Find Your Tribe On Procurious

Looking for your tribe on Procurious? Whether you want to connect with colleagues by country, category or campaign, we’ve got you covered…

At Procurious, we like to think we’re very accommodating, which is why we want to help you find your tribe. No matter where you are in the world and whatever your interests, there’s a Procurious group, or two or maybe even three, out there waiting for you.

Groups can be created based on events, industries, categories, regions, countries, organisations and interests. We’ve highlighted some of the corkers to get you started!

Bravo: Women in Procurement

Procurious launched Bravo late last year to celebrate and promote women in procurement and challenge gender discrimination in the workplace. It’s statistically proven that organisations with greater employee diversity achieve better business results and yet women still represent less than 5 per cent of CEO positions.

Gender balance within the procurement function is also skewed, particularly at the top of organisations. Together, we can change that.

This group is a much needed platform for women in procurement to communicate, share ideas and experiences,  mentor and be mentored and stand up for change

As part of the Bravo campaign, we’ve interviewed a whole host  of high profile procurement leaders about their own advice to young women starting off in Procurement, and how they’re helping females get ahead. You can find links to all of these articles via the group.
Read more about the Bravo mission here and join the group here.

Institute for Supply Management (ISM)

This group is your one-stop shop for everything ISM-related from related articles, to interviews and ISM event information.

Procurious have been lucky enough to sit down with most of this year’s THOMASNET and ISM 30 Under 30 Supply Chain Rising Stars to find out what it takes to embark on a successful procurement career. You’ll find all of the links to these interviews in the group.

At the moment, we’re welcoming the delegates who will be attending #ISM2017  in Disneyworld  May 21-24. This group is designed to  enrich the online experience for ISM2017 delegates and members who can’t make it to Florida in-person.

Join this group and share #ISM2017 news, blog articles, event photos, recommendations, network with new connections, and continue the conversations after the event!

Join the group here.

Procurement Toolkit

This group features procurement tools and templates to save you time and effort. These tools can instantly boost your productivity and help you get “unstuck.” Use them to confidently meet the challenges that come your way.

Access the documents tab within the group to download everything from Statement of Work (SoW) templates to Project Management templates orSourcing Risks and Issues Log

Join the group here.

Is Your Nation  Represented?

There’s a whole host of fantastic regional groups chattering away on Procurious that you might not know about. If you’re unsure whether your country is represented we suggest you take a look for yourself – you might be pleasantly surprised! Here are a few of the most active ones:

  • Netherlands Procurement Professionals – Join here
  • Brazilian Procurement Professionals – Join here
  • Spanish Procurement Professionals – Join here
  • Melbourne, Australia Procurement Professionals – Join here
  • Italian Procurement Professionals – Join here

And remember, you can always create your own group whether it’s distinguished via country, industry, interests, your organisation or something else entirely! Simply visit the groups tab on Procurious and click “Create Group” and you’re good to go!

What are you waiting for? Pick your tribe and get going!

Cyber Criminals Could Hold Your Data Hostage

Password theft, identity theft, ransomware – in an age where hacking has become the career of choice for tech-savvy criminals, data protection must be a top priority for CPOs.

“Cyber criminals don’t need to even leave their house to do damage,” says Craig Hancock, cybersecurity expert and Executive Director of Telstra Service Operations. “One breach of trust and the consequences can be irreparable. These days, the traditional idea of criminals – think balaclavas, weaponry, a getaway car – has moved off the streets and into cyberspace.”

Are you prepared for cyber criminals? Do you have your business information secured? How do you manage the confidential information of your customers? And what do you have in place to mitigate risk?

Hancock will deliver a cybersecurity update at the upcoming 10th Asia-Pacific CPO Forum, where he’ll demonstrate how frighteningly easy it is to steal data from a computer by showing a live hack. “I’m planning on showing the group how easy it can be to hack a business, with basic tools and knowledge. I want to make sure everyone is aware about what goes on in the world of cybersecurity threats, and give them some understanding of what they should be doing to help mitigate these threats.”

“Mitigate” is a key word here, as Hancock predicts the cybersecurity challenge faced by businesses and organisations will continue to grow year on year. Notably, he says that any organisation offering a fix-all solution to “solve” your cybersecurity challenge should be avoided.

“It’s an ongoing challenge – cybersecurity has evolved enormously from five years ago, and is likely to look entirely different again by 2020. There’s no single ‘fix’ and there are plenty of bright, shiny objects to distract your security team. You would be wise to put in place some basic, common-sense measures and controls and partner with an organisation that understands the extent of the threat.”

What are the risks?

