Infrastructure modification is the process of making changes,

improvements, repairs, or maintenance to the cloud infrastructure used to

deliver or operate a service

In the context of cloud infrastructure, infrastructure modification can include

actions that: Create backdoors, Create unauthorized infrastructure, Hijack
resources, and Modify existing resources.

Design-build projects are construction projects where a single entity, called

the design-build team, is responsible for both the design and construction
services. This is different from the traditional design-bid-build method,
where the design and construction are separate entities with separate
contracts

Here are some benefits of design-build projects:

 Collaboration
The design and construction teams work together, which can lead to innovation
and fewer mistakes.
 Accountability
One entity is responsible for the entire project, so there's no conflict between the
architect and contractor's recommendations.
 Smooth process
Design-build projects can be less stressful and lead to happier owners.
 Faster schedules
Design-build projects can be completed faster, which can save time and money.
The design-build team is responsible for producing complete and error-free
design documents. They may also handle the permitting process and
engineering work.
Annual rate contract (ARC)

On-time in-full (OTIF) is a supply chain metric that measures how well a
business delivers orders to customers. It's calculated by dividing the
number of orders delivered on time and in full by the total number of orders,
and multiplying by 100

Projects and Technology

An organization that manages major projects and drives innovation at a
company. Responsibilities include project delivery, research and development,
global contracting, and safety
 A framework agreement is a legal contract that establishes terms and
conditions for future transactions or projects between two or more parties:
 Negotiations
An agreement that recognizes that parties have not finalized all matters, but have
agreed on enough to move forward

Mechanical, Electrical, Plumbing and Fire fighting ( MEPF).

certification in Third party Risk Management

INFRACON is a national portal for infrastructure consultancy firms and key

personnel in India. It was developed by the National Highways
Infrastructure Development Corporation (NHIDCL) to make the
procurement process more transparent, objective, and user-friendly.

Stanford GSB, Google, D.E. Shaw, Stitch Fix, Urban Outfitters, Wayfair, McKinsey,
Nike etc.

A mortgage lender is a financial institution, such as a bank or credit union, that

provides money for home purchases and refinances. They set the terms, interest
rate, and repayment schedule for a mortgage, and may also offer second
mortgages.

The procure-to-pay (P2P) process is a series of steps that businesses take to

acquire goods and services from suppliers. It's part of the larger procurement
management process and integrates purchasing and accounts payable systems.

A unicorn company is a privately held startup that reaches a valuation of $1 billion

or more without being listed on the stock market. The term was coined in 2013 by
Aileen Lee, founder of Cowboy Ventures, and is named after the mythical creature
because of how rare it is for a company to reach this valuation

Procurement Centre of Excellence (CoE)

ROI stands for Return on Investment, a financial metric that measures the
profitability of an investment by comparing its gain or loss to its cost. ROI is
typically expressed as a percentage

A pacesetter is someone who is in the lead during part of a race or competition and
therefore decides the speed or standard of the race or competition for that time
 PEB stands for Pre-engineered Building, which is a construction method that
involves prefabricated steel structures that are assembled on-site

 An EPC project is a type of contracting arrangement where a contractor is responsible

for all aspects of a project, from design to construction and handover.
 Process
 The owner provides requirements, and the contractor:
 Prepares the engineering design
 Procures materials and equipment
 Constructs the project
 Delivers the project to the owner

What Are The Four 4

Sources Of Risk In
Procurement?
MARCH 20, 2023THE OBOLOO TEAM

What Are The Four 4

Sources Of Risk In
Procurement?
Are you struggling to identify potential risks in your procurement
process? Procurement is a complex field that requires proactive risk
management to avoid negative consequences like increased costs, poor
quality products, and legal disputes. In this blog post, we’ll explore the
four primary sources of risk in procurement and provide practical tips on
how to mitigate them. Whether you’re an experienced procurement
professional or just starting out, understanding these risks will help you
make better decisions and protect your organization’s bottom line. So let’s
dive into the world of procurement risk!

Human Error
There are four sources of risk in procurement: process, people, technology
and the environment.

Process risks can come from the way a procurement is conducted; for
example, if an organization does not have a clear process for awarding
contracts, this could lead to mistakes being made. People risks come from
the people who are involved in the procurement process – for example, if
they are not qualified or do not have the appropriate experience, this
could lead to problems. Technology risks can come from the way a
procurement is conducted online – for example, if there is a problem with
a website used in the process, this could lead to delays or mistakes. The
environment risks can come from everything outside of the procurement
process – for example, if there is bad weather during bidding which
disrupts proceedings, this could lead to problems.

