Tag Archives: dashboard

How To Create A Procurement Service Desk

How can you centralise disparate tools and requests to receive, triage and manage work across the source-to-pay process without replacing your applications? It’s not as impossible as it sounds.


Are your stakeholders frustrated with finding their way through the procurement maze? As a procurement practitioner are you overwhelmed with navigating your way through a variety of disparate tools and requests, such as procurement, accounting and reporting, to get your work done?

Many organisations are increasingly improving the efficiency of the procurement process by implementing a “Procurement Service Desk,” which is a single, centralised user portal for stakeholder requests, routing, communication and PR/PO status reporting.

One-stop shop for “all things procurement”

By using one portal instead of multiple systems, the Procurement Service Desk provides seamless engagement for procurement and its stakeholders, which helps procurement organisations receive, triage and manage work across the source-to-pay (S2P) process. The single portal improves the overall user experience and outcomes with procurement for stakeholders, including requestors, legal, finance and operations.

With a Procurement Service Desk, stakeholders no longer have to spend days trying to figure out where to go, who to call, and what information is required to engage procurement. The platform provides procurement stakeholders with a simple user experience to submit procurement requests. A dashboard provides full visibility to requests and statuses throughout the end-to-end procurement process. Stakeholders and procurement now collaborate directly in the centralised portal instead of through numerous emails, files and phone calls.

Procurement organisations typically realise these value-based outcomes after implementing a Procurement Service Desk:

  • Automated triage of work to appropriate practitioners through intelligent routing
  • Improved user experience for clients, supplier and S2P practitioners
  • Workflow data captured in a structured manner for utilisation to improve processes, deliver efficiencies and provide an improved experience
  • Enablement of metrics that matter
  • Intuitive, easy-to-use platform
  • E2E flow supported by a single platform

Shortening the process through intelligent triage

Through the Procurement Service Desk, stakeholders submit requests covering the full S2P process, including sourcing, contracts, supplier onboarding, purchase orders and invoices. By using standardised processes and forms, the Procurement Service Desk ensures compliance and gathers required data from stakeholders.

Requests are based on standardised processes and forms, ensuring compliance and that required data is received upfront from the stakeholders. Because procurement professionals don’t have to chase down additional information from stakeholders, the Procurement Service Desk enables a more efficient process and quick turnaround times.

When a request is submitted through the Procurement Service Desk, the platform triages the request through intelligent routing rules to the appropriate procurement practitioner for no-touch handling.

Triage rules based on commodity, request value, country and supplier match the request with the most appropriate procurement practitioner. This automated triage ensures work gets to the right team quicker and more accurately, improving stakeholder customer satisfaction.

The Procurement Service Desk provides procurement with full visibility to the types of requests coming into the organisation through an executive dashboard, helping managers measure and address workload balance and required skills. The platform also provides improved data-driven insights based on the volume and types of requests received from stakeholders.

Integrating processes and systems

Because the Procurement Service Desk sits on top of an integration layer, the intake request process connects with the back-end disparate tools and micro services. Procurement manages their full workload in a single platform regardless of the back-end transactional systems. By sharing data from the intake process bi-directionally with the back-end transactional applications, the Procurement Service Desk eliminates data re-entry, improving process efficiencies and analytics.

The Procurement Service Desk also easily connects to other services, such as Marketplace and Analytics, making them easily accessible. Previously disparate tools and services, they now easily scale and function as a fully integrated platform.

After making the decision to move to a services desk, procurement organisations should begin looking for a system platform to manage the Procurement Service Desk and integrate their key systems. By working with a company with specific procurement experience, organisations reduce business disruptions and speed up implementation.

Learn how IBM Procurement Services can help to reduce business costs and meet the challenges of complex global enterprises through effective data-driven source-to-pay operations by visiting www.ibm.com/services/procurement

The Dangers Of Dirty Data

Is your organisation working with ‘dirty data’? How would you know? And, what impact is it having? This article has everything you need to know about doing a quick spot check, spotting procurement problems, identifying savings, and more importantly, making sure your data has its COAT on.


We all think we know what dirty data is, but it can mean very different things depending on who you speak to.  At its most basic level, dirty data is anything incorrect.  In detail within procurement, it could be misspelled vendors, incorrect Invoice descriptions, missing product codes, lack of standard units of measure (e.g. ltr, L, litres), currency issues, duplicate invoices or incorrect/partially classified data.

Dirty data can affect the whole organisation, and we all have an impact on, and responsibility for the data we work with.  Accurate data should be everyone’s responsibility,  but currently across many organisations data is the sole responsibility of a person or department, and everyone trusts them to make sure the data is accurate.

But, they tend to be specialists in data, analytics and coding, not procurement.  They don’t have the experience to know when a hotel should be classified as accommodation or as venue hire, or what direct, indirect or tail spend is and its importance or priority.

How many times have you been working with a data set and noticed a small error but not said anything, or just manually corrected something from an automated report, just get it out the door on time?  It feels like too much of an inconvenience to find the right person to notify, so you just correct the error each time yourself, or you raise a ticket for the issue but never get round to checking if it’s resolved. 

These small errors that you think aren’t that important can filter all the way up to the top of an organisation through reports and dashboards where critical decisions are being made.  It happens almost every day.

How does this affect my organisation?

There are many ways, but one of the most widespread and noticeable impacts is around reporting and analytics.  If you’re in senior management, you will most likely receive a dashboard from your team that you could be using to review cost savings, supplier negotiations, rationalisation, forecasting or budgets.