Cybercrime can be initiated through your head office, at weak point in your supply chain, or even through IoT-enabled devices with low-level protection. Among the types of crime that can take place, Hancock mentions:

  • Password theft: with the obvious prize being the password or access code to users’ bank accounts.
  • Identity theft: a customer’s date of birth and other key information (such as health records) enables criminals to assume their identity, or to sell on this information to others. This can be very expensive for the company that has suffered the breach.
  • Ransomware: Hackers can lock your company’s data in an encrypted vault and demand a ransom for its release. A famous example of this occurred last year when a cyberattack on a Los Angeles hospital left doctors locked out of patient records for over a week, with the hackers demanding a ransom of $3.7 million in Bitcoin.

Telstra’s Craig Hancock will deliver a cybersecurity update at PIVOT: The Faculty’s 10th Annual Asia Pacific CPO Forum.

Best of the Blog: Win The Web – Spin A Personal Brand That Will Get You Noticed

Think you don’t need to worry about how your personal brand appears online? Think again! 

Everyone loves a good throwback article, which is why we’re hopping in our time machine to bring you back some of the biggest and best Procurious blogs. If you missed any of the golden oldies, look no further!

This week, we’re revisiting an article by Lisa Malone  who offers some advice on how to polish your online brand. 

There’s no escaping your online personal brand. Whether you like it or not, all your social media accounts are a direct reflection of you – and your organisation. The content you share, or lack thereof, will be under scrutiny from colleagues, employers, employees, suppliers and influencers.

It’s crucial to take ownership of your online presence by defining your own brand. Take charge of what your profile says about you and reap the professional benefits!

Why Does My Personal Brand Matter So Much?

Online connections are the new business currency.  We all prefer to do business with people that we like and deem trustworthy. In developing a stellar personal brand and building your network, you invite connections to get to know you, observe your integrity and build trust before you’ve even met them in person.

As a prospective employee you can bet that your interviewer/future employer will have already scoured your LinkedIn, Twitter and any other accounts they can access. All of these give an insight into who you are both personally and professionally. Make sure you stand out for the right reasons.

It’s just as important to have a killer online profile as a manager. People want to work for bosses who are well connected, and therefore influential. If your profile is underdeveloped, you appear ‘un-connected’ and risk deterring the best talent. People aspire to work for great bosses that can help grow their careers and they will make the first assessment of this by your online brand.

As a procurement professional, the impetus to have a strong online brand is even more important. Before any business development meeting or negotiation, you can be sure your supply-side counterpart will have looked at your profile, seeking information on what matters to you and your experience.

Where Do I Start?

If you know that your online presence could do with a bit of a revamp but aren’t sure where to begin, it’s self-auditing time!

Spend some time considering how you come across as a person. Are you consistent and authentic across different profiles? Would your network be interested in the things you are saying or sharing? What could you change to get yourself noticed by the right people?

Top Tips For Building Your Brand

Once your initial self-audit is complete, there are some key things to remember as you work on expanding your online presence.

1. Leverage Your Key Influencers

To be noticed online, you need a large network of followers. In the early stages of brand development, building an audience is easier said than done, no matter how brilliant your content is.

A more efficient approach is to leverage key influencers in your industry. Promote and share their work, cite them in tweets and reference them in your content to gain access to their audiences and encourage them to, eventually, return the favour. It takes time and commitment but your efforts will be noticed – just one retweet can make a big difference to your social media clout.

2. Don’t Be a Social Media Robot

You’re a real person so don’t shy away from showcasing the more interesting sides of your personality. If we were all to manage our online accounts with a strictly formal and robotic approach, the social media sphere would be a colourless and dreary place to hang out.

It’s the unique quirks of your personality that people are interested in so it’s unsurprising that the most individual posts with eye-catching photos on Procurious or Twitter are the ones which earn the most likes, shares and retweets.

3. Connect, connect, connect

Building a network is a never ending task so make it part of your daily routine.  Invite friends, colleagues and other connections you meet through events to join you.

On Procurious, we strongly recommend connecting with any and all of the members across our 140+ countries who interest you – perhaps they work in the same industry; manage the same category or perhaps you’d just like to know more about procurement practices in Fiji!

4. Don’t fool yourself – Worlds collide!

Particularly when it comes to Twitter, I’m often asked about whether it’s better to maintain separate personal and professional accounts, or opt for a single social media profile.

In my view, aside from the time management benefits of having just one account to feed, your personal brand is the sum of everything you do – or that is said about you – online.

Trust grows from authenticity. So regardless of how you structure your profiles online, both personal and professional will reflect your overall brand.

If in doubt when posting online, follow this checklist:

  • Does this add to the conversation?
  • Are there any spelling mistakes here? 
  • Does it make sense, would you really talk like that?
  • Would I care if my boss or, more importantly, my mum, read this?