Inappropriate Pricing
There are four sources of risk in procurement: price risk, contractual risk,
performance risk, and supplier reliability. Price risk is the most common
type of risk, and it’s the one that businesses most often worry about.
Contractualrisk refers to the potential for problems with contracts.
Performancerisk pertains to the potential for delays or failures in delivery
or performance of services. Supplierreliabilityrisks how reliable a supplier
is.

Price Risk
The biggest source of price risk is competition. When there are many
suppliers available, it’s difficult to get a good deal on prices. This means
that businesses can end up paying more than they would if they only had
one supplier to deal with. There are also risks associated with bidding
processes. If there are several interested parties bidding on a project, it’s
possible for the lowest bidder to win without offering a good deal.
Finally, businesses face price risks when they negotiate contracts with
suppliers. If a contract is too expensive or too lenient, it could lead to
problems down the line.

Contractual Risk
Contractualrisk refers to the potential for problems with contracts. This
can happen in two main ways: incomplete or inaccurate paperwork can
lead to disputes over payments and obligations, and disagreements about
terms can result in delays in delivery or performance of services. Other
types of problems that can occur during contract negotiations include bid
rigging (when bidders offer fraudulent bids in order to win the contract)
and collusion (when companies work together to

Unsolicited Submissions
There are four main sources of risk in procurement: the supplier, the
buyer, the contract, and the implementation process.

Supplier Risk
The supplier is the most important source of risk in procurement because
they provide the products or services that are purchased. If a supplier is
fraudulent, dishonest, or unable to deliver on their commitments, it can
cause major problems for the buyer. Suppliers can also be subject to
political or economic instability which can affect their ability to
meet contractual obligations.

Buyer Risk
The buyer is responsible for ensuring that the products or services they
purchase are of high quality and meet their requirements. If they don’t
have enough information about the supplier or if they make mistakes
during negotiations, they may end up purchasing inferior products or
services. Buyers can also be subject to financial risks if they’re not able to
pay for what they’ve ordered.
 Contract Risk
The contract is a key piece of documentation between the buyer and the
supplier. It specifies all of the terms and conditions under which goods or
services will be delivered. If either party fails to live up to their promises in
this document, it could lead to disputes and delays in delivery. Contract
risks can also include intellectual property (IP) infringement, price
gouging, and corruption by suppliers.

Implementation Process Risk

Fraudulent Activities
The four sources of risk in procurement are poor vendor management,
inadequate contract management, inadequate systems and controls, and
fraud. Poor vendor management can occur when a company does not
properly screen and select vendors, does not maintain accurate records of
contracts and payments, or does not perform adequate due diligence on
potential suppliers. Inadequate contract management can occur when a
company fails to properly document the terms of the contract, does not
accurately track performance milestones, or does not properly respond to
complaints from either party. Inadequate systems and controls can lead to
theft or fraud by allowing unauthorized employees access to sensitive
information or by permitting unscrupulous vendors to obtain
significant business benefits without proper approval. Finally, fraud can
take many forms including bribery, kickbacks, falsifying documents, and
embezzlement.

Each of these risks can have devastating consequences for companies if

not addressed correctly. By understanding how each source of risk works
and what steps to take to mitigate its effects, companies can ensure that
their procurement process is as safe as possible.

B Corp certification is a prestigious designation that verifies a company's

commitment to high standards of environmental, social, and corporate governance
(ESG) performance:

 Evaluation process
 B Lab, a non-profit organization, conducts a rigorous third-party evaluation of a company's
performance.

 Standards

B Corps meet comprehensive and transparent standards for:

 Social and environmental performance

 Legal accountability

 Transparency through public reporting

 Recognition

Companies with B Corp certification are recognized for their efforts to improve their impact
on their employees, communities, and the environment.

 Label

Companies with B Corp certification display the circled “B” label on their website.

 Process

The certification process takes about 12 months.

 Examples of criteria
B Corp certification considers factors such as:
 A company's policy for reducing carbon emissions

 The percentage of managerial staff that comes from underrepresented populations

 The anti-corruption reporting and prevention systems it has in place

What are eco-friendly products?

Eco-friendly products are products that meet strict standards for how their
manufacturing process, packaging, delivery, use, and disposal affect the
environment. These products are often certified by third-party organizations
that can verify their sustainability claims.

