All posts by Procurious HQ

The Power of the Hackathon: Putting Theory into Practice

The concept of a hackathon is nothing new. But more and more organisations are realising the benefits found in these events.

Many people associate the concept of a hackathon with the emergence of the digital age. However, it may come as a surprise to you, but the term ‘hackathon‘ was first coined in 1999. They started out as highly collaborative events, aimed at pooling computing resources for testing ahead of Beta launches.

However, in recent years, the hackathon has been hijacked by organisations who have recognised the benefits of these events. Now, everything from technological innovation to Blockchain have been the subject of a hackathon.

And there are more coming that you might be able to get involved with too!

This Hackathon is Spotless

This week, integrated facilities service provider, Spotless Group, are hosting a hackathon in conjunction with global start-up accelerator network Startupbootcamp. The two-day event, held at the iconic MCG in Melbourne, Australia, will focus on the Internet of Things (IoT) and DataTech.

Spotless recently highlighted innovation as a key priority for its business. The organisation is hoping that the event will help provide solutions to real problems, enhancing its overall customer service.

Julian Fogarty, Spotless’ General Manager of Brand, Innovation, and Technology, said, “By investing in external strategic programs, partnerships and events, Spotless is demonstrating to customers and shareholders its commitment to pioneering industry-leading services.”

The partnership with Startupbootcamp will ultimately help with a key issue found with hackathons – turning innovation into reality. The organisation connects corporates with start-ups and entrepreneurs, and helps put the ideas generated at a hackathon into practice.

The winners at the event will receive up to $10,000 and six months in Startupbootcamp’s start-up workplace. These teams will also receive advice from mentors and fellow hackers as they work on their ideas.

Digital Cities

It’s not just organisations that are organising hackathons to drive innovative ideas. The city of Sacramento, California, recently hosted a Startup Weekend to generate new business ideas for the city.

Teams were created on the first day, then ideas were generated over the course of the weekend, with business pitches on the Sunday evening. From there, the three winning ideas went to pitch to investors at a venture capitalist event in the city, with the hope of securing funding to go forward.

Another place looking to hackathons to generate innovation is Delta State, Nigeria. The event is aiming to generate new solutions in line with the UN’s ‘Sustainable Development Goals’, with a particular focus on critical needs and solutions for African countries.

The hackathon is being supported by Google, who is not only hosting, but providing some of their own developers to help kick-start the process. It’s expected that around 3,000 people will attend the event in December, either as participants or in the audience.

Hackathons and the Blockchain

One term that has been coined recently is ‘The Hackonomy’. The concept is derived from the Blockchain, and has much in common with bitcoin. To drive a more official side of hackathons, and to provide reward for innovation, a crypto-currency, HackerGold, has been developed.

The currency will allow “frictionless” access to a marketplace of developer talent pools and code libraries for start-up companies. By opening up this market, it should also enable previously unconnected ‘hackers’ to connect and work together.

Blockchain Lab, a blockchain technology pioneer, is set to be the first organisation to accept HackerGold. It will use the currency to pay for services, such as auditing on smart contracts, and code development.

There’s plenty more to come from this space in the shape of a 5 week hackathon, ether.camp, currently being held in London. It’s the first hackathon to be held entirely using Blockchain, and looks set to create a new generation of start-ups using this digital technology. We’ll be interested to see the outcomes when the event finishes on December 22nd.

Have you used a hackathon in your organisation? Or have you been involved with one? Was it a success? Let us know below.

While we try to get our heads around a whole new set of terminology, we’ve sourced your top headlines for this week…

Apple’s Rumoured Expansion into Digital Glasses

  • Apple is rumoured to be considering an expansion into the production of smart glasses.
  • Apple Inc. is reported to have spoken with potential suppliers about the wearable technology, and ordered small quantities of near-eye displays from one supplier for testing.
  • CEO Tim Cook is a known enthusiastic for augmented reality (AR), particularly after the success of Pokémon Go earlier this year.
  • The Apple glasses would be the company’s first product targeted at the AR market.

Read more on Bloomberg

Solar-power Shingles Cheaper Than Roof Tiles

  • Tesla and SpaceX Founder Elon Musk has unveiled a new product – a roof consisting entirely of solar-power generating shingles.
  • The tiles are comparable to high-performing solar panels in terms of power generation.
  • The roof costs less to manufacture and install than a traditional roof, on top of the predicted electricity savings.
  • The anticipated cost savings are due to lower shipping costs, as the tempered-glass tiles are only a fifth of the weight of traditional roofing materials and are less susceptible to breakage in transit. 

