Please join us for our

NOVEMBER DINNER MEETING
Wednesday - November 11, 1998


Come Join Us
A KNIGHT OF ROUNDTABLE


Educational Resources Presentation
5:30 - 6:30 P.M.


New Member Orientation
6:15 P.M.


Dinner in the Round
($18.00)
7:00 P.M.
Presented by
NAPM-SA MEMBERSHIP
Participation encouraged


Please R.S.V.P. by noon on Friday, 11/6/98
(menu & R.S.V.P. see insert)


To Mare Allen
(520) 887-4816 (BUS)
(520) 888-7921 (FAX)

PRESIDENTS CORNER

By Scott Oldendorph C.P.M.

With our next dinner meeting being a "roundtable discussion" about our jobs and career field. When I started to visualize our members' richly diversified backgrounds, it brought to light that we are all managers or leaders on our jobs and how we perform that function. As Bradley Holcomb wrote recently in Purchasing Today:

The key difference between managers and leaders is focus. Managers focus on a company's day to day activities and short term results, while leaders concentrate mainly on the company's future direction and competitive position. Managers are concerned with the task at hand – such things as processes, transactions, expenses, problems, and techniques. In contrast, leaders are concerned with principles and values, opportunities and investments, and transformations. Because of this difference in focus, the attributes and competencies required by managers and leaders can be significantly different.

Managers – Since a manager's key role is to ensure that regular operations run smoothly and goals are met, he or she must be able to deal in a structured environment and focus on efficiency. Managers should establish clear objectives and performance measures, then delegate tasks. Further, managers must monitor progress and results and deliver timely and objective feedback on accomplishments.

Leaders – Leaders must be able to deal in an unstructured, ambiguous environment, requiring a high degree of creativity and perspective. With their focus on the company's long term well being, leaders must be able to discern where changes are needed and then empower people to make those changes. To lead an organization to achieve its vision and purpose, leaders must be creative, approachable, empathetic, and possess excellent communication skills.

If you're a buyer, purchasing manager or CEO, which area do you fall into: manager or leader? Bring those ideas and viewpoints to our roundtable discussion and share your wisdom and experiences with all of us. Just remember, everyone is a teacher and also a student.



MISSION STATEMENT

THE NATIONAL ASSOCIATION OF PURCHASING MANAGEMENT-SOUTHERN ARIZONA SERVES THE NEEDS OF ITS MEMBERS AND THE PROFESSION BY PROVIDING QUALITY LEARNING OPPORTUNITIES THROUGH EDUCATIONAL FORUMS, CAREER BROADENING EXPERIENCES AND MENTORING OPPORTUNITIES


A Knight of Roundtable

By Mare Allen.
In the medieval times during the age of King Arthur and Camelot, there was the roundtable. The purpose was to show equality, everybody around the table had an equal voice. This concept has endured the test of time.

At our next dinner meeting, we would like to explore the concept again by having a forum of equal opportunity to voice an opinion and/or address problems. In the spirit of the original roundtable all participants will have an equal position at the table to voice their comments.

Please come and join us, but leave your armor at the door…


Educational Resources


The subject of November's session will be "Performance Evaluation of Suppliers and Purchasing"



GLOBAL RESOURCES

Article by: Albert H. Kritzer, Esq.,
As a purchasing and supply professional, the transactions you oversee probably live and die by the Uniform Commercial Code (UCC), at least if they're domestic purchases. But what happens when you source outside the United States? The United Nations Convention on Contracts for the International Sale of Goods (CISG) is an important law to know. That's because countries that account for two-thirds of all world trade have adopted the CISG as their governing uniform international sales law. Even if you've set terms and conditions that exclude the CISG, in battle-of-the-forms transactions, it may govern your purchase if your supplier's acceptance doesn't exclude the CISG. As such, the CISG continues to require the careful attention of today's international purchasers.



Practical Tips

You order goods. They arrive. They are not as they should be. To avail yourself to remedy options you must give notice to the seller specifying the nature of the lack of conformity within a reasonable time after you discovered the problem or ought to have discovered it.

This seems to be a clear and reasonable requirement, but many purchasers have stumbled over it to their dismay. Today there are about 500 reported cases under the CISG, over 100 of which cite notice provisions. What is a reasonable time for a notice of lack of conformity? How specific must this notice be? You had best check the notice procedures negotiated in your contract.

The problem is: what seems "reasonable" to you may not be regarded as reasonable by a supplier from a country whose domestic laws and trade practices require notice within a very short period of time (overseas, this is quite common). For example, Article 1495 (1) of the Italian Civil Code recites a duty to notify of non-conformity within eight days. Similarly, a notice that seems specific enough to you may not be regarded as specific enough by a person from another culture.

