Tag Archives: SAP Ariba

Procurement Professionals: Get Your Blinkers Off!

Reluctant or unsure about driving greater diversity and inclusion in your procurement teams and the organisation at large? You need to take your blinkers off!

Simon Burt/ Shutterstock

When it comes to implementing diversity and inclusion initiatives in the workplace it can be difficult to know where to begin.

And perhaps you’re equally skeptical that your actions could even have a significant impact?

But when we were joined last month by Timo Worrall, Senior Category Manager, Facilities Management – Johnson & Johnson; Julie Gerdeman, General Manager, SAP Ariba and Darren Swift (Swifty), Inspirational Speaker, The Drive Project & Blesma Ambassador for our latest Procure-with-Purpose webinar all three speakers quickly put these doubts to rest…

The Facts

People with learning differences

“Just 6  per cent of young people with a learning difficulty are actually in employment which is a burden on society and for individual and their family,” explained Timo.

“These people are often willing but unable to work because we don’t give them the chance to get a foot in the door. They can’t find work because they can’t find work experience. We are often unwilling as big corporations to accept their differences. But they can do the work and they can also be very loyal. The barrier to entry isn’t them, it’s us.”

Veterans:

The Drive Project’s Veterans Work report found that three in ten businesses admit they have not even considered employing veterans. While the majority claim to be more open minded, 60 per cent of businesses rule out recruiting someone if they have no industry specific experience.

There are roughly 700,000 veterans currently in employment, over half find themselves in routine, low-skilled or low-paid jobs.

Neurodiversities 

“Individuals who are neurodiverse or on the autistic spectrum are underused source of talent with great skillsets that our leaders are seeking on their teams,” argues Julie. “There is a constant need for great talent and a unique point of view.”

Starting small is ok

“I have always been a huge advocate and proponent for diversity of thought,” explained Julie. “I’m one of nine children and so growing up I lived with lots of different opinions and personalities and thoughts and I saw the amazing environment that that created. And so I brought that with me to the workplace.

“I wanted to contribute to change. I volunteered to become the global exec sponsor for D and I at SAP Ariba. I started with a gender focus but it has evolved to become something much bigger and much broader.

“At SAP Ariba we think it’s ok to start small. It’s really ok. We started D and I [initiatives] with employees’ passions. [People who said] ‘this is what we’re passionate about.’ Welcoming and embracing personal passions into the professional workplace in a small way  blossomed into bigger, more formalised programs and from there we built a D and I framework to drive a more inclusive workplace”

As Timo explains, measuring success isn’t just about measuring numbers. “It’s easy to get bogged down in numbers and spend reports.” explained Timo. “[At Johnson & Johnson we are] trying to use story-telling and build business cases around the work we are doing. Talking about meaningful impact is a lot more powerful than just numbers.”

Take your blinkers off and crack on!

When it comes to getting started procurement teams simply need to “crack on and do it! I can promise you that you’ll find it hugely rewarding and enjoyable” asserted Timo. “I’m a firm advocate that [diversity and inclusion initiatives] change how procurement is viewed in the business and how we’re perceived.

“A social innovation agenda drives a completely different conversation with our business partners beyond that age-old savings conversation that we all get a bit bored of.

I really believe there is a massive untapped potential out there of many different groups that we don’t support as well as we should do. They can bring tremendous value and insights and different ways of doing things, often better than we can into our supply base. Get involved.”

Whilst serving in the Army in 1991, Swifty was seriously injured by a bomb. He lost both his legs, a number of his fingers and damaged his arms along with various other injuries.

Many years on and Swifty continues to live by this motto, championing individuality, pushing the boundaries of life as a double amputee and creating his own path.

“From my perspective I was lucky. I was surrounded by the right people. They were what I call “blinkers-off” people. They don’t wear blinkers. Or they’re prepared to take them off. They gave me the opp and had the right attitude to see some of the attrubutes that could be nurtured and untilised.

Broden your thinking. Take a punt on difference and diversity. Instead of always thinking you can’t ask why not, why wouldn’t we why shouldn’t, we let’s give it a go.