5. Lose the Mask

 Unless you’re batman, you don’t want to keep your identity an online secret. Make yourself searchable on social media by using your full name and your current role. Add up to date photographs so people can put a face to a name.

And make sure your Twitter handle (or gmail account) isn’t some obscure, irrelevant gabble from your teenage years!

Who’s Getting It Right?

If you’re still in need of some further inspiration, look no further than Marie Forleo, entrepreneur, writer and creator of a socially conscious digital empire, enjoyed by millions. Whilst you don’t have to develop your online presence on quite such a large scale, Marie’s website might inspire and motivate you to better your brand!

Don’t Argue With Footballer Daisy Pearce

The “Don’t Argue” is a classic move in the often-brutal game of Australian Rules Football. While we wouldn’t recommend shoving your colleagues in the office, there are plenty of lessons to be drawn from the world of elite sport.   

It’s always interesting interviewing sportspeople for a business-related publication. Before the interview, I usually have my doubts that I’ll be able to find something in their story that is relevant to the audience I’m writing for. Five minutes in, however, I’ve filled pages of notes about the many insights professionals can glean from elite performers.

This was the case with Daisy Pearce, AFLW star and captain of the Melbourne Team. In the space of 30 minutes, she provided links between her on-field performance and business agility, advice on how women can thrive in a male-dominated profession, and finished up with some leadership-related gems.

Daisy and the “Don’t Argue”

The theme of this year’s 10th Asia-Pacific CPO Forum (taking place on 17–18 May in Sydney) is “Pivot”. Why Pivot? Because in an era where flexibility and agility are seen as essential leadership attributes, the profession’s top practitioners must be able to pivot at a moment’s notice to gain commercial advantage from disruptive forces, including new technology. In essence, this means having the ability to rapidly and intelligently adjust short-term strategies to ensure you can achieve your organisation’s long-term objectives.

When I mentioned this term to Daisy, she immediately drew a comparison with the “Don’t Argue” move in football. “When you’ve got the ball and someone comes to tackle you, a “Don’t Argue” is when you send them off – push them away – and keep moving. Basically, you give them a shove with your arm, quickly change direction, and keep going.”

For non-Australian readers (and non-footy fans), here’s an explanatory video from the AFL:

So, what are the parallels between a “don’t argue” and a business attempting to PIVOT?

  • Your short-term strategy may change but the overall goal remains the same: although Pearce may suddenly need to run in a different direction to her original course, she’s still focused on the goal posts at the end of the field.
  • It happens fast, it’s immediate, and it’s often instinctive: CPOs often don’t have much time to plan and react to a disruptive force (an enormous footballer bearing down on you at high speed makes a great analogy). Decisions have to be made fast.
  • There’s no time to argue: Depending on the nature of the disruptive force, you won’t have time to initiate a long, internal debate about what to do. Instead, a fast decision could enable your company to mitigate the damage of a disruptive force, or even profit by it.

Thriving in a male-dominated profession

While the AFL (men’s football) has been around since the 1850s, women’s football in Australia has only officially existed since 2013.

“When I was 14, the rules were that I had to stop playing football with the boys in my hometown”, said Pearce. “I didn’t know back then that there was going to be a Women’s League, and thought my football career had finished. I turned to volleyball instead, before being drafted in the AFLW in 2013.

“I wouldn’t say I’ve had to overcome many barriers to become a footballer. Then main barrier, I’d say, would be that I simply didn’t consider football to be a career choice. The real barriers existed for talented women who wanted to play professionally before 2013.”

Pearce has more than one string to her bow – she’s entered the world of football commentary (also dominated by men), started a career on the speaker circuit, and has also worked as a professional midwife. “The opposite is true for midwifery”, she says. “There may be young men considering a career as a midwife, but are daunted by the female domination of the profession. My advice is to go for it – if you’re passionate about something, and it’s what you really want to do, there’s nothing stopping you.”  

Leadership on the field:

As captain of the Melbourne AFLW team, Pearce has plenty of leadership insights to share:

“My main piece of advice for leaders is to first, have a really good understanding of yourself and about how your behaviours impact others. Secondly, make an effort to understand the people on your team. Appreciate that everyone has different strengths, and will respond to different things.

“Invest in your relationships with team members and build rapport. In the long-term, it will help enormously when you need to have tough conversations. You can be both supportive and tough at the same time – people need to know you’re coming from a place of care rather than disinterest.”

Daisy Pearce will wrap up day two at PIVOT: The Faculty’s 10th Annual Asia Pacific CPO Forum.

Photo:  Getty Images

Don’t Bore The Board

Struggling to get business leaders interested in procurement? You’re doing it wrong! 

