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Strategic Sourcing

If you don't know where you are going, any road will get you there. We've all heard this old adage countless times-because it's true. In the current market economy where higher quality, shorter delivery times, lower unit costs and fewer suppliers are the battlecry of every supply chain manager, the road to success is a well-designed, well-assembled and well-managed supply chain.

The hallmark of such a supply chain is a solid strategic sourcing initiative that is aligned with an organization's overall strategic objectives. Yielding an average of 15% -25% savings of an organization's controllable external spend, a solid, well-executed and managed strategic sourcing initiative is one of the most significant and effective cost reduction options available to an organization.

The A. O. Phillips & Associates team can help you crystallize the vision of where you want to go and lead you down the road to strategic sourcing success by focusing on:

  • Sourcing Opportunities Assessment
  • Outsourcing Opportunity Analysis
  • Data Acquisition
  • Selection Criteria and Barriers
  • Supplier Selection and Development
  • Supplier Performance Management
  • Evaluation and Recommendation of e-Sourcing Tools

Supply Chain Management

Webster's defines a chain as "a series of closely linked or connected things." It also defines it as "a restraining or confining agent or force." Which one better describes your supply chain? Are your suppliers closely linked and connected with you? Or are they more of a restraining or confining group?

Effective supply chains utilize strong, high quality, flexible suppliers that are committed to consistently meeting the needs of your organization as well as providing input on ways to improve your procurement process. Suppliers no longer have the luxury of solely providing the lowest per unit cost product or service. Today's suppliers must continually bring value-added services to the supply chain processes of which they are a part.

The A. O. Phillips & Associates team can be your partner in developing a solid, effective supply chain by helping with the following focused supply chain services:

  • Assessment and Report of Findings
  • Strategy Development
  • Benchmarking
  • Process Redesign
  • Supplier Identification and Prequalification
  • Performance Measurement Systems

Management Care Modification

Synergy-the interaction of two or more agents or forces so that their combined effect is greater than the sum of their individual effects. The success of every organization, at its core, is based on its ability to realize both intra- and interdepartmental synergy. Its ability to amicably mesh profitability, customer satisfaction and employee satisfaction springs from the synergy. Accordingly, it is imperative to attract, retain, develop and promote the talent that will help to secure the competitive edge. Furthermore, it is necessary to increase innovation, productivity, quality and employee satisfaction while increasing shareholder value.

A. O. Phillips & Associates uses the term Management Care Modification to describe the methods we use to help your organization thrive amidst a volatile business environment. We realize that often times process solutions are implemented with little concern for the personal component of change. However, it is crucial to consider the various "work-life" situations in order to successfully strategize business solutions.

The consultants at A. O. Phillips & Associates offer the following services:

  • Resistance Diagnosis
  • Transition Assistance
  • Execution Plan Development
  • Modification Plan Implementation

Reengineering and Continuous Improvement Strategies

In business, challenges must be faced everyday. One challenge may be a new product that merely requires a small modification in a production process. Another challenge may be catering to a new customer's needs or a current employee's schedule. Yet another might be modifying an administrative process to improve the sales order process. Over time, the failure to deal with these challenges can cause major inefficiencies.

In order to increase efficiency, thus enabling profit improvement, a radical redesign of cross-functional business procedures is necessary. With Process Reengineering, a company can take a periodic and comprehensive review of its current business systems and seek out innovative strategies and reconstruct current practices in order to be a competitive force. A. O. Phillips & Associates will present a new and improved business approach that will show immediate cost saving opportunities.

Our Process Reengineering services include but are not limited to:

  • Cross-functional Process Analysis
  • Implementation Training
  • New Performance Measures
  • New Systems Review
  • System Redesign


Set your goals and set them high. But what happens if those goals, once achieved, don't make you competitive? What if your competitors have set higher goals? What if their processes allow them to be more productive, more nimble, more profitable? You have to know what they know. While your goals and processes must meet your own internal standards of excellence, it is imperative that you know how you compare to your competitors-and make improvements as necessary.

Benchmarking is the process of seeking out and studying the best internal business practices that deliver superior results. It provides management with some strategic areas of opportunity. Determining benchmarks allows for direct, relevant comparisons. It is the application of what is learned in the benchmarking process that delivers the superior results.

A. O. Phillips & Associates provides both internal and external benchmarking services that allow our clients to identify strengths and shortcomings then prioritize areas requiring improvement. The true benefits of this process are realized when clients embrace recommendations and initiate a continuous improvement process that will increase revenue, decrease costs, increase net productivity and/or increase shareholder value.

We offer these services in business areas including, but not limited to:

  • Customer Service
  • Procurement
  • Accounts Payable
  • Sales and Marketing
  • Human Resources
  • Overall Business Operations

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