Unicorns are a mythical creature but they’re also a type of horse. Horses wear blinkers and they wear blinkers because it makes them go down a particular route, stops them from deviating stops them from thinking elsewhere and I quite like the idea of taking those off and having a wider vision.”

“What are the essential traits of future leader in procurement?” asked Julie.

“Is it this unicorn that ticks all the boxes. We intentionally seek a diversity of thought and a diversity of experience; different skill-sets. Because that drives innovation and that leads to great advancements.”

Procure with Purpose – Join the movement

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.

Enrol here to join the Procure with Purpose group and gain instant access to our exclusive online events, including the Don’t Go Chasing Unicorns webinar. 

Disabled Does Not Mean Disqualified: Challenge Your Perceptions of Ability

How can procurement professionals make disability work in the workplace? 

This blog was written by Julie Gerdeman, General Manager, SAP Ariba. 


One of the greatest joys of my work at SAP Ariba is the opportunity to wear more than one hat; not only heading up our payments business but also serving as the executive sponsor of our diversity and inclusion efforts. At the core of our D&I strategy is an aspiration to build an inclusive culture around the customer, innovation, and employee experience to enable us to become the most diverse company in the cloud.

Recently, I had the honor of hosting SAP Ariba’s popular Diversity and Inclusion luncheon at Ariba Live Amsterdam. This year’s theme, Rising Above the Impossible, focused on the importance of disability inclusion and leveraging accessible technology for better business outcomes because SAP Ariba recognizes them as important to the future of the workplace. For the event we assembled disability inclusion experts from different parts of the globe, and I had the great pleasure to get to know a group of phenomenal and courageous women, including our keynote speaker Nicky Abdinor (Nicky’s Drive) and panelists Lesa Bradshaw (Bradshaw LeRoux), Tania Seary (Procurious), Susan Scott-Parker (BDI), and Stefanie Nennstiel (SAP). I’d like to share with you three nuggets of wisdom from my discussion with them that has left a lasting impression:

1. “If You’ve Got the Drive, the Destination Is Up to You.”

I will never forget Nicky Abdinor, a clinical psychologist, who touched our hearts and minds as she challenged all perceptions around ability with her core message to focus on what you can do versus what’s you can’t. She graciously shared her personal story of overcoming her disability by focusing on her ability to create sustainable change in her attitude, beliefs, and emotions to achieve the possible. She shared her mantra with the audience: “If you’ve got the drive, the destination is up to you.” I thought this was a great takeaway we can all relate to and apply in our lives because no matter if the disability is visible or invisible, we all have the power within us to choose to achieve the possible.

2. “Make Disability Work in the Workplace”

The talent pipeline and impact on the future of procurement is top-of-mind for our Procurement professionals. I see now more than ever that a diverse workforce is imperative for a business to survive in the digital era and is a topic that all our audiences want to discuss.

Our panelists were candid and offered some practical advice for all to use when they returned to their businesses, particularly around “making disability work in the workplace.” Companies must commit to building an inclusive culture that allows all employees, not just the perceived majority, to thrive at work. This begins with recruiting and retaining diverse talent.

At SAP Ariba, we are building our strong foundation by empowering employees to uncover their unconscious biases, which we all carry as human beings, and learning to eliminate bias from decision-making for better outcomes with our Business Beyond Bias training program. In addition, the panelists encouraged the audience to ensure their companies develop a disability and inclusion strategy to empower managers to make intentional decisions around reasonable accommodations that allow everyone the same opportunity to perform their job responsibilities. For example, SAP Ariba has made the intentional decision to participate in the Autism at Work Program because we value neurodiversity and are seeking a specific set of skills to enhance our workforce to widen our perspective on the business. Our disability and inclusion strategy enables our managers to go beyond traditional sources of talent, and this has made a positive impact in our overall employee morale.

From experience, we know that innovations often originate from unlikely sources.

