All posts by Procurious HQ

5 Common Interview Mistakes Recruiters Should Overlook

It’s up to the person recruiting to decide whether a mistake is due to anxiety or a sign that the candidate is a bad match for the organisation. Here’s five mistakes you should overlook…

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Nightmares focusing on poor performance at work, especially job interviews, are common among adults in the US – and it’s easy to see why. Job interviews are stressful. Horror stories of interviews gone wrong are all over the internet. While they may be fun to read, it’s not easy to get through a job interview without making at least one mistake. 

What does a “perfect” interview really mean anyway? Interviews have disqualified candidates for everything from being late to “being too attractive.” Candidate error is just one factor in the overall equation; and it’s all too common to make a mistake under pressure. At the end of the day, it’s up to the recruiter to decide whether a mistake is due to anxiety or a sign that the candidate is a bad match for the organization. 

Here are some of the most common, but forgivable, job interview mistakes that recruiters should overlook. 

A candidate sounds rehearsed

Many candidates don’t make it through the first-round interview because they sound too stiff.Recruiters lose interest when a candidate sounds like they’ve memorized their answers. It’s hard to get a good sense of who that person is when they answer questions robotically. 

However, recruiters should consider that the problem isn’t the candidate’s presentation. It’s the questions they’re asking. Candidates apply to dozens of jobs during their search. Eventually, all the interview questions start to sound the same. Recruiters should avoid asking outdated, all too common interview questions that applicants answer at nearly every job interview. 

There’s a certain script that’s easy to fall into. If you find your candidate sounds a bit canned, try a different approach in the next round. 

A candidate talks too much

The opposite of a candidate who sounds rehearsed is a candidate who is too chatty. Anxiety or under-preparation is usually the driver behind a candidate who talks at length. Talking too much is usually seen by recruiters as a red flag – what if a candidate talks too much in a client presentation? Will this person be a distraction when working in teams? 

It’s not necessarily fair to assume that chattiness is a sign of weakness. It could be a sign of under preparation, or it could be a lack of experience: two factors that job training can address. But for recruiters who don’t have time to spend all day in an interview, using a one-way video interview can help. Generally, we’re against putting restrictive timers on pre-recorded videos. What if the candidate has technical difficulties? But, you can set the time to be long enough to account for technical glitches while still cutting down on nervous chatter. 

A candidate immediately responds to an interview request

Some recruiters consider replying to an interview request right away to be a red flag. Likewise, following up “too much” can make a candidate seem needy or desperate. In today’s hyper-connected society, expecting a candidate to wait an appropriate amount of time is a little too selective. 

It could be that a candidate follows up because so few companies are transparent about their process. While talking to your job interviewee, make sure to be upfront about your timeline and next steps. Managing expectations can help prevent any lingering confusion or excessive follow up from your potential new hires. 

A candidate is asking questions “on the fly”

It has become almost cliche for hiring experts to recommend candidates prepare their own questions. Recruiters disqualify candidates who ask questions “on the fly” – but why? Asking questions that are not pre-rehearsed can show genuine interest. A candidate who comes upwith questions on the spot is engaged, paying attention, and quick on their feet. Recruiters should prefer that over a candidate who simply pays lip service to the interview script. 

A candidate doesn’t bring a hard copy of their resume

It’s time to go green! If recruiters want a hard copy of the candidate’s resume, they are capable of printing it out themselves. Some recruiters see this as a sign that the candidate is under-prepared or careless. In reality, many people don’t have access to a printer. It’s an arbitrary ask that recruiters use to disqualify a candidate from making it to the next round. Wouldn’t you rather see an employee show their real-world skills rather than their ability to press print?

This article was written by Emily Heaslip was originally published on vervoe.

3 Ways Procurement Can Make A Lasting Impact On The Organisation

Advanced procurement functions, and the CPOs that lead them, can make a significant and lasting impact on the success of their companies, but only by focusing on the real value and innovation that suppliers can bring…

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There’s no doubt that procurement enjoys a privileged position in a company’s value chain. Sitting between a network of thousands of suppliers and the business, it has clear visibility of customer need, company strategy and the capabilities that exist in the supply base

From such a position, advanced procurement functions, and the chief procurement officers (CPOs) that lead them, can make a significant and lasting impact on the success of their companies, but only by focusing on the real value and innovation that suppliers can bring and how this can support the organisation’s ultimate value proposition.

To do so, procurement must drive change in three broad areas. Firstly, CPOs must address the procurement operating model so it is better aligned with company strategy and end-customer value. Historically, procurement has segmented third-party spend into categories, from raw materials to office furniture to semiconductors and so on, with the ultimate goal of leveraging scale to reduce price, while also managing risk and quality.

Smart chief executives, however, will be far more interested in how suppliers can enhance the product portfolio to maximise the company’s competitive position in the market. Aligning the supply base around that portfolio will enable supplier innovations to feed more successfully into that goal and ensure collaboration with suppliers is more productive and more focused on value creation.

