Vodafone Qatar: the importance of supply chains
Hicham Nehme, Senior Supply Chain Manager at Vodafone Qatar, discusses the importance of supply chains in telecommunications with Supply Chain Digital.
Hicham Nehme Senior Supply Chain Manager at Vodafone Qatar, has had 18 years experience in the supply chain industry working in different organisations and industries. However for the last eight years he has specialised in telecommunication procurement. “I've been CIPS-certified since 2013 and am a holder of an MBA and business administration system degree.”
When speaking to Supply Chain Digital in this month’s magazine, Nehme discusses the state of flux that the telecommunications industry is currently experiencing not only in Qatar but globally. Telecom operators are facing financial challenges, due to the shrinking of their margins,” Nehme explains. “What the company realised is that the only way to fix this problem is by reducing costs, and to achieve these goals, we must use the supply chain. The supply chain has become a critical department across the organisation. Our involvement now starts from the planning stage, not just the execution. We can help the decision makers to build their strategy and to properly put their plans in place.”
In addition to financial change, Nehme also highlighted the evolution of technology and how Vodafone is at the forefront. “We’re proud to be the first company providing 5G for their customers in Qatar. We are leading 5G within the country and in the world at large, an achievement we are really proud of.” Implementing 5G requires upgraded infrastructure, and “Vodafone Qatar is taking the lead to be part of that growth in the coming years,” says Nehme. “The telecommunications industry is critical for any country, and that’s where we play our role in the growth of the economy.”
With these changes, Nehme has been developing clean supply chains strategies, in order to thrive in an evolving industry. “Something that’s impacted our way of thinking is the five rights of procurement, which is providing the right number of the right materials at the right time and at the right place for the right price. We're not just focused on the finish anymore, now we analyse spending. We analyse the product as its bought. We use technology to enhance our procurement strategy and gather data from different resources. This all helps us to build a strong strategy for the supply chain, and to achieve our goals and objectives in the long and the short-term.”
To read the full Vodafone Qatar feature, check out the February edition of Supply Chain Digital.
For more information on all topics for Procurement, Supply Chain & Logistics - please take a look at the latest edition of Supply Chain Digital magazine.
5 Minutes With: Jim Bureau, CEO Jaggaer
What is data analytics, and why is it important for organisations to utilise?
Data analytics is the process of collecting, cleansing, transforming and analysing an organisation’s information to identify trends and extract meaningful insights to solve problems.
The main benefit for procurement teams that adopt analytics is that they’re equipped to make faster, more proactive and effective decisions. Spend analysis and other advanced statistical analyses eliminate the guesswork and reactivity common with spreadsheets and other manual approaches and drive greater efficiency and value.
As procurement continues to play a central role in organisational success, adopting analytics is critical for improving operations, meeting and achieving key performance indicators, reducing staff burnout, gaining valuable market intelligence and protecting the bottom line.
How can organisations use procurement analytics to benefit their operations?
Teams can leverage data analytics to tangibly improve performance across all procurement activities - identifying new savings opportunities, getting a consolidated view of spend, understanding the right time for contract re-negotiations, and which suppliers to tap when prioritising and segmenting suppliers, assessing and addressing supply chain risk and more.
Procurement can ultimately create a more comprehensive sourcing process that invites more suppliers to the table and gets even more granular about cost drivers and other criteria.
"The main benefit for procurement teams that adopt analytics is that they’re equipped to make faster, more proactive and effective decisions"
Procurement analytics can provide critical insight for spend management, category management, supplier contracts and negotiations, strategic sourcing, spend forecasting and more. Unilever, for example, used actionable insight from spend analysis to optimise spending, sourcing, and contract negotiations for an especially unpredictable industry such as transport and logistics.
Whether a team needs to figure out ways to retain cash, further diversify its supply base, or deliver value on sustainability, innovation or diversity initiatives, analytics can help procurement deliver on organisational needs.
How is data analytics used in supply chain and procurement?
Data analytics encompasses descriptive, diagnostic, predictive and prescriptive data.
Descriptive shows what’s happened in the past, while diagnostic analytics surface answers to ‘why’ those previous events happened.
This clear view into procurement operations and trends lays the groundwork for predictive analytics, which forecasts future events, and prescriptive analytics, which recommends the best actions for teams to take based on those predictions.
Teams can leverage all four types of analytics to gain visibility across the supply chain and identify optimisation and value generating opportunities.
Take on-time delivery (OTD) as an example. Predictive analytics are identifying the probability of whether an order will be delivered on time even before its placed, based on previous events. Combined with recommendation engines that suggest improvement actions, the analytics enable teams to proactively mitigate risk of late deliveries, such as through spreading an order over a second or third source of supply.
Advanced analytics is a research and development focus for JAGGAER, and we expect procurement’s ability to leverage AI to become even stronger and more impactful.