3. Accessible Technology Can Make a Real Difference

Another critical component that enhances the success of disability and inclusion efforts is accessible technologies. The benefits extend from the home to the workplace, as accessible technologies transform the way people with disabilities contribute and thrive. They serve as a tremendous equalizer leading to retention, development and advancement. At SAP Ariba, we are deeply committed to ensuring that accessible technologies are integrated into our business.  We are amplifying this approach by promoting the importance of accessible technologies among buyers and suppliers and buyers on the Ariba Network.

The Important Role of Procurement

Procurement leaders play an important role in bringing visibility to the value of a supplier diversity strategy that can increase competitive advantage through an inclusive supply chain, offering opportunities to underrepresented suppliers. By now, we are all familiar with the research that shows companies that embrace diversity are more profitable. If you haven’t already, I recommend reading The 2018 Delivery Through Diversity Report by McKinsey for the latest data and insights.

As I reflect on my wonderful experience learning from our knowledgeable disability and inclusion experts, I feel hopeful and encouraged with the opportunities available to procurement professionals to make a positive contribution toward building an inclusive workforce and a diverse supply chain. Ultimately, as we embrace business with a purpose, the ability to contribute toward the greater good of society fuels my passion for leading and implementing diversity and inclusion within procurement.

Julie Gerdeman is GM and Global Head of Payments & Financing at SAP Ariba. 

Don’t Go Chasing Procurement Unicorns

Trying to build a team of procurement unicorns? You might just want to re-think your strategy…

What makes a procurement unicorn?

They’ve got the grades, the qualifications and years of relevant experience. They tick off every core procurement skill in the book and they’ve worked for some big-name companies.

In short; on paper, they’re perfect.

If you’re self-proclaimed unicorn hunter, you’re probably hoping to fill your entire procurement team with a herd of these mythical creatures. Because you think that’s what’s best for your business…

And that’s where you’d be very wrong. Because in today’s world, Unicorn = Uniform!

With this narrow outlook on your recruitment processes, you run the risk of missing out on extraordinary talents.

It’s impossible to know the unique skills, experience and perspective that a potential hire can bring to your team if you don’t open your mind to their many differences and diversities.

In our upcoming webinar Don’t Go Chasing Unicorns we’ll be celebrating individuality. Join us on 18th July as we explore how organisations can better accommodate people  who are differently abled; whether it’s those with physical disabilities or people who are neuro-diverse.

We’ll be discussing:

  • The importance and benefits of recruiting and retaining differently-abled people to your teams
  • Why it is such terrible idea to set your sights on procurement unicorns!
  • How  procurement pros can help to build truly diverse teams and foster a workplace environment that is inclusive to everyone?
  • How are some of the biggest organisations making the workplace inclusive and accessible for everyone?

Who is speaking on the webinar?

Tania Seary, Founder – Procurious

A true procurement entrepreneur, Tania is the Founding Chairman of Procurious, The Faculty and The Source. Throughout her career, Tania has been wholly committed to raising the profile of the procurement profession and connecting its leaders.

After finishing her MBA at Pennsylvania State University, Tania became one of Alcoa’s first global commodity managers.

In 2016, Tania was recognised by IBM as a #NewWaytoEngage Futurist and named “Influencer of the Year” by Supply Chain Dive. She hosts regular procurement webinars, and presents at high-profile events around the world.

Darren Swift

In 1991 Swifty was injured by a terrorist attack that resulted in him loosing both his legs above the knee. During his extensive rehab he made a 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 becoming the first ever double above knee amputee solo skydiver and snowboarder. Swifty’s unique and inspiring story demonstrates the need for employers to be open minded when hiring as without this outlook they could miss out on an extraordinary talent!

Timo Worrall, Senior Category Manager, Facilities Management – Johnson & Johnson

Timo is responsible for the procurement of Facility Services across J&J’s global portfolio, including leading recent initiatives in EMEA and APAC. He is a key part of the team that has implemented the ‘Social Impact through Procurement’ initiative through the J&J business in the UK, including driving the introduction of Social Enterprises into the facilities supply base. It is this work with social enterprises that will help J&J reach its target of a £15 million of social value spend by 2020.

