Supply Chain Disruptions = 30% Lower Shareholder Returns

By:  Mickey North Rizza

In the spring of 2005, the Production and Operations Management Journal published an article, “An Empirical Analysis of the Effect of Supply Chain Disruptions on Long-Run Stock Price Performance and Equity Risk of the Firm.”   The study found companies have experienced 30% lower shareholder returns compared to their peers in the wake of a publicly announced supply chain disruption.

Conflict Minerals: Three Steps to Supply Chain Compliance

By Mickey North Rizza

Human rights groups won a major battle last year when the SEC approved new rules that force public companies to disclose if any of their products contain conflict minerals sourced from the Democratic Republic of Congo.

Conflict minerals – which include tin, tantalum, tungsten and gold, among others – are core components of many high-tech products that consumers use every day, like smartphones,  MP3 players and laptops. The trading of these minerals, however, is believed to fuel deadly civil wars in the Democratic Republic of Congo and Uganda.

Even The CFO Is Focused On Risk!

By Mickey North Rizza 

Risk continues to be a hot topic for businesses; but like the old adage about EF Hutton, when the CFO starts talking, people start listening — or in this case, start strategising for the future.

At a recent Wall Street Journal CFO Network Conference, attendees noted four critical aspects to prepare for global business risks: Thinking regionally; Cyber-security; Manage the supply chain; and Interrelated risks. The group was co-chaired by Robyn M. Denholm, Chief Financial Officer, Juniper Networks; Bob Shanks, Executive Vice-President and Chief Financial Officer, Ford Motor Company; and Trace T. Travis, Executive Vice-President and Chief Financial Officer, Estee Lauder Cos.

Capitalizing on the Magic in Gartner’s Strategic Sourcing Magic Quadrant

By Mickey North Rizza

Gartner recently released The Strategic Sourcing Magic Quadrant. The ‘MQ’ as it is affectionately known, positions technology players within a given market, in this case Strategic Sourcing. The MQ plots the providers ability to execute against the completeness of vision: resulting in a quadrant positioning the leaders, visionaries, challengers and niche players.

Turning Japanese...

By Ben Turner - 4C

I’ve recently been helping a number of clients in the retail sector carry out eAuctions for their Goods for Resale (GFR). Coming from an indirects procurement background, I was used to English eAuctions, which allow a feedback process between suppliers, enabling them to adjust their position in response to their ranking. Japanese eAuctions do not incorporate this feedback process.