4 Reasons Why Your Organisation Isn’t Embracing Cognitive

In the battle for capital, how does procurement ensure its cognitive projects come out on top?

At last month’s London CPO roundtable; Amit Sharma, Global Procurement Practice Leader for Cognitive Process Services (CPS) –IBM led our attendees in a discussion on how procurement leaders can ensure their cognitive projects come out on top.

There is so much potential in cognitive technology to transform the role of procurement. It will allow professionals to do dynamic forecasting, telling you when to raise acquisition and awards contracts to a particular supplier based on a triage.

“For procurement, maintaining our relevance to the organisation beyond cost savings is imperative” said Amit.  “[Procurement pros] need to embed the latest in technology as best practise into the business as it will free up our time and help us to move from transactional to strategic management.”

“The logic is unquestionable.  We know the sophistication of AI is going to come. It’s a question of when, not if.”

But when it comes to making the leap to cognitive, which can do a world of good for analytical and predictive analysis, organisations are still hesitant.

Procurement needs to make the business case for how cognitive can add long-term value and, as Amit reminded us, “If you’re not convinced, you can’t convince someone else”

Throughout our discussion, four key reasons for an organisation’s reluctance to embrace cognitive tech became apparent.

1. Remaining skepticism at the value of cognitive

As Amit explained, cognitive technology like Watson can help procurement professionals to analyse reams of data. It would, for example, allow users to plot the price at which they are being charged for something by suppliers and analyse how the index has moved in past [x] years. Five years ago this process would have been extremely time consuming but with the index data, the system can quickly tell you exactly where you’ve been overcharged.

So it all sounds great. But in reality, business leaders are often skeptical about the actual cost savings brought about by this kind of analysis.

Do you genuinely make better decisions in the long term by having so much data at your fingertips? Or can you have just as much success through effective negotiations with your suppliers?

Amit’s response to this “If you’re not doing spend compliance – you don’t know if you’re compliant. If you’re not analysing this data, you don’t know the potential cost savings.”

“I spoke to a CPO who thought their processes were good. [But it was discovered that] there was a 40 per cent unit price difference across the company in the same category, simply because the left hand doesn’t know what the right hand is doing!”

2.  Spend within organisations is fragmented

One key problem for procurement, when it comes to implementing cognitive technology, is that the CPO doesn’t always have the authority to drive transformation. Perhaps they are reporting to a CFO who doesn’t see value in cognitive tech or the spend might simply be too fragmented across the business. When it depends on lots of other people, procurement are unable to drive change effectively.

As one of our roundtable attendees pointed out “there are organisations I know who can’t justify the need to implement Ariba to their CFO- let alone cognitive technology!”

3. Trouble looking at the bigger picture

Several of our roundtable attendees cited short-termism as a key reason for their organisation’s lack of cognitive adoption. “The mistake we make is that we look at opps in a tactical way and not at the bigger picture,” said one CPO.

“For example, we know that there will be headcount reduction in the coming years and we will benefit hugely from cognitive tech, but articulating that at a hollistic level to the CFO and explaining it as a 5-year journey is the challenge”

4. Confusion about AI

Remarkably, one of the biggest challenges remaining around  the uptake of cognitive technology is a universal lack of understanding of what it actually is and the distinctions between different terms.

“You can start talking to a group about AI and within a few minutes people are talking about blockchain, as if the two are interchangeable,” said one of our attendees. “People need to have a clearer understanding of the buzzwords ; AI, blockchain cognitive etc.”

Of course, there are people who know a little and people who know a lot. And that’s a challenge in itself.

Read more here on the insightful discussions had at our London CPO roundtable. 

Procurement 2030: Makeover or Game Over?

The profession must evolve, but which way will it go? How can procurement give its value offering a makeover, and what are the indispensable human skills that will future-proof procurement careers … before it’s Game Over? Take the survey to help us find out!

10-15 minutes is all it will take to put yourself in the running to win a retro, cocktail-style arcade machine!

We need your input to discover:

  • What’s keeping procurement and supply management professionals awake at night as we hurtle towards the brave new world of Industry 4.0?
  • How is your procurement function preparing today for the digital revolution?
  • Which skills are most likely to be automated, and which skills are irreplaceable?
  • What does the future of procurement talent look like?

We’ve kept the survey to under 15 minutes – we know you’re busy!

Cool prize, right? But you’ve got to be in it to win it! The Procurement 2030: Makeover or Game Over survey is only open until Friday 22nd June. Participants will also receive a copy of the report summarising the findings of the survey.

CLICK HERE to take the survey!

5 Organisations That Are Fighting Plastic

The war against plastic is not all doom and gloom. Thankfully, the world’s biggest corporations are waking up to the reality that big change has to happen… and soon!

In last week’s Procurious blog we explored the threats currently facing The Great Barrier Reef – reporting on the eight million tons of plastic that enters our oceans every year and the prediction that by 2050 there will more plastic in the ocean than fish.

It’s hard not to be horrified by some of the images emerging that demonstrate the impact of plastics on our oceans, our beaches and  our wildlife. No one could forget, for example, Justin Hofman’s photograph of a seahorse clinging to a discarded cotton bud – a  painfully stark image.

Last month National Geographic launched their new initiative, Planet or Plastic – the focus of their June publication and a multiyear effort to raise awareness about the global plastic waste crisis and encourage readers to take the pledge to help reduce single-use plastics.

“More than 5 trillion pieces of plastic are already floating in our oceans.”

National Geographic, Planet or Plastic 

It can seem like a hopeless situation. But, as their campaign highlights, there is so much you can do both as an individual and as part of your organisation to impart real change.

And the situation is looking hopeful. Across the globe, the biggest corporations are waking up to the reality that big change has to happen with regard to their use of plastics. More and more of our restaurants, bars, theatres and cinemas are removing plastic straws from the offering and a number of big supermarkets have promised to make all plastic packaging reusable, recyclable or compostable by 2025. 

Today, as we approach World Ocean’s Day on 8th June,  we’ve highlighted a handful of corporations who are doing some inspiring work to tackle plastic pollution.

Their inspiring campaigns prove that solving the plastics problem is both a challenge and an opportunity for organisations to lead the way in finding innovative solutions.

1. Pret a Manger

Pret a Manger is consistently recognised for its efforts towards sustainable, socially conscious. The organisation is well known for offering all of its unsold produce to homeless people and recently introduced a 50p discount for customers bringing in there own reusable cups.