Timo’s work includes contracting a 3 per cent social value target into two regional FM contracts, that will deliver £3 Million of social value across Europe and Asia. Timo believes passionately about the impact that big business can have on impacting the lives of those disadvantaged in our society. He lives in Woking, Surrey, with his wife and two children.

Julie Gerdeman, General Manager, SAP Ariba

Julie Gerdeman is GM Payments & Financing at SAP Ariba. In this role, she is responsible for all aspects of the company’s strategy and execution to transform global B2B payments.Prior to this role, Ms. Gerdeman led the SAP Ariba Digital Transformation Organisation. This team of 100+ advisors lead SAP Ariba’s delivery of customer value: from identification, to enablement through realisation.

Before joining SAP Ariba, she held various leadership positions in sales, customer success and marketing at J.P. Morgan Chase and American Express.Ms. Gerdeman holds a B.A. from Dartmouth College and lives with her family in the Lehigh Valley, Pennsylvania. She is a member of the board of directors for Apparent Financing, an SAP.io funded start-up that leverages data from the Ariba Network to facilitate financing to small business suppliers. Ms. Gerdeman is also the global executive sponsor for Diversity & Inclusion at SAP Ariba and speaks and blogs frequently on this topic.

How do I register for the webinar?

Registering for Don’t Go Chasing Unicorns couldn’t be easier (and, of course, it’s FREE!)

Click here to enter your details and confirm your attendance. We’ll send you a email with a link to the webinar platform in the run up to the event.

I’m already a member of Procurious, do I still need to register?

Yes! If you are already a member of Procurious you must still enroll to access the webinar. We’ll send you a email with a link to the webinar platform in the run up to the event.

When is it taking place?

The webinar will take place at 10am EDT/ 3pm BST on 18th July 2018

Help! I can’t make it to the live-stream

No problem! If you can’t make the live-stream you can catch up whenever it suits you. We’ll be making it available on Procurious soon after the event (and will be sure to send you a link) so you can listen at your leisure!

Can I ask a question?

If you’d like to ask one of our speakers a question please submit it via the Discussion Board on Procurious and we’ll do our very best to ensure it gets answered for you.

Our webinar,  Don’t Go Chasing Unicorns, takes place at 10am EDT/ 3pm BST on 18th July 2018. Register your attendance for FREE here. 

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.  

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. 

Always Let Procurement Be Your Guide…

As we move from the age of mandate into the age of guidance there is enormous opportunity for procurement pros to make themselves known and heard…

SAP Ariba’s Vice President, James Marland, believes that the procurement function is moving from what he calls the Age of Mandate into the Age of Guidance – and that’s a great thing.

“The Procurement Department seemed to consist of people who delighted in saying ‘no’. In order to get anything bought by the organisation you had to jump through a whole series of hoops: but that’s not really how people want to engage with their suppliers.”

He argues that an advisory role is by far the preferable option;  “procurement needs to be helping people to do their jobs, not getting in the way. If too many barriers are put in front of them people will just buy it in a different way, perhaps putting it through an Expense Report.”

‘Advisory procurement’ is not a controversial suggestion by any means. As James highlights, almost all areas of our business are transitioning to become more advisory in their approach. HR, for example, are likely to discuss with their employees how to manage their pensions, rather than dictate to them how it must be done.

In the past, IT might have handed you a laptop to use but now many organisations employ a ‘bring your own device to work’ scheme.

“The Age of Mandate was very much about rules and policies: telling people what they can’t do. And really, in Procurement we interposed ourselves into our stakeholders’ business process: kind of ‘got in the way’.  And we were measured on savings.”

But now we can measure procurement on much more important things.

How procurement can guide the organisation

Procurement is in a truly unique position to impart organisation-wide change whether it’s managing risk or encouraging a more  purpose-led approach to business.  But these changes have to be executed in the right way.

‘Why can’t I buy it online, it’s cheaper than the corporate catalogue?’