Read more on Bloomberg

Procurement Fraud Worsens in Australian Public Sector

  • A recent investigation has found that public sector fraud in the Australian state of New South Wales (NSW) cost the government up to $10 million between July 2012 and June 2015.
  • Procurement and contract management fraud caused the heaviest losses, with each case costing an average of $225,000 and, in one case, $1.7 million.
  • Scams involved invoices for work never done, inflating invoices, or invoicing for non-existent work done by non-existent companies.
  • Incidents also included falsified timesheets and records created for goods and services that had never been delivered.

Read more on Government News

VW to Cut 30,000 Jobs from VW Brand

  • Car-maker Volkswagen has announced it will cut approximately 30,000 jobs at its VW brand over the next five years.
  • 23,000 of the jobs set to be cut will be in Germany, the company’s biggest unit.
  • VW said the decision was aimed at improving profitability in addition to funding a shift towards producing electric and self-driving vehicles.
  • However, it added that it will create around 9,000 new jobs by increasing investments in electric car technology.

Read more at International Business Times

Could Brexit Cloud have a Silver Lining?

The Brexit result upset the apple cart. It also left many people searching for a silver lining to the clouds on the horizon.

This article was written by Daniel Ball, Director, Wax Digital.

Marmite – you either love it or hate it as they say. Well, Tesco for one was probably agreeing with the second of those sentiments recently when its rocky relationship with the brand’s owner Unilever hit the press.

As you’ll remember the food giants’ spat was triggered when Unilever stated it would need to raise its UK prices. This was in order to offset the impact of the pound’s post-Brexit weakness against the Euro in its supply chain.

Tesco retorted by removing Unilever products from its shelves. A bold move considering the food manufacturer owns many leading consumer brands.

Weakening Sterling

To recap, in mid-October the pound fell to a value below €1.10 for the first time since March 2010. The pound had generally been on the slide ever since the UK’s EU referendum back in June. It was also performing weakly against other major currencies including the US dollar and those in most emerging markets.

In many ways this is bad news for UK consumer and business to business purchasing. Both as individuals and organisations we’re pretty heavily reliant on global supply chains, meaning that it will cost domestically-based organisations heavily.

UK manufacturers sourcing parts and materials from overseas to make products locally, will pay more due to poor exchange rates.

Equally retailers and wholesalers buying end products from other countries will pay more to put them on their shelves or fill their warehouses. These cost increases will inevitably be passed on to UK business customers and consumers alike.

Returning to Domestic Focus?

However the situation may not be all bad and there could be a silver lining in this post-Brexit cloud. One potential positive outcome from this situation could be some British supply chains choosing to return to a more domestic focus.

Weighing up the options in a less than favourable global financial position, it may make sense for some UK businesses to explore the cost benefits of buying locally. This will help to remove exchange rate risk, even if local supply is not the cheapest price book option.

After years of decline, UK manufacturing may actually receive a boost and resurgence of ‘Buy British’ standards of the past. However this will be fuelled by necessity, rather than a Brexit campaign.

Admittedly it’s an ambitious scenario. Imagine the impact of Tesco commissioning UK food producers to come up with viable, locally made alternatives to replace Unilever’s full range. Especially considering its brands comprise around half of the worldwide grocery market share.

Secondly, consider how a weak pound may also drive overseas buyers to look to British suppliers for pound-based pricing. This will allow them to realise the benefit when the Sterling costs are converted back into their own stronger currencies. UK suppliers could see new market openings and opportunities to trade overseas that once didn’t exist.

British supply may suddenly become in vogue.

Silver Lining in Currency Battles

For procurement teams choosing to buy domestically, a move such as this will mean significant focus on supplier sourcing and close inspection of supplier relationships. Necessary checks and due diligence would have to be built in, in order to ensure any changes in supply didn’t leave the business at risk.

Equally procurement professionals working supply side in the UK should seek to advise the business on how to make the most of new opportunities and negotiate effectively in supply relationships.

Brexit is rather like Marmite in that it divided the nation. But while there are fears about the UK’s future after Brexit, recent currencies-related battles have highlighted a potential silver lining.

Now could actually be the time where we see both onshore and offshore buyers eyeing up UK supply options over going overseas or opting for their foreign domestic choices.

Procurement would need to ensure necessary checks, due diligence and information management in new sourcing activities. There would be a need to ensure swift and effective onboarding. New contracts and relationships would have to carefully managed to minimise ongoing trading risk with new partners.

But if procurement can pull this off, who’s to say this cloud couldn’t have a silver lining?