Of course, this isn’t feasible for every last drop of third-party spending so CPOs must differentiate between core and non-core spend, so 100 per cent of the procurement function’s energy can be applied to those suppliers that really matter.

Secondly, for this to be feasible, CPOs must ensure procurement is a frictionless experience for those in the business who buy as part of their role. Every effort should be made to automate through digital technologies and platforms, so the actual buying process is seamless and efficient.

Robust governance and a sophisticated suite of digital technologies that have been designed with the end-user in mind must underpin such an environment. And the ultimate goal must be to reduce the time and resource spent on non-core products and services, without sacrificing low cost, impacting quality or introducing risk.

This laser-guided focus on execution must be a cross-functional effort, so the right specifications are secured and any savings go straight to the bottom line and are locked into the profit and loss.

Thirdly, the very fundamentals of supply markets continue to evolve. It’s clear an increasing volume of the world’s innovation is being developed outside the walls of large corporates and big, traditional suppliers, with smaller, niche companies and startups working on new technologies and approaches that regularly disrupt traditional, incumbent markets.

Further, these non-traditional players work differently, are more agile, less process led, more open to collaboration and come with large amounts of risk. But despite this, corporates cannot afford to close their doors to the innovation taking place within them.

CPOs must develop the capability to engage with these outliers and engineer how the intellectual property they produce can be introduced into their organisation’s value chain, whether through traditional onboarding as suppliers, technology licensing, collaboration with other suppliers in the network or myriad other potential approaches.

In essence, CPOs must build and exploit supply networks, or ecosystems, capturing value during the collaboration that takes place between third parties at all points in the value chain.

None of this is straightforward and few organisations are even close to making it a reality. To be successful, it demands the support of a visionary chief executive who understands the dynamics at play in the supply base and beyond, as well as a procurement team full of intellectually curious, entrepreneurial and collaborative personalities.

But if done well, procurement will evolve from a position of controller to one of value architect, and one of the most critical functions in any modern corporation able to positively impact revenue, sustainability and profit targets.

This article, edited by Peter Archer, was taken from the Raconteur Future of Procurement report, as featured in The Times.  

A Brief Overview Of The 2019 Procurement Job Market

So far this year, most organisations have been more actively hiring procurement employees on a permanent basis as opposed to on contracts.

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How has the supply chain & procurement hiring landscape been over the first half of 2019?

As all contracts with suppliers from the European Union continue to be reviewed as part of Brexit contingency planning, the first half of 2019 has revealed an increased level of permanent recruitment compared to the hiring of contract or temporary supply chain & procurement professionals. As cost savings remain key in the City, the market has remained extremely buoyant, with a strong preference from hiring managers for individuals possessing experience in IT or tech. The thirst for data is continually increasing and with procurement in mind, lots of emerging solutions that provide procurement and vendor dashboards are always needed. Therefore, these roles have frequently been recruited for.

Across Financial Services, Banking and Insurance, organisations are still busy and hiring. More specifically, the mid-tier and SME businesses have been busier than the larger tier 1 banks, as they seek to reduce their spend and ensure contract risks are minimal in these uncertain times.

Procurement is a money driven profession and salaries are particularly competitive at present, so bonuses and benefits packages can be crucial deciding factors when professionals are looking for new roles. From the perspective of hiring organisations, they have to be prepared to exercise flexibility in terms of salaries or day rates if they want to bring professionals with the right skill sets to the business. 

How to keep the workforce motivated and attract new employees

A large number of professionals are now requesting an element of flexibility in their role or the opportunity to work remotely.  The 9 – 5 working day is no longer how professionals in the UK operate. Flexible working, in terms of hours or being able to work remotely, is expected by the majority of employees in the UK. Organisations have to offer a level of flexibility if they want to attract high quality applicants in what has become a highly competitive marketplace.  

Some organisations continue to lean towards implementing tools or programmes for learning and development that are tailored specifically to procurement professionals. This shows an increased effort to bolster their candidate attraction and retention in these key business areas. In turn, this empowers employees to increase their knowledge in areas such as ‘best practice procurement’, sourcing methodologies and stakeholder engagement. This has become a real talking point, showing the right business highly prioritises procurement and its people.

What has made a Supply Chain & Procurement CV stand out?

Category Management remains a key area of hiring, so upskilling in this is hugely beneficial for all procurement professionals. Those candidates possessing detailed Category Management experience, including spend, savings and projects have been highly sought after by hiring managers. The increase in specialist IT category roles was category specific, mainly consisting of infrastructure, applications and digital transformation spend areas.

Any candidates who upskill in these areas will put themselves in a strong position. Having a good level of experience in any of these will make you stand out against other applicants. Businesses have also continued searching for tendering specialists who can help them mitigate risk on their EU contracts amid all the Brexit confusion. Those with transformation experience is sought after as businesses will require such support to guide them through the uncertainty of Brexit.

How can supply chain & procurement job seekers stay motivated over the slower summer months?

