In my last post, I wrote about the differences between global and multinational contract lifecycle management. These two seemingly synonymous terms provide guidelines for a large group of varied users and organizations, but they achieve their objectives in different ways. Global implies control, pushing a set of standards universally, while multinational implies flexibility, modifying a localized ability to accommodate regional norms. Continue Reading
Legal, procurement, supply chain—oh my!
Visiting some retail clients during the holidays, I was struck by the impact of the accelerated shift from “bricks to clicks” on procurement, supply chain and legal. It’s no secret that recent holiday shopping sales showed a continuing significant shift to online buying habits. Actual physical toy retailers are nearly nonexistent, mobile phone retailers are all online, booking holidays is a 100% online pursuit, banking, grocery and now urgent purchases are easily accessible for online same-day delivery.
This is not a new phenomenon, but I was surprised by how unprepared indirect procurement or GNFR (goods not for resale) is for this change.
So what is the impact on GNFR, supply chain and legal?
In a recent webinar co-presented by IACCM and Determine (available on demand here), IACCM CEO Tim Cummins discussed the history of global contract lifecycle management (CLM) efforts reaching back to the 1990s. As he pointed out, the CLM approaches of the time had a tendency to overemphasize centralization and standardization for the sake of cost efficiency. Though this strategy did bring some short-term operational wins, it both alienated local users and created regulatory and/or accounting complications for the company and their suppliers.
We looked closely at the compelling reasons for adopting a cloud-based legal solution in Part 1, and ways to mitigate supplier risk in Part 2. In this third and final blog in the series, you’ll discover how other organizations have made cloud solutions integral to the way they do business.