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Strategic Sourcing

Real-World Advice on How to Excel on a Fleet Sourcing Team

To be successful on a sourcing team, you need to be open-minded about exploring all available service channels and partners. However, open-minded doesn’t mean being open-headed. You must listen and entertain new ideas, but also temper such a practice and attitude with pragmatism and knowledge.

Why the Fleet Manager Should be the Gatekeeper to Procurement

The strategic procurement process typically involves a multifunctional sourcing team. This cross-functional team often designates a “gatekeeper” responsible for controlling the flow of information to the group. When selecting a fleet supplier, I strongly believe the fleet manager needs to be the gatekeeper. Here are the arguments supporting this assertion.

Encroachment Blurs Traditional Fleet Responsibilities at Multinational Fleets

Many interdepartmental and operational conflicts that intersect at fleet are typically driven by the challenge of balancing HR/driver requirements versus finance/procurement requirements, which are often at odds, with the gains in one area negatively impacting the other. And, the hard reality is not all department or operational managers are team players and, as a result, there are the inevitable interdepartmental (and personal) conflicts.

Procurement and Fleet Don't Speak the Same 'Language'

Until the emergence of strategic sourcing in the 1990s, procurement did not hold the same prominence within corporations as it does today. Nowadays, procurement plays a pivotal strategic role. Procurement is now the new engine of change in fleet management, which has resulted in dramatic changes in the fleet purchasing and supplier selection process.

Looking Back Gives Us a Glimpse of What's Ahead

When you examine the seminal events of fleet management over the past 30 years, most were driven by changes in tax law, the introduction of governmental mandates,and adoption of new technologies. Looking to the future, we should probably expect more of the same.

Is Strategic Sourcing a Threat to Fleet Managers?

It goes by any number of different names: shared services, strategic sourcing, or simply leverage. Whatever you call it, taking full advantage of the volume your company can bring to bear on the fleet marketplace is good business.

Strategic Procurement Threatens to Fundamentally Change Fleet Management

Corporate procurement departments are becoming the engines of change in fleet management at Fortune 500 companies. The emergence of strategic sourcing in the 1990s is rapidly altering corporate purchasing and increasingly forcing change in fleet purchasing and the supplier selection process.