double marginalization

Hansen Consulting and Seminars New Credit Certificate Program

PI Blogger — Mon, 05 May 2008 21:19:40 +0100

Whenever you purchase a Hansen Consulting and Seminars Inc white paper or service, you will receive a $25 HCSI credit certificate towards your next purchase.

Accumulating knowledge through sharing knowledge!

Whenever someone you have referred purchases a Hansen Consulting and Seminars Inc white paper or service, you will receive an HCSI $25 credit certificate towards your next purchase.

As good as money! Papers and services that qualify for redemption under the HCSI credit certificate program:

Double Marginalization and the Decentralized Supply Chain (White Paper)

Supply Chain and Procurement Practices Group

Double Marginalization and the Decentralized Supply Chain (White Paper Excerpt)

PI Blogger — Wed, 23 Apr 2008 14:53:46 +0100

Double marginalization is defined as the “exercise of market power at successive vertical layers in a supply chain.” Dating back to Lerner (1934) the problem that arises as a result of double marginalization is tied to an impetus to mark up the product’s price above marginal cost. According to a 2005 Caltech paper (Vertical Integration of Successive Monopolists: A Classroom Experiment) the sequence of mark-ups “leads to a higher retail price and lower combined profit for the supply chain than would arise if the firms were vertically integrated.”

The Number 1 Question . . . How Can A Consultant Really Help Us?

PI Blogger — Mon, 21 Apr 2008 05:39:55 +0100

Over the past few weeks I have received a spate of questions regarding Procurement Insights, and in particular the services offered through Hansen Consulting and Seminars. In short what do I do, and how can I help an organization.

Supply Chain and Procurement Practices Group

Strategic Sourcing Practices in Higher Education (White Paper Excerpt)

PI Blogger — Fri, 18 Apr 2008 18:15:48 +0100

Table of Contents

WHAT IS THE CORRECT DEFINITION OF STRATEGIC SOURCING? 3
DEVELOPING AN EFFECTIVE FRAMEWORK 4
OBSTACLES TO A SUCCESSFUL INITIATIVE 7
THE IMPACT OF COMMODITY CHARACTERSITICS 9
THE INHERENT DANGERS OF A PULL-THROUGH STRATEGY 11
THE MYTH OF TRANSACTIONAL REDUCTION 14
A STRATEGY OF ORDER 15
A STUDY IN CONTRASTS – SEEING BEYOND THE ORG CHART 16
THE IMPORTANCE OD SUSTAINABLE SAVINGS AND THE EMERGENCE OF SAAS 18
NYCDOE 2004 – A CASE IN POINT 19
NYCDOE 2007 – (UPDATE) 21
MURDOCH 2007 – (UPDATE) 22
ABRIEF NOTE REGARDING THE PROCUREMENT OF SERVICES 25

Supply Chain and Procurement Practices Group

The Continuing Dangers of Vendor Rationalization

PI Blogger — Mon, 31 Mar 2008 18:58:33 +0100

As mentioned in a previous post, the feedback I receive from procurement professionals who attend my conferences never fail to make an impact in terms of the grassroots challenges they face on a daily basis.

Often times, it is the adherence to long held beliefs and strategies that undermine their efforts to deliver maximum value in an expanding global economy.

Supply Chain and Procurement Practices Group