All posts by Hugo Britt

How Not To Break Up With Suppliers: 5 Tips From the Movies

What can Hugh Grant, Will Ferrell and Homer Simpson teach us about ending important relationships in procurement?

Credit: PolyGram/Working Title Films, Four Weddings and a Funeral (1994)

Knowing me, knowing you (a-haaaa)
We just have to face it
This time we’re through
Breaking up is never easy, I know
But I have to go…

ABBA – Knowing Me, Knowing You (1976)

I’m not the first to draw a parallel between romantic break-ups and ending a relationship with a strategic supplier. The similarities are many: the relationships may have existed for years (decades in some cases), you’ve been through both good times and bad together, and sometimes your two companies are so interwoven that there can be no hope of a clean break.

But… all good things must come to an end sooner or later. Without going into the tell-tale signs of when it’s time to let a supplier go (that’s an article in itself), I’d like to concentrate on how not to end a supplier relationship. And – once again – let’s look to Hollywood to provide an illustration for each point.

1. Don’t make a shock announcement

“Ricky – you and I – we both know this marriage has been over for a long, long time.”

“I honestly did NOT know that!”

Don’t be like Carley Bobby in Talladega Nights. If you’ve ever been on the receiving end of a shock break-up, it’s incredibly unpleasant for the person who was hitherto living under the assumption that things were going smoothly.

Giving your suppliers no hint that the relationship isn’t working is both unfair and unprofessional. Break-up “shock” can be avoided by holding regular and ongoing catch-ups where KPIs are tracked and red flags discussed, along with honest communication about your organisation’s willingness to continue the relationship into the future.

Don’t be fake! If you’re deeply unhappy with your supplier’s performance but you’re all smiles and encouragement whenever you meet, it really won’t help the situation as the supplier will see no reason to make changes or improvements.

And who knows? If you’re able to have an honest discussion with your supplier about why you won’t be renewing their contract, it may become the catalyst for a change in behaviour that ends up removing the need to break up altogether.

2. Don’t be blasé

“Welcome to Dumpsville, population: YOU.”

Don’t be like Homer Simpson. After it’s revealed that Bart has tricked Edna Krabappel with a series of fake love letters, the Simpson family rally around to compose a final letter that will sensitively end the relationship without further breaking the heart of poor Edna. Homer, unfortunately, just doesn’t get it.

Don’t be flippant. Be serious – the decision to change suppliers can potentially impact people’s careers and livelihoods. In the case of small suppliers, it may even bring them to the brink of bankruptcy if your business makes up a high proportion of their income.

Make time for a proper conversation. Schedule a face-to-face meeting if possible, or a phone call as the next-best option – but don’t hide behind an email.

Similarly …

3. Don’t be cold

“Rhett! If you go, where shall I go? What shall I do?”

“Frankly, my dear, I don’t give a damn.”

After Rhett Butler delivers this zinger to Scarlett O’Hara in the closing moments of Gone With The Wind, she collapses sobbing on the stairwell. Scarlett is heartbroken, and clearly needs help – but Rhett has already gone, striding determinedly off into the heavy fog.

The equivalent behaviour in procurement would involve calling a supplier to end the relationship, then hanging up without giving them an opportunity to debrief and discuss. It’s entirely possible that the supplier won’t want to talk (and might even hang up on you), but if they do want a discussion you need to make yourself available.

To share a story from my FMCG days, I remember sitting next to a procurement colleague who had the unenviable job of ending a relationship with a small supplier over the phone. The call lasted about one and a half hours. After the initial, difficult part of the conversation, the supplier asked her for advice on what they should do next – and that’s when the whole tone of the conversation shifted to that of a positive coaching session. By the end of the call, the supplier was still understandably upset but also armed with plenty of advice for the future.

One last thing to keep in mind is that business requirements are cyclical. Although you may not want to work with a particular supplier any more, who knows what the situation will be a few years down the track. If you ended the relationship coldly or otherwise unprofessionally, it’s going to be very difficult to pick up from where you left off.

4. Don’t do it at the wrong time

“Do you love someone else? Do you, Charles?”

“… I do.”

Don’t be like Hugh Grant in Four Weddings and a Funeral. While he ultimately makes the right decision, his shocking timing earns him a much-deserved punch to the face from his jilted bride.

In a way this advice contradicts what I wrote above about keeping your suppliers fully informed about how the relationship is going, but you do need to use some common sense when it comes to picking your moment.

Suppliers who value a relationship will often go the extra mile, whether this means putting more staff onto a project, or working additional hours without passing those costs on to you. It pays to keep in mind that once a supplier knows they’re soon to be let go, they may not perform with quite so much gusto in those last few weeks or months of the contract.

Another parallel to help illustrate this point is when someone in your team is working out the last few weeks of their employment after taking a redundancy – you’re never going to see their best work in that period.

5. Don’t send mixed messages

“Please don’t go.”

“I am not spending the rest of my life with a loser. I’m gone.”

 “Good, then get the hell out of my life! Who needs you? Beat it! Leave me alone! … [2 seconds later] “I’m sorry baby, I didn’t mean that either…”

Adam Sandler is at his best in this scene from Happy Gilmore where he’s alternately screaming abuse and crooning love songs into his apartment building’s intercom. While he desperately wants to stop his girlfriend leaving, he’s also consumed by a schizophrenic desire to get in the last, angry word.

