direct material sourcing

Have you ever attended a meeting when someone simply keeps raising problems, but offers no solutions? I don’t know about you, but I have always tried to surround myself with people that have creative problem-solving abilities.

One problem we faced when assembling speakers and panels for Commodity EDGE: Sourcing Intelligence for the New Normal involved identifying a commodity broker that can talk about price risk management and hedging strategies — in plain English. This is essential for connecting with procurement professionals less-versed in the highbrow language of finance.

After surveying the market, we have finally found two speakers from FuturePath Trading who fit the bill. They can speak the language of price risk management that all of us can understand — not just those who study contango markets.

So What Does That Have to Do With FullStep?

In the world of sourcing technologies and platforms, middle-market firms often face some of the same complexities as larger firms. Yet they can’t afford the higher-cost customization often required to carry out the same direct material sourcing efforts.

FullStep makes it possible to “highly tailor the applications to a manufacturing environment at a fraction of the cost that traditional enterprise software code-level customization would require,” wrote Jason Busch of Spend Matters. Moreover, according to Jason, “we were struck by the level of depth they’ve brought to the quality and compliance areas, including the ability to support both basic and advanced score-carding and performance management scenarios.” Not that these areas necessarily help reduce commodity volatility; however, when a company fights for every margin dollar, performance management and advanced score-carding can drive better decision-making.

Finally, the fact that FullStep’s approach fits a manufacturing-buying environment and specifically has developed tools to allow for part and line-item information on a total cost basis makes it possible for the middle market company to identify and implement price risk management strategies and tactics.

A case study on the FullStep solution appears here.

And of course, we can’t help but tout special promotions to MetalMiner readers.

We certainly look forward to FullStep’s participation at the event.