It is not looking like things are going to slow down for Procurement professionals during the summer months – it is a busy time for the industry. For those job seekers actively engaged in any processes, it’s important to keep in touch with your recruitment consultant. Call in weekly to make sure you are hearing about all suitable opportunities; this will keep you at the forefront of your consultant’s mind.

Procurement specialists need to develop their wider skills to implement in negotiations to ensure ‘compliant contracts’ that mitigate risk without over-engineering a low risk engagement – robust frameworks to manage third party engagements could inhibit flexibility for a negotiator.

This article was written by Natalie Limerick, Director – Morgan McKinley

7 Ways To Influence Your Internal Stakeholders?

For most, influencing externally comes easily. But when you have to influence internally, there is a mountain of factors and intricacies to navigate…

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This article was based on research conducted by Conti Advanced Business Learning (www.cabl.ch), a Swiss training company that specializes in Negotiation & Influencing training.

Seven procurement experts share their advice on how they creatively influence their internal stakeholders to come to agreements and a consensus for any different challenges they or the company faces.

1. Matching their requirements

Carefully! The ability to influence internal stakeholders is about knowing what is important to them and finding a solution that matches their requirements. If you do not know their goals,objectives or challenges, how can you know whether your idea will help or hinder them? Spend time with the key internal stakeholders, determine what their priorities are, look at your needs and understand how you can help your stakeholder.

Susannah Gooch, Vice President, Direct & Operations Purchasing & Supplier Management, AbbVie

2. Be proactive: point out the things most important to them

We influence stakeholders by tailoring the message to them and pointing out the things that are most important for that individual stakeholder. While preparing for a large negotiation we had to have senior executive’s approval of our strategy. The decks we prepared for these meetings were all different, but all came to the same conclusion (i.e. our strategy). This approach worked beautifully as we were able to show each senior executive that our strategy would match exactly with his goals.

Lukas Wyder, Director, Rogers Communication

3. Pinpoint you ‘must-wins’

By knowing what’s their purpose and what is a must win. R&D departments are not truly impressed or motivated by good economic deals! However, a company’s reputation and innovation are definitely buzz words for them. To keep them on your side of the table and prevent them shaking hands with suppliers before procurement does, it’s important to anchor them on their principles and gain their trust to act freely and move ahead with suppliers.

Alessandra Silvano, Category Director CAPEX and MRO, Carlsberg Group

4. Create opportunities to emphasise your decision-making powers

This is different to “asking what they want” or “receiving instructions” from the business. The greatest success I had was the formation of a “Procurement Steering Committee” where I, as CPO, was the secretary and ran the agenda. It was chaired by the CEO, with the COO and CFO in attendance. These were contracted signatories to deals so it was my opportunity to put forward the deals and proposals I would place with the market, to test their risk appetite and proposed BATNAs in exchange for commercial (and price) advantages. The meeting encouraged healthy debates and discussions and it got the senior leadership team involved in the contracts themselves, aligning with their expectations. It also had the advantage of delegating myself certain decision-making powers in order to secure deals on what was agreed. The process was sped up and it circumvented multitudes of stakeholders with differing views. It helped focus on the “important”, and not the “nice haves”. 

Alan Hustwick, Senior Executive Global Supply Chain, SCCR Pty Ltd

5. Find common interests

It is always tempting to try to convince internal stakeholders about the strategic importance of procurement, as we are so convinced about it. We like to convey our passion and vision. Also, and more often than don’t, the naïve belief that the internal stakeholder will share the same passion. Seldom do they!

The best way to convince internal stakeholders is to identify common interests. Certainly, this means that we need to know what their challenges and issues are, and how we can help them best. If they are convinced that there is something for them in the story, then and only then, will they start to listen to your ideas, and getting their support becomes much easier.

Bérénice Bessière, Director, Procurement and Travel Division Private and Public Organizations, WIPO

6. Confirm your reasoning with 3rd party information

Typically with objective facts. More often than not, 3rd party confirmation of your analysis is needed, for example, these may come in the form of outside analysts or consultancy organizations. Strangely, internal stakeholders often give more weight to outside opinions than colleagues, especially from other functions. They assume there are inter-departmental politics instead of seeing the cross-functional benefits and expertise of the whole company. I frequently refer to or copy and paste graphics or statistics from outside analysts when influencing others. 

Michael Hauck, Director Global Procurement, Tetra Pak

7. Speak their language and incorporate their needs into your communication

A good starting point is to look at the deal from their perspective and understand how I could get them to choose in their own interest what I want. Talking their own language also helps and this applies to all Procurement communications. I remember a mistake I made over ten years ago. We had just completed a Temporary Labour project and proudly presented the results, mentioning that we had delivered 2.4 million of cost savings, streamlined the process and improved the service levels. It would have been much better to put the focus on the process and service levels improvements and then mention that we also saved 2.4 million. 

Giuseppe Conti, Founder and Managing Partner, Conti Advanced Business Learning

Do you have ways to influence your internal stakeholders? If so, share in the comments below!