Suppliers want to know where they stand with you and your organisation so they can plan for the future and invest in your relationship with confidence. Again; good communication, honesty and transparency are the way to go. Crystal-clear KPIs will help you clearly delineate where suppliers are performing well, and where they need to improve if they want their contract renewed.

The other factor that can muddy the waters of supplier relationships is misalignment within your own organisation. This can involve the supplier receiving contradictory messages from the different parts of your organisation that they work with, pulling them in different directions and ultimately harming their ability to meet your company’s overall requirements.

Do you have another example from cinema that illustrates one of the points above? Share a link below!

5 Nashville Chartbusters For Procurement Professionals

How are the smash-hit singles of Johnny Cash, Willie Nelson and Dolly Parton relevant to procurement? Let’s find out.

Photo by Michael Marks/Michael Ochs Archives/Getty Images

Procurious has landed in Nashville! This iconic town is everything we hoped for – the neon lights, the honky-tonk venues, the gift shops brimming with cowboy boots and sequin-studded denim jackets. But Nashville is also known as Music City, so as ISM2018 gets underway, let’s explore some of the smash-hit tunes that this city has gifted to the world – and find out how they relate to our profession.

1. Johnny Cash: Folsom Prison Blues

I’m stuck in Folsom Prison / And time keeps draggin’ on…

Unfortunately, procurement is one of the top business functions where fraud takes place, mainly because the nature of the profession means the opportunity – and temptation – often exists. Organisations fight fraud by removing this opportunity through policies, processes, strict ethical standards, audits and (increasingly) tech solutions.

Corruption, procurement fraud and other ethical breaches aren’t just bad for the companies involved – they also tarnish the reputation of the profession as a whole and undo a lot of the work we’ve all done to build the profile of procurement as a trusted business advisor. So, take Johnny Cash’s advice: Walk The Line in supply management if you want to stay out of Folsom!

2. Dolly Parton and Kenny Rogers: Islands in the Stream

Frequently nominated as the best country duet of all time, this song describes how two lovers’ affection for one another is strong enough can withstand anything life can throw at it (the stream).

From a procurement angle, let’s flip this concept upside-down. Imagine that the ‘stream’ is your supply chain – whether it’s a small creek or a raging torrent, ideally it will keep flowing without interruption, day and night.

Now – imagine that the ‘islands’ are the disruptive forces that threaten to choke and block your supply stream. From natural disasters, to disruptive technologies, to bankrupt suppliers, disruptions really can feel like a huge boulder has been dropped out of nowhere, causing chaos and delays. Let’s hope you’ve got a plan in place in case an island threatens to block your stream.

3. Willie Nelson: On the Road Again

No road-trip is complete without this classic from the great Willie Nelson. It resonates strongly with procurement and supply managers simply because we’re one of the most well-travelled professions out there. Aside from attending must-see events such as ISM2018, we’re always on the road visiting suppliers, dropping into our organisation’s different sites, and even traveling overseas to review critical parts of complex global supply chains for ourselves.

I know a few CPOs who don’t want to see certain team members in the head office for more than one day a week – in fact, they’re of the opinion that if a supply management professional spends most of their time at their desk, they’re not doing their job properly.

So – pack your travel case, put Willie Nelson on Spotify, and get on the road again to see your supply chain for yourself.

4. Dolly Parton – Working 9 To 5

Still working 9 to 5? It’s 2018! Most workplaces have introduced a little something called flexibility. A long time ago I worked in an office full of clock-watchers. You could work until 6.30pm in the evening and no-one would even blink, but God help you if you walked in five minutes after 9.00am the next morning. Luckily, most managers now recognise that it’s outputs that count, not the time spent sitting at one’s desk.

Flexible working hours are especially important if you interact with global supply chains. Chances are you’ll need to be on the phone at least once a week with overseas suppliers late into the evening or at the crack of dawn. That’s time on the clock – so if you want to front up at the office a little bit later the next morning, you’ve earned that flexibility.

Flexibility is also crucial for driving gender equality in the workforce, bringing talented new parents back on board after parental leave, and a source of competitive advantage when it comes to attracting the best young talent to work with your team.

5. Billy Ray Cyrus – Achy Breaky Heart

Gotta love that mullet, Billy Ray.

Have you ever had to ‘break up’ with a supplier? Just like splitting up with a significant other romantically, things can get messy. No matter how gently you break the news, the meeting can become emotional – particularly when both sides have invested heavily into the relationship.

Avoid giving your suppliers an achy-breaky heart by establishing and maintaining a strong feedback-loop throughout the relationship, and give them as much warning as possible that you won’t be renewing their contract.

This topic is worthy of its very-own blog article, as there’s no shortage of break-up songs from Nashville! Runners-up include Roy Orbinson’s It’s Over and Brenda Lee’s Break It To Me Gently.


Are you at ISM2018? Visit Procurious in the Exhibitor Hall – Booth #207!

Don’t miss out on Procurious Founder Tania Seary’s inspirational & informative ISM2018 Session on Tuesday 8th May, 3.45-4.45:

From the Amazon to the Moon: The Possibilities for Procurement

Navigating The World’s Largest Procurement Conference

ISM2018 is nearly upon us! With an action-packed agenda featuring no less than 100 educational sessions to choose from, it’s vital that attendees arrive in Nashville with a plan.

I’ve made the 22-hour journey from my home town of Melbourne all the way to the sequin-studded city of Nashville, Tennessee, to report on the jewel of the international procurement calendar, ISM’s Annual Conference.

