Purchasing articles from August 2003

Purchasing archives from August 2003

Price expectations, 90-days.(Purchasingdata.com)(Brief Article)(Illustration)
August 14, 2003... Price expectations, 90-days COMMODITY DIFFUSION CATEGORY PERIOD UP DOWN SAME INDEX Energy July 47% 14% 39% 67.0 Transportation...

Both hot- and cold-rolled steel sheet are in the bottom ten on Purchasingdata.Com's monthly price risk list in July and both have negative scores, meaning market forces favor deflation.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Both hot- and cold-rolled steel sheet are in the bottom ten on PURCHASINGDATA.COM'S monthly price risk list in July and both have negative scores, meaning market forces favor deflation. The list is based on a scoring system that looks at both...

Copper prices have been buoyed this year by a continued reduction of London Metal Exchange (LME) inventories, purchasing by investment funds, and increased sales to China.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Copper prices have been buoyed this year by a continued reduction of London Metal Exchange (LME) inventories, purchasing by investment funds, and increased sales to China. Indeed, cathode inventories are at a two-year low and prices have...

Montreal's Abitibi-Consolidated, the world's biggest newsprint producer, is hoping for a demand rebound that would allow a $50/metric ton price increase set for August to stick.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Montreal's Abitibi-Consolidated, the world's biggest newsprint producer, is hoping for a demand rebound that would allow a $50/metric ton price increase set for August to stick. Uncertainty remains the order of the day, though, as the...

There's downward pressure on business airfares.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * There's downward pressure on business airfares: The average price paid for tickets bought for business within three days of flying has fallen 12% in two years, according to an analysis by Sabre Airline Solutions.

Price deflation appears to be regaining, rather than losing, momentum in the personal computer market.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Price deflation appears to be regaining, rather than losing, momentum in the personal computer market. PURCHASING'S July survey finds 49% of computer buyers claiming to have paid lower prices in the latest month, a seven-point gain over the...

Georgetown Steel Co., Georgetown, S.C., has told customers it intends to increase prices on wire rod products by $15/ton to $340, effective with shipments in August.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Georgetown Steel Co., Georgetown, S.C., has told customers it intends to increase prices on wire rod products by $15/ton to $340, effective with shipments in August. Market prices for low-carbon wire rod are $300/ton, though, because of weak...

Titanium shipments are stabilizing after more than a year of spiraling downward, but they're leveling off at such low levels that market prices remain soft.(Prices: factors affecting product cost)(Brief Article)
August 14, 2003... * Titanium shipments are stabilizing after more than a year of spiraling downward, but they're leveling off at such low levels that market prices remain soft. There is no immediate outlook for improvement in purchasing by key consuming...

Tracking the economy.(Purchasingdata.com)(Brief Article)(Illustration)
August 14, 2003... Tracking the economy % CHG LATEST PREVIOUS YEAR VS. INDICATOR PERIOD PERIOD PERIOD AGO YEAR AGO ...

The economy is more likely to grow faster than expected rather than slower, according to nearly three in four (73.3%) professional economic forecasters surveyed by Blue Chip Economic Indicators last month.(Economy: how supply managers see business)(Brief Article)
August 14, 2003... * The economy is more likely to grow faster than expected rather than slower, according to nearly three in four (73.3%) professional economic forecasters surveyed by Blue Chip Economic Indicators last month. None of the economists believes...

Economists aren't worried about a general deflation because prices are still rising for things like insurance, school tuition, cable TV, and healthcare--industries where productivity growth is notoriously hard to achieve.(Economy: how supply managers see business)(Brief Article)
August 14, 2003... * Economists aren't worried about a general deflation because prices are still rising for things like insurance, school tuition, cable TV, and healthcare--industries where productivity growth is notoriously hard to achieve. In the manufacturing...

Fiscal belt tightening at state and local levels could offset up to one third of the economic stimulus provided by new federal tax cuts, according to Global Insight economist Nariman Behravesh.(Economy: how supply managers see business)(Brief Article)
August 14, 2003... * Fiscal belt tightening at state and local levels could offset up to one third of the economic stimulus provided by new federal tax cuts, according to Global Insight economist Nariman Behravesh. "With 49 out of 50 states (Vermont is the...