These answers were collected by Giuseppe Conti, Founder and Managing Partner of Conti Advanced Business Learning (www.cabl.ch), a consulting firm that specialises in negotiation & influencing. This article is part of a series aimed at collecting real-life negotiation experiences from Procurement executives.

How To Create The Interview Formula That Makes The Right Candidate Stand Out

Despite taking extra steps to evaluate a job applicant, managers too often fail to choose the right candidate. How do you get it right?

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Many recruiters know the importance of assessing a candidate beyond a polished resume and well-rehearsed interview. Yet, despite taking extra steps to evaluate a job applicant, managers too often fail to choose the right candidate. In a 2016 CareerBuilder study, 75 per cent of employers interviewed said they hired the wrong person, costing companies an average of $17,000.

The issue? Recruiters were not interviewing for the actual skills candidates needed to thrive in their new role. During the hiring process, recruiters were relying too much on resumes, misidentifying the skills needed to succeed, or asking the wrong questions. Here’s how recruiters can adjust their approach to interviewing candidates to lead to better hires and improve talent retention.

Identify the non-negotiable skills for each position

Recruiters should begin with a basic understanding of the non-negotiable skills the new hire needs to succeed. Get the entire team involved in narrowing down the essential skills a new hire should possess to help the team to perform better. Walk through a typical work day and identify the inefficiencies or bottlenecks that could be improved by a new hire.   

With this baseline in mind, recruiters set up a case-study scenario or Talent Trial that allows the candidate to showcase their abilities in specific scenarios. For example, Pro R.E.A. Staffing used Vervoe’s “knockout” questionnaire to test candidates on the non-negotiable job requirements. This questionnaire replaced the phone screen, and successful candidates were automatically invited to complete a skills-based Talent Trial containing behavioral questions, tasks in Excel, and writing exercises.

The result? Hiring managers at Pro R.E.A. noticed big differences between candidates’ claims of their skills and their actual skill level. They were able to test skills they previously couldn’t discern, save time, and only progress with candidates who could perform the core skills needed to succeed.

Highlight the soft skills needed to advance in the company

Some employers wait until the first day on the job to discuss company culture with new hires. Instead, recruiters should start this conversation during the hiring process by highlighting the skills needed for the candidate to advance within the company. Successful CEOs emphasize the importance of soft skills – things like leadership and teamwork. But, all too often, new hires disappoint because they lacked the soft skills needed to adapt to their new team, not necessarily the skills to perform the job.

When we talk about “culture fit,” that can mistakenly translate into hiring someone whose background – education, skills, or network – is similar to the existing team. This stifles innovation and diversity. Instead, recruiters should seek out soft skills that will diversify the team, such as hiring someone who values clarity and structure to balance out the visionary but impulsive senior manager.

AI-powered ranking and skills tests are just two important ways to remove bias from the hiring process. Vervoe’s platform has shown impressive stats in hiring for diverse teams: companies who switched to our AI tool and skills assessments saw a 62% increase in female candidates. Vervoe’s library of content can also help hiring managers seek out those critical soft skills that predict long-term success. These validated psychometric assessments are key to assessing “culture fit” in isolation from a candidate’s resume.

Look out for common red flags

There are some red flags that many recruiters miss during the interview stage that can come back to haunt them. For example, referral hires often get a carte blanche during the interview process. If a candidate name-drops during the interview, do not be seduced by his connections if he cannot back it up with examples of genuine relationship building and past collaboration.

Learning from our past hiring mistakes at Vervoe, we created a character assessment so we can avoid making these mistakes in the future. Many of the things we look for – curiosity, grit, collaboration, resourcefulness, tenacity, dexterity – are important in every role at the company. By implementing a character assessment at the top of our hiring process, we screen candidates to between five and ten percent of applicants, who then progress to the next level. An applicant may be a coding magician, but if they won’t be happy at Vervoe, we’re not interested in wasting their time.

This article was written by Emily Heaslip and was originally published on vervoe.

Supplier-Enabled Innovation Is An Opportunity To Add Value

Businesses are tapping into the expertise of their supplier network to bring new products to market faster and streamline their processes.

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Where do new ideas come from? For many organisations, the answer is research and development. But imagine if the R&D department included not only your own people, but those from hundreds or even thousands of your suppliers too.

This is the promise of supplier-enabled innovation (SEI), which enables companies to tap into the expertise of their supplier network to develop new products and services or refine existing ones.

It’s not exactly a new idea, but according to David Rae, head of the Supplier-Enabled Innovation Center, it is an underutilised one. “If you have thousands of suppliers and a portion of them have R&D divisions focused on your sector, then you’d be mad not to tap into that resource,” he says.

Companies that combine their innovation efforts with those of their suppliers typically bring products to market faster, giving them a competitive advantage. The inevitable risks and costs of developing new products or services are also spread among a wide network of stakeholders. And due to their specific expertise, suppliers are often able to suggest product improvements that are unlikely to occur to internal teams.