In October 2017 Pret a Manger’s CEO, Clive Schlee, penned a blog for the sandwich shop’s website entitled “What if Pret stopped selling plastic water bottles?”

Schlee explains that Pret a Manger are striving to make it as easy as possible for customers to use fewer plastic bottles “All of our Veggie Pret and Manchester shops will now be encouraging customers to fill up their bottles for free using new filtered water stations. These shops will also start selling reusable plastic bottles alongside our regular water bottles, so the choice is clear.”

In February 2018 Pret a Manger announced they would be trialling a 10p cash back scheme for plastic bottles.

The company will add 10p to the cost of its plastic bottles which will be refunded to customers when they bring the bottle back. Any unclaimed deposits will be invested in their sustainability work.

Pret a Manger have also pledged to make all their plastic packaging use by 2025 100 per cent recyclable, reusable or compostable.

2. Whole Foods

Supermarket chain Whole Foods has been backing the no-plastics horse for some time.

In 2008 they made the switch from plastic to paper bags in all of their stores and they have consistently committed to reducing plastics by offering biodegradable alternatives for plates, cutlery and other food takeout items.

At some or all of their stores, Whole Foods are doing the following:

  • Using reusable dishes and flatware in dining areas
  • Reclaimed wood, bricks and other materials in construction
  • Printing and packaging using recycled paper and water- or vegetable-based
  • Collection bins for batteries, printer cartridges, cell phones, corks, plastic bags and toothbrushes
  • Composting to decrease landfill waste

3. Timberland

Last year, Timberland unveiled a line of products developed with Thread’s Ground to Good™ fabric, harvested from plastic bottles littering the streets and landfills of Haiti.

To date, over 1300 Haitians have collected and recycled 765, 280 plastic bottles.

“At Timberland, we’re constantly seeking innovative ways to create both social and environmental value, and are excited to continue making a difference in Haiti and in all the communities where we live, work and explore,” said Colleen Vien, sustainability director for Timberland. “Our collaboration with Thread has proven to be a meaningful way for us to grow our work in Haiti and generate social value for the people behind our products. We’ve embraced the opportunity to share their unique stories with our consumers, because this collection is about so much more than a boot. A Timberland X Thread boot represents real change – it helps create jobs, restore communities and build futures.”

4. Sky

Sky launched Sky Ocean Rescue in 2017 to shine a spotlight on the issues affecting ocean health, find innovative solutions to the problem of ocean plastics, and inspire people to make small everyday changes that collectively make a huge difference.

Partnering with WWF, Sky have committed £25 million to help find innovative solutions to reduce plastics and pledged to eliminate all single-use plastics from their operations, products and supply chain by 2020.

They’re also running a successful online campaign to encourage consumers to #PassonPlastic

5. Dell

In December 2017 Dell announced that it would be launching the world’s first commercial-scale, ocean-bound plastics supply chain, which takes ocean-bound plastics and repurposes it for their packaging.

“When Dell uses plastics from the beach, shorelines, waterways and coastal areas, we bring them back into the economy and stop them from breaking down and becoming part of a bigger problem.

It gives us an affordable resource, creates jobs for the recyclers, provides a template for others to follow and helps put a dent in the vast problem of plastics entering the ocean.”

In partnership with The Lonely Whale Foundation, Dell have helped convene Next Wave, an open-source initiative that brings leading technology and consumer-focused companies together to develop a commercial-scale ocean-bound plastics and nylon supply chain.

The group anticipates that they will divert more than 3 million pounds of plastic and nylon-based fishing gear from entering the ocean within 5 years – the equivalent of keeping 66 million water bottles from washing out to sea.

We’d love to know what your organisation is doing to reduce the use of plastics. Tell us in the comments below!

Procure with Purpose

Procurious have partnered with SAP Ariba to create a global online group – Procure with Purpose.

Through Procure with Purpose, we’re shining a light on the biggest issues – from Modern Slavery; to Minority Owned Business; and from Social Enterprises; to Environmental Sustainability.

Click here to enroll and gain access to  all future Procure with Purpose events including exclusive content, online events and regular webinars.  

One Step Closer To Invoice Automation…

How can smart coding functionality take invoice automation one step further…?

Depending on your organisation, the maturity of your invoice processing is likely varied even across your own internal workflows for different invoice types.

And like many others in your shoes, your goal is to get those things as automated as possible – regardless of invoice type – and shoot for 100 per cent invoice automation. The good news is full invoice automation is an attainable goal with innovation available in e-invoicing solutions today like smart coding.

What is smart coding?

Smart coding helps customers further automate their invoice processing of non-PO invoices, going a step further towards touchless invoice handling. With smart coding, invoices that are not automated by purchase order matching, payment plans (schedule, budget or self-billing), or automatic coding templates can now be automatically coded with minimal human interaction.

Why should you care about smart coding?

Smart coding speeds up invoice processing and improves productivity.

Traditionally, non-PO invoices are automated with business rules that are very laborious to manage. Finding a correct cost allocation is typically a challenging task for employees who are not familiar with bookkeeping rules, especially when there is no purchase order to copy information from. It requires the AP clerk to spend a lot of focus on this type of invoices – researching the origination of the invoice, reaching out to others in the business to ask questions and making an educated guess as to the best place to code the invoice. All of this takes time and often delays payment of non-PO invoices.

Smart coding automates those manual steps, so employees can easily code an invoice with a click of a button to automate more of the process. The solution leverages big data to analyse historical transactions, ultimately providing a highly reliable recommendation to the user that can also be complemented with business rules. Not only does this simplify the process for the user and save time in processing the invoice, it also reduces the need for the AP department to rectify erroneous coding lines at month-end.

How does full invoice automation prepare me for the future?

Everyone is talking about machine learning and AI – and invoice automation and e-procurement are certainly areas of application for these emerging technologies. But there a couple of things you must do today to ensure you’re ready when those technologies become the new norm. Use smart coding to help you:

  1. Automate as much as possible: Machine learning and AI are layered over systems, so you want to be as streamlined as possible in preparation for those applications. To do this, set your goals on a high level of automation. And this doesn’t just mean adding technology over clunky processes. As you mature your systems and strategy, make sure you’re re-engineering processes where necessary so workflows are optimized too.
  2. Get financial data: One major benefit of full automation is the central collection of all your financial data in one solution. Data is what feeds technologies of the future. Machine learning and AI are not effective in purchase to pay without a complete, ever increasing source of financial data. If you want to embrace machine learning applications, capture every possible piece of financial data in your purchase-to-pay system today.