It's official. The recession that started in March 2001 ended in November of the same year.(Economy: how supply managers see business)(Brief Article)
August 14, 2003... * It's official. The recession that started in March 2001 ended in November of the same year, according to the Business Cycle Dating Committee of the National Bureau of Economic Research (NBER). Note: That's the same month PURCHASING magazine's...

Forty-four percent of firms expect to increase capital spending over the coming 12 months.(Economy: how supply managers see business)(National Associaiton of Business Economists' Industry Survey)(Brief Article)
August 14, 2003... * Forty-four percent of firms expect to increase capital spending over the coming 12 months, according to National Association of Business Economists' Industry Survey. Strongest growth will come from financial companies, where 61% plan higher...

Forward demand, 30-days.(Purchasingdata.com)(various commodities)(Brief Article)(Illustration)
August 14, 2003... Forward demand, 30-days COMMODITY DIFFUSION CATEGORY PERIOD UP DOWN SAME INDEX Energy July 22% 16% 62% 52.8 Aluminum products...

Fuel cell systems can be made to work using far less platinum or gold than previously thought, say researchers at Tufts University, touting their discovery that could cut considerably the cost and development time of the futuristic technology.(Supply: what's happening in markets)(Brief Article)
August 14, 2003... * Fuel cell systems can be made to work using far less platinum or gold than previously thought, say researchers at Tufts University, touting their discovery that could cut considerably the cost and development time of the futuristic...

Avnet has merged two business divisions in a cost-cutting move it expects will increase the company's competitiveness in the computer space and improve profitability.(Supply: what's happening in markets)(Brief Article)
August 14, 2003... * Avnet has merged two business divisions in a cost-cutting move it expects will increase the company's competitiveness in the computer space and improve profitability. The $4 billion global computer and services division, which has yet to be...

VLSI Research of San Jose, Calif., has raised slightly its forecast for the semiconductor equipment industry in 2003, projecting that the fabrication-tool market will grow 6.4% to $31.5 billion.(Supply: what's happening in markets)(Brief Article)
August 14, 2003... * VLSI Research of San Jose, Calif., has raised slightly its forecast for the semiconductor equipment industry in 2003, projecting that the fabrication-tool market will grow 6.4% to $31.5 billion. The research firm originally had predicted that...

Electronic component market insiders still see 11% growth this year for integrated circuit sales.(Supply: what's happening in markets)(Brief Article)
August 14, 2003... * Electronic component market insiders still see 11% growth this year for integrated circuit sales. The roiling three-month average of the book-to-bill ratio reached 1.10 in June, up from 1.02 in May. Reason: Worldwide bookings were at $11.93...

Lower sales volume and slumping prices for the titanium dioxide chemical used as a white pigment in paints and paper have triggered an executive reorganization of major producer Millennium Chemicals, which also will move headquarters from Red Bank, N.J., to Hunt Valley, Md., in September.(Supply: what's happening in markets)(Brief Article)
August 14, 2003... * Lower sales volume and slumping prices for the titanium dioxide chemical used as a white pigment in paints and paper have triggered an executive reorganization of major producer Millennium Chemicals, which also will move headquarters from Red...

Notice: purchasing will no longer publish its transaction price data tables in every print/Web issue of the magazine.(Supply: what's happening in markets)
August 14, 2003... * NOTICE: PURCHASING will no longer publish its transaction price data tables in every print/Web issue of the magazine. Data users can guarantee uninterrupted monthly updates (plus revisions) by purchasing subscriptions through...

LED market shines, but prices continue to drop.(Optoelectronics)(light emitting diodes)
August 14, 2003... Light emitting diodes (LEDs) are one of the bright spots in the semiconductor industry. Demand for LEDs continues to grow as they are used more in cell phones, automobiles, traffic signals and outdoor signs. The high brightness LED market...

Gene Richter: leader, innovator, friend.(Obituary)(Obituary)
August 14, 2003... "Integrity, Sensitivity, Boldness, Adventurous, Inviting, Gigantic, Unselfish, Considerate Few people are graced with the scope of Gene's legacy. His personal legacy is his professional legacy. His stewardship of relationships combined...