The dashboard that Lara Nichols built in her first weeks as SVP of Procurement at NFP was, she thought, a masterpiece. It had everything a procurement professional could wish for – sourcing strategies, savings programs, vendor and risk management targets, governance plans – but it simply wasn’t getting the cut-through she expected outside of the procurement team.

“I’d find that people simply didn’t want to have procurement conversations with me – nobody cared about the typical procurement metrics I was focusing on. I realised that I needed to change my approach to my work to become less of a procurement professional, and more of a businessperson with procurement expertise.”

Now, Nichols’ dashboard is built around what she calls meaningful business drivers. “The underlying data is the same, but I’ve had to re-jig how I talked about it.”

How do you identify your organisation’s business drivers? For Nichols, she took a dual approach:

Connect with the team operating at the heart of the business: “This will be different in every industry, but in insurance brokerage and in many financial services companies, the top-line team is the lead force in our business. I made an effort to become tightly connected with the business development team. We have a huge sales force, so I’ve deliberately familiarised myself with their sales strategy and focused on finding ways to provide support for what they do.”

“My advice is to seek out the people that deliver on the heartbeat of the company’s success, and connect yourself with that team.”

Connect with the CFO: “There’s a reason the CFO is always in the top three roles of a company. Finance influences the whole organisation in so many ways”, says Nichols. “I’ve spent a lot of time with the entire finance team, including my CFO, which has helped me re-align procurement’s contribution in the context of NFP’s numbers, and not the other way around.”

Nichols says that strong financial know-how is therefore vital to any CPO’s success. “The ability to influence the numbers equates to company performance. Procurement and Finance should build a deep and mutually beneficial relationship to truly delivery value we all know is intrinsically there.”

Getting involved in ISM2017

Nichols is Chair of the ISM2017 Conference Leadership Committee, and co-leads the Bottom Line Learning Track.

“Personally, I’m excited to attend the Signature Session run by Amazon Business, called Is Your Tail Spend Putting You In A Tailspin. It’s an important topic. Another session I’m looking forward to will be run by Brooks Brothers, featuring a conversation between a CFO and CPO on How Does the P&L Work, Anyway. It will provide the grounding in Finance that’s so important for success in our profession.”

Nichols is proud of the fact that the Committee has built a program with a diverse range of speakers. “We challenge ourselves to recruit first-time speakers, people who have never had an opportunity to present. Brooks Brothers, for example, have never attended an ISM conference before, but we’re expecting some very valuable insights from their session. On the other end of the spectrum, you have your solid contributors who have been attending and supporting ISM for a long time. They bring an incredible level of insight, experience and wisdom to the conference.

Network, network, network

Two of Nichols’ last three appointments were made possible with the help of her personal network. “In both cases, friends of mine knew the hiring managers. There’d been a discussion at some point about what the business was looking for, and my connection has said ‘That sounds like something Lara would like to do – would you like me to introduce her?’ In both cases, I was hired into an exciting, newly-created role.”

Outside of moving roles, Nichols’ network is invaluable when dealing with what she describes as “wicked problems”. “I ask myself who can I talk to in my network who would have some insights into my problem. The network sustains me – usually it starts with an instant message, which leads to a phone call where we explore ideas and – eventually – the solution presents itself.”

Plan ahead to get the most out of ISM2017

There’s so much choice at ISM’s major event of the year that it can be overwhelming, particularly for first time attendees. Nichols says that this will be the case particularly for people who haven’t prepared.

“Chart a course through the sessions. Read ahead, and think about how to spend your time. Plan it out like you would do before going on vacation! If you’ve done some pre-planning, you’ll have filters in place to help you pick well when you’re presented with a choice.”

ISM has provided plenty of tips to guide attendees through the maze of session, including the Learning Tracks, information on how each session is aligned to certain competencies in the Mastery Model, and proficiencies based on years of experience.

“Be present” says Nichols. “Don’t skip the social activities such as the receptions and networking events. That’s where the real magic happens. Visit the Exhibit Hall – that’s where you can access new information and innovation that you can take back to your office.”

There’s still time to register for ISM2017, taking place in Orlando, Florida from May 21-24.

Planning to attend ISM2017? Don’t miss out on Procurious Founder and CEO Tania Seary’s tips on how to Network Your Way To The Top on Tuesday May 23rd, 3.45pm.

How To Survive a Social Media Storm

Media personality, author and columnist Bernard Salt weathered a social media storm last year after his provocative article about the spending habits of millennials went viral. Today, he shares his top tips for businesses under attack on social media.