This is the sort of question procurement teams are all too used to hearing from different areas of the business.

But huge, branded corporations have to be extremely careful when it comes to managing their supply chains and supplier lists.  No one in the UK could forget the huge 2013 scandal that occurred when horsemeat was found in some of the processed beef products sold by a number of supermarkets. You might also remember that Tesco, Iceland, Aldi and Lidl were all implemented and exposed by the press.

Of course, it wasn’t their suppliers who bought the horsemeat. It wasn’t even their supplier’s supplier’s supplier’s supplier.

But we always remember the brands.

“Historically, procurement hasn’t done a brilliant job in explaining this sort of risk to the business” James argues. But rather than simply saying no “we need to be able to offer a range of solutions to the business that still allows them to buy what they need to buy, whilst removing the fear and risk of things like poor ethical practices in the supply chain.”

“It must be easy for users to consume. Not, for example, complicated supplier lists that no one knows about.”

In other words; whilst an organisation might send out a mandate from the top that, for example, they want to buy more locally, it won’t necessarily work if the procedures aren’t put in place to make it possible.

A business striving to make the office more accessible can’t succeed by simply adding another dozen questions to every RFP.

Instead, procurement can implement systems whereby inclusive filters are automatically applied.

“You need to make it so it’s easier to do the right thing than to do the wrong thing,” James explains.

So why does James think procurement is best placed to guide the business in doing the right thing?

Put simply “we spend all the money.”

“You can boycott your corner shop and that’s great. But if procurement can persuade a big mining company to employ local people differently that could have a huge impact on the world.”

“A lot of social change is about placing large resources that a company has into the economy. Most of the transactions in the world, 80 per cent are B2B and most of that comes through a procurement desk.

“We’re privileged to have such an effect and it’s a responsibility that we are stewards of the global economy.”

James Marland, Vice President – SAP Ariba, spoke at last month’s Big Ideas Summit. Check out his interview here. 

Humanity, Environment, Ethics – For A Responsible Supply Chain

Tackling modern slavery might seem like an insurmountable problem for you to tackle alone, but even a reduction of one is huge. 

January: Human Trafficking Awareness Day

April: World Earth Day

In between these two months at the very beginning of the year, and surrounded with newly renewed resolutions, many of us go about our day to day lives.

Negative media and events increase. Technology brings these stories to us, and we “click” on them, but nothing changes.

Years ago it was easy to hide child labor and human bondage. No one paid attention to deep sea fishing trawlers or dingy factory floors in remote parts of the works. But now, this is front page news.

One thing is clear – the number of those in bondage have grown. How could that be? If there is now more exposure, more news, more awareness – how can the number of people enslaved be increasing?

The numbers are staring at us in the face. The International Labor Organisation recently shared that there are more than 45 million enslaved today.

This number grows yearly. Every corporate procurement individual must take responsibility for going beyond audit compliance to drive continuous improvement in our supply chains and eliminate modern slavery. We must go beyond one-off state level (California Transparency Act) and country level (UK Modern Slavery) initiatives to pave the way for a binding international consensus that covers global supply chains and cooperation between countries to accelerate action.

What can supply chain professionals do?

Turn to technology. Technology can help mine, collate, compile and quickly pin point areas of actions

  1. Breakthrough innovations in production and processing including IoT can generate signals that provide advanced warning helping to limit forced labor
  2. Mobile phones can be used to track labor rights violations and working conditions
  3. Blockchain is being used to track labor contracts
  4. Trusted distributed ledgers are also used for tracking at source ‘ethical’ practices
  5. AI/ML can scour through vast volumes of data to generate high intensity negative signal, sifting through noise to help corporate buyers focus on supplier co-development efforts
  6. Procurement networks can help provide visibility to ethical sources of supply, highlighting those companies that do good and establishing solid, long-term relationships for a responsible supply chain

I recently outlined the specific actions procurement can take to generate the much needed momentum to bring forced labor incidences down to zero.

