Cognitive Sourcing Survey 2019 And Maturity Model V4 - Final

46 Questions | Total Attempts: 31

Cognitive Sourcing Survey 2019 And Maturity Model V4 - Final - Quiz

Questions and Answers
  • 1. 
    Are there any other fires you deal with frequently?
  • 2. 
    What industry is your organization in?
    • A. 

      Automotive

    • B. 

      Industrial

    • C. 

      Consumer Products

    • D. 

      High Tech

    • E. 

      Life Sciences

  • 3. 
    What is the total annual direct materials spend for your organization?
    • A. 

      Less than $500M

    • B. 

      $500M - $1B

    • C. 

      $1B - $2B

    • D. 

      $2B - $5B

    • E. 

      More than $5B

  • 4. 
    About how many direct materials sourcing professionals are in your organization (including commodity/category manager, sourcing operations, buyers, business analysts, etc.)?
    • A. 

      Less than 10

    • B. 

      10 - 20

    • C. 

      21 - 50

    • D. 

      51 - 200

    • E. 

      More than 200

  • 5. 
    Does your organization have a digital transformation initiative in procurement and/or direct materials sourcing? If so, how long has it been active?
    • A. 

      Nothing formally launched and not active discussion/planning at this time.

    • B. 

      Nothing formally launched, but initiatives are at the planning stage

    • C. 

      Initiative launched, less than 1 year.

    • D. 

      Initiative in place, 1 to 2 years in active status.

    • E. 

      Initiative maturing, 2 to 3 years in deployment and adoption.

  • 6. 
    How important do your sourcing professionals consider digital transformation and "data-driven procurement"?
    • A. 

      1 (low importance)

    • B. 

      2

    • C. 

      3

    • D. 

      4

    • E. 

      5 (critical to success)

  • 7. 
    Where do you place your organization on the technology adoption curve, in general?
    • A. 

      Innovator (First to adopt new technologies assuming an element of risk)

    • B. 

      Early Adopter (Quick to adopt new technologies, but more risk-averse)

    • C. 

      Early Majority (Adopt new technologies once they've been proven)

    • D. 

      Late Majority (Slow to adopt new technologies, very risk-averse)

    • E. 

      Laggard (Adopt slowly and only when they have to)

  • 8. 
    Organizational structure is key to driving the behavior and effectiveness of sourcing professionals. What organization structure best describes your sourcing team?
    • A. 

      Decentralized or Siloed - Direct materials sourcing and commodity management teams are integrated into individual manufacturing sites, operating companies, or product units. Coverage of suppliers or commodity/categories may overlap across different organizational units.

    • B. 

      Centralized - A model in which all procurement goes through a single, central organization. Focus is on leveraging corporate spend across the enterprise, standardizing sourcing and procurement processes and compliance. Often includes both indirect and direct procurement categories.

    • C. 

      Center-led - Center-led organizations often form a procurement center of excellence (COE) that focuses on corporate supply chain strategies and strategic commodities, best practices, and knowledge sharing while leaving individual buys and tactical execution to the individual business units.

    • D. 

      Cross-Functional - Extends on either centralized or center-led organizational models, with clear internal cross-functional process alignment with stakeholders and decision makers in peer groups, including supply management, product operations/engineering, finance, and manufacturing.

    • E. 

      Departmental - The need for more centralized management is recognized and new tools and processes that stimulate information sharing across the department are introduced. Some coordination of strategy and approach has started, potentially through a matrix style organizational structure and/or the formation of core teams that cover key categories, commodities or suppliers across the different siloes.

    • F. 

      Embedded Cross - Functional Network- Extends on Cross-Functional organizational models, by working with many or most suppliers as additional "functional partners" in the success of the overall organization. Focus is typically on a fair exchange of value in the buyer-seller relationship versus simply cost, quality and availability.

  • 9. 
    Please rate your organization's career development culture.
    • A. 

      Stagnant

    • B. 

      Average

    • C. 

      Exciting & Innovative

  • 10. 
    How often are sourcing professionals sent for training and continuing education?
    • A. 

      Informally

    • B. 

      Annually

    • C. 

      1-2 times per year

    • D. 

      Quarterly

    • E. 

      Continuously

  • 11. 
    What percentage of time do sourcing professionals spend “putting out fires?”
    • A. 

      0-5%

    • B. 

      5-15%

    • C. 

      15-25%

    • D. 

      25-50%

    • E. 

      More than 50%

  • 12. 
    Which fires do you deal with most frequently?
    • A. 

      Quality Issues

    • B. 

      Shortages/Continuity of Supply

    • C. 

      Cost Savings

    • D. 

      On Time Delivery

    • E. 

      Forecasting

    • F. 

      Quality

    • G. 

      Talent/Expertise

  • 13. 
    As an organization, how do you measure effectiveness and performance of the strategic sourcing function?
    • A. 

      Cost + Continuity of Supply - Cost savings goals are balanced with availability metrics like on time in full, shortages/decommits and quality excursions.

