Welcome to Procurement News, part of our ongoing aggregate news series covering recent supply management headlines and trends pertinent to Chief Procurement Officers and other procurement leaders. Contact us with your news story here.
CPO News
Stoneridge Appoints New Chief Procurement Officer
Stoneridge Inc., a global designer and manufacturer of highly engineered electrical and electronic vehicle systems, announced the appointment of Salvatore (Sal) Orsini as chief procurement officer. In this new role, Orsini will have responsibility for all aspects of the company’s global procurement organization, including purchasing, supplier quality, and global supply chain strategy.
Stoneridge President and CEO Jon DeGaynor, said, “As Stoneridge continues to grow in each of our segments and across the world, a sustainable and resilient supply chain is a cornerstone of our success. Sal’s proven purchasing and supply chain leadership experience will be key in executing our long-term strategy.”
With more than 25 years in global supply chain management, Orsini brings a wealth of experience from both the automotive and aerospace industries. Most recently, Orsini served as vice president, global chief supply management officer for Nexteer Automotive. His prior experience includes leadership roles at General Motors, Aptiv, Rolls-Royce Aerospace, and Delphi.
Read the full announcement here.
GDK and New CPO Eye More Global Expansion
German Doner Kebab (GDK), a fast-casual brand with a premium, high-quality approach to traditional doner kebabs, announced the appointment of Deon Pillay as its chief procurement and sustainability officer.
According to Imran Sayeed, CEO of GDK International, “We are delighted to be welcoming Deon Pillay to the GDK family. He has a fantastic breadth of experience across global markets and knows how to create a well-run and cost-efficient supply chain. Deon will be instrumental in our international expansion plans and will further reinforce GDK as a game-changing brand.”
Pillay brings more than 18 years of senior supply chain and procurement leadership experience, with past corporate engagements that include Peloton, Mars, Samsung, and Nando’s Grocery. While at Nando’s, Pillay led the company’s global supply chain transformation, initiating best-in-class processes and supply partners.
Read the full announcement here.
Procurement News
Cisco Pursues Social Justice Through Supplier Diversity
Cisco has been dedicated to social justice and supplier diversity for many years. However, that commitment went even further in 2020 with the establishment of Cisco’s Social Justice Beliefs and 12 Actions, as part of the company’s new Inclusive Future Action Office (IFAO). The purpose of IFAO is to “Power an Inclusive Future for All.”
The company states that with a five-year, $300 million commitment to drive long-term, generational impact for the African American/Black community, the framework of the initiative allows Cisco to address inequality and injustice across all of its diverse communities around the world.
As part of the 12 Actions, Action 7, Supplier Engagement focuses on supplier diversity programs at Cisco. According to Cisco, the company spends more than $5 billion annually in controllable indirect spend in the United States. And within the last six years, the company engaged with over 240 diverse-owned companies; enabled 27 diverse suppliers to achieve Cisco Preferred status; and welcomed 56 diverse suppliers into its executive sponsorship programs locally, among other achievements.
Action 7, Supplier Engagement aims to address social justice as it relates to the company’s supplier community. A few notable areas of progress, include:
- Competitive sourcing bids must now include at least one qualified diverse supplier where at least one is available. Within the last four quarters, 94% of all competitive sourcing bids met this criterion.
- Preferred suppliers are required to report annually on the full spectrum of diversity of their U.S. workforce. In fiscal year 2021, Cisco received diversity reports from 100% of its fiscal year 2020 preferred suppliers who had U.S. workers in FY2021.
- A sponsorship program is underway for 10 African American/Black-owned suppliers in the U.S.
Learn more about Action 7, Supplier Engagement, and the importance of sponsorship to its success.
Read the full announcement here.
CHIPS Legislation Boosts U.S. Semiconductor Manufacturing
Congress passed the Creating Helpful Incentives to Produce Semiconductors (CHIPS) for America Act, bipartisan legislation that provides $52 billion in funding to support U.S. semiconductor research, design, and manufacturing.
According to the Semiconductor Industry Association (SIA), “The share of modern semiconductor manufacturing capacity located in the U.S. has eroded from 37% in 1990 to 12% today, mostly because other countries’ governments have invested ambitiously in chip manufacturing incentives and the U.S. government has not. Meanwhile, federal investments in chip research have held flat as a share of GDP, while other countries have significantly ramped up research investments.”
Industries from defense to automobiles to medical devices to consumer electronics have faced severe product shortages for more than two years, primarily due to the COVID-19 pandemic. The commitment toward domestic semiconductor manufacturing has the potential to prevent future supply chain disruptions while providing less reliance on overseas semiconductor production.
Read the full announcement here.
Other Supply Management News
How AI Is Improving Warehouse Performance And Easing Supply Chain Disruptions
Ukraine War: Battling with Supply Chain Disruption
A Looming Graphite Shortage Could Snarl the EV Battery Supply Chain
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Tagged in: CPO News, CPOs on the Rise, supplier diversity