It makes sense to partner with companies specialising in a particular area, says Omer Abdullah, co-founder and managing director of The Smart Cube, which provides procurement, analytics and research expertise. He uses the example of a packaging supplier to illustrate the point. “They’re the ones who have a vested interest in knowing what the latest packaging types are, what the latest packaging sizes are and what are consumers demanding,” he explains.

That’s certainly true in the case of Bayer, which works closely with suppliers such as Schott to find the best packaging for specific drugs. By collaborating early in the ampoule or vial selection process, with Schott contributing its expertise in how certain active ingredients interact with different types of containers, new medication can be brought to market in a quick and safe manner.

The procurement team are ideally placed to drive the innovation partnerships behind SEI, acting as the link between internal R&D, sales and marketing teams, and suppliers. Johnson & Johnson, for example, has focused on turning procurement into a team of “innovation scouts”, seeking out suppliers who understand emerging trends and plan their business accordingly.

This is one of the vital elements of SEI: if you can’t find innovative suppliers to work with, then the whole concept quickly falls apart. If you’re interested in using SEI to improve your R&D function, for example, “you need to take into account things like what percentage of their [the supplier’s] revenue they are putting towards R&D, their strategic goals and where they’re actually headed as a company”, says Mr Rae.

It can be tempting to focus on the current supply chain when selecting SEI partners, but this may not offer the kind of cutting-edge innovation that will really expand internal capabilities, says Simon McGuire, health systems leader for Philips UK and Ireland. “I believe a good procurement team will ensure any supplier activity is initiated with clear alignment and agreement on capability gaps and unmet customer needs, together with an ability to secure the required technology and skillsets from the marketplace,” he says.

An awareness of market trends and shifts, competitor moves and the company’s own patent pipeline is also a key part of an informed view of what suppliers might be able to offer. “For me the most essential element of a good supplier partnership that will deliver is the strong alignment of goals and visions, with clear definitions, responsibilities and objectives from the start,” says Mr McGuire.

Online platforms are a relatively common way of communicating innovation challenges to supplier networks. Philips, for example, has an open innovation portal called SPICE, which allows suppliers, companies and individual inventors to collaborate to both view Philips innovation challenges and suggest ideas of their own. But the success of these platforms depends upon suppliers receiving relevant, timely feedback on their ideas and transparency around the development of any proposals.

Indeed, the trust at the heart of any good partnership flows both ways. “Surprisingly, suppliers do not always take their innovation first to their largest or even their most profitable, highest-margin customers,” says Clive R. Heal, a procurement innovation expert who leads Voicinn, a group of global innovation keynote speakers, and founded and led the Roche Innovation Center of Excellence. “They target customers with whom they have the closest relationships and see the best longer-term growth opportunities.”

Both companies should also be clear about who will own the intellectual property (IP) for any new products or services before embarking on a partnership. For instance, would a licensing approach, with the company granted exclusive rights to use a particular technology or service for an agreed period, work best? Or is a joint IP model the better option? Many innovation partnerships fail to clear this hurdle due to competing interests, Mr Heal points out.

Regardless of which ownership approach is agreed, successful SEI initiatives nearly always follow a long-term approach to innovation, focusing on mutual benefits for both customer and supplier. In other words, a true partnership that runs counter to the “not invented here” syndrome still found in many businesses.

“Overcoming this is difficult,” says Mr Rae. “But with the disruption now happening – the platform business models cropping up, the growth in startups, the fact that innovation is taking place everywhere and not just in R&D labs – companies will have to change, otherwise they’re going to get disrupted too.”

This article, edited by Peter Archer, was taken from the Raconteur Future of Procurement report, as featured in The Times.  

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Four Ways Brexit Has Rattled CPOs

With Brexit headlines continuing to dominate the daily news, what have been the biggest lessons for procurement leaders on how to approach geopolitical risk?

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As cross-party Brexit talks collapsed, stockpiling reached its highest level since records began in the 1950s. A final decision on Brexit looks like it has, yet again, been thrust into the distance. But by now chief procurement officers (CPOs), those charged with ensuring businesses have enough raw materials and goods, have learnt to live beyond politicians’ promises. 

Procurement teams have begun to view geopolitical risk as an unwanted yet permanent factor. It’s no longer just the prospect of Brexit that has procurement officers grappling with greater risk in their jobs. Any emerging geopolitical risk poses potential obstacles for global supply chains, which over the past few decades have become tightly interwoven. 

Lesson 1: Uncertainty is certain 

Procurement chiefs have learnt quickly that they cannot count on politicians. But they can control the steady flow of goods and materials to their organisations by risk-mapping and establishing alternatives. 

Dairy Crest, a manufacturer of British food brands, approved additional suppliers, extra sources of material and alternatives by identifying pinch points in the supply chain, ensuring greater flexibility. 

CPO Chris Thomson reviewed the stock management processes in terms of ingredients and packaging, factory planning processes and customer order to stock processes. All these processes had been in place for many years and were effective, but Brexit made it necessary to revisit all systems and processes. 

“It’s been quite an interesting experience to have a serious situation like this to open your eyes again and to challenge some of the existing business processes,” he says. 