    • B. 

      Annual Cost Saving Focused - Year over year goals are primarily savings focused, are based upon previous experience and driven from the leadership level down.

    • C. 

      Sustainable Cost Management - Near term cost savings goals are balanced with longer-term organizational goals such as reduced risk, valuable partnerships and technology roadmaps.

    • D. 

      Value Creation - Cost savings and other strategic goals are measured by how they impact the overall performance of the company, vs. siloed metrics within the sourcing organization. Significant infrastructure and/or processes are in place to link the performance of the sourcing organization to the performance of the company typically via product cost/margin tracking.

    • E. 

      Competitive Advantage - Sourcing leaders are given a seat at the table in the strategic direction of the company and measured on how they enable their company to compete in the market via overall financial performance and technology/product leadership. Focus is less on raw cost savings versus margin enablement vs. relevant market competitors.

  • 14. 
    With digital transformation approaching supply chain and procurement, is your sourcing professionals team and talent ready to take this on?
    • A. 

      1 (low readiness, resistant to change)

    • B. 

      2

    • C. 

      3

    • D. 

      4

    • E. 

      5 (high readiness, rapidly adopting)

  • 15. 
    How do you rate the technological proficiency of your procurement team.
    • A. 

      Poor

    • B. 

      Adequate

    • C. 

      Good

    • D. 

      Advanced

    • E. 

      Very Advanced

  • 16. 
    Systems are key enablers to achieving sourcing goals and supporting the processes to achieve those goals. What tools and technologies are utilized to support strategic sourcing intelligence and negotiation outcomes:
    • A. 

      Excel

    • B. 

      Sourcing platform for spends analysis. Potentially with some predictive elements and RPQ

    • C. 

      Business Intelligent platform, Data warehouses. Most data exported to Excel.

    • D. 

      Purpose built sourcing platform with integrated market intelligence services.

    • E. 

      Cognitive Sourcing platform (predictive insights, integrated market intelligence, AI recommendation engine)

  • 17. 
    What supply management data sources are managed in systems (not Excel)? Check all that apply.
    • A. 

      Supplier insights and master data information is managed by individual commodity managers

    • B. 

      Supplier insights and related spend information is stored centrally

    • C. 

      Event / Transaction histories are stored centrally

    • D. 

      Performance / Risk KPIs are monitored and shared centrally

    • E. 

      Bill of Materials are maintained at raw material / commodity level

    • F. 

      Recommendations and actions driven by AI

    • G. 

      NPI cost management

  • 18. 
    Do you have a New Product Introduction (NPI) system that tracks risks and opportunities during development that also connects to sustaining cost systems and processes?
    • A. 

      No

    • B. 

      Yes

  • 19. 
    What technologies solutions does your organization use or plan to implement in the near future?
    • A. 

      Digital/Personal Assistants

    • B. 

      Contract Lifecycle Management

    • C. 

      Sourcing Event Automation/RFx Solutions

    • D. 

      Spend Analytics

    • E. 

      Supply Risk Management

    • F. 

      Market Intelligence

    • G. 

      Product Lifecycle Management

    • H. 

      Network Optimization

  • 20. 
    To what extent does your organization leverage artificial intelligence (AI) in its procurement and supply chain processes today?
    • A. 

      I don't know

    • B. 

      No use

    • C. 

      Limited use in one area only

    • D. 

      Moderate use

    • E. 

      Broad use in multiple areas

  • 21. 
    What are your plans for incremental investment in AI technologies in a procurement context?
    • A. 

      I don't know

    • B. 

      No plans

    • C. 

      Minor investment to test ROI

    • D. 

      Major investment within the next 24 months

    • E. 

      Major investment within the next 12 months

  • 22. 
    Sources of insight can include internal information, generated from enterprise systems, as well as external information sources. About what % of your Direct Materials spend is captured in your Spend Analysis systems or tools?
    • A. 

      We extract data from our ERP to analyze Spend

    • B. 

      Less than 50%

    • C. 

      50-75%

    • D. 

      75-95%

    • E. 

      More than 95%

  • 23. 
    How often are your spend analysis and related sources of insights refreshed?
    • A. 

      Annually (or less frequent)

    • B. 

      Semi-annually

    • C. 

      Quarterly

    • D. 

      Monthly

    • E. 

      Continuously

  • 24. 
    How are your sources of insights integrated with your sourcing and RFQ systems?
    • A. 

      Manual

    • B. 

      Semi-Automated

    • C. 

      Fully Automated (little or no manual operations)

  • 25. 
    How do you use external sources of insight?
    • A. 

      Track market indices for only our most strategic categories.

    • B. 

      Track market indices for most or all relevant categories.

    • C. 

      Market indices are analyzed by BI tools and supplemented by third party reports.

    • D. 

      Market indices, analyst reports, and other sources are automatically fed into category-specific applications.

    • E. 

      Category-specific applications are enabled by AI to provide and execute recommendations.

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