Six months ago, Bernard Salt wrote a tongue-in-cheek article about what he called the “evils of hipster cafes”. The article lightheartedly poked fun at hipsters’ apparent preference for low chairs, hard-to-read fonts on menus and thumping music. But it was this paragraph that ignited a storm:

I have seen young people order smashed avocado with crumbled feta on five-grain toasted bread at $22 a pop and more. I can afford to eat this for lunch because I am middle-aged and have raised my family. But how can young people afford to eat like this? Shouldn’t they be economising by eating at home? How often are they eating out? Twenty-two dollars several times a week could go towards a deposit on a house.

What followed was nothing less than a nation-wide reaction. Inter-generational battle-lines were drawn between the over and under-40s, a flurry of rebuttal articles were published in competing newspapers, and the issue of housing affordability – a major problem in Australia’s capital cities – was thrust firmly into the spotlight.

“The smashed avocado article was written to highlight the division in cultures”, says Salt. “And certainly, it did that. Everyone over the age of 50 thought it was terrific, and everyone under the age of 40 thought it was terrible. It exposed divisions, and prompted a discussion that will hopefully lead to a better solution.”

But it was online that the brunt of the storm took place, with critics and trolls lining up to attack Salt in 140 characters or less. Having experienced it first-hand, Salt now has some advice for other individuals – and businesses – who find themselves getting smashed on social media.

Hold fast, don’t panic, and wait one week

“It’s all about getting through the first week”, Salt says. When something happens – whether through misadventure or entirely by accident – and there’s a reaction on social media, my advice to businesses is to hold fast, don’t panic, and wait.”

Salt has broken down the lifecycle of a social media storm:

Day 1: The first day will be quite impactful, as the issue – whatever it may be – begins to trend on social media. This is when the storm front is approaching.

Days 2 to 4: The worst part of the storm. “From days 2 to 4, people will come out of the woodwork to throw petrol on the fire. The trolls, the haters, and any enemies you may have will jump at the chance to further their own interests at your expense. Hold fast! The thing to remember is that this is NOT the mainstream community – these are fanatics and social media warriors. Don’t mistake their opinions for the common sense of the majority.”

Days 5 to 7: At this stage, the main storm will have passed, and more reasoned voices begin to come to the fore. People who are more qualified to comment on the issue don’t put their hands up to contribute to the debate immediately – they generally wait, and take some time to produce a well thought-out response, either in support or otherwise.

Six months later, Salt’s smashed avocado article has been warmly embraced and is frequently referred to in discussions around housing affordability. It may have even influenced federal policy. The article has also, undeniably, helped Salt’s own career and propelled him into the role of one of Australia’s leading social commentators.

Consider starting your own storm in procurement

What can CPOs learn from Salt’s experience?

The lack of attention paid to procurement and supply management across many organisations is an ongoing frustration, illustrated every time we have to explain to people what procurement actually does. There are some lessons to be drawn, therefore, from Salt’s very successful method of grabbing attention and getting noticed.

A savvy CPO could consider putting out a deliberately provocative statement within the business that will force their colleagues to pay attention, kick-start the conversation about a particular issue, and put procurement onto peoples’ radar.

If there’s an issue that’s troubling procurement but isn’t a priority in the wider business, Salt’s advice is to “expose it, and bring it onto the agenda”.

Bernard Salt will deliver a keynote speech at PIVOT: The Faculty’s 10th Annual Asia Pacific CPO Forum.

Are You Considering Chasing A Procurement Career…?

…according to most of the ThomasNet and ISM 30 Under 30 Rising Stars, going after a  procurement career is a cracking idea!

Last month, THOMASNET and ISM announced the 2016-2017 winners of the 30 Under 30 Rising Supply Chain Stars award, presenting the profession with an inspirational batch of role models who are sure to attract more Millennials to the supply management profession.

Procurious has been lucky enough to sit down with many of the winners to find out what the award means to them,  how they got into procurement in the first place and the key skills needed for a procurement and supply chain career.

We were interested to find out what advice the winners had for any students contemplating a career in supply management. Answers varied wildly, covering everything from “make sure you have fun” to “ask loads of questions” and  “do the things that scare you the most!”

There was one recurrent theme, however:  The 30 Under 30 Stars are all adamant that a career in procurement and supply chain is the way to go!

Opportunities Aplenty Await You In Your Procurement Career

Jon Futryk, Senior Sourcing Specialist Crown Equipment Corporation, advises young professionals to “get involved with a supply-chain organisation in order to gain exposure to the industry”.

Andrew Bagni, Procurement Manager at General Dynamics Mission Systems, concedes, asserting “it’s a great career path for anyone, because there are so many opportunities for growth. In the US, manufacturing companies are bringing their facilities back home, a move that needs to be supplemented with a strong supply-chain team.  This is a great opportunity for young people to be involved”.