He is not alone in his approach. Neil Butters, head of procurement at Inprova Group, says: “Before you think big, think small. I’d been trying to understand geopolitical risk and Brexit and other areas, and trying to work out how that impacted my organisation. What I ultimately decided to do was to take a fresh view of my organisation and the risk factors, and map them out.” 

Lesson 2: Revisit systems and processes 

“Brexit has forced many CPOs and their teams to look again at their suppliers, local sourcing plans, local versus international, and start to make some decisions about what their future supply should look like,” says Duncan Brock, group director at the Chartered Institute of Procurement & Supply (CIPS). 

Indeed, CPOs have been evaluating their supply chains at a more granular level. Many procurement teams have looked at what happens in the supply chain beyond the first contact with their own company. The view is if they can understand the risks posed at that distance, then they will be able to manage them before there is a direct impact on their business. 

“We haven’t fundamentally changed our sourcing approach. What we have done is put a lot more emphasis on our category management in our processes, and a lot more emphasis on how far up the supply chain we understand what’s going on,” says Dairy Crest’s Mr Thomson. 

Localisation might help some businesses, but switching to UK suppliers doesn’t always solve the problem. Establishing new suppliers has its own challenges and is rarely a seamless process, particularly if you are sourcing a strategic supplier. 

According to research by CIPS, almost a quarter of companies it surveyed were looking for alternative non-European Union suppliers. But the study also showed that half of British companies would struggle to find the suppliers and skills they need in the UK if they were forced to bring parts of their supply chain back home post-Brexit. 

“Anybody who approaches their suppliers in business as purely a transactional thing misses the opportunity to work special situations and to work closely together to manage whatever it is thrown at us. We treat our suppliers really as part of the business,” says Neil Ginger, chief executive of Origin, a UK manufacturer of aluminium doors and windows. 

Lesson 3: Stockpiling can’t solve everything 

Filling up warehouses with raw materials and medicines is a short-term solution. Stockpiling is an option for some, but many do not have the facilities to store surplus stock and those with perishable goods simply won’t be able to. 

Longer-term stockpiling won’t fix the challenges companies face over trading with EU customers and suppliers. Moreover, the additional costs of paying for the stock and then paying for warehousing that stock can be crippling, particularly for smaller businesses with fewer resources. 

Earlier this year, door and window manufacturer Origin began stockpiling aluminium extrusion from its supplier based in northern Spain in preparation for Brexit and disruption at the border. In total, the company stockpiled around £750,000-worth of materials, which is not an insignificant amount of money to add to your inventory. And then Brexit Day never came. 

“Beyond the things you can’t control, you’re just trying to stay as flexible as you possibly can. We bought more material to make sure we could see ourselves through some very short-term disruption at the border,” says Origin’s Mr Ginger. 

Lesson 4: Ditch the silos 

CPOs have become more rounded business people as a result of Brexit. They have had to work more intensively with other teams within their organisations, and have had to explain what they are doing to the board to ensure the business can keep functioning and fulfilling customers’ orders. 

Like many companies, Dairy Crest set up a cross-functional leadership group focused on medium to long-term Brexit planning. In addition, the company established a standalone cross-functional group focused solely on preparing for Brexit Day. They based their business planning on a hard Brexit, the worst-case scenario for many businesses. 

“We really focused our efforts on planning for the worst case and knowing that if it didn’t turn out to be the reality, we would be in a sensible position,” says Dairy Crest’s Mr Thomson.

This article, edited by Peter Archer, was taken from the Raconteur Future of Procurement report, as featured in The Times.  

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Are You In The Right Job?

The average working life is more than 3,500 days, so that is a long time to spend doing the wrong job. The sooner you switch, the easier it is. So how do you begin?

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If you dread going to work in the morning, get a sick feeling every Sunday night, or spend hours sitting at your desk desperate to be anywhere else, then it’s obvious that you should find a different job.

However, is it really the career path that’s wrong for you?

Perhaps you are doing the right job, just in the wrong place… or with the wrong people.

If you work in a toxic environment or with the boss from hell, there is no need to make a drastic career change. All you need to do is find the right employer.

You don’t have to hate your job for it to be the wrong one

However, not everyone who is in the wrong job is miserable. Many are just not fulfilled or energised by what they do.

Nearly nine in ten UK professionals are considering moving jobs right now, according to CV-Library – and they want to move for a range of reasons from career progression to a pay rise.

Only one in ten (13 per cent) of UK employees are actually unhappy at work according to research by recruiters Robert Half UK.

Although that is still 4.3 million people nationwide, that a lot less than the number wanting to leave for pastures new.

So, don’t assume that you have to hate your job, for it to be the wrong one.

Simply ask yourself this: “If I am still working in this type of job in 10, 20 or 30 years’ time, will I look back with regrets that I had not done something else – or be happy to have done a job I loved for so long?”

The average working life is more than 3,500 days, so that is a long time to spend doing the wrong job. The sooner you switch, the easier it is. So how do you begin?

