{"id":3265,"date":"2013-04-09T18:23:00","date_gmt":"2013-04-09T18:23:00","guid":{"rendered":"https:\/\/www.certitrek.com\/nlpa\/2013\/04\/09\/more-about-the-expansion-of-the-5-rights-of-purchasing\/"},"modified":"2023-07-07T12:58:36","modified_gmt":"2023-07-07T16:58:36","slug":"more-about-expansion-of-5-rights-of","status":"publish","type":"post","link":"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/","title":{"rendered":"More About The Expansion of the 5 Rights of Purchasing"},"content":{"rendered":"

I hope that you have enjoyed the article \u201cThe 25 New Rights of Purchasing, Part II.\u201d<\/p>\n

Don\u2019t miss updates on Procurement & Supply Chain, Subscribe here!<\/p>\n

I wanted to expand a little bit on Right #6 \u2013 Right Product or Service.<\/p>\n

I wrote that \u201cyou are counted on to know the products and services you buy at least as well as your internal customers to verify that the ideal product or service is being specified.\u201d\u00a0\u00a0As procurement professionals, too often we assume that\u00a0the \u201cend user knows best.\u201d<\/p>\n

And that can\u00a0be flawed thinking.<\/p>\n

I always go back to a time early in my procurement career when I think of this topic.\u00a0 Then, I was a young and relatively inexperienced buyer for US Airways, right after it announced that it was changing its name from USAir.<\/p>\n

Changing the name of\u00a0an $8 billion per year company is no small task.\u00a0 Everything bearing the company name had to be replaced.\u00a0 I was responsible for purchasing\u00a0US Airways signage to replace USAir signage.<\/p>\n

One of the signs that needed to be replaced was\u00a0in the lobby of\u00a0our corporate headquarters.\u00a0 The lobby\u2019s walls were constructed of this beautiful marble.\u00a0 The headquarters building is where the chairman (Steven Wolfe, at the time), president, and other top executives worked and the classy architecture of the building reflected the\u00a0elevated status of the people who occupied its highest floors.\u00a0 By the way, the chairman was directly involved in evaluating and approving every design and use of the new company logo.\u00a0 Employees involved in the rebranding feared getting anything logo-related wrong.<\/p>\n

To complement the beauty of the marble walls, we needed\u00a0classy-looking signage.\u00a0 The person in charge of determining the\u00a0signage requirements \u2013 the Director\u00a0of Properties\u00a0& Facilities \u2013 specified\u00a0these individual letters. (Xanax<\/a>) \u00a0 I don\u2019t remember it\u00a0they were aluminum or stainless steel, but they were metal and they were heavy.\u00a0 And the Director specified that they were to be mounted using mirror mounting tape \u2013 basically a foam material with adhesive on both sides.<\/p>\n

All of\u00a0our suppliers\u00a0submitted their bids without any exceptions.\u00a0 One supplier contacted us in advance and said that the weight of the letters, the fact that they were being installed in a lobby where outside air would mix with inside air and cause temperature fluctuations, and the fact that they were being installed on a marble surface would all conspire to\u00a0result in a high probability of the letters falling off.\u00a0 The supplier suggested drilling holes into the marble walls, having posts\u00a0attached to\u00a0the backs of each letter, and inserting those posts in the holes to secure the letters to the wall.<\/p>\n

Not knowing much about such stuff at the time, I simply relayed the message to the Director with a question of whether we should reconsider our specification.<\/p>\n

The Director \u2013 an epically cranky man \u2013 scoffed at the notion of changing the specification and essentially said \u201cWe\u2019re not changing the spec!\u00a0 I know what I\u2019m doing!\u00a0 The letters will not fall off of the wall!\u201d<\/p>\n

Being wet behind the ears and respecting the Director\u2019s technical background, I simply relayed the message to the supplier that the spec would not change and to bid as the spec is written.\u00a0 That supplier did.\u00a0 That supplier was the lowest bidder, one we had a positive relationship in the past, and one that satisfied all of our selection criteria.<\/p>\n

So, we awarded the business to that supplier.\u00a0 A few weeks later, the supplier delivered and installed the signage per our spec.<\/p>\n

Just a few days later, I get a call from the Director, who was in a panic.\u00a0 He said \u201cThe letters are falling off the wall in the lobby!\u00a0 If Mr. Wolfe sees this, I\u2019ll be fired!\u00a0 Get the vendor in here immediately to fix this mess!\u201d\u00a0 I got the sign vendor to go to our corporate headquarters to evaluate the problem and recommend and implement a permanent solution.<\/p>\n

What was the solution that was implemented on an emergency basis?<\/p>\n

Welding posts to the letters, drilling holes in the marble wall, and inserting the posts in the holes to secure the letters.\u00a0 That emergency fix cost thousands of dollars on top of what we already paid for the signage and installation.<\/p>\n

It would obviously have been cheaper to get it done the proper way up front.\u00a0 But the big question is:\u00a0 Had\u00a0 we specified the posts and holes up front and given all suppliers the opportunity to compete on that specification, how much more money would we have saved?<\/p>\n

We\u2019ll never know.<\/p>\n

But the moral of the story is that procurement professionals should know when they are buying a \u201ctime bomb\u201d of a product or service and should never let an order destined for failure go through.<\/p>\n","protected":false},"excerpt":{"rendered":"

I hope that you have enjoyed the article \u201cThe 25 […]<\/p>\n","protected":false},"author":12,"featured_media":4109,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3265","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-procurement"],"yoast_head":"\nMore About The Expansion of the 5 Rights of Purchasing - Next Level Purchasing Association (NLPA)<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"More About The Expansion of the 5 Rights of Purchasing\" \/>\n<meta property=\"og:description\" content=\"I hope that you have enjoyed the article \u201cThe 25 […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\" \/>\n<meta property=\"og:site_name\" content=\"Next Level Purchasing Association (NLPA)\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/NextLevelPurchasing\/\" \/>\n<meta property=\"article:published_time\" content=\"2013-04-09T18:23:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-07-07T16:58:36+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.certitrek.com\/nlpa\/wp-content\/uploads\/sites\/5\/2020\/11\/nlpa-images-119.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1600\" \/>\n\t<meta property=\"og:image:height\" content=\"1137\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Galo Matagay\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@nextlevelpurch\" \/>\n<meta name=\"twitter:site\" content=\"@nextlevelpurch\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Galo Matagay\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\"},\"author\":{\"name\":\"Galo Matagay\",\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/#\/schema\/person\/72d094fab77892483dfa6e061cb27eaa\"},\"headline\":\"More About The Expansion of the 5 Rights of Purchasing\",\"datePublished\":\"2013-04-09T18:23:00+00:00\",\"dateModified\":\"2023-07-07T16:58:36+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\"},\"wordCount\":807,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/#organization\"},\"articleSection\":[\"Procurement\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\",\"url\":\"https:\/\/www.certitrek.com\/nlpa\/blog\/more-about-expansion-of-5-rights-of\/\",\"name\":\"More About The Expansion of the 5 Rights of Purchasing - 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