Dan Kaskinen, Strategic Sourcing Manager, Sonic Automotive, Inc., is another strong advocate for the profession: “My advice to any young person getting ready to join the workforce is that supply-management could be a great fit – I would fully recommend it.”

Benefiting From Diverse Experiences

Several of the 30 Under 30 winners make mention of the varied experiences on offer within a supply management career and advise any young professionals to make the most of these opportunities.

Barbara Noseda, Global Sourcing Associate at Johnson & Johnson explains why this is a brilliant way to diversify your skills: “At JNJ people transition between finance, operations, marketing and supply-chain. Movement between functions helps you build your knowledge and helps you to better understand your counterparts.”

Andrew Bagni agrees, explaining that “working in supply-chain offers a plethora of  opportunities. Over a lifetime of work you’ll switch between a variety of positions. Supply chain gives you the flexibility to learn about a lot of different things, very quickly, which builds a great foundation. There are so many different projects to work on and it’s possible, particularly for millennials, to move up the ladder but also to move laterally to widen your learning prospects.”

Nurturing Your Procurement Relationships

Of course, this wouldn’t be a piece about procurement careers without mentioning relationship management. In our previous article we revealed that the majority of the 30 under 30 stars hailed communication as the most important procurement skill. Now, they’re keen to remind aspiring procurement pros to make the most of their workplace relationships, whether it’s networking, managing supplier relations,  finding a mentor or doing the mentoring.

Barbara is particularly passionate about mentoring programs. “I’ve had multiple mentors. One was assigned to me at Johnson & Johnson and I was very lucky because we clicked; it just doesn’t make sense to have a mentor relationship if you don’t. I would strongly advise young professionals to find a mentor that they share the same values with. It’s always great to get an external opinion from an experienced person who went through the same thing 20 years ago”.

Barbara is now a mentee and a mentor for younger employees. “It’s great to be on the other side – I’ve also learned a lot, and got a lot, out of being a mentor.”

Jeff Novak places huge value on networking and the chance benefits it can bring: “Having the ability to meet people is so important because you never know when it’ll be someone who can help you and make a real impact. I completed an internship a while ago, and  one of my recruiters is now on an ISM regional board. I’ve been able to connect with him.”

Matthew Montana, Category Lead at Pacific Gas and Electric Company, warns young professionals to not get too caught up with technology or big data. “Don’t forget your suppliers are real people too! It’s important to develop relationships that are transparent and honest. This is the key to a successful partnership.”

More top tips for budding supply management stars

  • Develop your Cultural Intelligence (CQ)
  • Work hard and keep learning/ gaining new qualifications
  • Ask lots of questions
  • Be curious
  • Be resourceful
  • Have the patience to accept you don’t know everything, yet!

The 30 Under 30 Rising Supply Chain Stars will meet for the first time as a group at ISM2017, where ISM and THOMASNET.com will roll out the red carpet to celebrate the winners’ achievements and broadcast their success stories to other young people considering a career in supply management. 

How To Increase ROI With Clear Communication To Business Stakeholders

The Hackett Group’s, Nic Walden, explains how to improve your ROI through engaging and clear communication. 

Most stakeholders say that consistent delivery of core services is the principal requirement to consider procurement as a trusted advisor. Although many organisations are capable of filling this role, most are still viewed by internal customers as sourcing experts (i.e., focused on negotiation and supplier selection), or worse, as gatekeepers or simply administrators. In fact, only 29 per cent of procurement organisations are viewed as valued business partners by key stakeholders.

Does It Matter? Absolutely!

Analysis of Hackett benchmarks shows as much as a 2.5X ROI can be achieved from elevating the role of procurement, and aligning the goals and expectations of procurement teams to that of the business. That’s a hefty bump in savings or broader value terms in anyone’s language.

At Hackett we measure ROI as total cost reduction and avoidance divided by the cost of the function. As an example, professional sourcing teams can deliver strong savings performance when looking at percentage terms only, but when compared to the level of resource investment (i.e., ROI), they come up short.

Why Leave Money On The Table?

Let’s assume we have the capabilities to operate at a higher level (closing the capability gap is itself another discussion). One reason for misalignment is that procurement teams struggle to communicate their capabilities. Ineffective communication with internal customers, suppliers, and colleagues also causes confusion, delay, or leads to incorrect assumptions of what procurement can and cannot offer. With this in mind, Procurement teams face three main challenges to elevate their role:

  • Perceptions on historical performance cause resistance to change.
  • Internal customers are unaware of what procurement can offer.
  • Undergoing a major transformation results in confusion and inconsistencies.

