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Harnessing Value in the Supply Chain: Strategic Sourcing in Action

ISBN: 978-0-471-34975-4
384 pages
August 1999
Harnessing Value in the Supply Chain: Strategic Sourcing in Action (0471349755) cover image
A definitive roadmap for implementing effective supply chain management

Strategic sourcing redefines the traditional approach to buying and using materials and services. Purchasing and supplier programs are receiving substantial attention in current professional literature, but there is little information on implementing supplier strategies and techniques.

Harnessing Value in the Supply Chain offers a specific, step-by-step approach to the strategic sourcing process, developed by the author at Southern California Edison. This unique reference provides expert guidance on designing, launching, executing, evaluating, and maintaining a sourcing project. It includes illustrations, examples, and templates for immediate use. Finally, supply chain management and strategic sourcing are presented in a usable, comprehensive, and cost-effective framework.

To illustrate this approach, the book describes the experience of Southern California Edison, a utility company that achieved $150 million in annual cost reduction through a strategic sourcing program. The story is told from the perspective of the people who led the revolutionary change at SCE, as wellas the suppliers. A detailed method on how to duplicate SCE's success is included in the book.

This book is unique in that it fully traces a strategic sourcing initiative from conception to implementation-and it is the only book that documents the SCE story. Harnessing Value in the Supply Chain is a powerful tool that will help organizations optimize their resources and develop relationships to sustain effective supply chain management.
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THE VOICE OF EXPERIENCE: LESSONS AND INSIGHTS FROM PEOPLE WHO EXPERIENCED STRATEGIC SOURCING AT SCE.

The SCE Story.

The Case for Action -
Theory and Practice.

Suppliers Speak.

Critical Success Factors in Strategic Sourcing.

Suppliers' Critical Success Factors.

THE ACTION GUIDE: IMPLEMENTING STRATEGIC SOURCING.

Deciding to Act.

Designing the Program.

Team Development and Opportunity Identification.

Assessment.

Sourcing Team Strategy.

Supplier Selection.

Implementation.

Sustaining Change.

Business Integration.

Epilogue-Beyond Strategic Sourcing.

Index.
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EMIKO BANFIELD, PhD, is Vice President of Shared Services for Southern California Edison, the nation's second-largest investor-owned electric utility. During her eighteen years of experience at SCE, she has held a number of managerial and executive positions, introducing organizational design and development efforts in twelve departments.
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