But if you and I, the corporate and personal buyers, do not act on all this information – yet another decade will pass. The numbers of those enslaved might double or triple. Is this the world we want to leave behind?

Tackling modern slavery might seem like an insurmountable problem for you to tackle alone, but even a reduction of one is huge.  Little drops of water make a mighty ocean…

Are you ready to act?

As an individual?

For your team?!

Because as US Navy Admiral, William H. McRaven said in his motivational speech “If you wanna change the world, start off by making your bed”.

This article was written by Padmini Ranganathan, Global Vice President – SAP Ariba.


Procure with Purpose – Join the movement

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.

Yesterday’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. 

Could The 21st Century Wilberforce Please Stand Up?

The world is in dire need of a 21st century William Wilberforce to realign the corporate moral compass on this increasingly pressing issue of modern-day slavery

In the early 1800s, the politician and social reformer William Wilberforce famously spearheaded the movement to abolish slavery. His campaign was long and hard-fought, beginning in 1787 with the Committee for the Abolition of the Slave Trade and culminating in 1833 when the House of Commons passed the Slavery Abolition Act.

Wilberforce, by this stage, was in poor health and died just three days after seeing his life’s work pay off. But he had achieved what he set out to – slavery was effectively wiped out across most of the British Empire.

Modern Slavery Today

There are more than 30 million forced labourers around the world today.

Now, nearly 200 years later, I can imagine Wilberforce turning in his grave at the prevalence of modern slavery in today’s supply chains and the thought of all he worked for being undone.

According to the International Labour Organisation, there are more than 30 million forced labourers around the, with recent high-profile cases uncovered in almost every industry – from indentured servitude in commercial fishing near New Zealand to child labourers in the cocoa and coffee industries in Latin America and Africa.

Closely analysing suppliers and, perhaps even more importantly – where businesses tend to source their components or raw materials, can reveal alarming and eye-opening results.

A construction company, for example, might discover it is using iron from China, where the industry is poorly regulated and there is a high probability of forced labour.

A search for women’s shirts in Malaysia could reveal cotton sourced from Mali, another potentially problematic region in terms of labour practices.

As with so many areas of modern life, it feels like we’re forgetting the lessons we should have learned from history – to the point that we’re in dire need of a 21st century Wilberforce to realign the corporate moral compass on this increasingly pressing issue.

Procurement pros should take center stage on tackling modern slavery

Procurement has a crucial role to play in the fight against modern slavery. These issues allow procurement to move away from the “back office” and take centre stage.

Previously mundane tasks such as supplier screening actually turn out to be critical in helping a company stamp out the scourge of poor labour practices, indentured workforce and poor working conditions, whether in Bangladesh or the UK – where recently arrived immigrants are working for less than a minimum wage.

More than a third of UK businesses are still failing to combat modern slavery, according to the latest CIPS survey.

The EU recorded the largest increase in slavery of any region worldwide (according to research by British analytics firm Verisk Maplecroft) with 20 of its 28 states reporting higher levels of slavery than they did in 2016.

There is clearly still more work to be done.

Who should step forward and become the new William Wilberforce?

Another Parliamentarian?

A leader with deep religious beliefs?

NGOs?

Pressure groups who can organise boycotts?

Brand attacks might ignite fleeting moments of righteous social media outrage, but society needs to dig a lot deeper to effect lasting change. You can boycott your local shop but that won’t impact a large buyer of steel or soybeans.

You have to persuade companies that it’s not just the right thing to do but that it’s also better business.

My view is the CPOs of the largest companies are best placed to start solving this problem. Collectively, the Global 2000 spend $12 trillion on goods and services annually so by tying their purchases to purposes, these companies can ensure they provide fair labour practices across their supply chain.

Now is the time for a coalition of well-intentioned and influential businesses to come together and become a modern-day Wilberforce that can stamp slavery out for good.

SAP Ariba’s James Marland will be speaking at Big Ideas Summit on 26th April 2018. To find out more information and register to attend in person or as a digital delegate visit our dedicated site. 