No matter where you’re travelling from, it’s crucial to understand your key conference objectives in advance. Why? Because this isn’t a conference with a linear agenda where you simply sit back and watch a series of presentations without having to make any choices. On the contrary, there are 100 sessions packed into four days, with many of the sessions running concurrently. That means that at any one time, you may have to make a decision between nine simultaneous sessions.

My advice is to make your conference plan right now. It’s not ideal to pick your sessions over breakfast at the conference itself, and certainly don’t try to make the decisions in the 5-minute breaks between each session!

Naseem Malik, Managing Partner of MRA Global Sourcing and member of the ISM2018 Conference Leadership Committee, told Procurious that it’s essential to have a plan when you get here. “There are a lot of learning tracks, lots of great presentations, but there’s only a finite number of sessions you can attend. It pays to have an attack plan before you go. You can target a specific learning track, or mix and match.”

SVP of Procurement at NFP, Lara Nichols, has similar words of advice. “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.”

To further complicate the decision-making process, this isn’t just about you. Most people who attend ISM2018 will be there as a representative of their wider team, so it’s critical that the sessions you attend are also relevant for your colleagues back in the office.

As such, try to keep these criteria in mind:

  • Does the session align with my personal objectives?
  • Will the session be relevant to my company?
  • Will the session have actionable takeaways?

Have a conversation with your manager or your colleagues who are still in the office about what they would like you to bring back from the conference – whether it’s market intelligence, new contacts or benchmark information. It’s also important to agree on the format that this information will take – do they expect a written report? A formal presentation? Or just an informal update when you’re back at your desk?

So – to take my own advice, I made a plan of the sessions that I’m doing my best to attend at ISM2018. Here it is:

The Keynotes

ISM always attracts impressive keynote speakers who usually provide the highlight of the conference. This year, Arianna Huffington (Founder of Huffington Post and CEO of Thrive Global) will present on how to “thrive” in the digital age and build a culture to win the future. For procurement professionals interested in how the power of social media can help them professionally (hello, Procurious!), this should be a fascinating session.

Everyone is talking about Amazon, which is why John Rossman, a former Amazon executive with wisdom to share on making your supply chain a golden asset, will definitely be speaking to a packed house. Rossman will share the key to scaling, Amazon’s secrets to drive accountability, how to achieve operational excellence, drive innovation, and deliver what customers truly desire.

American politician Mitt Romney was scheduled to complete the keynote line-up, but withdrew after announcing his candidacy for the 2018 Senate election in Utah. But never fear – Romney has been replaced by two giants of the American Intelligence community, General Keith Alexander (CEO and President of IronNet Cybersecurity, Former Director of the NSA and First Commander of U.S. Cyber Command – and John Brennan, Director of the CIA 2013-2017, and former US Homeland Security Advisor. Personally, I’ll be fascinated to see their comments in light of Edward Snowden’s now-famous absconsion from the NSA, and the current White House’s prickly relationship with intelligence agencies.

The Signature Sessions.

If they haven’t been booked out already, the nine signature sessions listed in the agenda will soon fill up, so make sure you register soon. Highlights include:

  • A CPO Town Hall and Networking Event featuring four CPOs who will answer questions on procurement transformation, providing value in M&A activity, innovation, stakeholder alignment, managing risk and retaining talent. (Update: ISM tells me that there are still some places available for this session.)
  • A session on the Evolution of Procurement and the future of the CPO, featuring SAP Ariba’s Chief Digital Officer, Dr Marcell Vollmer and Futurist Tom Raftery.
  • Elevating Employee Engagement – featuring leadership expert and executive coach Dima Ghawi, who will talk about how to tackle generation gaps, virtual teams and the global workforce.

Other Sessions

Still feeling overwhelmed?

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

Don’t forget to drop by the Procurious Booth #207 to learn how to supercharge your procurement career through the power of online networking!  

Procurement In 7 Memes

They say a picture tells a thousand words. How about a procurement meme?

Okay, millennials. Strap yourselves in, because I’m going to attempt to meme. Is meme even a verb? Perhaps not, but that isn’t going to stop me.

For older readers who don’t really know (or care) what memes are, don’t worry – I’ve got you covered. Whether it’s Bad Luck Brian, Kermit Sipping Tea, or King Leonidas screaming “SPARTA”, I’ll attempt to add a bit of context around the meme before applying a Procurement gripe to each.

1. Boromir Demurs

Rivendell; Middle Earth. The mood is tense. Gandalf has brought together a motley crew of humans, elves, dwarves and hobbits to discuss how best to destroy the One Ring, which has to that point proven impervious to both magical and physical force. A solution is put forward – take the ring to the enemy realm of Mordor and throw it into the volcanic fires of Mount Doom. At this point, the human warrior Boromir makes his most famous speech of the film, beginning with the words “One does not simply walk into Mordor…”

Since The Fellowship of the Ring, Boromir (Sean Bean) has become a meme, trotted out as a retort whenever someone suggests something that’s impractical, unrealistic, or simply a bad idea.

Here’s my procurement take:

Amirite? (Am I right?) This is Procurement 101 stuff – a company that selects its suppliers based solely on the cheapest quote will inevitably run into risk and quality issues. And besides, if that’s the strategy, then you might as well set up an e-auction system that automatically selects the cheapest bidder, then dispense with the procurement function altogether. Which brings us to…

2. Bad Luck Brian

Poor Brian. This high-schooler in his plaid vest and braces never gets a break. The meme generally follows the formula “[Brian does something positive … something terrible happens”]. For example:

“Spends all night studying … sleeps through exam”

“Only Facebook friend is mum …. cyberbullied”

“Wins a free cruise … on the Titanic”

From a procurement viewpoint:

Procurement professionals LOVE robotic process automation. Think of all those humans doing repetitive tasks at your organisation that could just as well be done by a robot. It’s a cost-saving no-brainer, right? Bring in the bots! Great idea – until it happens to you.