Basware has the most advanced invoice automation solution in the world and we’re constantly improving it. Based on 30+ years in the industry, we’re rolling out features and functionality that continue to deliver the ultimate efficiency benefit to customers. With the largest open network, we have the unique ability to capture the most data across customers and combine that with third party data to deliver what customers need now and in the future.

6 Things To Consider Before You Buy Any Procurement Technology

Thinking of investing in some of the latest procurement technology? If you haven’t consulted market trends, got a third opinion and done all of your research, you might want to pull on the reins!

Buying procurement technology these days is a complicated business.

With ever more niche vendors entering the market and established providers offering increasingly sophisticated solutions, differentiating on face value alone can be as clear as mud. However, given that your decision will have an enterprise-wide impact, it’s crucial that you assess your options and make the most informed decision possible.

1. Separating Fact from Fiction

Of course, you will have the product marketing collateral from each provider such as datasheets and solution overviews.

However, you need to be aware of how much is marketing ‘fluff’ and how much is an accurate reflection of the solution’s capabilities.

To do this, you can turn to customer case studies and testimonials to understand what their experience of implementing and using the solution has been like. But remember, even that source of information comes with its own challenges and shortcomings. If the case study focuses on the customer’s functional use of the product, it may not offer you an accurate view of customer service levels or product performance, which are of course key considerations in making your decision.

This is where third party research and validation comes into play.

2. Look at market trends

Where do you go and how do you choose your sources of information?

The entire technology market is well served with analysts reporting trends, competencies and guidance on the good, the bad and the ugly of the industry. In searching for technology vendors that meet your requirements, this certainly helps sort the “wheat from the chaff”.

That said, the technology market is quite unique in that it experiences a rapid advance in product capabilities. With competition driving innovation, product sets evolve quickly and when you’re looking at R&D in technology sphere, one year is a long time. This means that its essential to ensure that the information you’re using, and basing your decision upon is up-to-date and reflective of the latest capabilities within the market.

3. Consult The Magic Quadrant

One of the world’s largest, most respected analyst organisations for technology research is Gartner. Each year or so, they produce the Magic Quadrant which is a culmination of research in a specific market, giving individuals a broad view of the relative positions of the market’s competitors. The Gartner Magic Quadrant research provides a graphical competitive positioning of four types of technology providers in fast-growing markets; Leaders, Visionaries, Niche Players and Challengers.

They produce this research for a range of technology sectors, including procurement sourcing applications, and it is a well-trusted source of information for assessing your options when you go to market.

Access the Latest Gartner Magic Quadrant for Strategic Sourcing Application Suites.

4. Make sure you’re using up-to-date analysis

Given the considerations around the pace of advancements in the eProcurement sector,  it is all the more important to ensure that you’re using the most current information available. In addition, because of the time between each report release, you’ll find that vendors that have been in a Leaders quadrant can fall from grace into lower quadrants/waves.

This is because to remain in the Leader segment is dependent on a vendor’s investment in product functionality and features, as well as their business vision to meet the needs and demands of the procurement marketplace. Customer satisfaction and referencing is also taken into consideration for the research, meaning a strong Leader position is indicative of a satisfied customer base.

5. Get a third (Party) opinion

There are a number of consulting and analyst organisations who conduct independent research of the technology space in order to provide a clearer, qualitative segmentation of the marketplace. By supplementing the information supplied by providers with this third party research, you can validate performance and delivery to build a more objective view of the market place. To get you started, here is a short list of publishers that you can turn to for information:

  • Spend Matters Network
    This leading network of procurement websites is a great source of current procurement insight. Their commentary and reporting examines the latest news, techniques, “secret” tools of the trade, technology, and its impact. Most of the content is free to access, but there is a Spend Matters Pro membership that will give you access to exclusive research and content.
  • Procurement Leaders Network
    Procurement Leaders™ is a global membership network, serving senior procurement and supply chain executives from major worldwide corporations, providing independent procurement intelligence, professional development and peer-to-peer networking. It has a broad range of research into various sectors, but you do need to be a member to access most of the content.
  • Supply Management
    Supply Management is the official publication of the Chartered Institute of Procurement & Supply and features the latest news, view and analysis for procurement and supply chain professionals worldwide. The website provides daily news and opinion and exclusive content, in addition to access to more than 15,000 articles.

6. Do your research

As the marketplace for procurement software and technology continues to grow, it can become a confusing place for those looking to choose a solution; you’ve niche providers who offer specific pieces of software and more established leaders offering integrated full-suite solutions. Each promises to deliver the most effective, powerful solution but how much of that is bluster and how much is grounded in truth? By all means utilise the product marketing information that a vendor provides, but scrutinise it too. Is what they say true?

Ensuring you conduct thorough third-party research and refer to existing customer testimonials is key to finding the answer to that question and key to you selecting the best solution for your organisation.

This article was written by Dan Quinn, SVP Jaggaer MENA.


Join JAGGAER In Munich next month for REV 2018 – two action-packed days, filled with the latest in eProcurement innovations, trends, and strategies designed to help you accelerate your spend management digital transformation.

Hear how your peers are leveraging highly engineered technology to deliver strategic procurement value to their organisations.

Spaces are limited so secure your place today and check out the incredible speaker line-up.

Driving Change The Procurement Way

At yesterday’s London CPO Roundtable we explored how procurement teams can drive big change in their organisations whether it’s through Brexit policy, implementing cognitive technology or smart hiring…

When was the last time you took a wild punt in your hiring process?

Is your procurement team under more pressure than ever to cut costs?

How can CPOs make the business case for cognitive technology to their CFO?

Will there be a second EU Referendum?

These are just some of the questions we discussed when we gathered a dozen procurement leaders in London yesterday for a CPO roundtable sponsored by IBM.

We discussed the implications of Brexit and how procurement professionals are preparing, how procurement can make sure its cognitive projects come out on top in the battle for capital and  why employers need to be far more open minded when hiring new talent.

Surviving the Perfect Storm

Nick Ford, Co-founder – Odesma gave us an overview of his organisation’s latest Brexit survey; Surviving a Perfect Storm.

Many would argue that Brexit is the biggest negotiation to ever  take place in UK, but the path ahead is still very unclear. And that’s presenting some major challenges for procurement teams.

Indeed, 45 per cent of Odesma’s survey respondents (300+ procurement executives primarily from the UK/EU ) admitted that Brexit was hampering their procurement strategy and 82 per cent claim that they have felt under more pressure to reduce costs for third party good and services.

