When a manufacturer suffers recurring production delays due to parts shortages along its supply chain it’s a big problem. When this happens to a company like Boeing, which is trying to launch a major new product – the 787 Dreamliner – it reveals a costly and endemic problem that can verge on disaster. Randy Tinseth, […]
5 Rules
Picking Up on Vested Outsourcing
It’s really great to see corporate executives singing the praises of Vested Outsourcing for it’s transformational impact on how companies approach outsourcing. A recent post on Brown’s Compass Online website from Brad Mitchell, the UPS president of distribution and logistics, proclaims Vested Outsourcing is one of the Top 5 trends in logistics. Mitchell sings the vested […]
Getting to Happy Hour on Liquor Distribution
There are valid reasons for a state to control where liquor is sold but there is very little reason I can see for a state to be in the business of warehousing and transporting it. That’s better left to the logistics experts in the private sector. This is becoming an issue in the state of […]
Vesting Is More Than Contract Management
The recent International Association of Contracting and Commercial Management report on contract terms has got me thinking of the terminology we use to describe how an outsourcing contract should operate over time. As we move to the Vested Outsourcing world of cooperative, mutually-beneficial, performance- and outcomes-based contracts based on the transforming power of the Five […]
Achieving Value through Contract Terms: It is Possible
If you’re in outsourcing then you know about the importance of the contract. The contract is the essential foundation, but it’s not a document that exists in vacuum. Equally essential is the art, attitudes and techniques that go into achieving the best contract possible, and then proactively managing it over its term. That is where […]
Grabbing for the Holy Grail: Using Vested Outsourcing in the LTL Market
Even a casual visitor to this space knows by now that I’ve been thinking, writing and advocating about using the collaborative, outcomes-based methods of Vested Outsourcing for a long time, an effort that reached a milestone earlier this year with the publication of the book by that name and the start-up of this blog. It’s […]
Failure, Success, Entropy, and Outsourcing
Spend any time surfing the blogosphere and you’re likely to come across Seth Godin, a blogging pioneer and virtual legend in the virtual world of cyberspace. Godin has written 10 books, is an entrepreneur and is described as an “agent of change.” I’d call him one of the Internet’s foremost philosophers of the moment and […]
Buying the Outcome, Not the Transaction
A cornerstone of the commitment to Vested Outsourcing is the idea of buying outcomes rather than transactions. If you are only interested in filling some seats as cheaply as possible or in basing a contract only on the number of touches involved in a certain operation, then the vested approach is probably not for you. […]
Courage, Patience, Trust and Loyalty in Logistics Outsourcing
Although I’m relatively new to blogging, it’s remarkable how much blogging is going on here in cyberspace. There are even blogs about blogs and it seems that everyone, individuals and companies alike, have their own blogs in addition to Twitter, Facebook and LinkedIn accounts. It’s truly a brave new world of networking opportunities and one […]
Thomas Friedman: Why Outsourcing is Here is to Stay
If you’ve been following the previous posts in my economics of outsourcing series, I hope you see that thanks to Coase, Solow and their colleagues, outsourcing is now a major part of the business and economic landscape. However, it has been popularized, debated and indeed lionized in the mainstream press by Thomas Friedman. His major […]
