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The Changing World of Procurement

The Industry Group of the Worshipful Company of Stationers and Newspaper Makers, in cooperation with the Freemen’s Association, held a very timely panel discussion entitled ‘The Changing World of Procurement’ on October 17th.

Given the challenging economic times that every part of the Printing and Publishing supply chain is having to contend with, the debate centred around what companies can do to stabilise and improve financial performance.

Tony Mash, Liveryman and CEO of the British Coatings Federation, organised the event with the help of the BPIF and introduced speakers from different parts of the industry supply chain. Mark Cruise of BSkyB and Lee Pierce of Reed Elsevier addressed the needs of the publisher and the marketeer, and offered both UK-based and global procurement processes to achieve their companies’ requirements. Nigel Lyon of the Pinstripe Print Group described how the UK printing trade is potentially being squeezed between often larger customer and supplier groups and has to reposition itself to prosper. Tony Palmer of Sun Chemical and Will Oldham of UPM-Kymmene described the supply issues that companies in the printing ink and paper industries are facing and the consequences for their downstream customers.

The question time that followed presentations from each speaker drew some excellent questions from the audience and some key themes to take away from the meeting. Against the background of a declining market for printed products in the UK, customers still expect quality, economy and flexibility of service. This requires constant vigilance and a willingness to change operational processes and, if necessary, suppliers. Best practice ideas for change that emerged from this discussion included the globalisation of the supplier base, unnecessary fixed cost removal, attention to efficient use of logistics, the marketing of products fit for purpose and consolidation of industry groupings both vertically and horizontally.

Above all, there was a need for greater transparency of communication up and down the supply chain in order that the changing needs of the end use markets in both product type and volume can be addressed in as cost–effective manner as possible. Tony Mash commented after the event that “The Stationers’ Hall is an ideal venue to encourage the kind of communication that is needed within the Printing and Publishing supply chain to ensure that quality, efficiency and economy are maintained or, better still, enhanced, despite the challenges that exist in today’s market place.”