Step 1: Take the test

Before jumping into another job, it pays to work out what career path you should be on.

Many of us fall into a particular career and often end up accepting a role because we were offered it, rather than because it was the job of our dreams.

One of the most highly regarded tests is a Myers & Briggs personality test. If you have never taken one, you can pay for one online (myersbriggs.org) or do a similar free test such as 16personalities.com or humanmetric.com.

Whichever test you take, it’s important to be honest – then read through the results to gain a better understanding of what types of careers could suit your personality. Giving some thought to your strengths and weaknesses is a great way to reassess why you do what you do.

If you are an extrovert, who is intuitive and relies on your feelings when making decisions, then being stuck behind the scenes in a process-driven, methodical, technical role, might understandably make you miserable. Or if you are naturally quieter and more reserved, being thrust into the limelight and forced to make presentations, might be your idea of hell.

So if you are the proverbial ‘square peg in a round hole’ it is time for a change.

Remember, it is much easier to change your job than trying (and failing) to change your personality – after all, one is what you do, the other is who you are.

Step 2: Don’t get stuck in analysis paralysis

If you are in the wrong job, you probably spend a lot of time thinking about what else you could do – but are then deterred because you don’t have the qualifications/ don’t have the experience/cannot afford to retrain/ cannot afford to step down the career ladder…. and so on.

It is easy to come up with dozens of reasons to stay where you are.

That means you will inevitably stay just there.

So stop thinking, start doing. Talk to people who are doing the jobs you are interested in, join a networking group for that industry sector, seek out others who have made a career change – and step out of your comfort zone. Once you can visualise a new job for yourself, it will be easier to start making the change.

Also visit careershifers.org for some inspiration. When you read other people’s stories you will realise they were all just as terrified of making the wrong career move…and once you discover how they overcame their fears to find a more fulfilling working life, you will realise that it is possible to do something that makes you want to get out of bed every morning.

Also do a 360 – ask people you trust what career they see you doing. They may say ‘I always imagined you as a teacher’ or ‘Why aren’t you in marketing, you love being creative and persuading people about your ideas’. Remember, to listen.

Step 3: Try before you buy (into a new career)

Before handing in your notice, and taking up one of these new career paths, give it a try.

Take two weeks off and find someone to work shadow. Volunteer in the sector. Use LinkedIn to reach out to those working in roles you are interested in and talk candidly about their careers.

If your personality tests show you would make a great teacher, but you really think you would lack the patience to deal with dozens of children every day, give it a go – volunteer as a reading partner or to help run a school club. You will still find out if this is something you are going to love – or hate.

The other drawback of a career change to something more fulfilling is that many rewarding roles are low paid.

The solution? Stick with the day job, and have a side-hustle doing something you really enjoy. So, if you have always wanted to be an artist, illustrator, cook, actor, gardener, photographer or fashion designer, then do this part-time while seeing your day job as a means of funding your dream career.

At least that way, you won’t have any regrets when you look back on your working life – instead of a “I could have been” you will be an “I was”


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6 Recruitment Mistakes To Avoid

Here are six pitfalls to avoid in order to create a better recruitment process for all involved.

By Yeexin Richelle/ Shutterstock

Creating a better candidate experience seems simple enough and creating an experience that continues to improve is even better. Recruiters are often under tremendous pressure to recruit top candidates from hiring managers, organisational objectives, and the competitive landscape. Below we discuss six pitfalls recruiters can avoid to create a better recruitment process for all involved.

1. Posting Vague Job Descriptions

Posting a generic job position can ensure that a large pool of candidates applies. What it doesn’t ensure is that the candidates’ skill sets will accurately align with the functions of the position. A vague job description is a problem for both the hiring manager and candidate, as it effectively means that either someone’s time is wasted during screening and interviews, or a candidate will be hired for a position that doesn’t match their skills.

2. Not Engaging Hiring Managers/Operations Team Leaders

There are functions of a human resources department that need to be sealed off from the rest of the company. For instance, compensation, firing, promotion, etc. However, recruitment shouldn’t be as confidential. Recruiters should engage with hiring managers and operations leaders to build job descriptions and create recruitment processes that create an optimal candidate experience and hire the best talent available.

3. Creating a Time-Consuming Application Process 

An extensive application process is perceived as a strategy for recruiting only the most serious and interested candidates. Is it though? Front loading information gathering into the online application process will get you just that – people who are good at sitting at the computer and applying for jobs. What it doesn’t confirm is if the human behind that computer is the person best suited for the position you’re filling.

4. Having an unprepared interviewer 

An unprepared interviewer can send a “disturbing signal” to the candidate, leaving them turned off by the experience and the brand. Recruiters should conduct prep meetings, provide sample questions, and confirm interviewers are aware of the entire process and desired results before an interview is conducted.

5. Failing to Stay in Contact for Future Opportunities 

Failing to engage a quality candidate who was not given an offer is an enormous waste of resources. Sometimes great candidates don’t receive offers simply because there was a better-suited candidate for the position. If there is mutual interest, there should be a process in place to remain in contact with them for either future opportunities or current openings they may fit into.

