The client contact is mapped out, and the procurement team becomes aware of every senior new role or person in the organisation they need to consider. They execute these important steps — they contact and communicate with them; they make a point of understanding their particular business objectives; they understand what type of person they are; they collect information and keep up to date with issues and goals in those business teams”. The Fujitsu Procurement Transformation Story (Part 2), Spend Matters UK

    The same is transposable to the supply side: one buyer is assigned as the main contact of a supplier. He is able to speak for the whole organization during BRs, negotiations, and escalations. That gives him access to a higher level of interlocutors at the supplier. It also provides the suppliers with privileged access to information, market, and power.

    People: new ways to manage talent

    Physical touchpoints exemplify that business is Human-to-Human (H2H) and that all of it must not be left to technology. Considering Procurement as a platform whose primary objective is to efficiently and effectively manage the dependencies between an organization and its suppliers has the effect to position the choice of

  • delivery models (in-house, BPO, Procurement-as-a-Service,…),
  • organizational models (centralized, decentralized, Center of Excellence…),
  • workforce/talent management and enablement,
  • as somehow secondary and as a consequence of their purpose.

    Also, the various possibilities listed above can co-exist in the same organization. The principles of omnichannel and personalization also apply there. Depending on the category, the stakeholders, the internal resources, the organization can select the most appropriate model. The objective being to employ the best talent (from an individual and collective point of view) and to continuously adapt to the needs and the market.

    Many organizations do not have the required expertise available in-house for all the categories they manage. They focus on the most critical ones. And, because of a particular project or because of a merger & acquisition or because of the emergence of new technologies on the supply market, what was marginal may become vital. To ramp-up capabilities and to temper its talent, the organization can decide to:

  • train his current resources
  • source and hire new talent
  • tap into the gig economy (the market of independent contractors and freelancers)
  • rely on the wisdom of crowds (crowdsourcing, for example, is one of the many ways to use external resources for a specific task or problem instead of hiring a consultant or expert).
  • Technology (automation and AI) redistributes work and redefines skill sets. Cognitive Procurement is about “People + Technology” and not “People vs. Technology”:

    This reinforced collaboration with machines has profound impacts that PaaP can help mitigate as it provides a system that is more agile, scalable, and adaptable.

    “Automation has begun to displace human workers, as some predicted, but the effect is more than just replacement — it’s advancement. The influx of sophisticated technologies will enable us to think of work in new and innovative ways. […] We are witnessing the emergence of the “liquid workforce” and the “human cloud” as new workforce models. The “liquid workforce” refers to employees who are able to re-train and adapt to their environment in order to stay relevant during the digital revolution”. The future is automated. Here’s how we can prepare for it, The World Economic Forum.



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