“Eco-friendly” and “sustainable” are interchangeable umbrella terms that

signify a brand or product’s minimal impact on humans, animals, and the
planet. These products or brands will possess one or more of the following
traits:

 Ethically manufactured
 Fair trade or fair wages and treatment of workers
 Low environmental impact through waste reduction or use of
sustainable materials
  Investment in carbon removal projects
 Low-impact shipping materials and methods
 Recycled or reclaimed materials used
 Zero-waste alternative to conventional products
 B Corp certification or other sustainable certifications
 Natural, organic, plant-based ingredients
 Donation of proceeds to charities and causes

Whether you’re looking to sell sustainable products for home office design,
ethical loungewear, or clean comfort foods, we’ve got you covered. Read
on to discover tips to get started as an eco entrepreneur—and protect the
planet, one refillable water bottle at a time.

Direct purchases are materials and labor that are directly used to make a
company's products or services, while indirect purchases are items and
services that support a company's daily operations but aren't used in the
final product:
 Direct purchases
These are the tangible components that become part of the finished
product. Examples include raw materials, products, and services that are needed
for production.
 Indirect purchases
These are also known as overhead expenses or tail spend. They are goods and
services that are needed for running a business but aren't directly used in
production. Examples include office supplies, cleaning supplies, facilities
management costs, professional services, travel, and hospitality

Capital expenditures (CapEx) and operating expenses (OpEx) are two

different types of business expenses that differ in the following ways:
 Definition
CapEx is the cost of acquiring long-term assets, while OpEx is the cost of running a
business day-to-day:
 CapEx: A large investment in a tangible asset, such as a building, land, machinery, or
equipment. CapEx is recorded as an asset on the balance sheet and depreciated over
time.
 OpEx: An ongoing cost associated with running a business, such as rent, utilities,
salaries, marketing, sales, and office supplies. OpEx is recorded on the income
statement and directly impacts a company's profit in a given fiscal year.
 Benefits
 CapEx assets are expected to provide benefits over a longer period of time, while
OpEx costs usually have a much shorter-term benefit.

 Tax treatment
CapEx allows for gradual deductions over the life of an asset, while OpEx enables
immediate tax benefits within the current fiscal year.

Incoterms are a set of standard trade terms used in international contracts

to define the responsibilities of buyers and sellers for the sale of
goods. They are an important part of international law, particularly maritime
law, and are used in procurement, sales, and other international trade
transactions

ITES stands for Information Technology Enabled Services

Source-to-pay (S2P) is a business process that involves all the activities related to procuring
goods and services, from start to finish

What are the three V's of Concentrix?

Visibility, velocity, value

Velocity lets us quickly adapt to and anticipate changes in the marketplace and in
our clients' businesses. Value to our game-changers, clients, and shareholders is
considered and upheld in all we do.
Concentrix has a market cap or net worth of $2.89 billion as of November 26, 2024. Its
market cap has decreased by -47.43% in one year.

Artificial intelligence (AI) has many benefits, including:

 Efficiency: AI can help improve efficiency and reduce operational costs.
 Automation: AI can automate repetitive tasks, such as data processing, and expand
the range of tasks that can be automated.
 Accuracy: AI can help minimize human error and increase precision and accuracy.
 Healthcare: AI can analyze a patient's medical history and current health data to
predict potential health risks.
 Education: AI can help develop learning programs, games, and software programs,
and can be used to reform the education system.
 Project management: AI can help improve accuracy and scale project management
by helping with tasks like developing schedules, assessing risk, and estimating
costs.
 Decision-making: AI can enhance decision-making.
 Customer service: AI can enhance customer service.
 Supply chains: AI can optimize supply chains.
 Data analysis: AI can improve data analysis.
 Financial planning: AI can improve financial planning.
 Risk assessment and security: AI can improve risk assessment and security.
 Predictive maintenance: AI can enable predictive maintenance.
 Content creation: AI can simplify content creation.
 Traffic management: AI can enhance traffic management.
 Workplace safety: AI can enhance workplace safety.