Nick highlighted some of the changes procurement departments are attempting to implement in order to prepare for life post-Brexit:

  • Contingency Planning – including managing an mitigating risk, moving supply chain out of Europe etc. : 27 per cent
  • Investigating new suppliers:  9 per cent
  • Re-negotiating contracts with existing suppliers: 9 per cent
  • Reviewing country location for procurement operation: 6 per cent
  • Re-evaluating inbound supply chain: 6 per cent 
  • No changes to supplier base: 15 per cent

On a positive note, 73 per cent of procurement professionals believe their organisation sees procurement as an important part of its post-Brexit preparation process. As Nick highlighted, it is a fantastic opportunity for re-negotiation of supplier contracts, a chance to do a thorough supplier clean- up or develop new suppliers entirely and it gives your organisation a competitive advantage if your procurement team is in good shape – given that only 40 per cent of businesses have  started putting plans in place to prepare for brexit.

Read more from Nick Ford on how procurement can prepare for a post-Brexit world.  

The Battle For Capital

In the battle for capital, how does procurement ensure its cognitive projects come out on top?

Amit Sharma, Global Procurement Practice Leader for Cognitive Process Services (CPS) -IBM addressed how difficult it is for procurement leaders to communicate the need for, and value of, cognitive technology to their business.

“The problem for procurement” he argued “is that the CPO doesn’t always have the authority to drive transformation. It depend on lots of other people and that stops them from driving change.”

“For procurement, maintaining our relevance to the organisation beyond cost savings is imperative. [procurement pros] need to embed the latest in technology as best practise into the business as it will free up our time and help us to move from transactional to strategic management.”

The logic is unquestionable.  We know the sophistication of AI is going to come. It’s a question of when, not if. But when it comes to making the leap to cognitive, which can do a world of good for analytical and predictive analysis, organisations are still hesitant.

The CPOs in attendance were in agreement; citing short-termism, lack of buy-in from the CFO and a limited understanding in the business about cognitive technology.

Procurement needs to make the business case for how cognitive can add long-term value and, as Amit reminded us, “If you’re not convinced, you can’t convince someone else”

Brexit: What Happens Now?

Professor Anand Menon, Professor of European Politics and Foreign Affairs, Kings College led a session discussing the long-term causes of Brexit and their future implications.

“Hand on heart I don’t know [what’ going to happen] – if i could answer that I’d be rich and famous!”

It’s the most uncertain moment in British politics since World War Two and what’s striking is that,  two years on from the referendum, nothing has been decided.

A key reason for such uncertainty  is the nature of the referendum itself.  As Anand explained, the referendum packaged so many different options and outcomes  into a binary choice; leave or remain.  No one understood quite what they were signing up for and since the results Brexit has largely been defined by whichever adjective most aptly applies to specific people or groups; black brexit; white brexit; hard brexit; soft brexit; white red and blue brexit… the list goes on.

Does the UK want to establish a relationship with the EU like Norway, like North Korea or will they define something wholly new.

Anand admits that due to the Brexit process being so complex and all-consuming, there is no avoiding a messy process. What goes on throughout the next couple of years will largely be determined by politics.

  1. Theresa May

The UK Prime Minister relatively quickly defined what she meant by Brexit (leave cutoms market,end free movement etc) and her position has remained relatively unchanged since. Whilst she is unpopular with many in her party, it is unlikely her critics will choose to get rid of her yet. As long as she in place, she is a powerful force for stability.

2. The Conservative Government

There is a significant number of Tory MPs who want a much softer Brexit than the Prime Minister is proposing so it’s possible they will vote against May’s Brexit deal. However, if May loses this vote there is no question that she has to go; after all, her whole mission as Prime Minister is Brexit. If that happens, the Conservative Party will either elect a new leader or the UK will face a new general election. And the one thing no Tories want is another general election.

3. The Labour Government 

In the last general election, Labour picked up votes from both remainers and leavers. As such, the party have been careful to keep their Brexit policies ambiguous. Whenever Corbyn speaks about Brexit, he speaks in ambiguities.

Ultimately the real danger for the UK’s economy, Anand warns, is that the negotiations go pear shaped, the UK crashes out of the EU in March 2019 and they end up with no wiggle room to extend the UK’s transition period.

His advice to procurement organisations trying to prepare? Plan for a World Trade Organisation outcome from 2021 – “That, I think, is the most likely outcome.”

The Drive Project

The Drive Project is an award-winning, creative social enterprise. They work alongside charities and businesses to inspire and empower people with creative projects, training and talks. We were joined by one of their speakers Darren Swift (“Swifty”).

On 25th May 1991 Swifty was injured by a terrorist attack that resulted in him losing both his legs above the knee.

Within seconds of being hit by an IRA coffee jar bomb he went, he jokes, from being 6 foot 2 to 4 foot 6; his left leg completely gone and his right hanging on by a thread.

During his extensive rehab, when he was forced to confront his new reality, Swifty made the decision to not let his injury affect his life or career going forward.

Since then Swifty has gone on to achieve a huge amount including taking up skydiving, becoming the first ever double above knee amputee snowboarder and taking up a career as an actor. Swifty’s unique and inspiring story reminded us that employers need to be far more open minded when hiring new talent.

When it comes to hiring our organisations need to be ‘blinkers off’ people; asking ‘why not?’, rather than having a ‘you can’t’ attitude. You don’t know what’s possible with a potential hire until you take a punt and give them a chance.

Without this outlook employers could miss an extraordinary talent.

As Emily Shaw, Director- The Drive Project,  pointed out “[We should] give people a chance not to be a victim – because they can achieve so much more.”

Find out more about The Drive Project and the amazing work they do here. 

How To Tell You’re Working For A Psychopath

Psychopaths are present in every workplace. And the higher you go in the organisation, the more likely you are to encounter one.

Working for a psychopath is no holiday. Here’s how to tell if your boss is one, or just a garden variety bully.

A human resources manager is more likely to know them as sociopaths, micromanagers or workplace bullies. I call them psychopaths, not to insult them or even to suggest that they might be chopping people up for fun, but because they share a common set of character traits with all those personality types and also with criminal psychopaths.

1. They are two-faced

A workplace psychopath has a two-faced nature. One face oozes charm and charisma, while the other is viciously mean. They work very hard at flattering those that have power over them, but present a very different face to the people that work for them. To most of their team they are manipulative and controlling. People who work for a psychopath see this face most of the time.

