|2008 New England Supply Chain Conference and Exhibit - Greg Sue Presentation
Turning Your RFP Process Upside-Down
Greg Sue, Service Logistics Manager at Cisco Systems, Inc., was
challenged with changing the existing RFP process, and started by asking some
questions that may sound familiar:
1. Have you been working too long with "entrenched," incumbent vendors without
conducting an RFP?
2. Is renegotiation of your rates long overdue?
3. Are you questioning whether your vendors offer the latest technologies and
capabilities available in the marketplace?
4. Do you need your vendors to do more for you, while your management is
demanding that you control or -- even worse! -- reduce costs?
5. Are you working with outdated contractual terms and conditions, knowing that
standards and requirements have evolved but unsure how to get your vendors to
commit to more?
If you also answered "yes" to any of these questions, you're facing some of the
hurdles Greg confronted as he was tasked with initiating an RFP on a significant
portion of Cisco's service logistics network. He'll tell you the story of
overcoming these challenges by turning the existing RFP process upside-down to
maximize bargaining leverage and take full advantage of procurement technology.
Executing this RFP - the first in several years - resulted in a process that not
only allowed his group to increase the value returned for its spend, but also
became a best practice socialized and adopted across other organizations at