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Vol 28 - No 08 October 2002 Supplier Relationship Management - Maximising the Return on Relationships In the latter half of the '90's, purchasing became a strategic weapon. 'Strategic Sourcing' is all about reducing the number of suppliers, then setting up strategic relationships, where appropriate, with those that are left. Strategic sourcing programmes were supported by e-Procurement systems, (along with a heap of dot-com hype). The main focus of e-Procurement has been on reducing the cost of indirect purchases - those purchases not directly consumed in the manufacturing process (office supplies, company cars, catering, etc.). The opportunities that lie in the area of direct procurement, or in MRO [1 ], have not been fully exploited, until now. Page number: 19 Word count: 2000 Related Topics: Supplier management
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