2. They have a pawn

Psychopaths will also recruit a pawn or two. These are people who the psychopath won’t attack, so long as they do their bidding. Frequently it is the pawn delivering the latest piece of manipulation rather than the psychopath themselves. This allows them to put distance between them and their victims and build in automatic plausible deniability if it goes pear-shaped. “No, Terry-The-Pawn was acting on his own initiative, it was nothing to do with me.”

3. They are excellent liars

They are convincing liars and they lie compulsively, often for no apparent reason. The truth to them is whatever needs to be said at that moment. It is whatever they judge their audience wants to hear. And they will have no compunction aggressively assuring you something happened which you know didn’t, often to the point where you will doubt your own memory.

4. They treat employees as dispensable livestock

They treat most people who work for them as dispensable livestock. And this usually causes the cattle (that would be you) unprecedented levels of stress, frustration and fear. When one victim burns out or leaves, they just move on to the next. They damage the health of individuals and the reputation of the organisation without any regret or shame. The workplace under a psychopath is in constant turmoil. Factions are rife, sick leave sky-rockets, staff turnover becomes endemic and productivity drops like a stone.

5. They can’t take criticism

They react to any criticism with aggressive denial or retaliation. If those aren’t options, usually because the critic has more power than them, they will feign victimhood or blame the victims of their actions. Punishment and threats have absolutely no effect on them. They will keep doing things their way, regardless.

In short, they are the classic malevolent workplace bully. This is not to say that all bullying in the workplace is done by psychopaths. Bosses can be mean but it is the frequency of bullying-type behavior that sets psychopaths apart from an everyday horrible boss.
In 2008, UK researcher Clive Boddy from Middlesex University set out to determine exactly how much workplace bullying was caused by psychopaths.

Boddy took a psychopathic checklist and embedded it in a management survey of Australian middle and senior managers. Almost six per cent of the respondents were working with a corporate psychopath as their current manager and thirty-two percent had worked for a psychopath at some time.

A further eleven per cent of respondents were working with managers who showed some psychopathic traits but were not rated at maximum in all categories.

The respondents also revealed how many times they had experienced bullying. Under normal managers, employees encountered bullying less than once a month (nine times a year), but the moderately psychopathic managers bullied employees more than twice a month (on average twenty-nine times a year), accounting for a twenty-one percent of all bullying. If that manager was a psychopath, the employee experienced bullying more than five times a month on average (64.4 times a year) and this accounted for twenty-six percent of all reported cases of bullying.

This means that, as an employee, you can, and probably will, be bullied in the workplace. If your boss is normal, bullying will happen once every six weeks or so. If you are working for a psychopath it will happen once or twice a week, or more. If the behavior described above is happening all the time then your boss is a psychopath. The bad news is that there are not many good options for solving it.

The exit beckons, but while you wait for the right opportunity, there are a number of things you can do to protect yourself and improve your position. Those strategies are the subject of the next part of this series.

How To Free Your Decisions From Bias

It’s not easy to free yourself and others from decision bias. But the pay off for your organisation is worth it…

A CEO mentioned recently to me his frustration with a few of his Senior Leaders who play the ‘merit card’ whenever diversity is raised. In doing so, they stymie good initiatives. Each small block they construct rebuilds the wall as fast as the CEO and supportive leaders tear it down. ‘What can I do?’ he asked. I shared his pain: invoking the ‘merit card’ is a wicked, if effective, tactic for, paradoxically, subverting merit and keeping control.

The CEO and his leaders have an awareness of unconscious bias and know a bit about how it works. Until recently unconscious bias was heralded as the holy grail for achieving significant improvement in diversity and inclusion outcomes. But the value of unconscious bias training in particular, and diversity training in general, is being challenged.

Dobbin & Kalev’s influential article ‘Why diversity programs fail’ importantly identified that command and control approaches, adopted by many organisations, backfire. You can’t get people to change by telling them to. And you don’t get people to change by blaming them for doing the wrong thing.

Making training about beliefs and preferences mandatory is almost guaranteed to fail. That’s because suppressing unconscious beliefs, to ‘do what’s expected’, is  well-known to make bias more, not less, likely. And that’s the danger with these senior leaders who play the ‘merit card’; their biases may increase rather than decrease.

Unconscious bias awareness is not a silver bullet, it is however, worthwhile. It’s not easy to free yourself and others from decision bias, so what will make it worth the CEO’s effort? You can’t work with it effectively if you don’t understand it. And it’s how you work with it that counts. 

Debias by accepting your fallibility

At an individual level, part of the work is to accept your own fallibility. We are susceptible to many types of bias, that cover all sorts of decisions. Frustratingly, because these biases operate unconsciously, we can’t really know when we are in their grip. And our bias for overconfidence means that we tend to think that our decisions are much better than they are. So, we’re not actually very likely to think we’re biased. It’s bit of a Catch-22.

The most practical approach is to be aware of the tendency towards overconfidence. Be more modest, less certain, about your decisions. Whether or not you know you are biased matters less than accepting that you are likely to be biased.

Leaders who play the ‘merit card’ probably suffer certainty bias, they don’t think they are biased. They don’t like the suggestion they have a ‘weakness’ like ‘bias’. Without that openness, their decisions remain narrow. Feelings of certainty are biases themselves. It’s when we feel most certain that we are most likely to be unsystematic, think we know, circumvent objective methods, or neglect to ask for alternatives.

If you accept that you are likely to be biased you are more likely to act to mitigate against bias. And that, currently, seems to get the best results.

Biases show up in:

  • What we notice
  • What we expect
  • What we ask, and
  • What we value.

What we notice

Collectively, we are getting much better at noticing gender-participation differences by industry and occupation. When we take the time to collect and examine the data about, for example, pay, it transpires that there are often gaps that can only be attributed to gender.  When we notice the difference, we can act on the difference.

At the individual level, what we notice has a big impact on careers.

Letters of recommendation for male academics emphasise research skills, publications and career aspirations, which are the ‘get ahead’ characteristics. Whereas teaching skills, practical clinical skills and personal attributes, the ‘get along’ characteristics, are more often identified for females.

Women scientists’ early career advancement is hindered, even when they have the same qualifications as male scientists. Male and female faculty make biased hiring decisions, preferring male candidates over female. Their capabilities are noticed differently. Male candidates are seen as more competent, more worthy of mentoring and deserving of a higher salary than female candidates.

Notice what you notice

Set yourself a noticing challenge. Pair yourself up with someone of the opposite gender, with whom you will be interacting regularly throughout a designated day. Commit to taking observations during the day. Each half hour, record what you have observed in terms of interpersonal interactions.