How Your Network Can Turbocharge Procurement

Networks have the power to transform procurement teams and turbocharge the businesses they link together. So how do you get the best value from your network?

Since you’re here reading Procurious, I can already tell you appreciate the value of networks.

And you’ve probably realised that the wider your network of professional connections, the greater its value to you.

This network effect, where the benefit of a product or service increases as more people use it, has fuelled the growth of leading Internet companies for decades.

In procurement as elsewhere, networks enable participants to reach across the world, think big, and magnify their impact.

Meanwhile, as networks embrace cloud-based technologies, they allow buyers and suppliers to think even bigger — and to make an exponentially greater impact on the buyers, sellers, and ultimately customers who rely on them.

As innovations like artificial intelligence, machine learning, the Internet of Things, and blockchain reshape entire industries; networks are becoming not only faster but actually smarter at drawing meaningful insights from sprawling troves of seemingly unrelated data.

Envisioning the world as it could be…

In the process, these advances are helping procurement professionals to envision the world not just as it is, but as it could be — including their own role in it. When cloud-based applications take on many of the function’s day-to-day tactical activities, they free up procurement professionals to focus on strategic priorities such as strengthening supply chain resilience, safeguarding the brand from third-party risk, and cultivating new sources of innovation.

As a result of this digital transformation, procurement is evolving from its traditional role of generating cost-savings to fostering collaboration and, ultimately, driving much of the strategic value that fuels growth.

What does it mean to a business — to all its trading partners and other stakeholders — when, for the first time, cognitive insights allow it to get ahead of problems before they occur?

The implications extend well beyond operational risk. Consider the reputational risk associated with forced labour upstream in one’s supply chain. A network instills confidence across the value chain when it offers visibility not only into inventories, cycle time, and turnover ratios but also into the criteria that gauge whether a trading partner’s brand values align with one’s own.

Does a supplier have, for example, the governance structures in place necessary to root out forced labour, human trafficking, and inhumane working conditions? Customers and investors alike demand transparency into all these factors, and networks provide a comprehensive, real-time glimpse to simplify compliance. The result is peace of mind when advances in machine learning provide buyers and suppliers with options instead of data so that they can create ethical, sustainable supply chains, all while extending their competitive advantage.

At its best, technology enhances our business relationships, our personal ones, and the quality of all our lives. Yet, as anyone who’s ever experienced a hard-drive crash can attest, technology can sometimes serve at cross-purposes to this goal.

The same holds true for the software industry. The world’s most powerful networks can evaluate immense amounts of information, but unless they’re designed with the customer in mind they may as well possess the processing power of an abacus.

Procurement professionals have every right to expect that the network they rely on be intuitive, reliable, and — above all — consistent in delivering on their promises.

Does yours?

Demand it!

SAP Ariba’s James Marland, Vice President, will be speaking at Big Ideas Summit in London later this month. To find out more information and register to attend in person or as a digital delegate visit our dedicated site. 

This article was originally published on LinkedIn. 

Exploding The 4 Social Enterprise Myths

Social enterprises require a LOT of extra procurement work and handholding. So it’s totally fine to avoid them…right?

We love busting the most common myths in procurement.

And there’s no myth more satisfying to bust than one that can benefit everyone.

There’s a lot of misinformation going around about the pros and cons of social enterprises. So we decided to find out the actual facts from an expert.

We spoke to Mark Daniels, Head of Market & Sector Development -Social Traders and asked him to clarify a few of the most common misconceptions about social enterprises.

What is a social enterprise?

Social enterprises (SEs) are businesses that trade to intentionally tackle social problems, improve communities, provide people access to employment and training, or help the environment.

Using the power of the marketplace to solve the most pressing societal problems, SEs are commercially viable businesses existing to benefit the public and the community, rather than shareholders and owners.

Social Traders, Australia’s leading SE development organisation, define a SE by the following three factors:

  1. They are driven by a public or community cause, be it social, environmental, cultural or economic
  2. They derive most of their income from trade, not donations or grants
  3. They use the majority (at least 50 per cent) of their profits to work towards their social mission

We asked Mark Daniels, Head of Market & Sector Development at Social Traders, to bust some of the most common myths associated with SEs.