What if within that dashboard was £25k of cleaning spend under IBM?  I can already hear you saying “that’s ridiculous” – well, it is obvious when pointed out, but I have seen with my own eyes IBM classified as cleaning.  It can happen easily and occurs more frequently than you might think.

Back to that dashboard that you are using to make decisions, you’ll see increased spend in your cleaning category, and a decrease in your IT spend, which could affect discounts with your supplier, your forecast for the year, monitoring of contract compliance etc…  It could even affect reporting of your inventory,  it appears you need more laptops, and unnecessary purchases are made. 

When there are tens or hundreds of thousands of rows of data, errors will occur multiple times across many suppliers.  And for the wider organisation, this could affect demand planning, sales, marketing and financial decisions.

And then there are technology implementations.  Rarely is data preparation considered before the implementation of any new software or systems, and there can even be the assumption that the software supplier will do this, which may not be the case, and if they do provide that service it might not be good enough.

It can be very far into the process of implementation before this is uncovered, by which time staff have lost faith in using the software, are disengaged, claim it doesn’t work, or they don’t trust it because “it’s wrong”.  

At this point, it either costs a lot of money to fix and you have to hope staff will engage again, or the project is abandoned.  In either case, this can take months and cost thousands, not millions of pounds/euros/dollars in abandoned software or reparation work.

You might also be considering using, or engaging with a 3rd party supplier that uses AI, machine learning or some form of automation.  I can’t emphasise enough the importance of cleansing and preparing your data before using any of these tools. 

Think back to the IBM example, each quarter the data is refreshed automatically with the cleaning classification, that £25k becomes £50k, then £75k the following quarter, it’s only when the value becomes significant that someone notices the issue.  By this stage, how many decisions have been based on this incorrect information?

How can this be resolved?

Truthfully, it’s with a lot of hard work.  There’s no magic bullet or miracle solution out there to improve the accuracy of your data: you have to use your team or an experienced professional to get the job done. Get your team to familiarise themselves with the data. If they are reviewing and maintaining it regularly they will soon be able to spot errors in the data quickly and efficiently.

If you think about data accuracy in terms of COAT, this will help to manage your data.

It should always be Consistent – everyone working to the same standards; Organised – categorised properly; and Accurate – correct.  And only when you have these things will it also be Trustworthy – you wouldn’t drive around in a car without a regular inspection would you?

How to spot procurement problems and identify savings

Accurate data is important, but in its raw state, it’s not the whole story.  As a procurement professional you’re tasked with ensuring the best prices for products or services, as well as ensuring contract compliance on those prices, along with cost reductions and monitoring any maverick spend … to name but a few!

Accurate data alone will not help achieve this, I strongly recommend supplier normalisation and spend data classification to help quickly and efficiently manage spend and suppliers, monitor pricing and spot any potential misuse of budgets.

How do I get started?

With a spreadsheet of spend transactions over a period of time such as 12 to 24 months, the first step should be Supplier Normalisation, where a new column is added to consolidate several versions of the same company to get a true picture of spend with that one supplier.  For example, I.B.M, IBM Ltd, I.B.M. would all be normalised to IBM.

Data can be classified using minimum information, such as Supplier Name, Invoice/PO line description and value. To get more from the data, other factors can then be added in, such as unit price. Where unit price information is not available, the quantity can be divided by the overall value.

A suitable taxonomy will then need to be found to classify the data.  It can be an off the shelf product such as ProClass, UNSPSC, PROC-HE, or a taxonomy can be customised so it’s specific to your organisation or industry.

This initial stage may take months if you are working with large volumes of data. It might be worth considering outsourcing this initial task to professionals experienced in this area, who will be able to complete the project in a shorter time, with greater accuracy.

Avoiding common pitfalls

There are a number of ways to classify the data> However, to get started, look for keywords in the Supplier Name and then the Description column.  The description of services could include ‘hotel, taxi, cleaning services, cleaning products, etc., however, it’s important to carefully check the descriptions before classifying, or errors could be introduced.  A classic example is “taxi from hotel to restaurant”, depending on which keyword you search for first, it could end up being misclassified as transport, or venue costs.

I wouldn’t advise classifying row by row, as it could take more than twice as long to complete the file using this method.  Start with keywords, followed by the highest value suppliers which you can get from a pivot table of the data if you’re working in Excel.

Identifying opportunities

Once classified, charts can be built to analyse the data.  The analysis could include, ‘top 80% of suppliers by spend’; ‘number of suppliers by category’; ‘unit price by product by month’;  ‘spend by category’; or ‘spend by month.’

Patterns should start to emerge which could reveal unusually high or low spend in a category, irregular pricing, higher than expected use of services, or a higher than expected number of suppliers within a category. 

Why you should strive for data accuracy and classification?

Data accuracy is an investment, not a cost.  Address the issues at the beginning: while it might seem like a costly exercise, you will undoubtedly spend less than if you have a to resolve an issue further down the line with a time-consuming and costly data clean-up operation.  And by involving the whole team or organisation, it will be much easier to manage and maintain the most accurate data possible.

Spend data classification shows you the whole picture, as long as it’s accurate.  You can get a true view of your spend, allowing improved cost savings, better contract compliance and possibly the most important – preventing costly mistakes before they happen.

So, does your data have its COAT on? What does ‘dirty data’ mean to you? Let me know below!

Susan Walsh is the founder of The Classification Guru, a specialist in spend data classification, supplier normalisation and taxonomies.  You can contact her at [email protected] https://www.procurious.com/professionals/susan-walsh

Don’t Bore The Board

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

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

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

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

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

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

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

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

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

Getting involved in ISM2017

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

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

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

Network, network, network

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

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

Plan ahead to get the most out of ISM2017

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

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

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

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

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

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