3. American Chopper Argument

Stills of row between father and son from the reality show American Chopper have recently become internet hits. The meme format lends itself well to any internet argument – whether it’s a discussion about the best pizza toppings, or a protracted “debate” in an academic journal.

For my text, I’ve taken an excellent debate from the Procurious Discussion section about reporting on Cost Avoidance. Check it out:


4. More American Chopper

I could do this all day … here’s another debate from the Discussion section, this time on Decentralised vs Centre-Led Procurement:


5. Distracted Boyfriend

This has to be my favourite meme of all due to its simplicity. A man walking down the street turns to leer after a woman walking past while his girlfriend stares at him with an appalled look on her face.

In procurement land:

We’re about more than cost savings!! Really!

I’ve heard this sad story again and again. Procurement professionals are eager to show their organisations that they’re more than a one-trick pony. We talk about how we can improve operational efficiency, bring in CSR & social procurement initiatives such as fighting modern slavery, and even generate top-line growth, but it’s incredibly disheartening when the boss (usually a CFO) only cares about one thing… cost savings.

 

6. Leonidas Goes Nuts

The film 300, a retelling of the Battle of Thermopylae in the Persian Wars, contains a gem of a scene where the Spartan King Leonidas loses his patience after being threatened and insulted by a Persian envoy. The envoy, suddenly in fear of his life, says “This is madness” before Leonidas responds with: “This is SPARTA” – and kicks him down a well. It’s an intense moment, as the Spartans know that the murder of the envoy makes war inevitable.

I’m really not advocating the murder of suppliers, but there are moments when you do have to remind them of the terms of a contract.

 

7. Kermit The Frog looks smug

This meme is particularly useful if you want to be facetious. Kermit the frog, calmly sipping a glass of Lipton tea, has lent himself to many a captioned meme ending with the phrase “… but that’s none of my business”.

As procurement professionals continue to wage their endless struggle against maverick spend, we inevitably have a lot of “I told you so” moments when an unapproved supplier turns out to be a disaster. Along comes Kermit…


While we’ve got your attention – do you want to win a multi-game, table-style retro arcade machine worth £599 /$US800? Complete our 15-minute survey on the future of procurement to enter the draw! Survey closes Friday 22nd June 2018.

How To Deal With The Office Timewaster In 4 Videos

There are few thing more frustrating in life than a workplace timewaster. And the worst thing? They come in all different shapes and sizes, which makes them harder to spot!

Colleague: “Hey there buddy, did you have a good weekend?”

Me: “Sure did! But I’ll have to tell you about it later because I’ve got such a busy …”

Colleague: [Sits on the desk] “Great, great… let me tell you about my weekend. Let’s see, now. It all started to kick off on Friday, just after our last conversation…”

Sound familiar? We’ve all encountered chronic timewasters at work, which is why I’ve created this quick and easy video guide on how to shut them down so you can Get Sh#t Done.

Let’s start by working out what type of timewaster you’re dealing with.

1. The Chatter

Some of us like to keep our work life and social life separate. For others, their work life is their social life. Of course there should be a fun, chatty environment at work, but again, there’s always one person who doesn’t understand the limits. So, next time you find yourself making sympathetic noises while your colleague is telling you about their various cats’ medical histories, consider the fact that it will be your neck on the line when a deadline is missed.

How to shut down a chatter: Put a cap on their time – tell them before they begin that you’ve literally only got two minutes to spare. If you really want to drive home the point, get your phone out and set a countdown timer and place it on the table between you.

2.The Delegator

I’ve worked in the past for line managers who are guilty of this, although you’ll often come across colleagues working at the same level who think it’s okay to handball mundane tasks your way.  Specifically, my beef is with people who basically treat you like a search engine. For example:

“Mate, would you mind telling me the time difference between here and Beijing?”

“How much is that converted into Euros?”

“How long will it take me to drive to head office?”

Here’s why it’s frustrating – firstly, they’re really undervaluing your skill set. You were hired for your education, your experience and your intelligence, not your ability to type words into a box. Secondly, they’re just being lazy! I’ve rolled my eyes in the past when I’ve received an emailed question (like the above) which would have been answered straight away if my boss had simply typed it into Google instead of sending it to me.

But luckily, there’s a handy tool for just this situation.

How to shut down a Delegator: Six words: Let Me Google That For You. This tool is a brilliant way to answer a question that should have been googled. It generates a short, tongue-in-cheek tutorial about how to use a search engine (starting with “This is the internet”) and finishes with the answer to the original question. Check it out.

3. The sounding-boarder

Extrovert: “Man, I LOVE open-plan offices! They’re so great for bouncing ideas off people!”

Me: “Yes. Every single idea you’ve ever had.”

Okay, it’s true. Open plan offices, and even collaborative online workspaces like Slack, are ideal for airing and sharing ideas. But some people take the concept of the “sounding board” too far. This might involve a colleague regularly reading aloud emails that they’ve crafted before hitting send, or running stuff past you that really doesn’t require your input or opinion.