Big Ideas Summit 2016: Big Idea #23 – Engaging Social Innovation

Are enough procurement professionals taking account of social impact in their work? Are they risking missing out on innovation?

At the Big Ideas Summit 2016, we challenged our thought leaders to share their Big Ideas for the future of procurement.

From ideas that have the potential to change the very nature of the procurement profession, to ones that got the assembled minds thinking about the profession’s impact outside of the organisation, the response we received was amazing.

Procurement’s Social Impact

Timo Worrall, Senior Category Manager FM EMEA at Johnson & Johnson, talks about J&J’s ‘Social Impact Through Procurement’ programme. The programme is focused on driving job creation and increasing spend with social enterprises.

Timo argues that by engaging with social enterprises, procurement is not only accessing innovation and new suppliers, but giving something meaningful back to communities.

Catch up with all the delegates’ Big Ideas from the 2016 Summit at the Procurious Learning Hub.

Want to find out more about Big Ideas 2016? And maybe what we have planned for 2017? You can visit our dedicated website!

If you like this (and you haven’t done so already) join Procurious for free today. Get connected with over 18,500 like-minded procurement professionals from across the world.

How 9 Technologies Will Drive Global Supply Chain Disruption

Cloud corporations, supertrends, and potentially procurement without lawyers and auditors. Are you keeping up with technologies driving global disruption?

Last week, Procurious attended the ProcureCon Europe conference in Berlin. You can read about our experiences, keynote highlights, and more on our Blog.

One keynote caught our attention enough that we felt it needed delved into in more detail. Professor Leslie Wilcocks, Professor of Technology Work and Globalisation at LSE, spoke about how procurement needed to prepare itself for digital disruption.

If you are a regular reader of the Procurious Blog, then you will be aware that we have a keen interest in future technologies. From drones and last mile logistics, to blockchain, we’re aiming to keep up to date with the impact on global supply chains.

So with this in mind, we revisit what was a fascinating keynote.

Prepare for Disruption!

Professor Wilcocks kicked off with the following statement: “Technology will disrupt pretty much everything between now and 2025.” This isn’t just the world of business, though that will see a massive change. But it’s also everything we do, see, touch, and encounter in our daily lives.

According to the GEP Procurement Outlook 2016, there are 5 so-called “supertrends” we need to be on the look out for. These are:

  1. Heightened impact of geo-politics
  2. Shift of economic power to the USA and emerging economies
  3. Continued decline in global commodity prices
  4. Increased impact of climate change
  5. Push to Digital

It’s safe to say that all five have been highly visible during this year. We’ll be keeping an eye out for 2017’s “supertrends” with great interest!

However, it’s the fifth trend that Professor Wilcocks focused most on. He believes that much of the interconnectedness and innovation being seen in procurement comes from the application of technology.

As we have frequently stated, procurement cannot afford to ignore technology. If it does, it cannot deliver true value to organisations, and faces redundancy, or obsolescence, in a fast-changing world.

Rise of “The Cloud Corporation”

Happily, the assembled procurement professionals were given a list of technologies to watch over the next 4-5 years. These fell into an easy to remember acronym, SMAC/BRAID.

  • Social Media
  • Mobile Technology
  • Analytics (Big Data)
  • Cloud Service
  • Blockchain
  • Robotics
  • Automation
  • Internet of Things
  • Digitisation or Digital Fabrication

These technologies all link together to help the emergence of digital businesses. Or as Professor Wilcocks put it, “The Cloud Corporation.” They also provide a number of opportunities and challenges for businesses. They need to be more agile, and manage on a ‘micromultinational‘ level, but it also opens up the potential for major process innovation.

However, Wilcocks did give one caveat on technology and innovation. No-one knows how to fully maximise the potential of technology. The only way to do this is by learning by making mistakes, something less agile organisations have proven themselves to be less good at in the past.

Transforming the Supply Chain

So how does all this fit together with disruption to the global supply chain? For the most part, the disruption has already started, and, as a result, organisations are playing catch up. However there are some tactics that can be used.

  • Organisational – realigning organisations strategy for supply chains on a functional, geographical or regional level.
  • Technological – ensuring supply chains are integrated to work best through better connectivity.
  • People – traditional pyramid structures aren’t optimised for the digital era. Human talent in the digital supply chain should be organised as a diamond, providing a more streamlined hierarchy, and better training opportunities at the lowest levels.

