Archive for April, 2010

Consumers are like elephants – Risk management and mitigation is a long term project

April 12, 2010

Reports on konsumerbehavior and beliefs are always a great source when trying to understanding, educate and open the minds of procurement professionals (or anyone involved in development and manufacturing). Most often they expose consumers as a sort of elephant – they rarely forget and once they start moving in a direction, getting them to change can be an overwhelming task.

Recently, Konsument Föreningen Stockholm – swedens largest non-profit consumer organization – opened a social media project called “Myths about Food” whereby they sought to expose and bust many of the myths that still float around consumer circles.

One of the questions in the survey was related to the use of apples in Lingoberry jam. Now anyone who’s ever been to the nordic region will have experienced the importance of Lingonberry in Scandinavian cuisine. The fact that it’s one of IKEA’s big sellers abroad is a testament to the fact if nothing else. In it’s purest form Lingonberry jam consists of lingonberrys and sugar so when your starting to mess with the recipe you’re getting into pretty deep waters.

Evenso, about 20 years ago many producers were exposed using apple sauce in lingonberry jam to make their product cheaper.

In this years survey (swedish only) – 72 percent of the respondents still believed this to be true. Even though producers stopped the malpractice years ago.

Now that’s something to keep in mind when you’re trying to balance cost with your products consumer product.

Commercial Print – How a font change can lower your printing costs

April 9, 2010

The news about the University of Wisconsin-Green Bay changing the default font in their e-mails has become the viral news of choice this past week – at least in the marketing world. And reactions range from the amused to the amazed. But font substitution and development is nothing new to old media; they’ve all been doing it since the days of Johannes Gutenberg, because in the print business – print efficiency is big business. Many news publications use specially designed versions of classic fonts that enable the companies to fit more print onto a single page.

The Guardian quotes the institution saying that it has “reported that the new font requires about 30% less ink, which costs up to $10,000 per gallon”.

Now that’s something to think about for all marketing and commercial print buyers out there. It also makes one muse over the balance of power between stakeholder and procurement when it comes to really saving money.

Easter weekend and belgian cobbled climbs

April 1, 2010

Stateside, belgian cobblestones are something that goes in and out of vogue for home owners who want to add some classisism to their gardens and driveways. For me belgian cobbles carry another type of grandeur.

Because this weekend – apart from being easter – is also the center piece of the northern classics seasons: the Ronde Van Vlaanderen. In it’s 93rd edition, this classic cycling race features 15 brutal climbs with up to 23% grades laid with belgian cobbles to make matters worse. In rainy conditions it’s like trying to ride up a tilted and bumpy ice hockey rink.

Tom Boonen

Many of the climbs; such as the Koppenberg and the Muur-Kapelmuur are so deeply lodged in the mythology of belgian cycling that there have been great protests when municipalities have proposed to pave the roads with asphalt. In recent years, a few of the climbs have been restored as they had become in all aspects unridable. Talk about a one-time sourcing project; restoring a 100 year old cobbled farm road. In one case – the Paterberg – the climb was built specifically for the race by a itself by a jealous farmer who wanted to have the race go through his front yard.

Sourcing belgian cobbles for cycling racing purposes might be a very regional category in terms of procurement but take a look at any indirect materials and services supply chain and you’ll discover a uniqueness and seasonality that often hinders standardization and volume aggregation initiatives. The devil may lie in the details; but the details is also what makes the world of procurement such an exciting arena.


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