The result is that successful procurement teams go to great lengths to build a compelling brand image, supported by a well-defined vision, services that meet or exceed expectations, and a formal measurement program to ensure ongoing improvement. If these steps are not taken, procurement groups can plateau in operational efficiency and effectiveness despite having the capabilities to operate at a much higher level.

Launching a New Procurement Brand

Defining a brand is an important concept for procurement because it makes their purpose and identity more comprehensible for stakeholders. The Hackett Group has outlined four major activities (understand, define, create, engage) that make up a successful brand transformation, supported by ongoing internal input. Everyone has a role to play in communicating and utilizing procurement’s new brand for effect: leadership, sourcing, buying, and operational teams.

  1. Understand what is most important to internal customers and stakeholders

The brand should highlight procurement’s desire to support stakeholders and its ability to act as a valued business partner. This means having a solid understanding of what is important to stakeholders. For example, they might want more help defining requirements, to run credible and achievable projects, to manage difficult supplier conversations, to bring new products to market faster, or reporting. Most often, they just want procurement to excel at delivering core services.

  1. Define procurement’s brand-management strategy

This is the time to clearly develop a clear vision and simple set of guiding principles to communicate goals, followed by defining procurement’s roles and responsibilities, and to make this information easily accessible to procurement and its stakeholders.

Other activities include:

  • Delineate the services that procurement provides to internal customers; ensure these align to their needs and requirements. Take this opportunity to de-prioritize or reshape what is not valued.
  • Provide clear definitions of the activities and tasks performed for each support service, along with the service levels provided (e.g., meeting frequency, cycle time, error rates).
  • Determine which business segments and departments that procurement can support.
  • Match staff and skill sets to procurement’s services.
  1. Create marketing materials and share initial communications

Now we match the desired stakeholder experience with procurement’s future behaviors. Since people respond differently to various methods of communication, consider creating an “omnichannel”, personalized stakeholder experience to allow broad access to the procurement process and enable the ability to buy/pay from all locations and get real-time information. Common activities include:

  • Develop a new brand identity, including a name, mission statement, a set of values and goals, and even a logo if desired.
  • Determine the way communication with internal customers and stakeholders will be handled, such as email, phone, in-person support, chat or robotic tools.
  • Deploy an intranet portal that lets internal customers communicate with procurement and conduct self-service activities. Consider setting up a similar site for suppliers.
  • Develop marketing materials for various stakeholder groups, making certain that overall messaging is consistent.
  • Define and document any related changes to the organization, such as new employee titles.
  1. Engage and continually communicate with all stakeholders

Multiple channels of communication should always be open for both internal customers and suppliers to reach out, get questions answered, or further develop relationships. There are various ways to engage with stakeholders, not all of which make sense for every company. Some of these activities include:

  • Face-to-face road shows with business executives, such as ongoing conference calls or one-on-one calls
  • Face-to-face road shows with middle management / operations followed by regular calls to ensure procurement is meeting objectives
  • Regular emails that include policy updates and metrics showcasing procurement performance

Nic Walden, Director Procurement and P2P Advisor, The Hackett Group works continuously with senior executives of the world’s leading companies to provide top performance insight, research and networking.  Nic is a regular speaker at conference events and a regular contributor to social media and online blogs.

Learn more about Hackett’s Procurement Executive Advisory Program

Why We Need To #BanBusy

Reckon you’re one of the busiest bees in procurement? Michelle Redfern might just convince you to join the #banbusy movement!

I made a sidebar statement at a couple of speaking gigs I did recently. I said, I want to be the founder of the #BanBusy movement!’ I implored the women listening to me, ‘If someone asks you how you are…please don’t answer busy. The B word is a state of doing, not a state of being.’

The answer ‘busy’ conjures up, not coping. Not in control. Not capable.

Busy is enormously exasperating

I have been exasperated about the auto-response of ‘busy’ when you ask how people are. It used to be just in the hallowed halls of corporate Australia that this occurred. However, I have felt like this canned response was creeping further and further into the daily vernacular. It feels to me like ‘busy’ is becoming the equivalent of the chirpy, insincere have a nice day’ that we Australians have long sniggered at.

Busy has become a status symbol

The Sydney Morning Herald described the term as ‘an overused humblebrag’ in its article in late 2016. A way to demonstrate one’s own importance, value and a dubious badge of honour. Unfortunately, studies which have shown that declaring one’s busyness conveys a perception of hard work which in turn will bring the busy person success. Oh dear, my #BanBusy movement is under threat!

What about busy women?

My chief concern is the effect that ‘ugh I’m so busy’ response has for women who want to advance. Navigating gender bias, perceptions about gender roles and the prevailing belief that women are too busy with the 3 C’s (Caring. Cooking. Cleaning.) to worry about advancement is challenging enough without inadvertently adding fuel to the fire.

