| Cheap Sourcing - Is It the New Purchasing | | | | “cheaply†sourced from the |
| Game in Town or is It the Most Ancient | | | | Americas thousands of years ago. |
| Practice on Earth? | | | | |
| | | | The roman empire invaded and occupied Egypt |
| I was invited to participate in a round table | | | | for only one thing, cheap and high quality |
| discussion along with senior colleagues from | | | | Wheat to feed its army so that they could |
| the largest procurement organisations in | | | | march further, occupying other territories |
| Europe. The moderator of the forum asked a | | | | and obtaining more goods and services from |
| question to all the attendees:†what | | | | other cheaper sources. |
| are your views on the latest thinking in | | | | |
| procurement organisations - Cheap | | | | The British Empire was built on trade and the |
| Sourcingâ€. People started answering | | | | desire to obtain goods, services and labour |
| while highlighting their experiences and the | | | | cheaply from all over the world. The British |
| advances they have made into this new trend | | | | Empire went even further and outsourced |
| in Procurement. | | | | armies using other countries in Asia and |
| | | | Africa to fight the British wars up until to |
| I felt a bit strange at the question and | | | | the Second World War. Cheap silk and spices |
| being a Chief Procurement Officer myself, I | | | | from India, Cotton from Egypt and Tobacco |
| felt a bit embarrassed that I have never | | | | from America and so on. |
| really given this “new†the | | | | |
| importance it deserves or even thought about | | | | Most wars in history were about obtaining |
| it much. I must be totally incompetent as a | | | | goods and services from cheap sources in |
| procurement officer since in such an | | | | reality. |
| important forum a question like this is being | | | | |
| put forward to the participants, or am I | | | | This is why I didn't understand the question |
| outdated and not keeping up with the latest | | | | in the first place. |
| trends and technologies in procurement? | | | | |
| | | | At this stage I collected my courage and let |
| While the others were answering the question | | | | it all out to my colleagues and the |
| each in his own way, I scratched my head | | | | moderator, they all enjoyed the remarks and |
| thinking to myself, well I do make good deals | | | | laughed at it. |
| for my company, and in fact our deals are one | | | | |
| of the best deals in the industry. We do | | | | I don't think my remarks were funny at all. |
| search the globe for the best price and | | | | Sarcastic, may be but not funny. |
| quality while focusing on continuity of | | | | |
| supply to secure the company. The problem I | | | | Cheap sourcing is not a new game in town for |
| have is that I never thought I was doing | | | | procurement departments to brag about, it is |
| something extra ordinary or even implementing | | | | in fact the oldest game in town since all |
| the latest “buzz†in the | | | | empires in history were built and motivated |
| procurement industry. | | | | by finding new cheaper source for labour, |
| | | | goods and services to please their citizens. |
| I didn't think either that this was modesty | | | | |
| on my behalf. As my turn was nearing and my | | | | Put another way, all wars and empires were |
| confusion at the question was increasing, it | | | | built and motivated by controlling these |
| suddenly occurred to me that there is | | | | “cheaper†sources in the first |
| something missing here and being from an | | | | place for the advancement of their own |
| Egyptian origin myself I though to myself, | | | | nations. These days the only difference is |
| hang on, the ancient Egyptian have been | | | | the fact that the acquirers of these goods |
| trading all over the globe for seven | | | | and services have to pay the price which is |
| thousands years, the mummies of the pharaohs | | | | usually still cheaper than obtaining it in |
| still preserved today are all encased in | | | | their own country. |
| Tobacco leaves that could only have been | | | | |