Switching the focus to the benefits of automation showed how the technologies could impact productivity. Traditionally, organisations have used five methods to transform their supply chains:

  1. Centralise
  2. Standardise
  3. Optimise
  4. Relocate to Low Cost Region
  5. Technology Enablement

However, there is a sixth that can, and is already, increasing productivity in supply chains – automation. It’s estimated that by automating, an extra 3-4 per cent can be added, on top of the efficiencies found in the other measures, by automating processes.

Final Word on Blockchain

There was one final word on blockchain before the end of the keynote. The disruption being caused by blockchain is, in itself, a protector for organisations from being disrupted. And organisations can leverage the technology to aid transparency, governance, and authentication.

Blockchain can also help with the evolution of “smart contracts”. These contracts can have rules set for automatically storing data, and executing commands.

Could it help to disrupt the disruptors? Probably, yes. Operating the technology at its most effective level could remove the need for banks, lawyers, credit cards, and even auditors, in the procurement process.

Whatever the challenges that exist, surely that’s something to aim for. Isn’t it?

Roll Out the Red Carpet – David Cameron to Deliver ISM2017 Keynote

The Institute for Supply Management (ISM) announces its most impressive keynote to date as registrations for ISM2017 open.

david-cameron

Former UK Prime Minister David Cameron will deliver the opening keynote at ISM2017, it has been announced today.

Cameron will speak about the geopolitical impact of policy and current events on global business. Over 2,500 assembled procurement and supply chain professionals will witness a riveting and eye-opening first-hand account of Cameron’s own experience during his tenure as UK Prime Minister.

With Brexit arguably being the defining moment of his career, Cameron will share his unique understanding of what the result means for US businesses and supply chains the world over, including its effect on globalisation.

Sharing Leadership Lessons

Cameron’s appearance continues a strong tradition of impressive keynote speakers at ISM’s annual conference. He follows in the footsteps of former President and CEO of Ford Alan Mulally, author and introversion expert Susan Cain, former Secretary of Commerce and professor of public policy, Susan Schwab, and former US Secretary of Defence, Robert Gates, as keynote speakers.

Learning and Networking in the Heart of Disney World

ISM2017 will be held at the Disney Coronado Springs Resort in Orlando, Florida, in the heart of Disney World. This surely makes the one annual conference where attendees will be sure to bring their families along! The conference will feature:

3 Learning Tracks – designed to help attendees deep-dive into three large themes over the conference:

  • Economic (Boom or Bust)
  • Business (Top Line and Bottom Line)
  • Professional (Inside and Outside)

As per previous years, all sessions are tagged with ISM Mastery Model experience levels, ranging from Fundamental through to Mastery.  

11 Signature sessions, including:

  • Unleash the magic of transformational supplier Relationships
  • Accelerating your career path with “insides” from procurement leaders
  • How to lead a successful transformation
  • Be a hero in boom times, not just in bust times
  • Shift the focus to change the results: Procurement’s opportunities to grow the top line

73 other conference sessions on overcoming shared challenges, featuring procurement and supply chain experts from around the world. 

Pre-conference training seminars and certifications, including the CPSM Exam 1 now offered onsite at ISM2017.

Presentation of three major awards

  • The R. Gene Richter Scholarship Program, providing scholarships to six students gaining an education in supply management or procurement.
  • The J. Shipman Gold Medal Award, presented to individuals whose unselfish, sincere and persistent efforts have aided the advancement of the supply management field.
  • ISM and ThomasNet’s 30 Under 30 Rising Supply Chain Stars program, recognising young procurement and supply management professionals for their passion, creativity and contributions to supply chain.

Finally, and perhaps most importantly, ISM2017 offers unparalleled face-to-face networking opportunities with thousands of peers from the profession.

Whether you attend ISM2017 to hear from thought-leaders, hone your skills, witness David Cameron’s keynote, network with peers or simply to have your kids meet Mickey Mouse at Disney World, be sure to share your experiences with the online community here on Procurious.

Registrations are now open for ISM2017. Find out more by visiting http://ism2017.org/

Disrupting or Disrupted? Why The Status Quo Won’t Do Anymore

If you’re not disrupting, then you are being disrupted. If procurement doesn’t get to grips with the right technology, then the profession’s future path is uncertain.

Watch our free webinar, ‘200,000,000 to 1: Using Technology to Find Your Perfect (Supply) Partner’, here.

The current pace of change around the world is unprecedented. Procurement and the wider organisation are quickly recognising that maintaining the status quo will not suffice in staying ahead of the pack.

However, that’s not to say that simply implementing a technology solution will solve every problem. No technology is perhaps better for the long-term health of an organisation, than a poorly chosen technology, implemented poorly.