How to shut down a Sounding-Boarder:

  • Invest in a pair of noise-cancelling headphones and pretend you’re on an important call whenever your colleague gets that “sounding-board” look in their eye.
  • Give them a very short list of high-level areas where you feel you can add value.
  • Give them a taste of their own medicine by sitting them down and reading aloud the longest, dullest report you can find.

4. The Meeter

Me: “Oh, hey, just a reminder that we’ve got that client meeting tomorrow. Everything is under control, and I’ve sent you all the information you’ll need.”

Colleague: “Let’s have a meeting about that.”

Me: “Why? WHY?”

How much time and resources will corporates keep pouring into unnecessary meetings before they see the light?  Unnecessary meetings are so despised that they’ve become a meme. They’re a regular feature in Dilbert, and you can even buy a coffee mug that says “I survived another meeting that should have been an email”.

How to shut Meeters down: Insist that the person gives you some good reasons for the meeting. This includes a stated purpose, a start and end time, and a valid reason for each person to be there.

Do you know any other types of timewasters in the office? Leave a comment below!

4 Reasons You Should Never Date a Procurement Professional

She’s smart, she’s funny, she’s cute – but she works in procurement?! No, thanks! Here’s why you should never, EVER, go out with a procurement pro.

“Psst – hey. Hey, bro. I heard you’ve got a thing for Jenny on the third floor?”

“Yeah, man – we’re going out to dinner tonight. First date!”

“Dude. Listen to me carefully. Don’t do it. Find an excuse to cancel and forget the whole idea.”

“WTF? Why?”

“She works … in procurement.”

“Huh?”

“Let me explain…”

  1. She’ll be tight with money

“How about we order a bottle of champagne, Jenny?”

“Hmm … how about we don’t.”

Procurement professionals are annoyingly cost conscious. It’s in their DNA. At the first suggestion of “splashing out” with an expensive purchase, Jenny is seeing red flags and starts asking questions. What’s the short-versus-long-term value proposition of that bottle of champagne? Are there some alternative beverages that would lead to a cost saving? What would be the risks and benefits if we ordered the cheapest bottle of plonk instead? How could we better spend this money on something that would really add value for me (i.e. dessert).

  1. She’ll win every argument

“So … what have you got planned after the meal?”

“Well, Jenny – I thought we’d catch a movie.”

“Hmmm … I thought we might go to the ballet instead.”

“The ballet? No way!”

[Two minutes later …]

“OK, it looks like we’re going to the ballet.”

Here’s the thing about procurement professionals. They actually enjoy an argument. They thrive on negotiation. It’s part of their job, which means that they have the advantage of hundreds of hours of practice. While Jenny’s negotiating at the dinner table, she’s watching you carefully for dozens of nearly imperceptible signs – raised eyebrows, flared nostrils – and rapidly adjusting her strategy as she goes. She quickly destroys every counter-argument you raise, recognises when your defences crumble, goes in for the kill – and you’re off to the ballet.

  1. She’ll hold you to your word

“Here we are at the ballet, Jenny. I’m so … excited … to be here.”

“Me, too!”

“But – oh, damn, I just realised I’ve got to be somewhere else right now.”

“What?”

“Sorry – I’ve got to run.”

“Listen, buddy. We had a verbal contract.”

Procurement and supply management experts know their way around a contract. They also have a laser-vision focus on ensuring every benefit listed in the contract is realised. Jenny knows that after the contract is agreed upon, she’ll need to launch her contract management plan – with check-ins, milestones, risk flags, and the whole works – to ensure she gets every bit of value that was laid out in the contract.

On a related note, Jenny’s also a stickler for regulatory compliance. Thinking of jaywalking instead of using the pedestrian crossing to get to the theatre? Jenny won’t be impressed.

  1. She’ll constantly expect new experiences

[Later…]

“Tonight was fun, Jenny! Would you like to go out again next week?”

“Sure! What have you got planned?”

“Well … I thought we’d just have dinner in a restaurant then catch another show or something.”

“Oh.”

“What?”

“That sounds like exactly the same date. Can’t you think of something different?”

Procurement professionals are tasked with driving innovation in the supply base. This means that even when her suppliers are delivering in-full and on-time, Jenny is constantly pressuring them to come up with new ideas that will change the game. That’s why a repeat of the first date just isn’t going to cut it. You’ll need to think up some innovative dating experiences. Visit a food truck festival? Go mini-golfing? Try your hand at geocaching? Just remember that no matter how much fun each experience is, Jenny will always expect a new idea for the following date.

Have you ever dated a procurement professional? Or are you (God forbid) married to one? Leave your comments below!

Five Best Negotiation Scenes In Film And TV

How much can you learn about negotiation by sitting on the couch watching movies? Plenty.

Want to become a better negotiator? You could diligently read up on the subject or attend some negotiation training courses, but for the couch potatoes amongst us, you might just learn more by watching some of your favourite films.

Negotiation scenes come in many varieties in film. Often they’re in the form of a hard sell (think Leonardo DiCaprio selling dodgy stocks in The Wolf of Wall Street), or a hostage situation (Tom Hanks negotiating for his freedom in Captain Phillips) or other life-threatening situations such as Mel Gibson trying to talk a suicidal man down from a ledge in Lethal Weapon.

But when it comes down to the nuts and bolts of haggling, the following five scenes give illuminating examples of how to win – or lose – in a high-stakes negotiation.

