By Pete Petersen
Change, one of the definitions in the dictionary is "to give different direction or course to". To change should not be to give up who we are or what we do but to improve on who we are and what we do. In the purchasing profession as in all professions, technology and even our personal development we must change to keep up with the times, whether it's expanding our knowledge to keep up with trends in the market place, new technology, information systems or to make changes to our organization that will keep us current with the times if we don't we will be pushed by the way side.

The purchasing profession is going through many changes moving from tactical to a strategic position and becoming a more integral part of organizations in the move toward the team concept. No longer is purchasing a stand-alone function but is expected to be involved from the planning stage through out the entire supply chain process.

Not only is the profession going through changes but so is our organization. Mare Allen our DNA will be addressing these in this and future issues of the Desert Purchaser.

I would like to thank all of you who filled out the surveys they will be very helpful in showing us how we can make our affiliate better for our membership. If you ever have any suggestions, questions or want to get involved please contact any of the Board Members or Committee Chairs.

This month's dinner meeting speaker is Jan Miller, Manager of NAPM's Affiliate Support. I met Jan at this last summer workshop and she put on one most informative sessions of the workshop. I am sure you will enjoy her presentation, hope to see you there.

By Scott Oldendorph, C.P.M.
Do you know how to be all you can be? NAPM does, if you know where to look and whom to ask. An NAPM membership is the bedrock and corner stone of your Purchasing career and has been expanding to include Supply Chain Management. For some purchasing professionals an NAPM membership a way to meet other purchasing professionals to network, attend workshops, dine and listen to guest speakers. For others it just allows the member to get discounts on C.P.M. exams, seminars and access to the NAPM employment agency. But is that all you can be and all you can get from the NAPM benefits? Absolutely not, NAPM have a lot more to offer if you only knew what was available.

On November 8 at 7:00 PM at the Home Town Buffet located at 5101 N. Oracle Road in Tucson, NAPM-SA will have the privilege of having Jan Miller address our membership on the knowing the full value of our NAPM membership. Jan Miller is NAPM's manager of Affiliate Support and her department is responsible for providing assistance to as serves as the primary liaison between affiliates districts, commodity groups and forums. Jan's background is vast covering management, advertising/marketing and a maintained strong focus on customer service.

Here is your chance to learn how to get the full value from your NAPM membership by taking advantage of the benefits NAPM has to offer and how being involved can enhance your marketability as a professional. Jan will have us look at the following areas:

1. Networking and educational opportunities throughout the association.
2. The redesign of the NAPM Web site including an expanded Career Center and the new online tools that are free to members.
3. The NAPM knowledge Center offering self-directed online courses (one is even free).
4. Learn about the 5 new groups/forums and what they have to offer as a benefit to membership.
5. See how you can develop even more skills that can be added to you resume.

All organizations should conduct an ethics audit each year. The questions below raise some (but not all) important ethics issues. Use this checklist as a starting point for writing your own list of audit questions.

1. Does your organization have an up-to-date written and published ethics policy that was issued over the signature of the CEO?
2. Does it include specific policies to cover special departmental situations, such as sales, purchasing, and engineering?
3. Each year, are all members of management required to sign a statement acknowledging that they have read the ethics policies that year?
4. Each year, are all members of management required to complete and sign a statement that discloses any potential conflict of interest?
5. Have all members of the purchasing and supply management department, and other members of the organization who knowledge of suppliers' information, been trained not to divulge price (government purchasing is an exception), engineering specifications and drawings (without permission of the supplier), and other confidential information?
6. Have all members of the purchasing department, and other members of the organization who may be involved, been instructed not to:
1. Accept personal rebates (rebates to the organization are usually okay)?
2. Engage in reciprocity?
3. Be pressured into selecting suppliers because others in the organization have a conflict of interest?
7. Do your purchasing and sales departments have the same policy regarding meals, gifts, travel, or entertainment?
8. Does your organization have an ethics compliance officer or other "go-to" person?
9. And finally, are suppliers' rights included?