At the end of the day, compare your notes with each other.

What do you notice about who takes what kinds of actions, and what is the impact of their actions on others? What’s similar in your observations, and what’s different?

What we expect

We expect men to be ambitious and we don’t expect women to be. This erodes women’s ability to express their ambition. In numerous professions, from policing to medicine and science, women begin with the same levels of ambition as do men. Yet, while men’s ambition increases over time, women’s decreases. Because women are constantly fighting structural barriers, their ambition often wanes.

We expect men to be competent and women supportive. A recent European study reviewed 125 applications for venture capital funding. Forty-seven percent of women’s applications, versus 62% of men’s, were funded. Women applied for and received less funding.

There were four distinct differences in the language used to assess applications:

  • Women were described as needing support, men as assertive.
  • Women were not described as entrepreneurs but as growing a business to escape unemployment. Superlatives were used about men’s fit with entrepreneurship and risk taking.
  • Women’s credibility was questioned, men’s was not.
  • Women were seen to lack competence, experience and knowledge; men to be innovative and impressive.

Expectations about how men and women should behave were carried over into evaluations which then affected their relative success.

Disrupt your expectations

What happens if you disrupt your expectations regarding ambition and competence? What if you spent a day imagining all the women you engage with are ambitious, competent and want to get ahead? Imagine the men with whom you engage want to provide support and take a back seat.

If our Senior Leaders imagined that the men in their teams wanted to leave work to pick up the kids from school and prepare dinner, how would they think about their next career move?

What we ask

The group of researchers involved in the VC funding example above observed the full application process. They concluded that the questions that were asked undermined women’s potential, but underpinned men’s.

A recent US study found a similar kind of bias. In a start-up funding competition, venture capitalists (VCs) were much more likely to ask male entrepreneurs promotion-oriented questions. They focused on ideals, achievements and advancement. By contrast, VCs asked females entrepreneurs prevention-oriented questions. These questions focused on vigilance, responsibility, risk and safety. Male-led start-ups raised five times the funding of females. Consistent with what we know about unconscious bias, the research found that male and female VCs displayed the same questioning biases.  It is often assumed that men favour men and women favour women; increasing the number of women on selection panels is routinely seen as the solution. Yet unconscious biases about gender are held as commonly by women as by men. While simply increasing the number of female decision makers does make balanced decision making more likely, it does not guarantee it. However, when panels have gender balance, or are female only, bias tends to disappear.

Question what you ask

 How might you disrupt the kinds of questions you ask men and women? Do you ask men and women the same questions? What happens when you do?

Imagine our Senior Leaders asked men and women the same questions they ask women. What would they learn?

What we value

Johnson & Johnson, which fields about 1 million job applications for over 25,000 job openings each year, now uses Textio to debias their job ads. When they first started using it they found that their job ads were skewed with masculine language. They were disproportionately valuing male characteristics. Their pilot program to change the language in their ads resulted in a 9% increase in female applicants.

Even when managers and decision-makers espouse a commitment to gender equality and a desire to promote more women into leadership positions, they are prone to evaluate women less positively

By deliberately analysing and structuring how information is conveyed and options are presented, it can become easier to make fairer decisions.

Women are commonly demoted to traditional gender roles. Forty-five percent of women in one study have been asked to make the tea in meetings. Some were CEO at the time. Female doctors are often mistaken for nurses, female lawyers for paralegals and female professionals of many kinds for personal assistants.  We do not expect women to hold senior roles, despite the fact that, increasingly, they do.

Student evaluations of teaching appear to be influenced similarly. Even in an online course where the gender of the instructor was manipulated so that identical experiences were provided to students, those students who believed they had a female teacher provided significantly lower teaching evaluations. While these lower ratings misrepresent actual competency, they nevertheless may create a self-fulfilling prophesy where women’s career advancement choices begin to conform to the stereotype. And erroneous beliefs about women’s competency levels limit the opportunities that are provided to them; the misrepresentations are perpetuated.

Put the value back into evaluation

Debias evaluation by using blind, automated processes. Take human bias and error out, and increase the value of the decisions you are making.

Would our Senior Leaders be prepared to do this? Would they be prepared to take themselves out of the equation? Would they believe an objective merit-based process could occur for a decision in which they have an interest, but in which they were not involved?

Put it all together

People are responsible for their own minds. Our CEO has provided opportunities for his senior leaders to engage with curiosity, respect and candour in their diversity programs. There are some wonderful stories emerging.

The challenge for those who don’t yet get it, is to agree to the overarching purpose that people decisions are based on merit. If merit is what we are aiming for, we should all be prepared to sign-up for practices and tools that increase and uphold it. Will they do this?

But merit is both more and less than it seems. It is more complex and difficult to define than most people think. It is less objective and rigorous, particularly in knowledge work and leadership roles. It is ripe for bias. Paradoxically, invoking merit is perhaps the most powerful way to subvert it.

It’s time for Senior Leaders to throw away the ‘merit card’; their people deserve a fairer hand.

Eroding merit corrodes culture, and culture is where the CEO leaves his biggest legacy. What can he do? To leave a lasting legacy, the CEO knows he needs to call out the fallacy of the ‘merit card’ and hold his Senior Leaders to account for fair people decisions. He can help them to exit the organisation if they are not prepared to play a fair hand.

If the Senior Leaders are prepared to admit to fallibility, to be aware that they may notice and value the behaviours of different groups of people in different ways, there are many practices that will make sure bias is minimised and fairer decisions are made.

We can all keep working to debias our decisions.

What to do if you believe in merit:

  1. Accept your fallibility – be more modest, less certain about your decisions.
  2. Notice what you notice – record what you notice and assess it for fairness.
  3. Disrupt your expectations – imagine women are ambitious and men supportive.
  4. Question what you ask – ask the same questions of everyone.
  5. Put the value back into evaluation – by using blind processes.

Can Procurement Help Turn This Sea Turtle’s Frown Upside Down?

Think saving The Great Barrier Reef is out of your hands or entirely irrelevant to you? Think again! Climate change is everyone’s problem and we can all make a difference; down to the last procurement pro!

If you’re lucky enough to have travelled to the coast of Queensland, Australia and visited The Great Barrier Reef, you’ll agree that it is a true wonder to behold.

At 2,300km long it is the largest living thing on earth (roughly the size of Italy or the equivalent of 70 million football fields) and home to an incredible range of wildlife from dozens of species of fish, to sea turtles, to dolphins and so much more.