Procurement 4.0 is a term many of us are using to encapsulate the changes Industry 4.0 is making in the supply chain. Also known as the fourth manufacturing revolution, Industry 4.0 marks the convergence of physical and digital manufacturing capabilities, where increasing automation and computerisation allow us to create so-called ‘smart’ workplaces.

Technology is at the core of the Industry 4.0 changes. Procurious hosted a webinar last week, in conjunction with Oracle, to discuss the critical role technology will play in the evolution and advancement of the procurement profession in this “brave new world”.

Ask the Experts

We invited David Hobson, Business Development Director, Cloud Solutions at Oracle, and Darryl Griffiths, Enrich Director of Delivery and Presales, to help us answer the tricky questions.

The discussion covered four key topics and challenges that face procurement, and provided some solutions as to how the profession can deal with them in the future.

Innovation

“IT is only ever an enabler for change.”

Procurement is under a lot of pressure today to find suppliers who will deliver the ground-breaking innovation that will give their company a huge competitive advantage.

However, real innovation is now coming from smaller, more agile companies, which procurement hasn’t traditionally worked well with. Traditional procurement structures and processes have been designed to work with large strategic suppliers, and are now inhibiting innovation.

We heard:

  • Why most rationalisation and standardisation efforts in the supply base have failed.
  • How the right technology or platform can ensure that performing supplier relationships are fully leveraged.
  • Why the challenge for business is to be able to adapt and apply new solutions and technology for competitive advantage
  • Why highly customised legacy systems, fragmented data, complex integrations and inefficient processes are hindering the digital innovation agenda.

Predictive Analytics

“Increasingly the evolution of the procurement function is to more proactive, rather than reactive.”

Spend management and standardising processes can come across as a pretty uninspiring (yet essential) part of what we do. Technology, innovation and digital strategies are where people want to be, but it all comes undone if we’re not managing risks in the supply chain.

On the table in this topic was:

  • The question of are procurement using the right tools in the right way?
  • The vast array of data available for tracking compliance, and how organisations can best leverage this.
  • How automating non-differentiating processes will free up time for value creating parts of the business, such as gathering insights into changing market dynamics.
  • Why many organisations are still grappling with getting data into a structured and accurate form that they can use for predictive analytics.

Streamline Processes

“Organisations that are effective in integrating data outrank their peers by 70 per cent across revenue and margin.”

If procurement can get its processes frictionless, we could then focus on the sexier, more value-adding, parts of procurement.

Standardised processes are a huge enabler for this. And, of course, technology plays a huge role in helping realise the benefits of standardised processes.

We found that:

  • In the past, often the best the system ever was on go live day, thanks to sporadic, or non-existent updates
  • Few organisations are entirely harmonised across business operations, as result of M&A, divisional evolution and conflicting business demands.
  • People tend to underestimate the complexity of stitching together the myriad vendor solutions as they aim for a more B2C-type interface
  • We will see gaming industry concepts and increasing virtual representation as part of Industry 4.0

Implementation

“The journey to Cloud is often viewed as a when, rather than an if.”

Time and time again, we hear stories about how the business case a software solution hasn’t been realised due to a failed implementation.

Among some of the most common reasons for this are a lack of understanding that this is a change management process, not just a technology roll-out, and cuts to budget for training and support.

Our experts also argued that:

  • Solutions providers need to move from being software companies, to being service companies, or risk losing their customers.
  • Grand technological visions of the past failed as the solutions we too far out of line with the business needs
  • Regardless of solution some common foundations exist for any project success which include rubbish data in means rubbish data out.
  • Change management is vital in implementation, or people will revert to old habits
  • Focus needs to be on proving the tools first to help quickly establish credibility

Watch Now!

These are just some of the highlights from the webinar. You can catch up with the full discussion by signing up here.

And the learning doesn’t stop there. If you have any questions, please let us know below, and we’ll make sure it gets passed along to the experts.

For more information, and to watch the full webinar, visit our dedicated page.

Could President Trump Make Procurement Great Again?

Not that we’re saying that procurement isn’t already pretty great. But could a new man at the top mean major changes for the profession?

If you missed the result of the US Election last week, then you must have been on Mars. Or living under a rock/hiding behind your sofa. In an unexpected turn of events, Donald Trump was elected as the 45th President of the United States of America.

And irrespective of your thoughts on both the campaigns, and the ultimate result, it’s clear that there are changes coming. We have no idea what Trump’s first 100 days in office will look like, so much of what we’re seeing is still very much educated guesswork.

