Sourcing Excellence is one of the key performance indicators (KPIs) in this world of ever changing sourcing strategies. Manufacturing companies need to access and diagnose the reliability and competencies of existing suppliers in order to coordinate and develop them. This would help in managing their relationships through the sharing and diversification of knowledge and skills. Meanwhile, this research will also strengthen the collaboration of researchers in the field of operations management to ascertain and adopt the right development tools for specific or groups of suppliers in manufacturing companies. In essence, this would allow the deployment of both internal and external skills and competencies to determine the new approaches towards organizing, supporting and improving supplier driven innovations (SDI) and supplier relationship management (SRM). This is to achieve operational excellence in manufacturing companies. In addition, an advanced approach to sourcing involves integrating and coordinating suppliers, common materials, processes, designs and technologies across worldwide buying, design and operating locations. However, since most manufacturing companies do not have well-developed suppliers for global sourcing strategies in place, improvement opportunities in this area are attractive and as yet largely unrealized. Shifting from a narrow, cost-reduction emphasis with suppliers to an emphasis on globally integrated and coordinated sourcing strategies with well-developed suppliers would improve the competitiveness of manufacturing companies (7). Over the last couple of years, supplier’s development is an evolution in supply chain management and there is a growing interest in generating approaches for meaningful development of suppliers and SDI. This would allow businesses to snatch long-term strategic initiatives by developing effective partnerships with suppliers (9). Meanwhile, this is useful in gaining the short term quick win benefits while focussing on the strategies for deriving additional value in the long term. Identifying the barriers, best practices and potential benefits of integrating the models of JIT sourcing and global sourcing would also add value and enhance excellent sourcing practices. These and other possibilities of sourcing would be considered in this research.
|Number of pages||13|
|Publication status||Published - 15 May 2011|
- Sourcing excellence, supplier driven innovations (SDI), and, supplier relationship management (SRM).