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Victor Nordlund, CPSM, CPSD, C.P.M.ISM Services Group PresentationMay 9, 2013

The Keys to Drive Excellent Services Purchasing

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 Your presenter is Victor A. Nordlund, CPSM, CPSD, C.P.M., the Purchasing Manager for Seda North America, and is responsible for the procurement of goods and services connected with the company’s start-up facility in Racine, Wisconsin. Seda is a leading food packaging company in Europe that is noted for its innovative design and superior products. Victor worked for many top-brand companies including Rain-X, Brach’s Candy, Castrol, BP and Sterno prior to accepting his current position with Seda. He developed significant supply chain management skills through working with these varied organizations, saving them millions of dollars and significantly improving their supply chains in the process. Victor also has shared the results of his experience by teaching supply chain courses at DePaul University. He has been a member of ISM―Chicago for many years, and is a Past President of that ISM affiliate.  

Victor Nordlund

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Services Purchased

Facilities Management

Financial Services

HR Services – Training…

IT Helpdesk

Logistics – Parcel, Freight…

Maintenance

Warehousing

Outside Manufacturing

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Dedication

Integrity

Passion

Pride

Sincerity

Capability

What is Excellent Service?

Providing service that is greater than expectations

Going the extra mile

People who have:

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Dedication, Integrity, Passion, Pride, Sincerity,

Capability

Excellent Service Providers

Providing service that is greater than expectations

Going the extra mile

Companies whose people have:

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1. Evaluate spend

2. Understand internal requirements

3. Evaluate & understand Supply

Market

4. Source

5. Select supplier & contract

6. Evaluate supplier performance

Service Purchasing Steps

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Link to goals and objectives

Cost vs. Service Level

Operations vs. Purchasing

Need vs. nice to have

Customer expectations

Competing Organizational Goals

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Importance of a well defined scope

of work

Technical expertise

Using suppliers as a resource

Communication

Improving Service Level Agreements

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Keeping Competition Alive

Importance of building

relationships

Competition keeps costs in-line

Bid services the same as

materials

Knowing the supply market/

suppliers

Who is a backup?

Are there risks involved?

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SMART - KPI

Ties to step 3 – Define internal

requirements

Refer to scope of work or SLA

Refer to contract terms

Strong relationship

Evaluate Supplier Performance

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Strong relationshipsPDCAVIP – Improve ValueSuppliers know best practicesBenchmark to peersInvolve team

Improve Supplier Performance

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Conclusion

The Keys to Drive Excellent Services Purchasing•Develop a strong scope of work/ SLA•Know the marketplace•Source well •SMART Measurements•PDCA•Importance of relationship•Supplier as a resource – VIP

Any questions?