While there are many books written on the basics of the "supply" side of the supply chain (i.e. strategic sourcing, sourcing/procurement, and purchasing), there hasn’t been much written on those areas from a Lean perspective. Considering that supply chain costs, primarily procurement and transportation, can range from 50 to 70% of sales, it's surprising that this area has not been fully explored. As a result, some companies tend to place too much emphasis on the traditional focus of reducing material costs instead of process improvement.
Lean Demand-Driven Procurement: How to Apply Lean Thinking to Your Supply Management Process details the basic supply management concepts and processes (i.e. sourcing, procurement, and purchasing) in an easy-to-understand format in combination with various process improvement tools, methodologies, best practices, examples, and cases written from a Lean perspective. It focuses and pinpoints ways to identify waste on the supply side through improved processes and, in some cases, technology.
Applying Lean principles to procurement and purchasing processes identies non-traditional sources of waste, and in some cases, creates a paradigm shift that results in additional benets to the entire supply chain.
Table of Contents
About the Author
PART I Lean Demand-Driven Procurement: Overview
Chapter 1 Introduction: Why You Need a Lean and Agile, Demand-Driven Supply Management Process
Chapter 2 History and Importance of Procurement and Purchasing in Adding Value to an Organization
Chapter 3 Supply Management Organization and Structure
Chapter 4 Procurement Strategy Development and Application
Chapter 5 Issues and Opportunities in Supply Management
Chapter 6 Lean Procurement
PART II Supply Management Processes
Chapter 7 Strategic Sourcing
Chapter 8 Procurement
Chapter 9 Purchasing
Chapter 10 Material Requirements Planning (MRP) and Indirect Procurement
PART III Tools and Techniques for a Leaner Supply Management Process
Chapter 11 Cost Management
Chapter 12 Contract and Performance Management and Ethics
Chapter 13 e-Procurement and Other Supply Management Technologies
Chapter 14 Procurement Analysis, Tools, and Techniques
PART IV Lean Ahead
Chapter 15 Global Procurement and Its Impact on the Lean
Chapter 16 The Future of Lean Procurement
Appendix A: A Lean (Philosophy) for Life
Paul Myerson has been a successful change catalyst for a variety of clients and organizations of all sizes.
Paul has over 30 years’ experience in Supply Chain strategies, systems and operations that have resulted in bottom-line improvements for companies such as General Electric, Unilever, and Church and Dwight (Arm & Hammer).
Paul holds an MBA in Physical Distribution from Temple University and a BS in Logistics from The Pennsylvania State University. He has an extensive background as a Supply Chain professional, consultant, teacher (currently Instructor, Management and Decision Sciences at Monmouth University), and author.
Mr. Myerson currently writes a column for Inbound Logistics magazine on the topic of “Lean Supply Chain,” which can be found at http://www.inboundlogistics.com/cms/article-type/commentary/the-lean-supplychain/, as well as a blog for Industry Week magazine at http://www.industryweek.com/author/Paul-Myerson. He is also the author of a Lean Supply Chain Simulation Training game and training package available at http://www.enna.com/lean_supplychain. Myerson’s personal website is http://www.supplychainsmarts.com.
"Myerson’s new book entices one to explore how procurement takes on a significant role by improving the flow of information and materials within the entire supply chain. All of which lead to best practice Lean procurement functions that reach far beyond the contractual negotiations and established crucial operational requirements, using strategic sourcing activities encompassing market research, vendor evaluation and integration."
—Joseph Mosca, EdD, Associate Professor, Department of Management and Decision Sciences at Monmouth University
"Although an abundance of books and articles address topics related to the supply side of supply chain management, not much is available regarding how to apply Lean within the supply organization. Paul Myerson’s book addresses this important and timely need."
–Robert J. Trent, PhD, Professor of Supply Chain Management and Supply Chain Management Program Director at Lehigh University; Author, End-to-End Lean Management—A Guide to Complete Supply Chain Improvement
"[This book] provides the clearest A to Z user’s guide available to understanding and employing the smartest, most cutting-edge Lean and Agile practices."
–William Bajor, PhD, Director, Graduate & Extended Studies at East Stroudsburg University
"It’s about time procurement teams harness the tangible benefits of Lean principles to take demand driven initiatives to the next level. Making a 'good buy' based on pricing incentives does not necessarily result in a great purchase for the business."
–Karin L. Bursa, Executive Vice President of Logility