 

  1. Sticking to your final offer – Nightcrawler (2014)

Jake Gyllenhaal’s character Lou is trying to sell a video of a crime scene to Nina, a TV news manager. Watch for:

  • Lou being willing to haggle down to a certain level, after which he refuses to budge.
  • The power shift in the negotiation from Nina to Lou (aided in part by Lou’s creepy intensity).
  • Lou throwing in a number of extra conditions when he knows he has Nina beaten.
  • Best line: “When I say that a particular number is my lowest price, that’s my lowest price, and you can be assured that I arrived at whatever that number is very carefully.”

 

  1. Doing your homework before a negotiation: True Grit (2010)

In this Coen Brothers film, 14-year-old Mattie Ross (played by Hailee Steinfeld) shows what horse-trading is all about – literally. In order to raise money to hire a Deputy U.S. Marshal to help her track down her father’s killer, she approaches an auctioneer named Stonehill with two demands – that he buys back the ponies he sold he father, and that he pays her $300 for a horse stolen from his stable. At first, Stonehill laughs in dismissal, but Ross’s perseverance and detailed knowledge of the relevant law wears him down until he yields to her demands – plus a little bit more. Watch for:

  • The moment Stonehill mentions the valuation of the horse and hence kicks off the haggling process.
  • Mattie’s threatening to walk out on the negotiation and go to the law, causing Stonehill to adjust his offer in panic.
  • Best line: “I do not entertain hypotheticals – the world as it is is vexing enough.”

 

  1. Negotiating across cultures – Snatch (2000)

Warning: strong language.

When boxing promoter “Turkish” and his partner Tommy approach Irish Traveller “One Punch” Mickey O’Neil to ask him to participate in a fight, the prospect seems simple enough. The only problem is, Mickey (played by Brad Pitt) has an almost unintelligible accent. His price is the purchase of a fancy caravan “for me Ma”, and then proceeds to list off all the features he wants included in the deal … while Turkish and Tommy can’t understand a thing. Watch for:

  • Mickey’s impossible-to-understand list of caravan features. The video clip below includes subtitles, but cinema audiences had no such assistance when this film was released.
  • The bewilderment on Turkish and Tommy’s faces as they realise they don’t know what they’ve actually agreed to. The cultural barrier between the Irish Travellers and the other characters in the film is a running theme that goes far beyond the tricky accent.
  • Best line: “Did you understand a single word of what he just said?”

 

  1. Coercion – Ocean’s 11 (2001)

“Frank”, played by the late Bernie Mac, has been tasked with sourcing the transport needed for the team to undertake the crime of the century. The dealer names his best offer, and Frank appears to accept. So far, everything seems to be going smoothly … until the handshake. Frank extends the grip to a full 60 seconds, apparently crushing the car dealer’s hand while chatting amiably the whole time. The car dealer, desperately uncomfortable and in pain, abruptly drops his price before freeing his hand. Watch for:

  • The range of emotions playing over the car dealer’s face as he realises he can’t free his hand.
  • Frank’s feigned surprise and gratitude when the dealer drops his price.
  • Best line: “If you were willing to pay cash, I’d be willing to drop that down to seven-SIX-teen each.”

 

  1. The power of silence: 30 Rock (TV series 2006-13)

By simply sitting in near-silence and looking stern, grumpy babysitter (Sherri) is able to make Jack Donaghy so nervous that he doubles her pay for working half the time. Donaghy (Alec Baldwin) comes into the negotiation with his usual swagger, but Sherri’s silence causes him to blabber and rapidly cave. Appalled at his own performance, he confronts Sherri a second time. Watch for:

  • Sherri’s tactical silence when Jack pauses to let her speak.
  • Jack rolling his eyes when he realises how badly he came out of the negotiation.
  • Best line: “I made every mistake you can in a negotiation. I spoke first, I smiled … I negotiated with myself!”

Want to suggest some other films or TV shows with great negotiation scenes? Leave a comment below!

How The Robots (Nearly) Stole Christmas

“Every Who down in Whoville liked working, a lot … until one day The Boss met a clever robot.” Continuing the tradition of a festive poem in the run-up to Christmas, check out this modern retelling of The Grinch from Procurious’ Content Director, Hugo Britt. 

Every Who down in Whoville liked working, a lot…
until one day The Boss met a clever robot.
It was sleek and terrific, with shining chrome knees,
and could do the work of fifteen FTEs.

The Boss called upon her executive team
and said with a grin that was grinchy and mean
“We’ll buy ten of these robots – that’s one hundred and fifty
Whos off the payroll – won’t that be thrifty?”

The head of HR gave a horrified gasp
“But the timing!” he said. “It’s a bit much to ask
your Whos to take a redundancy now!
It’s Christmas next week and there’ll be a huge row!”

The Boss’s brow wrinkled; her face set in a leer,
“Alright” said she, “Here’s another idea …
We’ll bring in the bots – my decision is set,
but we won’t dump the Whos for a little while yet.
They can work side-by-side for two weeks or more,
and come New Years Day, they’re right out the door.”

The very next day when the Whos came to work
They marched through the door and then stopped with a jerk
For sitting there, gleaming, daunting and massive
At the end of ten desks was a robot, impassive.

And then when the Whos all cried out “What’s the deal?”
They were shocked when the robots replied with this spiel:
“We’re your new metal workmates – we’re starting today!
We’re cognitive, clever, and can dance the ballet.
We’ll work round the clock and charge not a cent …
The ROI on us is 10,000 per cent!”

