Entries tagged with “procurement”
Articles
19 articles found for procurement:
- Agile Procurement – Need of the Hour
With intensifying competitive dynamics, businesses need to be able to adapt quickly and efficiently to changing customer demands, technological advancements, and environmental and geopolitical factors. Traditional procurement methods, which are often rigid, bureaucratic, and slow, may hinder the ability of organizations to ensure a smooth flow of supply chain operations. Agile practices can help companies achieve better procurement outcome
- AI in Procurement – Industry Applications
Industries across the globe are adopting emerging technologies to streamline complex processes such as procurement. However, the nature of business determines the level of adoption. For instance, the automobile and logistics sectors have widely implemented artificial intelligence (AI), an emerging technology, but other sectors are still seeking ways to implement it. Will procurement become an AI-enabled function across industries in the near future?
- AI in Procurement – Expanding Horizons
Emerging technology such as artificial intelligence (AI) is slowly gaining momentum across industries and processes. Companies worldwide are embracing this technology to realize efficiency and increase productivity in their procurement processes. AI algorithms can assist in analysis, prediction, and automation, thus helping to streamline the entire procurement process. However, organizations must understand the best use cases of implementing AI. In addition, the adoption of this technology across geographies remains uneven, where developed countries are moving ahead, while the developing ones are still taking cautious steps.
- How Big Data Analytics Will Facilitate Procurement 4.0
Procurement activities generate considerable amounts of data from systems, operations, and geographies. In the era of digitalization and Industry 4.0, big data analytics would be a boon to procurement professionals, helping derive insights across stages. With several potential use-cases, the synergy between procurement and big data analytics will help shape Procurement 4.0. Aligning business goals to choose suitable analytics tools will be the key toward realizing this transformation.
- Mexico – A Promising Sourcing Destination for US Procurement Organizations
With the global supply chain disruptions, countries are looking to develop strong supply base near to them. For the US, Mexico has emerged as a strong contender. Many drivers contribute to the country being a preferred option. The number of collaborations and trading transactions between the two countries rose in the past year, and this will only increase further. In this article, we discuss why sourcing from Mexico is an attractive option for large US organizations to procure key categories such as metal & electronics components, automotive parts, and other manufacturing products.
- How are Logistics Companies Redefining their Procurement Processes with AI?
Artificial Intelligence (AI) is leveraged by various sectors and companies to automate and streamline their procurement processes. The logistics sector, in particular, has adopted this technology on a massive scale, with some major companies using it to optimize their solutions. While the initial adoption cost and need for skill set upgrades may seem high, the advantages and cost-saving potential of this technology compensate for them.
- An Alternate Revenue Stream from Decarbonisation Techniques
Most industries are now moving towards “reducing CO2 emissions and targeting to become carbon neutral by 2050”. Companies have already set sustainability targets to reduce CO2 emissions. Methane processing techniques are being evaluated as a potential decarbonisation process compared with commercially available CCS/CCU techniques. These techniques decarbonise natural gas and form a feasible business case for companies adopting it, as hydrogen produced can be re-titrated to natural gas stream to achieve up to 100% sequestration of carbon content and solid carbon (carbon black/graphene) produced can be traded in various end-use industries, including tyre, construction, and ink & coating industries.
Carbon black is a mature and low-priced market ($1-2/kg) with the tyre industry contributing to >70% of the demand. While graphene is a high price point market ($100-1,000/kg), the actual demand of graphene is still optimistic and highly dependent upon the mass adoption by major end-use applications such as cement, concrete, etc.
- Security of Natural Gas Supply (Europe)
Prices of gas and electricity increased substantially across Europe in 2021–22 and are expected to rise further in 2022–23, as Russia began limiting gas supply to the region in response to the sanctions imposed. However, individual countries have taken several initiatives such as expanding storage capacity and coal and oil generation to reduce dependency on gas; reducing industrial, residential, and commercial demand; increasing imports from other countries; and investing in new infrastructure that would help secure supply and ultimately lead to stability in prices.
- Innovating Healthcare with Self-balancing Tech
The emerging self-balancing technology has the potential to revolutionize healthcare. When integrated with healthcare, it could enhance patient care by providing stable platforms for medical equipment and healthcare providers. There is potential to develop self-balancing devices that could assist patients with limited mobility, improving their independence and quality of life. By minimizing stability, self-balancing technology has the power to elevate patient care, fostering a safer and more efficient healthcare ecosystem.
- Mexico's Nearshoring Promise to Supply Chain Adversities
As the world navigates a series of supply chain disruptions, staying ahead of the curve is crucial. Exploring nearshoring opportunities becomes increasingly important to mitigate risks and build resilience. Mexico is emerging as a promising nearshoring destination to global companies (especially in North America) due to inherent benefits such as logistical proximity, reduced lead times, cost efficiency, and strategic trade relations. Procurement organizations have actively embraced Mexico, making regular investments, expanding capacities, and fostering supplier partnerships to reap the benefits of nearshoring. Are you prepared for nearshoring to build a resilient supply chain strategy?
- Boron Revolution 2030 – Quest for Resilience Amidst Supply–Demand Disparity
The decarbonization-led future with applications of e-mobility, wind energy, and solar energy is expected to drive an unprecedented rise in demand for boron and its derivatives. However, with no major supply expansions in the immediate pipeline, the supply–demand disparity is anticipated to widen, leading to a 25–40% projected price upsurge in the next 4–5 years. Therefore, reassessing supply chains and developing resilience to maintain competitiveness is crucial for companies in industries such as glass/composites, industrial manufacturing, automotive components, ceramics, and chemicals. It is imperative for procurement heads to secure future supplies by outlining forward-aligned sourcing strategies.