Cybersecurity threats

Bad actors can exploit AI to launch cyberattacks. They manipulate AI

tools to clone voices, generate fake identities and create convincing
phishing emails—all with the intent to scam, hack, steal a person's
identity or compromise their privacy and security.
Geoffrey Hinton, known as one of the “godfathers of AI,”

𝑻𝒓𝒂𝒏𝒔𝒇𝒐𝒓𝒎𝒊𝒏𝒈 𝑺𝒖𝒑𝒑𝒍𝒚 𝑪𝒉𝒂𝒊𝒏𝒔 𝑻𝒉𝒓𝒐𝒖𝒈𝒉 𝑬𝑺𝑮 𝑷𝒓𝒊𝒏𝒄𝒊𝒑𝒍𝒆𝒔

Recently I read the article on COP29 after the long discussion for 11 days finally
some countries are agreed on some points on the Environmental, social and
Governance (ESG) which is the major problem from last 10-15 years.

In early days when ESG came into picture corporate was not focusing on this point
but from last 4-5 years corporates are following all the guidelines about the ESG.

Supply Chain expert has major role to in taking hard steps to control ESG as he is a
major stake holder in the Vendor Development, Planning c

🔍 Sustainable Sourcing: As a Supply Chain expert always prioritize suppliers that use
eco-friendly raw materials and sustainable production methods. Encourage
certification about the product is environment friendly

🎄 Reducing environmental impact: While new Product development try to avoid the
 product, which impacts the environment. Try to use recycled material or find he
alternate products in development of the product.
Meeting with stockholder: Many times, as a SCM expert it is a responsibility to
explain the stakeholder about the alternatives which helps in ESG control.

🐾 Carbon Footprint Reduction: Supply Chain expert need to implement the forecast
model so that they can Optimize transportation routes to minimize emissions. Try to
focus more on domestic Sourcing. with the help of integration of technology like AI it
will be easy to identify the demand forecast in advance.

Waste Management: As a SCM expert always ask the design department to design
products for reusability, recyclability, and which helps in reduced waste. SCM expert
always collaborate with suppliers for packaging waste reduction or find better
solution which helps in reduction ESG.

💡 Energy Efficiency: As a SCM expert, he should add one more point in vendor
evolution Work with suppliers using renewable energy sources. Go with energy-
efficient manufacturing processes and facilities which helps in reduce the ESG.

Sustainable items are products that benefit the environment, economy, and
society over their entire lifecycle. They are designed to minimize waste and
use natural resources responsibly. Some examples of sustainable items
include:
 Clothing: Made from eco-friendly materials like organic cotton or bamboo
 Furniture: Made from reclaimed or recycled wood
 Electronics: Made from recycled materials and energy efficient components
 Building materials: Green building materials like recycled insulation and low-VOC
paints
 Cutlery: Biodegradable cutlery
 Picnicware: Bamboo picnicware
 Paper towels: Reusable paper towels
 Straws: Silicone or stainless steel straws
 Sandwich bags: Reusable sandwich bags
 Paper plates: Compostable paper plates
 Laundry detergent: Waterless laundry detergent strips
 Composters: Countertop composters
Sustainability can be broken down into four pillars: human, social,
economic, and environmental. Some steps to create a sustainability
strategy include: Reducing waste, Preventing pollution, Conserving energy,
Using recycled and biodegradable packaging, and Shifting to renewable
energy sources

34 eco-friendly products to sell

Our list includes real examples of successful brands selling the best eco-
friendly products in each category—everything from green cleaning
products to single-use plastic alternatives.

1. Compostable audio accessories

2. Solar energy devices
3. Sustainable office accessories
4. Vegan pet accessories
5. Pet toys made from recycled plastic bottles
6. Pet treats made from food waste
7. Ethical basics
8. Recycled cotton clothing
9. Small-batch apparel
10. DIY gardening supplies
11. Clean, portable campfires
12. Recycled plastic patio furniture
13. Beehive supplies
14. Sustainable coffee
15. Repurposed vegetable waste
16. Recycled activewear
17. Sustainable yoga gear
18. Sportswear made from recycled plastic
19. Personal care without harmful chemicals
20. Dental care without unnecessary waste
21. Body goods from nature
22. A sustainable solution to glassware
23. Reusable utensils and straws
24. Alternatives to single-use plastic wrap
25. Toys that protect the planet
26. Plant-based food supporting animal rescue
27. Clean candles that give back
28. Ethically produced bags
29. Socks that reduce plastic waste
30. Reusable bags
31. Recycled plastic eyewear
32. Environmentally friendly paper products
33. Natural toys
34. Creative eco-kits
Food and Flavors- Natural Industries
FF&E stands for furniture, fixtures, and equipment, and OS&E
stands for operating supplies and equipment. Essentially,
everything in a space that adds to or creates the design is included,
from the carpet, artwork, and furniture, to the banquet silverware
and towels.
Maverick spending refers to unauthorized or unapproved expenditures made by
employees outside established procurement processes. It often leads to
inefficiencies, higher costs, and compliance issues, as purchases are made without
proper oversight or adherence to company policies.