But should many of the agendas and policies from the campaign come to fruition, then procurement and supply chains, both domestically in the US, and globally, will be affected.

Automotive Indecision

A great deal of campaign rhetoric from the Trump camp came in the shape of American industry, and American jobs. The President-elect frequently stated he would look to remove the US from the North Atlantic Free Trade Agreement (NAFTA) should he win the election.

If this were to happen, it could potentially boost the US’ ailing car industry. In the past year, 8 new manufacturing plants have been created in Mexico, having been moved from the US for lower wages. Included in this number is Ford, who moved all small car production from Michigan to Mexico in September.

If Trump were to end US involvement in NAFTA, these car manufacturers would be just a few of the organisations with a big decision on their hands. Should they manufacture abroad and risk rising import costs? Or return operations to the US heartlands, and pay considerably higher wages?

However, though it’s easy for America to withdraw from NAFTA, it’s unclear what tariffs would be placed on imported goods. Beyond this, it’s likely to result in higher prices for American consumers (and buyers too), without any guarantee that jobs would return to the US either.

From a global supply chain point of view, it wouldn’t create much change. Mexico will remain an attractive proposition for non-US companies, such as Audi, BMW, and Toyota, none of whom are subject to NAFTA. So concerns the Mexican economy will collapse are unlikely to be realised.

Great Big Business Benefits

However, some big businesses and industries would stand to gain significantly from a Trump presidency. In the days following the election, shares in Oil and Gas companies shot up, following Trump’s pledge to make the US energy independent.

This would mean great exploration of the US mainland, and potentially relaxation of environmental policies put in place by President Obama. This would in turn impact procurement, who would have to bear in mind any changes in longer-term contracts.

Another group to benefit could be the Defence sector. There is likely to be great investment in defence in America, which may in turn move other countries to do likewise. Increased spending could free up previously-stalled projects, and kick off new projects benefitting both procurement and suppliers.

Finally, it’s fully anticipated that infrastructure procurement will be increased. With more money being promised to federal budgets, but greater efficiencies required, procurement will play a pivotal role in ensuring that funds are used wisely.

Investment Nerves

In the hours following the announcement of Trump’s victory, global markets dropped significantly. However, the drop, unlike Brexit, was a temporary one, with nearly every major market reporting an increase by close of trading.

Long-term, however, no-one is exactly sure what will happen. As one media source put it, “Investors are in wait and see mode”. This is likely to continue until the middle of 2017 at least, when formal policies will become much clearer.

strong anti-globalisation message resonated through the Trump campaign, and there are concerns that major investments will be hedged until such times that investors are clearer on what the outcomes might be.

Countries like India have traditionally relied on US investment. Any major policy changes could in turn impact significantly on the linked global supply chain. Whichever way it happens, organisations at least have a while to prepare, with President Trump due to take office on the 20th of January 2017.

What do you make of the procurement implications of the election? How major do you think the changes will be? Let us know in the comments below (procurement/business only, no political views please!).

It’s not been easy with news cycles dominated by other events, but we’ve found some great headlines this week.

GM to Cut Production Shifts in US

  • General Motors are to cut production shifts and lay off 2,000 workers at car assembly plants in Ohio and Michigan.
  • The move comes amid falling demand for passenger cars, and shifting consumer trends.
  • GM is the latest in a series of auto makers taking steps to deal with softer retail sales.
  • Earlier this year, GM announced plans to invest up to $691 million to build new plants and expand current ones in Mexico.

Read more at the Wall Street Journal

Burberry Cuts Product Lines

  • UK luxury retailer, Burberry, is to cut the range of products it offers by between 15 and 20 per cent.
  • The company reported a 40 per cent drop in first-half profits, blaming rising costs for the fall.
  • Pretax profit for the first six months of 2016 was £72 million, compared with £119.5 million in 2015.
  • The company has recently written down a number of assets, as well as incurring major costs for restructuring plans.

Read more at Market Watch

Rio Tinto Suspends Executive Over Alleged Payments

  • Rio Tinto has suspended a senior member of staff following an inquiry into a $10.5m payment made to a consultant on a mining project in West Africa.
  • The company launched an investigation in August 2016 after email correspondence from 2011 was found.
  • The emails showed “contractual payments” made to a consultant providing “advisory services” on the Simandou scheme in Guinea.
  • Rio Tinto has also announced that its selling its stake in the Simandou scheme to another project stakeholder.