- Industrial Bio-Oils Take Center Stage in Sustainable Shift from Synthetic Oils
Organizational time-bound sustainability targets and attempt to build resilience by finding ways to minimize the impact of market/price volatility have been pushing companies to realign their business practices. It is time for chemicals, paints & coatings, CPG, and packaging companies to revisit their raw material sourcing spectrum by considering sustainable alternates - Industrial bio-oils! Global companies across industries have been actively transitioning from synthetic oils to bio-oils considering their performance is superior or comparable at the minimum. In lieu of the growing demand, the supply is poised to grow robustly with rising investments from prominent suppliers. Therefore, to drive sustainability across the sourcing value chain, it is imperative for procurement heads to leverage the expanding supply and gain a competitive position in the market.
- Revamping R&D Strategies as Per the New Normal
While countries struggle with macroeconomic issues and geopolitical tension, companies need to revamp themselves to maintain business continuity. Businesses are already fighting to survive, with pressure from economic downturn, global inflation, supply chain disruptions due to war situations, and climate changes. Is there a game plan that can help them not only ride out this tough time but also thrive?
- India's Newly Discovered Lithium Reserves – A Boon for the Domestic EV Industry
India's domestic lithium battery manufacturing sector is in its infancy and mostly reliant on the imports of Li-ion cells, which are only assembled into lithium-ion batteries in India. In the next five to six years, demand for Li-ion batteries is anticipated to increase due to the government's goal of achieving widespread EV adoption by 2030. The recently discovered lithium reserve in J&K and Rajasthan is projected to reduce India's reliance on raw material imports and propel the domestic Li-ion battery manufacturing industry, which would ultimately have a beneficial impact on EV adoption.
- Logistics 5.0: Difference with a Human Touch
The logistics industry is in the midst of a transformation with the integration of technologies and digital innovations in processes, which paves the way for Logistics 5.0, an extension of Industry 5.0. The goal is to digitalize the entire logistics process, making it simple and error-free, and thus creating a collaborative relationship between humans and machines. Will we now see a more productive and efficient logistics process?
- Semiconductor Shortage – A Roadblock to Auto OEMs’ EV Launch Plan
Semiconductor shortage was caused by the cascading effect of the pandemic and is expected to continue for the next few years. This global shortage has negatively affected the auto industry. Therefore, the industry has undertaken certain steps to overcome this crisis and get back on track.
- Integrating ESG in Real Estate
Environmental, Social, and Corporate Governance (ESG) is slowly gaining prominence across industries. Real estate has been a late adopter of this concept, but global warming concerns and net zero commitments have accelerated its acceptance within the industry. Real estate companies across regions are embedding ESG practices within their processes. Investors and financial firms also consider it important. ESG is set to become an essential requirement and become an integral part of Real Estate processes.
- Nurturing Sustainability Across the Supply Chain
It has become increasingly imperative for companies to embed sustainability throughout the supply chain. Companies are recognizing the need to connect with their tier-1 and tier-2 suppliers, adopting measures such as decarbonization initiatives and incorporating green packaging materials. By doing so, they aim to reduce their environmental impact and create a more sustainable value chain. Through collaborative approaches and the involvement of experts, organizations are better positioned to navigate the complexities of sustainability and make meaningful progress in embedding sustainability across their entire supply chain.
- PFAS Sourcing Challenges – Alternatives on the Rise
Per- and polyfluoroalkyl substances (PFAS), widely used for their unique properties, face heightened scrutiny due to health and environmental concerns. Their persistence in the environment and links to adverse health effects have led to regulatory actions globally. Industries such as food packaging, coatings and paints, chemicals, cosmetics and personal care, and electronics using PFAS are recommended to adopt safer alternatives, stay up to date on regulations, and follow responsible management practices. Proactive measures can mitigate the environmental impact, safeguard public health, and ensure business sustainability amid increasing PFAS challenges.
Special Reports
3 special reports found for procurement:
- Hurricanes 2022- Facing Supply Chain Adversities with Resilience
In the US, besides global disruptions (COVID-19-led volatilities, geopolitical instabilities, etc.), natural disasters such as hurricanes have exacerbated supply chain issues. Over 300 hurricanes made landfall in the US during 1851–2021, causing damage worth more than USD1 trillion across supply chains of key industries. Such events are expected to intensify in the coming years, leading to a sustained negative impact on supply chains. Is your supply chain ready to navigate the potential risks of the hurricane season 2022? Our special report can help you quickly understand the value chain of key industries susceptible to hurricane risks, the potential impact, and risks of hurricanes across supply chains, and the best practices for effective risk mitigation.
- Commodity Outlook Report – Q1’2024
Commodity prices fell sharply by 20-25% across the board in 2023, are further expected to decline by 4% in 2024. These trends, coupled with an anticipated 5% decline in energy prices in 2024, will have notable implications for procurement and supply chain decision-makers across industries.
- ESG: A Bumpy Road to Net Zero
Achieving net zero by 2050 involves a complete change in how energy is produced, transported, and consumed. The green transition hinges on unprecedented deployment of available clean and efficient technologies by 2030. This would require a significant front-loaded capital infusion into green technologies, especially in key sectors such as automobile, electric utilities, mining, and oil & gas. As demand for green projects and products reaches new highs, limited availability of mining capacities and growing emphasis on sustainable procurement of raw materials have led to significant volatility in the prices of critical metals used in green technologies. Moreover, the green transition could lead to job shifts in some sectors in the short term. Therefore, the initial road to net zero is expected to be rather bumpy instead of a smooth transition.