6. Not Soliciting Candidate Feedback 

There is always room for improvement. Giving candidates an opportunity to provide feedback on the recruitment process gives recruiters some valuable insights which could help improve the process you currently have in place.

This article is written by Phillip Gold of empireresume.comand was originally published on vervoe.

After A Slow Start, AI Is Starting To Make Its Mark

Procurement has traditionally lagged behind when it comes to technology, but does artificial intelligence offer an opportunity for things to change?

By GreenCam1/ Shutterstock

Artificial intelligence (AI) is going to make business better, at least that is what the solutions providers would have us believe. Businesses will be more agile, more efficient and, importantly, more profitable. Yet it still feels procurement is behind the curve when it comes to AI adoption, despite those that have implemented things, such as machine-learning and AI-driven data analysis, seeing the benefits.

Simon Geale, vice president of client solutions at transformation procurement services provider Proxima, says: “It is early days. On the procurement side of things, we are seduced by the hype over practicality. Most of what we are seeing is either aggregating data or speeding up a process, so far.”

That is not to say that businesses are shunning AI. A recent survey by McKinsey found 47 per cent of companies have embedded at least one AI function in their business processes, up from 20 per cent in 2017.

McKinsey’s research showed that while most companies were adopting AI in areas such as service operations, marketing and product development, a significant number have started to use the technology in managing their supply chains.

Some sectors, such as retail, are adopting the technology far more rapidly in supply chain management than others.

It may be time for those businesses on the long tail of adoption to speed things up. Of those that have adopted AI in supply chain management, McKinsey reports 76 per cent have seen moderate or significant benefits.

So how are companies using AI? A survey by RELX Group late last year shows a focus on using AI and machine-learning principally to increase efficiencies or worker productivity (51 per cent), to inform future business decisions (41 per cent) and to streamline processes (39 per cent).

There are those in procurement who believe AI will destroy their jobs. Yet not all are convinced of this nightmare scenario.

Trudy Salandiak of the Chartered Institute of Procurement & Supply says: “Unlike many professionals, we think procurement will be future-proofed from being completely taken over by technology due to the human interaction and relationship management required.

“What it will do is provide much more visibility over supply chains to manage risk and seek out opportunities for innovation. It will also take away the process back-office side of the role to allow procurement teams to focus on more strategic areas.”

Ms Salandiak sees a role for AI in quicker and more accurate fraud detection, intelligent invoice matching and categorising vendors to rank their strategic importance in the supply chain.

AI chatbots have started to be used to help businesses articulate their needs with procurement, instead of completing lengthy requests on enterprise resource planning (ERP) systems. This echoes the voice experience consumers get through the likes of Amazon Alexa and Google Assistant.

Turkish telecoms company Turkcell has implemented a procurement chatbot, which learns continuously and simulates interactive procurement professionals’ conversations with business partners and vendors by using key pre-calculated user phrases and auditory or text-based signals. The chatbot interfaces with the company’s ERP system and it has enabled procurement professionals to cut out non-value-added activities and allocate their time to more strategic topics.

Meanwhile, Ireland’s Moyee Coffee has been working on a project in Ethiopia where farmers, roasters and consumers can access data as beans are moved from farm to cup. Consumers are able to use QR codes on the back of coffee packs to see where the beans have been sourced and how much the farmers have been paid, bringing unprecedented transparency to the supply chain. The project uses Bext360’s Bext-to-Brew platform with AI, blockchain and internet of things technology.

As consumers demand more authenticity and transparency, this trend is likely to continue.

The forecast value of AI to the global economy is being recognised by the World Economic Forum (WEF). In September, the WEF’s Centre for the Fourth Industrial Revolution unveiled a plan to develop the first AI procurement policy.

The work is being done in conjunction with the UK government’s Department for Digital, Culture, Media and Sport. A pilot starts in July and it is hoped it will be rolled out in December. This will include high-level guidelines as well as an explanatory workbook for procurement professionals. A further eight countries have expressed interest in extending the pilot globally.

The reason for putting together a policy now is that “regulation tends to be too slow”, says Kay Firth-Butterfield, WEF’s head of AI.

“From the procurement perspective, it’s drawing a line in the sand, saying this is how we expect AI to be produced in our country and we will not accept AI products that do not meet these criteria. It is agile governance,” says Ms Firth-Butterfield.

The technology will also allow public sector employees to do more strategic work. “In government, there are back-office gains to be had to free up civil servants to do more,” she says, adding that work on AI procurement in the public sector is expected to transfer to the private sector.

“Governments want their citizens to be at forefront of developing and using this tech, and benefiting from the economic gains,” says Ms Firth-Butterfield. “Governments’ significant buying power can drive private sector adoption of these standards, even for products that are sold beyond government.”

The 53 per cent of companies that have not started implementing AI may like to start thinking about it now.

This article, edited by Peter Archer, was taken from the Raconteur Future of Procurement report, as featured in The Times.  


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