Read more at Supply Management

Review Called After Contract Dispute Payout

  • Calls for an urgent review have been made after new details emerged about a £1.25m compensation payment following a contract dispute.
  • Legal proceedings were brought by Triumph Furniture after it challenged a contract awarded to a rival.
  • It has now emerged the Welsh Government was alleged by the bidder to have breached EU rules.
  • The Welsh Government said it was taking the issue “extremely seriously”.

Read more on The BBC

Ask Not What You Can Do for Your Organisation

But what your organisation can do for you. And these tips should point you in the direction of a great employer.

jfk organisation

For a decade or more, the economy has very much been a hiring manager’s market. A number of economic events culminating in the GFC made it increasingly difficult for even the most qualified candidates to find a position. But not anymore.

Thanks to a host of economic upturns, more and more jobs are appearing. Finally applicants can ask: “What can an organisation do for me?”

These days, it is important for employers to consider how they can work to better their workforce. Career management is no longer the sole responsibility of the worker; companies must consider how to lend their employees support.

As a job candidate, you should look for organisations that are eager to learn your goals and aspirations, and provide backing and encouragement to help you achieve them. More specifically, you should search for an employer willing to do the following for the sake of your career:

Understand Your Intended Path

As a human being, you have personal and professional goals. Often, those goals include a specific career path culminating in a prestigious job title with important responsibilities and generous benefits.

From the very beginning of your employment, your employer should be eager to learn your goals and pave the way for you to achieve them.

As you endure the job-hunting process, you should explain your personal and professional plan to every prospective employer. The most promising employers will respond with information on career paths through their organisations, available career-boosting tools or programs, and (most importantly) a commitment of support for your goals.

Those who seem uninterested in your goals will not do anything to help you achieve them.

Adapt Roles and Responsibilities

Though you might not expect an entry-level position to be handcrafted to match your abilities and interests, as you head into your mid-career, your employer should begin adapting your role and responsibilities to suit your preferences and skills.

In fact, ideal organisations will be able to assess your strengths and weaknesses and provide opportunities for you to develop those abilities you will need to enhance your career and achieve your professional goals.

During the interview process, you might ask about the possibility of you gaining a hand in the development of your work responsibilities as you gain experience within the organisation.

Offer Necessary Resources

Regardless of your career goals, your organisation can dramatically improve your chances of success by connecting you with valuable resources.

Perhaps most importantly, your employer should have a programme to support the continued education of its staff. This can be through workplace seminars or tuition reimbursement.

Flex time will help you pursue advanced education, like a master’s of organisational leadership degree, that could qualify you for top positions at your organisation while also improving your skill set for the company.

Additionally, you might look for an employer that boasts a mentorship programme. This way, you can build relationships with important figures at your company and gain career-boosting opportunities.

Be Respectful and Compassionate

It is entirely likely that your goals will change during your career. It’s imperative that you find an employer who won’t disrespect your choice, or react extremely and destroy your opportunities for success.

Employers should recognise the value of investing in employees, who will undoubtedly become valuable assets or allies in their future positions – regardless of whether those positions are inside or outside the organisation.

It isn’t difficult to identify companies who lack compassion for their workers. You can often find evidence of poor treatment on ratings websites like Glassdoor.

Most organisations think first of the profit margins, second of the customers, and third of their employees. In years past, companies had little reason to worry about workers leaving for better jobs, because the potential for finding alternative reliable employment was low.

However, if we expect the current trend of job growth to continue – which it should, given the strength of the economy and imminent retirement of baby boomers – employers must begin to consider the health and happiness of individual employees.

Being kind and supportive, having tools for personal and professional improvement, and remaining flexible in roles and rules are the hallmarks of organisations that treat their workers well. You should keep an eye out for job opportunities with companies like these.

Tiffany Rowe is a marketing administrator who assists in contributing resourceful content throughout the World Wide Web. Tiffany prides herself in her strong ability to provide high quality content that readers will find valuable.

Big Ideas Summit 2016: Big Idea #22 – Revolutionising Financial Services

Crowdsourcing and mobile technology will change the face of Financial Services and how new businesses source funding.

At the Big Ideas Summit 2016, we challenged our thought leaders to share their Big Ideas for the future of procurement.

From ideas that have the potential to change the very nature of the procurement profession, to ones that got the assembled minds thinking about the profession’s impact outside of the organisation, the response we received was amazing.

Winds of Change in Financial Services

Chris Hancock, CEO at Crowd2Fund, says that there is a revolution coming in the global Financial Services sector, thanks to the power of community and new mobile technology.

Chris draws on his own experience to explain how this revolution will change how money is lent to businesses. This in turn will help to increase the number of small, agile, innovative businesses getting started.

