SIG University Certified Third-Party Risk Management Professional (C3PRMP) program graduate Elizabeth Marquez shares what she has found helps with managing third-party risk resources and how to apply these concepts.
Elizabeth Marquez, Risk and Controls Advisor, USAA
Mandatory enforcement of human rights, environmental due diligence and even data privacy are a few examples of the regulatory challenges procurement faces in managing complex global supply networks.
I could also talk about the negative impact that a failure to address these regulatory conditions can have on an organization's brand as a company and employer. Of course, it's not exactly a revelation that negative press regarding regulatory violations will certainly impact your image with the public, e.g., your customers. However, did you realize that in a highly competitive job market, "58% of candidates surveyed said they consider a company's social and environmental commitments when deciding where to work." This mindset isn't just a checkbox sentiment: "55% said they would choose to work for a socially responsible company, even if the salary was less."
While employee attraction and retention are not often discussed in the same breath as ESG regulatory compliance – at least not enough, it is yet another indication of the expanded importance and impact of getting ESG right. In other words, people are taking this seriously.
We will specifically get into the critical aspects of identifying and managing compliance risks in your supply network, focusing on the following four Learning Objectives:
On his third attempt to conquer Everest, George Mallory was asked why he was climbing the 29,008-foot peak. His response was, "because it is there."
What does a 1924 quote about climbing Mount Everest have to do with your supplier diversity initiative? It is a fair question.
To start, supplier diversity is not a new challenge. While the origin of today’s diversity efforts began with the civil rights movement in the 1950s, it was not until the race riots in Detroit in 1968 that General Motors launched what many consider to be the first supplier diversity program. Soon after GM, other auto industry giants and companies from different sectors, such as IBM, followed suit by introducing their diversity programs.
The second point, which is the focus of this post, is why, since its inception, supplier diversity success has evolved at what some consider to be a glacial pace and what you can do about it.
At the Foot Of The Mountain
“I'm an ordinary guy who has been fortunate enough to have some very extraordinary experiences, both personally and professionally. In my most recent book, I share my journey to climb Mt. Kilimanjaro and the struggles to reach the highest point on the African continent. Along the way, I learned a great deal about myself, my team, and what it takes to overcome big challenges. You can join me on my Kilimanjaro adventure in the pages of Kissing Kilimanjaro: Leaving it All on Top of Africa.” - Daniel Dorr
Have you ever stood at the foot of a mountain? For me, that question is more literal than figurative, but you can envision what I mean.
SIG University Certified Supplier Management Professional (CSMP) program graduate Kaila Flynn shares how to maintain supplier management from a sales perspective and provides a great reminder of how important relationships and the aspects that make relationships successful are in business
Kaila Flynn, Sales Executive, Sourcing Industry Group
SIG University Certified Sourcing Professional (CSP) program graduate Nick Fratto describes how sourcing professionals must adapt to a post pandemic industry and how to find the perfect supplier's for your business.
Nick Fratto, Sales Enablement Specialist, Sourcing Industry Group
SIG University Certified Intelligent Automation Professional (CIAP) program graduate Ethan Slade defines how to effectively establish an enterprise automation center of excellence and the benefits this will have in your organization.
SIG University Certified Third-Party Risk Management Professional (C3PRMP) program graduate John M. Lehr discusses how third-party risk management teams must enter into a safe third-party relationship and how to build and maintain trust, as well as how to adapt as the consumer wants and needs evolve rapidly.
The world of Third-Party Risk Management is one of frequent change. As consumer needs evolve rapidly and our lives speed up the market for the "next new," we are faced with changing our business and operating models. With each wind of change, our sails just as well – at least in theory. In the face of changing winds, organizations must work harder and faster to keep up.
But we must ask ourselves, is slowing down the new speed up? In her blog titled, "RegTech and the Role of Third-Party Risk Management," a well-respected leader in the Third-Party Risk Management industry, Linda Tuck Chapman, states, "Since the 2008 financial crisis, the U.S. has arguably become the most complex and costly jurisdiction for regulatory compliance." She goes on to state that "The financial services sector leads the pack in terms of the amount of regulation it is subject to, including the compliance challenges, regulations, and laws in near and far-flung jurisdictions, as well as the cost and complexity of compliance, risk management, and governance practices."
John M. Lehr, Lead Business Risk and Controls, USAA
SIG University Certified Sourcing Professional (CSP) program graduate Thomas Moran shares the different types of KPIs that are vital to an organization and the importance of performance management.
A KPI is a Key performance indicator; this is a measurable rate or value that demonstrates how effectively and efficiently a team or objectives is performing. Many companies use KPIs to evaluate success in reaching goals or targets. They should have a clear objective and align with your business goals.
Why are they important?
KPIs are necessary to determine if a business is meeting its goals, give accountability, and leverage the health of outsourced relationships based on performance metrics. If we look at BPO ( Business process outsourcing ), KPIs are critical to determining the work's weekly, monthly, and quarterly health of the outsourced work. It creates accountability to ensure. Vendors are meeting and maintaining these values and ensuring the work they are supplying is consistently kept to a high standard.
Setting and Measuring KPI
KPI should be directly related to your business goals. These should be quantifiable measurements to gauge the health of your work. For instance, in some BPO work, your KPI could be based on customer satisfaction rates, turnaround time, quality of action taken, or how effectively and efficiently the team is performing productively.
Type of KPI -
Thomas Moran, Global Outsourcing Senior Programmer Manager, Pinterest
Conference season provides excellent opportunities for in-person networking and professional growth. Keep in mind though that conferences cost time and money. It’s worth asking how you can make the most out of the events on your schedule. Here are some of our favorite tips for optimizing your investment.
Plan Ahead
As with many things in life, maximizing your experience at a conference requires thoughtful preparation.
SIG University Certified Sourcing Professional (CSP) program graduate Yukta Ramanan shares her unique perspective of ethical business and sourcing practices from the next generation of sourcing professionals.
My name is Yukta Ramanan, and I'm 17 years old. Now you may be asking yourself: why is a teenager training to receive a Certified Sourcing Professional (CSP) credential? The question is entirely valid. Unlike most people taking this course, I have little experience working professionally within the field of sourcing. What I possess, however, is a uniquely Gen Z perspective on the future of sourcing, and my motive for taking the CSP course was to learn how to bring my vision to fruition.
The Sourcing Industry Group's CSP training taught me a great deal about business finance and strategic value chain analysis. A lesson I found particularly eye-opening was centered on ethics within supply chains. A business must define company-specific ethical standards to decide on a moral issue. Determining what is ethical, which varies broadly, usually follows five approaches.
Yukta Ramanan, Executive Director, Youth for Ethical Sourcing
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_5.png?8l_2xNkT_SnboOdzUddLS9IX7mY_RaO7= "KPI & Performance Management")
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Managing Third-Party Risk Resources
SIG University Certified Third-Party Risk Management Professional (C3PRMP) program graduate Elizabeth Marquez shares what she has found helps with managing third-party risk resources and how to apply these concepts.