Buyers expect industrial commodity prices to slide.(Grassroots Report)
August 14, 2003... Buyers continued to nudge their inflation expectations lower in July, as prices paid for manufacturing materials continued a seasonal slide started in June. "Most commodities we're buying are somewhat down in price," reports the materials...

Negotiation. Your most powerful business tool. With over thirty years of experience, we know what issues business people face when negotiating.
August 14, 2003... Effective Negotiating[R] Two--Day Seminar Topics Include: STICKING TO YOUR OWN GAME PLAN What People Forget To Do * Pyramid of Planning * First Things First * Fact Finding * One Useful List * Plugging The Leaks On Your Side * Smoking Out...

Two more ways to train your entire team.(Brief Article)
August 14, 2003... 1. The Block Purchase Plan allows each member of your group to select their own seminar location and date or all can attend the same seminar: The Choice Is Yours. For more information about the KARRASS Block Purchase Plan, call Michael...

Expect slow growth and 5-10% price erosion for relays.(Electromechanical)
August 14, 2003... The relay market will post slow, steady growth over the next few years as unit demand rises, but prices fall. Prices dropped 5-10% last year and similar price erosion is occurring this year. However, unit shipments are up and the global...

Making legal offers isn't easy.(Murray's law)(Column)
August 14, 2003... Billions of commercial deals are made every day throughout the world. Whether a given transaction constitutes an enforceable contract will depend on whether one party has made an "offer" which the other party has "accepted." Though it is a...

Professional profile.(Jonathan K. Maples, Vice President of Quality and Materials Management at Visteon Corp. )
August 14, 2003... Name: Jonathan K. Maples Title: Vice President of Quality and Materials Management Company: Visteon Corp. Education: Bachelor's degree in history from Yale University and a master's degree in business administration from the...

What's hot.(metals)(copper)(Brief Article)
August 14, 2003... Coppermetals suppliers appear determined to win this year's "cockeyed optimism award." In the 1990s, copper demand enjoyed a boom from phone companies, which need the metal in the networks they were building ferociously. This sparked an...

Market gears up for inevitable trading in futures and options.(Steel)
August 14, 2003... Producers worldwide have rejected the idea of steel futures, but several options and barter groups still see mileage in the idea of a steel price risk management tool. Futures are simply rights to buy a fixed amount of a specified product at a...

Does steel have a future in futures?(Metals Perspective)
August 14, 2003... Futures contracts as hedging mechanisms for steel prices have distinct benefits and are destined to become available--perhaps next year, if the London Metal Exchange has its way. At least that was the view of panelists at World Steel Dynamics'...

Selenium sells at 13-year highs.(Minor Metals)
August 14, 2003... Selenium prices pushed to 13-year highs in July because of reduced summertime supply and stronger-than-expected purchasing by China. "The Chinese have been taking away supply that had been set aside for European consumers who decided not to...

In the nonferrous supply chain.(metals)
August 14, 2003... People are the difference in the nonferrous metals supply chain--whether they're creating supply strategies, producing mill products, or processing and distributing value-added goods. Even as America's manufacturers struggle to get back on sure...

Business has flattened out.(Exclusive Business Data)(Metalworking marketplace's Business Activity Index in July (53.3) is just barely above 50.0 mark that separates expansion from contraction)(Brief Article)
August 14, 2003... Reports from the manufacturing sectors remain relatively soft, and reports from metals buyers still offer little sign of a summertime jumpstart in production. Note that the metalworking marketplace's Business Activity Index in July (53.3) is...

Digital drives demand: suppliers expect demand for semiconductors to rise as consumer electronics (CE) equipment moves to digital technology. The good news for buyers is chip prices will still decline.(consumer electronics)
August 14, 2003... The transition from analog to digital technology in consumer electronics is welcome news to semiconductor and other electronic component suppliers. The proliferation of DVD and MP3 players, digital still cameras and camcorders, digital...