This is what makes for litgation – particularley in this all or nothing proposition: satisfy CISG's notice requirements and you have access to the CISG's expansive basket of remedies; but if you do not satisfy the CISG's notice requirements, these remedies will not be available to you – even where you have otherwise justifiable grievance.



Dinner Meeting Menu


November 11, 1998 ~ 7:00 P.M.
$18.00 Per Person
 
Soup De Jour
Feast on Roast Chicken / Beef Ribs
Baby Roasted Red Potatoes
Corn on the Cob
Broccoli
Bread
And
Drink


R.S.V.P. is required (via phone or fax)
before 12:00 noon on Friday November 6th, 1998


"No-shows" must be billed since your commitment becomes NAPM's


Please contact Mare Allen
Bus: (520) 887-4816


For Fax response, please complete the following, and
Fax to
(520) 888-7921


Name_______________________________________________________

Company_____________________________# Attending_______

Phone #_______________________________________________

Preferred
Entree(s)____________________________________________________


The ABCs

Let's suppose your dispute goes to litigation. Assume your supplier's counsel argues that your notice was not timely or not specific enough. For the purchaser, the A, B, C of protection is this:
  1. Set forth in your contracts the notice regime that makes the most sense for your product and product environment. A feature of the CISG is: for the most part, that which the parties agree to in their contract trumps the uniform law – on notice issues, and other issues as well. Freedom of contract under the CISG can be more expansive than under the UCC.
  2. You cannot always get the contract terms you propose, but you can always build a hedge around the CISG's notice requirements. Where there is a problem, you want it solved promptly: set your procedures to require prompt notice of lack of conformity. You want your problems adequately solved: set your procedures to require quite specific communications to suppliers tell them exactly what is wrong, as best you can.
  3. The CISG has an "informality principle" that seems to offer marvelous protection: a written notice is not required; a phone call will suffice. However, case law tells us, do not rely on phone calls. Where the purchaser said, "I phoned my notice," suppliers have replied, "No, you did not." Dissimulation? Forgetfulness? It does not matter. Continue to rely on the tried and true: a written notice of nonconformity in addition to your phone call; in the event this is not done, set in concrete a procedure that requires a memo for the file detailing that which was said.
These simple approaches can help avoid litigation and preserve your remedies in the event litigation is inevitable. Case law under the CISG says it is prudent to set these approaches in place.


REMINDER
NAPM-SA WEBPAGE CAN BE REACHED AT
http://www.azstarnet.com/~napm_sa/
EMAIL: [email protected]


DNA's CORNER

NAPM-SA Constitution and By-laws Update
By Ralph L. Long, C.P.M.

The NAPM-SA Constitution and By-laws were written in the early 80's and have remained almost unchanged. In the last two years, these documents have been reviewed and updated as necessary. These changes have been combined and the documents rewritten. The membership has been requested to review the Constitution and By-laws in total. If approved, these documents will be published for all members.

During the dinner meeting in September and again in October the general changes have been discussed. Copies of the complete documents have also been available for review. If you haven't seen the updated documents and would like to review them prior to the vote at the November Dinner meeting, call Pete Petersen at 648-8598 for copy.

The following is a quick run down of the changes;

  1. References to individuals have been corrected to be gender equal.
  2. Objective of the organization has been changed from "promote purchasing" to "promote purchasing", supply management, production and manufacturing practice;
  3. Regular membership definition changed to "as defined in the bylaws of the National Association of Purchasing Management, Inc;
  4. Associate members may now vote and hold offices in the local association except President and DNA;
  5. Deleted 2nd vice president and renamed the position, president-elect.
  6. Allowed an individual to hold the office of president for no more than two consecutive years;
  7. Changed the name of standing committees to:
  1. Educational Resources, Vice Professional Development
  2. Affiliate Marketing (a new position)
  3. Communication, Vice Public Relations
  1. Changed from annual dues payable in January to "annual dues shall be paid in advance, on a yearly basis".
Don't forget to attend the November dinner meeting and take advantage of the opportunity to vote on the revised Constitution and By-laws.


THE NATIONAL ASSOCIATION OF PURCHASING MANAGEMENT-SOUTHERN ARIZONA AFFILIATE SERVES AS A CENTER OF EXCELLENCE IN ESTABLISHING AND MAINTAINING PROFESSIONAL STANDARDS OF COMPETENCY AND CONDUCT FOR ITS MEMBERS AND THE PROFESSION IN MATTERS PERTAINING TO PURCHASING AND MATERIALS MANAGEMENT.
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