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Emptoris Survey Reveals Increasing Focus on Supply Risk Management

Emptoris Survey Reveals Increasing Focus on Supply Risk Management

BURLINGTON, MA -- (MARKET WIRE) -- 05/22/08 -- Emptoris, a leading provider of enterprise supply and contract management software, today announced that more than 51% of Global 2000 companies report they are not getting the value expected from their suppliers, with more than 30% struggling to standardize measurement of their suppliers. Nearly two-thirds (64%) said they are preparing to more actively address supplier risk management. The findings were the result of a survey conducted by Supply Chain Management Review and Emptoris during an online seminar on supplier risk management, and are based on responses from more than 260 senior supply management executives at Global 2000 companies.

"Globalization of the supply base, increased regulation and drives for greater quality have heightened the need for improved supplier performance and risk management," said Avner Schneur, Chief Executive Officer, Emptoris, Inc. "The results of this survey demonstrate that Global 2000 companies are well aware of this need -- and have a desire for improved supplier risk management."

When asked to compare their companies to companies of a similar size and profile, 19% of these procurement executives said their Global 2000 company was "behind the curve" in adopting formal supplier risk management programs; whereas about 52% said that their company was keeping apace. Just 12% of companies reported being "ahead of the curve" with supplier risk management with "proactive strategies and technologies."

Fifty-one percent (51%) of senior procurement executives at Global 2000 companies participating in the survey said that their company was not getting the value expected from their suppliers -- and 37% reported having no standard measurement tool for suppliers. One in twelve (8%) reported that they were unable to fully audit suppliers against certifications.

Nearly two-thirds of companies reported "just starting" or "getting ready" to implement a formal program with "the right people, processes and technology to manage supplier risk."

Emptoris, along with Supply Chain Management Review Magazine, offer an online seminar on supplier risk management for download from Emptoris' website at Supplier Performance Management. The online seminar, titled "Grab Risk Management by the Horns: Six Ways To Tackle Supply Chain Risk," provides insight into best practices in reducing supplier risk, including guidance on the effective use of software technologies. A whitepaper examining the challenges and opportunities of supplier risk management, "Taking Charge of Supplier Risk and Performance," is also available for free download at Supplier Performance Management.

About Emptoris

Emptoris is a world leader in innovative supply and contract management software solutions that empower enterprises to realize best value and accelerate profitable growth. Emptoris solutions are used by successful Global 2000 companies in every industry. Customers include American Express, Boeing, ConocoPhillips, GlaxoSmithKline, Kraft, Motorola, Owens Corning, Syngenta, and Vodafone.

For further information, contact:
Dan Cahill
(917) 617-0106
Email Contact

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