The Whos stomped as one to the Head of HR.
Seen dimly through the haze of his half-smoked cigar.
“What’s with the robots? ‘Workmates’ indeed –
You’re going to replace us! They work twice our speed!”

The head of HR, while stroking his beard
assured them it wasn’t so bad as they feared.
“They’re just here to assist. Fear not for your jobs.
Robots are the future! Stop being such snobs!
You’re quite safe (for now) so help them onboard
and we’ll have another discussion … moving forward.”

* * * * * * *

Two weeks passed quite quickly; the new year dawned bright
the Boss checked her calendar and smiled in delight.
“Today I’ll cut costs in a manner abundant –
I’ll tell one hundred and fifty Whos they’re redundant.”

She leapt to the lift and pressed second floor –
preparing to show all non-robots the door.
But when she arrived she received a surprise
At the hustle and bustle before her two eyes.

The head of the Whos leapt straight to his feet
and said “Thanks for the robots! They’re totally neat!
We worried that they would steal all our careers
but now it turns out these were unfounded fears.”

“We no longer need to do tactical chores –
mind-numbing spreadsheets and other such bores –
These robots are handling all of those tasks …
Now we have time to be strategic at last!”

The Head of HR stepped forward, then. “It’s true!
The robots are great, but your humans are too.
They’re thinking new thoughts; they’re stepping outside
the box we created with the tactical side.”

“Innovation is up! Relationships too!
Soft skills are unlocking new value for you.
These Whos are terrific – we never foresaw
that with time on their hands they can do so much more.”

The Boss raised her voice to address the whole throng
and shouted aloud “It turns out I was wrong!
I’d thought that these bots would make you inessential;
instead they’ve unlocked your hidden potential.”

“So just let me wish you a most festive season,
secure in your jobs, and having new reason
to be joyful about this happy yuletide:
humans and robots, at work side-by-side.”

What’s Wrong With This Picture?

Procurious’ Hugo Britt shares his experience of what happens when you truly disconnect – whether it’s on an extended career break, or just a short trip away.

Our webinar, Out of Office: Your Career Break (Through), takes place at 1pm on 10th August 2017. Register your attendence for FREE here. 

It’s 2009. I’m sitting alone in a tent perched high in the Italian Apennines, listening to the roaring of wild boars on the other side of the canvas. I’ve been scribbling away at my journal by torchlight in an effort to capture my experience hiking the 400km, 23-day Apennine Trail, when something makes me pause mid-sentence. I flip to a clean page at the back of the notebook and, in full caps, write the words “LIFE PLAN” at the top of the page.

I’ve still got that journal, but I remember tearing that page out a few days later, a bit embarrassed at how self-indulgent it seemed. What was I up to when I wrote it? I’m not normally one to come up with grandiose life plans – in fact, I usually have trouble planning more than a week or so ahead.

Here’s my theory.

Zooming out

By that point in my hike, I’d been trudging along for nearly 20 days. This was to be the last hurrah after nearly a year of travel. My then-girlfriend and travel partner (now, happily, my wife) was working in the UK, and I’d taken the opportunity to do something I’d always wanted before heading back to Australia – one of Europe’s spectacular long-distance trails. I was going it alone, not only in the sense that I didn’t have a hiking partner but because the trail rarely passed through towns. It was off-season, so I barely met anybody over those three weeks in the mountains apart from the odd deer hunter. I had a phone, but rarely had reception – and (it being 2009), I was yet to upgrade to a smartphone.

In short, I’d disconnected. I hadn’t thought about the job I’d resigned from for months – nor was I worrying about finding another job when my shoe-string travel budget inevitably gave out and I had to head home. If I did think about my career, it tended to be through a wider lens (“What do I really want to do with my life”) rather than the practical details (“I need to update my CV, line up some interviews, buy a new suit…”). Thoughts like this didn’t even occur to me, probably because they’d have been so incongruous with what I was doing at that moment, whether it was trudging up a slope or cooking dinner on a fuel stove.

My point is that if you do manage to properly disconnect, you stop sweating the small stuff. From memory, the four or five points in my so-called life plan weren’t about getting practical little jobs done – it was more of an epic to-do list. It included asking my girlfriend to marry me, deciding what city we wanted to live in, whether I really wanted to finish my current course of study – in other words, the big-ticket items.

Switching off on a short break

2017 – eight years later, I’ve just returned from a very different sort of trip. Our family of four took in the frenetic sights and sounds of Hong Kong for two weeks, which gave me a short, but invaluable, chance to disconnect from the office. Unlike back in 2009, I was very much employed this time around and must admit sneaking a glance at my inbox a couple of times in those first couple of days. Eventually, I made the conscious decision to switch off and did so by disabling just about everything on my phone apart from the camera app.

Switching off helped me zoom out. It helped me put some common-sense context around the unanswered emails and unfinished projects sitting in my inbox. While I can’t claim to have completely stopped thinking about work during that two-week break, my thought process shifted from the detailed level (sweating the small-stuff) to discovering the bigger picture. Almost subconsciously, I was rearranging the tasks on my plate into a realistic order of priority, and even had a couple of “aha” moments – not by sitting down at a laptop and working, but while I was doing something completely unrelated, like lining up to purchase a ferry ticket.

Find your holiday brain

There’s some science behind this. Earlier in 2017, Procurious interviewed James Bannerman, a Creative Change Agent and phycologist about the best ways to unlock creativity. He said “Trying to be creative is like trying to go to sleep. If you’re too busy focusing on going to sleep, you’ll stay awake because there’s all sorts of brainwave activity linked to beta waves that will keep you from falling asleep.”