Extracted from Purchasing Today May 2000 by Kenneth Killen, Ph.D., C.P.M

Name ______________________________________________________________________

Company ________________________________________________#Attending___________

Phone # _____________________________________________________________________

By Mare Allen
There has been discussion on the name of National Association of Purchasing Management be changed and the new name be the Institute for Supply Management, was adopted.

The NAPM Director's were asked to review this action at the fall district council meetings. At the November 2000 meeting, the NAPM Director's should provide input from their discussions, NAPM will provide an implementation plan, and if the Board provides it's final approval, the issue will be placed on the March 2001 ballot.

The rationale for this recommendation includes:

1. The word "National" does not communicate the organization's broader opportunities and perspectives;
2. Emphasis on the word "purchasing" is limiting; must be broadened to reflect the complexity, diversity and more strategic nature of our profession;
3. Institute refers to an educational organization - the rationale for our existence;
4. Institute is an internationally recognized term;
5. The words "Supply Management" recognize the more strategic nature of our profession and our business world.

By Myles Zimmerman
The professional development program for November will be part II of the Fundamentals of Purchasing series. The subject matter of this video is Planning & Sourcing. Response to Part I was very positive. These videos present a very thorough discussion of purchasing basics. Most of this material corresponds to Modules 1 & 4 of the C.P.M. exam. We welcome all members and non-members alike to join us for a relaxed, "no pressure" atmosphere where you can increase your knowledge and have a chance to network with other purchasing professionals. And afterwards enjoy some great food! Hope to see you there!

By Elliott Chaitt, Global Resources Chairman
Several of my articles on global negotiating have appeared in past issues of this newsletter but a recent inquiry has encouraged me to revisit this subject with emphasis on the importance of planning for all negotiations and particularly for negotiating with a foreign supplier.

In response to a request for assistance in dealing with a foreign supplier I asked what objective did the requestor hope to achieve in the negotiation and what strategies had he in mind. The answer was typical. This company management official had not given much thought to the process other that achieving a price objective. He had overlooked among many aspects, the issues of quality, timely delivery, warranty and whether a long range relationship was desirable.

He was unaware that dealing globally was frequently more involved that dealing with U. S. suppliers and fraught with the possibility of unexpected results. Some of these risks can be countered by adequate planning where a series of questions need to be addressed. First, the reason for wanting to source with a foreign supplier should be examined.

If low labor costs are the only objective have all domestic alternatives been examined? Is there an automated method of reducing the labor component? If so, can the capital equipment costs be justified? Is this a one-time requirement or a continuing need? On the other hand, are you sourcing off-shore to secure access to foreign markets for your products? If so, has the impact of your purchases in the foreign country been carefully evaluated as to the marketing benefits? Does the overseas country require you product or service? Are your sales capabilities adequate to penetrate the foreign market? Perhaps because there are no domestic sources for the item you feel obliged to buy from a foreign supplier. If so, have you tried to interest a domestic supplier in producing what you need or resorting to downward integration of your own business? This would apply only if there is a long term need for the product or service.

A second level consideration is the preparation for communicating with the potential foreign supplier. If the overseas source maintains a U.S. sales organization this aspect of negotiating should not be a problem. If not planning should include learning about the business practices and culture of the proposed supplier's country. A negotiation can easily be derailed by an innocent but unacceptable infraction of protocol or local custom. This frequently results from an attitude that the foreign negotiator is just like you except for the language he/she speaks. There are many excellent books and other sources dealing with the subject of Americans interfacing with foreigners. As part of the planning process the U.S. negotiators should avail themselves of this type of information. As a minimum learn the basics of the foreign language such as greetings and expressing thanks and the country's customs regarding giving and accepting business gifts. It is not known whether this advice was implemented but if I learn any more about this matter I will let you know.

The 2000-2001 Satellite Series will begin on November 16, 2000 with "Electronic Commerce, Electronic Business, and Collaborative Commerce" (see insert).
For further information or to RSVP contact Pete Petersen @ 648-8590.