How buyers are changing: buyers' dollar volume responsibility has doubled in the last six years. Plus they are more technical and highly educated.(profile of a purchasing professional)
August 14, 2003... Today's purchasing professional is a little older, has been on the job slightly longer, and is responsible for spending a lot more dollars than a comparable buying pro of 10 years ago. Today's purchasing professional is much more likely to...

Secrets of success: best-in-class organizations emphasize (in this order): business case, accountability, return on investment.(supplier diversity)
August 14, 2003... It's very easy, especially in a slow-growth economy, for companies to deploy procurement or other business strategies that end up hurting minority- or women-owned suppliers. For example, the practice of extending payment terms can be...

CAPS Research study defines staying power of e-auctions.(E-Sourcing)
August 14, 2003... Online reverse auctions are "here to stay and their use will continue to grow," according to a recent study conducted by the Center for Advanced Purchasing Studies (CAPS Research of Tempe, Ariz.). CAPS completed a comprehensive study of online...

Purchasing survey shows e-sourcing adoption stalls.(E-Sourcing Survey)
August 14, 2003... The number of purchasing organizations buying and experimenting with online sourcing and procurement tools is growing, but the actual amount of spend being put through online tools has remained relatively flat in the past year, according to a...

Pharmaceutical firm uses unique funding model.(Case study: Aventis)
August 14, 2003... Many online reverse auction users assume that the savings gained from the online events will provide the return on investment needed to fund the cost of the software and implementation. And in most cases, they are right. But pharmaceutical firm...

Purchasing strategy now focuses on value of MFPs.(Multifunction Products)
August 14, 2003... More corporate buyers are taking a closer look at their companies' fleets of copiers and printers. Assessing office equipment inventory often reveals that companies have purchased too many copiers and printers from too many different suppliers,...

Office audits may cut costs by 40%.(office technologies)
August 14, 2003... Xerox has conducted more than 200 Office Document Assessments (ODA) in the past six years. By evaluating a company's entire document workflow environment, an ODA identifies areas where costs can be reduced, processes simplified and...

What's hot.(logistics)(Brief Article)
August 14, 2003... The tight economy and focus on cost has many organizations cutting logistics spending wherever possible. While this fact is evident to most logistics managers, trying to do more with less, the message came through loud and clear in the 14th...

Demand forecasting rises on logisticians' radar screens.(Peak Season Planning)
August 14, 2003... It's a familiar scenario. Orders spike and manufacturing can't keep up. The people on the manufacturing floor blame purchasing for the production line shutting down because purchasing didn't buy enough materials and logistics didn't get the...

The U.S. Department of Justice is charging Richard Wingfield, an executive from Norwegian chemicals shipping firm Stolt-Nielsen S.A., for allegedly collusive behavior.(Brief Article)
August 14, 2003... The U.S. Department of Justice is charging Richard Wingfield, an executive from Norwegian chemicals shipping firm Stolt-Nielsen S.A., for allegedly collusive behavior. Wingfield, who heads Stolt-Nielsen's tanker trading group, has been...

Top executives from European automotive suppliers say they are on the verge of crisis if automotive OEMs continue to force suppliers down on price due to low demand for product.(Brief Article)
August 14, 2003... Top executives from European automotive suppliers say they are on the verge of crisis if automotive OEMs continue to force suppliers down on price due to low demand for product. "We cannot [continue with] this opportunism because we will leave...

Freight rate increases came out from LTL carriers in June.(Brief Article)
August 14, 2003... Freight rate increases came out from LTL carriers in June. FedEx Freight implemented a 5.9% general rate increase effective June 30 at the company's two operating units, FedEx Freight East and FedEx Freight West. Company officials cited...

New security rules may increase logistics costs.(Regulatory Watch)
August 14, 2003... New and proposed rules established by Congress on July 1 will increase pressure on transportation providers to meet stricter security requirements in both the air and maritime cargo industries, likely increasing costs to the already...

Few electronics leadtimes stretch.(electronics leadtimes)(Illustration)
August 14, 2003... Leadtimes for only 11 of 41 electronic components tracked by PURCHASING magazine stretched in July from the month before. Twenty-eight component delivery times shrunk and two remained the same. In June leadtimes for 34 components stretched. ...