Bannerman explained that there’s a sweet-spot that allows creativity to flourish. “We tend to be most creative when we’re focused but not over-focused, and relaxed but not too relaxed. You’re more likely to think creatively when you step away from your desk, and do something like go for a run, or go for a drive, or simply look out the window. It’s about finding that optimum state.”

So, there you have it. Stepping away from your career allows you to perform better in that career. Time to book my next trip.

Our webinar, Out of Office: Your Career Break (Through), takes place at 1pm on 10th August 2017. Register your attendence for FREE here. 

Trump Has Exposed Corporate America to a Carbon Tariff

Putting aside the issue of catastrophic global warming for a minute, let’s look at a very possible consequence of the U.S. withdrawal from the Paris Agreement – retaliatory measures from other nations in the form of a carbon tariff on American products.

Well, there goes the planet.

Trump’s withdrawal from the Paris Agreement has dominated the headlines all weekend, and rightly so – it’s regarded by many as the most devastating decision of his presidency so far.

Rather than dwelling on what has already been covered – the diminishment of U.S. moral leadership, short-termism, isolationism and the rejection of science – let’s examine the very real threat of economic countermeasures from other nations.

The idea of a carbon tariff was first suggested by former French President Nicholas Sarkozy in November last year. “[If Trump] won’t respect the conclusions of the Paris climate agreement … I will demand that Europe put in place a carbon tax at its border, a tax of 1-3 per cent, for all products coming from the United States, if the United States doesn’t apply environmental rules that we are imposing on our companies.”

Writing for Forbes last week, London Business School’s Ioannis Ioannou suggested a similar course of action:

“Countries and transnational institutions should seriously consider and carefully evaluate potential sanctions or economic countermeasures. A tax or import tariff on U.S. made products and services would account for carbon emissions used in the manufacturing process or, more ambitiously, incentivise leading companies to move parts of their business out of the U.S.”

Leading U.S. CEOs alarmed

As part of a last-ditch plea from Corporate America to dissuade Trump from his decision, an open letter was published last week in Washington, D.C. newspapers and signed by companies including Apple, Google, Facebook, Microsoft and Unilever. Amongst the warnings listed in the one-pager, the risk of retaliation was called out:

Withdrawing from the agreement will limit our access to [clean technology markets] and could expose us to retaliatory measures.”

It’s not just the dot coms who have come out in support of the Paris Agreement. Oil giants ExxonMobil and ConocoPhillips made the case that the U.S. would be much better served by having a seat at the table to “safeguard its economic and environmental best interests” – i.e. retain a veto – in future climate negotiations.

The fairness argument

Trump used the word “fair” and “unfair” multiple times in his speech:

“The bottom line is that the Paris Accord is very unfair at the highest level to the United States.”

“…Negotiate our way back into Paris under the terms that are fair to the United States and its workers.”

“…Under a framework that is fair and where the burdens and responsibilities are equally shared …

“We want fair treatment for its citizens and we want fair treatment for our taxpayers.”

The decision to withdraw, however, means the U.S. will have the fairness argument thrown back at it. As trade partners including Canada, Mexico, China and the EU implement carbon trading systems and caps, resentment is likely to grow towards the world’s second-largest emitter of carbon dioxide. For countries looking to address this disadvantage, a carbon tariff would serve to level the playing field.

Dirk Forrister, International Emissions Trading Organisation president and CEO, made the point that the Paris Agreement was designed to avoid this situation from occurring:

“The notion of a trade battle over climate change is something everyone’s tried to avoid for two or three decades. That’s why we have an international agreement to put everyone in the same frame.”

Here’s the good news

Trump wants to renegotiate his way back in. While Trump’s apparent willingness to re-enter the Paris Agreement on American terms shows some promise, it may not be possible. Christiana Figueres, the former UN official who led the negotiations, said this isn’t how international agreements work. “You cannot renegotiate individually,” she said. “It’s a multilateral agreement. No one country can unilaterally change the conditions.”

Other nations are rallying: There has been some commentary after Trump’s announcement that the Paris Agreement is actually stronger without U.S. participation. While many of the arguments inevitably read like sour grapes, two points ring true: firstly, the announcement appears to have strengthened the resolve of other nations to meet their targets. International leaders are lining up to not only condemn Trump’s decision, but to reaffirm their commitment to the Agreement.

Secondly, the Trump Administration’s rollback of domestic climate policies, including gutting the Green Climate Fund and hobbling the EPA, means that the U.S. was highly unlikely to meet its climate targets anyway. Australian International Relations and Environmental Policy export Luke Kemp argues that this would have set a poor example: “Other countries [would have been] more likely to delay or free-ride on their pledges if they [saw] the US miss its target.”

U.S. states, cities and corporate leaders are embracing a low-carbon economy, despite (or to spite) Trump. Examples include Californian leadership in reducing emissions, and the Mayors of 61 cities across the U.S. pledging on Thursday to meet commitments agreed to under the international accord.

The transition to the renewable economy is gathering pace. The economics of higher energy efficiency, falling renewable energy prices, abundant natural gas, and the rise of electric vehicles and smart grids will continue to displace coal and oil.

November 3rd, 2020: The rollback of the Paris Agreement and other climate initiatives will take years, as will any retaliatory measures (such as tariffs) put in place by other nations. Could the 2020 election become a referendum on the Paris Agreement?

Image: Shutterstock