Myth 1: SEs are less capable

The idea that SEs are limited in terms of capability are generally not founded, explains Mark.

“But many are limited in terms of scale. There are very few SEs that can be a major tier 1 supplier, which is mostly what procurement teams are looking for.”

Procurement teams, instead, “have to become more creative and look to tiers 2 and 3 to buy from or work with organisations like ours to work out new and different ways to buy from them.”

Another option is to encourage tier one suppliers to buy from tier 2 SEs.

Myth 2: SEs are a risky business

“To date, we haven’t seen any examples where SE have failed during contracts,” asserts Mark.

“Delivery is comparable to private sector suppliers.”

Myth 3: SEs are expensive

“Just like any other supplier; some [SEs] can be expensive, or the same, or cheaper.”

“We run a SE audit of any new buyer members. Coca Cola Amatil, for example, was spending over one million dollars on SEs and didn’t even know it!”

“There are 20,000 SEs turning over 3 per cent of the Australian economy. They’re already winning work without preferential treatment!”

“In some cases corporates do assist SEs with capacity building. This might involve paying more now but they know that in three to four years they’ll achieve scale and prices will drop.”

Myth 4: SEs require a lot of handholding

A lot of the time, SEs won’t require any more support than their private counterparts. “Coca Cola discovered that they had four or five SEs that didn’t require any hand-holding – they simply won the tender processes.”

On some occasions, however, “procurement may realise that these suppliers need help.”

“Social Traders has shifted to invest heavily in capability building for SEs. Some SEs need help to transition from a $1m to a $5m business. That’s the sort of assistance we’re giving – strategic support, accessing capital and so forth.”

“We’re also seeing things like 90-day payment terms being an issue.” Which is something procurement teams can work to change.

“The industry is starting to change the way they do payment terms – Broadspectrum, for example, has moved to 14 day payment terms for SEs and indigenous businesses.

“Suddenly more suppliers can work with Broadspectrum.”

Social enterprise policy

As we explored in last week’s blog , countries around the world are taking different approaches to improving their supplier diversity.

Buying from SEs is a great way to start.

In Australia, the opportunity around SEs came off the back of indigenous procurement proactive policies, which set targets and created social procurement systems in government to enable targets to be met.

“Level Crossing Removal Authority requires that 3 per cent of the supply chain must be indigenous-owned or SE businesses, or SE.

This has been quite powerful in changing behaviour in the infrastructure industry. We will see hopefully something to the tune of $300 million spent with SE or indigenous businesses.”

“France, Germany, Austria have requirement that around 6 per cent of your workforce and supply chain have to be people with disabilities. If that isn’t the case you have to pay a higher tax rate.”

“That tax was used to create more SEs to help people with disability. It’s an impressive policy.”

About Social Traders 

Social Traders is an Australian organisation that works to put social enterprise into business and government supply chains. They do this in order to create employment for the most disadvantaged by increasing the trading activity of social enterprises and to create new value streams for buyers.

It emerged over time was that there was a new marketplace starting to establish, which was corporate and government buyers interested in delivering social value through their procurement processes.

Social traders enable more organisations to buy from SEs, certifying them to give buyers the assurance that they aren’t being deceived. Because, as soon as social enterprise becomes a competitive advantage in a tender process, people will claim they are when they’re not

The impact of Social Traders work is impressive. In 2017 they enabled approximately $20 million in deals, which translated roughly to 300 jobs for disadvantaged people.

Their target in 2021 is $105 million in deals, creating 1500 jobs.

“We can see a market where hundreds of millions will be going to SEs every year.”

This can start to make a real dent in the unemployment of disadvantaged people.  Social procurement is a real lever for addressing social inequality.

Procure with Purpose – Join the movement

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.

Enrol here to join the Procure with Purpose group and gain instant access to our exclusive online events.