“It is one of the greatest, and most splendid natural treasures that the world possesses.”- Sir David Attenborough

But it’s under serious threat from a number of environmental factors and it’s everyone’s job to save it; not least procurement’s. We caught up with Anna Marsden, Managing Director – Great Barrier Reef Foundation to learn more about what’s at stake and what we, as professionals, can do to help.

Three factors threatening the Great Barrier Reef

  1. Climate Change

Tropical sea surface temperatures have risen by 0.4–0.5 °C since the late 19th century. In unnaturally warm conditions coral becomes stressed and agitated, leading it to expel the algae that gives it its colour and eventually bleaching. Whilst bleached coral is not yet dead, it is an indicator of severe stress. And if the sea temperature is consistently high for longer than 30 days; it will eventually die. “Look in your garden on a hot day or even a hot week” explains Anna.  “Your plants will start to wilt and eventually, if the temperatures don’t decline, they will perish.” The effect that extreme heat has on a coral reef is much the same.

“Other ways we are seeing climate change playing out is in extreme weather. In recent years there have been more Category 5 cyclones than ever before which are hugely damaging; destroying and weakening the reef’s structure.”

“The reef has always had natural foes and challenges, but this is the first time it’s at such a scale” Anna explains.

  1. Water Quality

Declining water quality is recognised as one of the most significant threats to the long-term health and resilience of the Great Barrier Reef. 

“So much waste washes into our oceans – extra soil, extra fertiliser etc which is making it extremely dirty. And nothing grows well in dirt!” Anna asserts. “Whilst bad water quality itself isn’t a life-ending challenge for the Great Barrier Reef, it does reduce the resilience of the system and, on top of everything else going on, it’s a big problem.”

  1. The Crown-of-Thorns Starfish

Increasing sediment, nutrients and contaminants entering coastal waters has been linked to outbreaks of crown-of-thorns starfish, a species which, Anna jokes, “belong in an alien movie!”

“They munch on the coral, each one managing to consume a dinner plate’s worth of it every couple of days. Excess nutrients from sugar cane farms amplifies their breeding patterns.”

Why should procurement teams care?

‘At what price?’ a recent Deloitte report, which investigated the economic, social and icon value of the Great Barrier Reef estimated  its worth at $56 billion; taking into account tourism, fishing, marine science and research. The study also calculated that the reef has resulted in the employment of over 64,000 Australians between 2015–16.

So it’s undeniable that there is real, and huge, value in the Great Barrier Reef – it’s genuinely worth salvaging.

But it can also be usefully thought of as the, slightly harrowing, poster-child for climate change. It’s understandably difficult for procurement professionals around the world to understand the impact their actions are having in terms of climate change and the polluting of our oceans. But the sorts of changes and damages reported by the Great Barrier Reef foundation are mirrored across the world’s oceans.

Take plastic pollution as an example; eight million tons of plastic enter our oceans each year and it’s predicted that by 2050, there will more plastic in the ocean than fish.

What can businesses do?

“Ultimately we need to start moving faster towards a renewable energy environment,” explains Anna. “There’s no single cause in this and there are roles that all businesses can play”

Fortunately, a number of big corporations are helping to provide innovative solutions to protecting the Great Barrier Reef.

“At present divers are hand-shooting crown of thorns starfish with a saline solution, which is an extremely slow process.”

But a robot being developed through a Great Barrier Reef Foundation project partnership with Google and the Queensland University of Technology, aptly named ‘RangerBot’ has the capability to do the work of 50 divers per day. It works 24/7 and can function in choppy waters. “One day soon we’ll be able to drop six of them into an infested area and come back to collect them only when their work of culling the starfish in that area is done!”

Another inspiring example of corporations doing good for the Reef is Rio Tinto’s RTM Wakmatha vessel that has been dubbed the ‘ship of opportunity’.  Rio Tinto invested in a laboratory on their ship which collects vital data as the ship travels along the Queensland coast in the ordinary course of business. This data is used to gain insights as to how ocean chemistry is changing across reef habitats.

Another cool tech solution is a polymer-based sun shield that hangs together in the water for about two days after deployment, forming an umbrella and cutting out 30 per cent of UV light to protect the coral. Made of calcium carbonate, the sun shield is 100 per cent biodegradable and is absorbed back into the system once it has dissolved.

What can YOU do?

As hard as it is to know how to effect real change, there are small things we as individuals can do, and encourage our organisations to do. Banning single-use plastic bags, cycling to work or using keep-cups are all small and immediate positive changes we can make.

Further to that, procurement pros should ask themselves – what can I do with the purchasing power in our company?

As Anna points out, “climate change is about our relationship with the planet. We all make decisions that drive it, we all have a role to play in this.”

“One of our corporate partners is Cleanaway – Australia’s leading waste management, recycling and industrial services company.”

Cleanaway work with big businesses to ensure sustainability is as the core of waste-sorting and encourage the adoption of reusable resources.

About the Great Barrier Reef Foundation

The Great Barrier Reef Foundation exists to ensure a Great Barrier Reef for future generations. We seek out the solutions and innovations that will also benefit coral reefs globally as they tackle the same threats and challenges facing the world’s largest coral reef.

“Our focus in the short term is on boosting the resilience of the Reef to allow it to bounce back from major challenges as a result of a changing climate and declining water quality. We’re buying the Reef time while the world works to meet the conditions of the Paris Agreement.”

Read more here. 


Procure with Purpose

Procurious have partnered with SAP Ariba to create a global online group – Procure with Purpose.

Through Procure with Purpose, we’re shining a light on the biggest issues – from Modern Slavery; to Minority Owned Business; and from Social Enterprises; to Environmental Sustainability.

Last month’s webinar on modern slavery,  Procurement Unchained, will soon be made available on-demand via the Procure with Purpose group on Procurious. Click here to enroll and gain access to this and all subsequent Procure with Purpose events. 

The Two Obvious Challenges Of Digital Transformation That Everyone Ignores

A digital transformation is set to take place in the coming years, and the Procurement world can expect substantial changes as a result. 

As Heraclitus once said, “the only thing that is constant is change.” Another thing that is equally true today is that digital is playing a central role in pushing organisations and individuals towards change.

Digital transforms everything, from B2B to B2C and beyond: what we consume and buy, how we consume and buy, and how we work. We are just starting to see some of these changes but what we are witnessing today is just the tip of the iceberg.  There is much more to come. Within the next few years, a digital revolution is set to take place, and the Procurement world can expect substantial changes as a result.