Catch up with all the delegates’ Big Ideas from the 2016 Summit at the Procurious Learning Hub.

Want to find out more about Big Ideas 2016? And maybe what we have planned for 2017? You can visit our dedicated website!

If you like this (and you haven’t done so already) join Procurious for free today. Get connected with over 18,500 like-minded procurement professionals from across the world.

Getting Millennials on Board the Collaborative Procurement Bandwagon

Could the secret to e-procurement adoption success be Millennial engagement? Could more collaborative approaches be the key?

fotozick/Shutterstock.com

This article was first published on My Purchasing Center.

No matter how good your e-procurement solution is, its success depends on user adoption. Getting employees to purchase through an e-procurement system is a hurdle that needs to be overcome in any organisation, particularly when it comes to engaging Millennials.

This generational powerhouse is having a major influence on corporate culture and how we interact with technology and communicate with each other.

This generation, which grew up with technology and social media, is accustomed to getting information at the tap of a finger, participating in digital communities, and relying on online reviews and opinions.

And they have come to expect this same level of convenience, immediacy and ease of use with the enterprise technology solutions – including the procurement systems – they use.

Raising Millennial Interaction

Understanding how millennials interact with technology is critical to increasing adoption of procurement systems. And as their significance and numbers in the workplace increase, so too does the importance of recognising their needs.

So how can you effectively engage them? Here are five strategies for increasing Millennial adoption of procurement systems:

1. Make it Relevant

To minimise rogue buying, make sure your system is relevant to the daily work lives of the users. Ensure it is as fast and easy to use and as user-friendly and intuitive as consumer sites. This means offering users efficiencies that resolve challenges unique to their specific roles.

Create a seamless process, enabling users to quickly and easily find what they are looking for and submit travel and expenses on-the-go. By creating these user-friendly systems and processes, you will encourage users to make the best decision possible because it’s the easiest thing to do in the natural course of their work.

2. Leverage Critical Intelligence

Gather knowledge from users across the enterprise to tap into the wisdom of the crowd and promote success. Create your own crowdsourcing environment on your procurement system.

Allow employees to suggest the items they need to do their jobs best so that procurement teams can negotiate the best contracts for those items. Help users save time by creating a system that recognises their needs and serves up the right information at the right time.

Create social opportunities. Consider setting up a reviews section where employees can post and read products and services reviews from their colleagues. This section could also promote corporate social responsibility by allowing them to share information on suppliers with green practices.

3. Instil a Bottom-up Approach

Instil a bottom-up approach to system design, roll-out and management. Empower users to drive and improve the process, instead of trying to control people and force them into compliance from the top down.

By making users active participants in strategic company initiatives, they will have a sense of ownership and feel more engaged. This also ensures you’re delivering a system that meets users’ needs and one that they will like using.

4. Foster Awareness of Actions

Foster awareness across the user base by incorporating gaming and making it fun. The Pokémon Go craze, which has caught on like wildfire, shows the appeal that games have with millennials.

You could create healthy peer competition by showing employees how their efforts compare to their peers, such as who are the smartest shoppers, and who are the most frugal travellers. Recognise them on the system with bronze, silver and gold achievement levels.

Share the visibility you have into spend, and track usage and measurable results across the enterprise so employees can see the value they are adding, how their actions directly contribute to company goals and what others are doing to achieve success.

For example, show the progress your company is making on overall savings goals, user adoption and total spend under management. This will create the mindset that every person who buys goods and services is not only helping to optimise processes that streamline their daily tasks, but also creating spend data that can be used to make better decisions and save money for the organisation.

5. Reward the achievers

In our research, we’ve found that the number-one reason users drop out of a process is because they don’t understand what’s being asked of them and feel their actions are not making a difference.

Create a greater level of awareness by acknowledging company “rock stars” – employees who make big strides toward company goals through consistently demonstrating desired behaviours.

You can reward these individuals through points and badges. For example, “Speedy Approver” for those in the top percentile of the approval cycle. Or “Compliance Champion” for those requesting items that are on contract 98 per cent of the time.

These strategies will help you build a collaborative procurement culture that not only engages millennials, but all of your employees. As users better understand greater company goals and are incentivised to participate, they will gradually shift their spend behaviours to strategic, deliberate approaches that help realise collective goals.

You will not only turn Millennials and other employees into stewards of company funds, but your company will also benefit from the cost savings, and optimised processes that collaborative, strategic purchasing delivers.

Tehseen Dahya is General Manager, North America for Basware, a leading provider of networked purchase-to-pay solutions, e-invoicing and financing services.