Here’s what I learned about busy

I did an impromptu survey of women in my WWGI ecosystem about what busy meant to them. I was surprised at the insights and as a result, I realised that there is an opportunity to change the game. Busy might be a status symbol for some, but perhaps it’s a shield for others?

  1. Busy is a deflector
  2. Busy is a defence mechanism
  3. Busy means I am bored out of my brain
  4. Busy means that I work on meaningless crap
  5. Busy is a cry for help
  6. Busy is a status symbol
  7. Busy means I am disengaged
  8. Busy means I want you to go away
  9. Busy means I am not slacking off even if you think I am

The solution is authentic, compassionate leadership

Leaders, time to step up to the authenticity and compassion plate and take a swing! Yes, I mean connect with the human you have asked ‘How are you?’ by having a caring, compassionate and accountable second question ready. Demonstrate your care, compassion and respect for the person you are enquiring after.

Question Answer Follow Up
How are you? ‘Phwoar, busy! Really? So, what’s creating all that busyness? Can I help?
How are you? I feel like I haven’t seen you for ages? ‘Sorry, so busy, been in back to back meetings all day/week/month’

 

Wow. Sounds like you need a hand. What can we do?
How are you? ‘Flat out busy, schedule is crazy’ Come and have a coffee, let’s talk about what’s going on for you.

If you can’t do this, don’t ask ‘how are you’ as its simply the fairy floss of conversation. Saccharine sweet and disappears in a jiffy.

Women, #BanBusy!

I’m still going to champion #banbusy for women because I believe that women are joining a cult that no one really wants to be in. I want women to own their leadership brand and to be confident, authentic and fearless. Answering ‘busy’ doesn’t honour or do your brand any favours, ever!

However, the 10th thing I learned about #BanBusy is that leaders need to get to the heart of what’s really going on for their people and their workplaces. Leaders need to #askmorehumanquestions

Do CEOs Dream Of Robotic Sheep?

…Or are they kept awake at night worrying about how to adapt their business to a robotic-centred future? KPMG Australia Chairman Peter Nash reveals two concerns playing havoc with the sleep patterns of business leaders.

How can I adapt my business to a robotic future?

The thing about technological disruption – and machine intelligence in particular – is that people tend to regard it as a challenge to deal with at some point in the future. The key to understanding the scope of the challenge is to break it down into two categories – disruption that we’re already dealing with, and disruption that is yet to emerge.

Robotic process automation (RPA), for example, has been around for decades, with disembodied robot arms a common sight on production lines. Typically, they automate a series of existing processes that were once carried out by humans. We’re just starting to realise the full potential of RPA, with the emergence of bots that sit inside software to automate administrative labour becoming more common.

From his viewpoint into many of KPMG’s client organisations, Peter Nash has seen what an RPA bot is capable of. “If you go into any call centre, you’ll observe staff doing a series of processes as they engage with customers – typically around data capture and data entry. Through observation, you can create “process flows”, and then build software that can be inserted into the call centre and automate the data capture. That’s a classic example of robotic process automation, and it’s happening at pace.”

Interestingly, RPA is resulting in the reshoring of capability from overseas. Nash comments: “You can track the life cycle of offshoring and reshoring. 10 years ago you may have had 100 people doing a job in Australia for the cost of $5 million. Those 100 jobs were offshored to India, resulting in costs being reduced to $1 million. Today, with robotic help, you can have only 10 people doing the same work that 100 used to do – at a cost of $0.5 million. Yes, 90 jobs have disappeared, but there’s the exciting potential for completely new jobs to be created with each technological leap.”

“Artificial (or Cognitive) Intelligence, for example, is only just beginning to emerge. People are very excited about AI’s enormous potential, but at present it’s essentially a solution looking for a problem.”

How do I effectively harness innovation?

Nash comments that there are several models that have emerged in the ways corporations seek to harness innovation. “Many CPOs look for innovation to emerge from down the line, and encourage people, whether they’re in-house employees or suppliers, to bring ideas forward. Other organisations set up innovation capability ‘hubs’ or ‘accelerators’. Another approach is to acquire, or partner with, innovation capability outside of your organisation. Some business are doing a mix of all three.”

“What’s encouraging is that most businesses understand that today, it’s innovate or perish. A culture of innovation, partnered with a culture of flexibility where people have the ability to react and respond to disruptive technology, will ensure businesses are able to take advantage of anything that comes their way.”

KPMG Australia Chairman Peter Nash will deliver a keynote speech at PIVOT: The Faculty’s 10th Annual Asia Pacific CPO Forum.