This is why Procurement needs to embrace “digital” and succeed in that transformation more than any other function. the function has been lagging behind and the current situation is far from ideal.

The adoption of any change is not something that should be taken for granted. John Kotter, in his international bestseller, Leading Change published in 1996, reports that 70 per cent of change initiatives in organizations and businesses fail. More recent sources reveal a similar situation. Despite years of experience in the project management field, projects continue to face the same issues and obstacles year after year:

Source: Project Management Institute: Pulse of the Profession 2018

History shows that Procurement is also not immune to recurring challenges,  especially when it comes to the Procurement technology that has been around for years. However, adoption (by teams, by stakeholders, by suppliers) is not a reality for most organizations. Analysts and research firms have all reached the same conclusion. For example, many reports show that the adoption of eSourcing by “best-in-class” companies has stagnated at 60 – 70 per cent since 2007.

So, considering its past record of poorly managing digital initiatives and the growing need to respond to ever more frequent and profound changes (both representing threats and opportunities), Procurement must urgently learn from the past and find new ways to transform and move forward. Although one article cannot cover every aspect of such a vast issue even taking the time to consider the few simple and pragmatic points presented here can already difference between success and failure.

Challenge #1: Understanding the many facets of “digital”

“Executives increasingly use the term “transformation” as shorthand for “digital transformation.” But the ongoing digital revolution does not itself constitute a transformation—it is a means to an end, and you must define what that end should be.” What Everyone Gets Wrong About Change Management, Harvard Business Review

The most common mistake that organisations make is to look at technology as the solution to all their problems and to think of it it as an end in itself (when it is just a means to an end). A second pitfall is that, many organisations tend to use new technology “to mechanize old ways of doing business. They leave the existing processes intact and use computers simply to speed them up.” By doing this they are actually missing out on the real value and transformative impact of some of the latest technologies. When implemented strategically and intelligently, new technology which can enable organisations to do things that were previously impossible.

“Ideally, [the] investment will lead to digitally automated processes, even beyond the transactional purchase-to-pay, with only limited manual support required. Such digital tools and processes will additionally support business process outsourcing and shared-services centers, further boosting efficiency. Ultimately, however, the benefits will arise not simply from reducing costs, but also from freeing up highly qualified procurement resources from mundane, repetitive tasks so they can focus on delivering value to the business.” Procurement 4.0: Are you ready for the digital revolution?, PwC

This poor understanding of what technology can do and what organisations can do with technology  is painfully evident in the misuse of words like digitisation, digitalisation, and digital transformation. These terms are often used interchangeably when they actually mean very different things:

  • Digitisation is the conversion from analog to digital. Atoms become bits (e.g. digitisation of data). You cannot digitise people.
  • Digitalisation is the process of using digital technology and the impact it has (e.g. digitalisation of a process). It is what most digital projects in Procurement are actually about.
  • Digital transformation is a digital-first approach that encompasses all aspects of business, not just Procurement (which is why ”the digital transformation of Procurement” is an abuse of language; a good one to make though). It leads to the creation of entirely new markets, customers, and businesses (people, capabilities, processes, operating models,…).

So, before defining what technological approach to take, the first step is to determine and identify the business value that needs to be captured or improved as a result of a digital project.

Challenge #2: Transformation and people

Many organisations make another serious mistake when looking at digital initiatives. They approach them in the same way they would approach simple IT/technical projects, when these projects really need to be about transforming business. n. This tendency also explains another set of common mistakes that result from forgetting the human aspects of these projects.

“In the most basic sense, people have been the missing variable in the digital transformation equation. Instead of the prior decade’s obsession with business-IT alignment, enterprises must now pursue a more balanced approach to digital transformation that’s equal parts business, experience, and technology.” 2017 Global Digital IQ Survey, PwC

Absence of (or weak) meaning

”If you don’t know where you are going, any road will get you there.” —Lewis Carroll

A surprising but persistent issue in digital projects is the lack of real business/use cases that detail “why”  the change is a necessary one (goal, purpose, vision). This lack of purpose makes it almost impossible to create the proper conditions for a successful change, to motivate people, and to drive adoption.

An organisation that does not know where it is going will have difficulties defining some of the critical aspects of digital projects. For example:

  • deliverables that include, among other things, the requirements for the solution to be implemented (poor requirement management is one of the most common issues),
  • scope (which categories, which suppliers, which geographical locations, which processes…),
  • roll-out and deployment plans (what, where, when, how).

Rushing in without planning

Being too quick to take action and not allocating enough time to planning is another frequent mistake. Most people have a natural tendency to “do” and many prefer to skip the important planning steps and tend to dive right into new projects without taking time to think. Organizations are also under pressure to get results fast, and can be over eager to “make things happen” putting even more pressure on project teams to deliver. What is interesting is that preparation and patience are important and valued in many other areas of procurement. For example, Procurement practitioners know that 90 per cent of the success in negotiations comes from good preparation, but for some reason many forget to apply that same approach when it comes to the implementation of a digital Procurement solution.

Focus on deployment while adoption is left for later

”We’ve spent an awful lot of money on technology, but I still see people working in the old way,” complained the CFO of a large hospitality company.  The result is often widely deployed internal applications that no one actually uses effectively.” Convincing Employees to Use New Technology, Harvard Business Review

When an organisation launches a project to deploy a new solution, there is an implicit understanding that the system will also be used. But, this is yet another typical mistake. Assuming that, because a system is in place, people will use it is ignoring the fact that most people are creatures of habit. To draw a parallel to savings, the difference between a deployed solution and an adopted solution is like the difference between negotiated and realised savings. Adoption will not happen automatically. To achieve true adoption, specific action needs to be taken to get people onboard and these steps need to be defined and accounted for from the start (resources, budget, time).

Another way is possible and needed!

“Insanity: doing the same thing over and over again and expecting different results.” –Albert Einstein

The use of digital technology in Procurement is not a new topic. However, the way Procurement organisations approach such projects has to change. Experience shows that results are not at their best; Procurement technology is still far from being widely adopted and there are still many areas that will need to improve before teams can actually benefit from past initiatives.

More importantly, “digital” means much more than using a piece of software. It is a critical capability and characteristic in a world that is becoming more and more complex and is characterized by VUCA (Volatility, Uncertainty, Complexity, and Ambiguity). Only digitally-enabled Procurement organisations will thrive in our modern world because they will be able to transform apparent threats into opportunities and deliver more and better business value to the rest of the organisation.