Reducing maverick spending in procurement, is essential for maintaining control

over procurement processes and optimizing cost savings. Here are effective
strategies:

1. Implement Clear Procurement Policies:

Develop and communicate comprehensive procurement policies that outline
approved purchasing procedures, preferred suppliers, and contract terms.
Ensure all employees are aware of and understand these policies through regular
training sessions and accessible documentation.

2. Use Centralized Procurement Systems:

Implement a centralized procurement system or e-procurement platform that
requires employees to use approved suppliers and contracts.

3. Enforce Purchase Order (PO) Requirements:

Mandate the use of purchase orders for all procurement activities and ensure POs
are approved through a standardized workflow.
Monitor and audit purchases regularly to ensure compliance with PO requirements.

4. Educate and Train Employees:

Conduct regular training sessions to educate employees about the importance of
compliance with procurement policies and the risks of maverick spending.

5. Establish Strong Supplier Relationships:

Work closely with preferred suppliers to ensure they understand your procurement
policies and can support your compliance efforts.

6. Monitor and Analyze Spend Data:

Regularly review and analyze spend data to identify patterns of maverick spending.
Use analytics to pinpoint departments or individuals frequently engaging in
unauthorized purchases and address these issues directly.
7. Implement Approval Workflows:
Create automated approval workflows that require multiple levels of authorization for
purchases, especially for high-value or non-standard items.
Ensure that any deviation from approved processes triggers an alert or requires
higher-level approval.

8. Communicate Benefits of Compliance:

Highlight the benefits of adhering to procurement policies, such as cost savings,
better supplier terms, and reduced risk.

9. Regular Audits and Feedback:

Conduct regular audits of procurement activities to ensure compliance with policies
and identify areas for improvement.
Provide feedback to departments on their procurement practices and offer support to
improve compliance.

"Strong procurement isn’t just about buying—it’s about building partnerships,

ensuring quality, and driving value for every stakeholder."🫡

You deserve to be happy, not tired, not hurt, not stressed—just happy.

This resonates deeply not just in life but also in the world of marketing procurement.

In my field, I believe happiness is achieved when:

✔️Vendors feel valued through fair negotiations.
✔️Stakeholders are stress-free, knowing their requirements are met seamlessly.
✔️Brands achieve excellence without unnecessary costs or compromises.
✔️Processes are optimized, reducing the burden on teams and ensuring smooth
operations.

At the end of the day, procurement isn’t just about cost-saving—it’s about building
trust, adding value, and creating harmony among all stakeholders.

Let’s strive to bring more happiness into our workspaces—because happy people
drive successful projects!

procurement predictions for 2025:

1. AI-Driven Supplier Selection:

Procurement teams will increasingly utilize AI algorithms to assess supplier

performance, risk factors, and market dynamics, enabling more informed and
strategic sourcing decisions.

2. Circular Procurement Practices:

Organizations will adopt circular procurement models, focusing on acquiring goods

and services designed for reuse, remanufacturing, or recycling, thereby minimizing
waste and promoting sustainability.
3. Blockchain for Enhanced Transparency:

The implementation of blockchain technology will provide immutable records of

transactions, improving transparency and traceability across supply chains, and
reducing fraud and errors.

4. Emphasis on Scope 3 Emissions Reduction:

Companies will prioritize reducing Scope 3 emissions by collaborating closely with

suppliers to decarbonize the supply chain, addressing the significant portion of
carbon footprint originating from purchased goods and services.

5. Integration of Suppliers:

Organizations will increase reliance on integrated suppliers for procurement, moving

away from multiple supplier lists for efficiency.

6. AI-Powered Demand Forecasting:

Retailers will adopt AI and machine learning platforms to predict consumer demand
more accurately, optimizing inventory levels and reducing supply chain
inefficiencies.

Revenue expenditure
Money spent on short-term expenses, like rent, employee wages, and utilities, that
are needed to generate revenue in the ordinary course of business. RevEx is
recorded in the income statement and expensed immediately.