While acknowledging that getting directly involved in indirect (i.e., non-production related) procurement didn't necessarily win him any popularity contests, Brust believes that CFOs need to pay closer attention to this area, particularly since it can represent as much as 20 percent to 40 percent of revenue.
Reducing the amount spent on MRO (maintenance, repair, operations) activities in particular can lead to significant savings.
Read Full Article
Keywords: SC Finance & Revenue Mgmt., Technology, Business Strategy Alignment, Quality & Metrics, Supply Chain Analysis & Consulting, Global Supply Chain Management, indirect spend, MRO management, maintenance, repair and operations activities
Timely, incisive articles delivered directly to your inbox.