Tag Archives: talent

Is Your IP Safe From Flexible Workers?

The world of work is changing, with the younger generations taking advantage of flexible working. But how can organisations safeguard their IP in this new world?

Photo by Philipp Katzenberger on Unsplash

For some of us, it feels like we have just got over the shock of seeing Millennials coming into the workforce (generally considered to be those born in the 1980s/ 90s), when suddenly we are faced with Generation Z youngsters (born around the Millennium, from around 1995 to 2005) appearing in our offices, shops or factories.  

What is clear though is that those individuals are facing a very different employment situation to those of us defined as “Baby Boomers”. That’s not to say all of that post-war baby-boom era have thrived. Many are facing a retirement that will require continuing to work, perhaps via unsatisfactory zero-hours contracts. Particularly if they didn’t get their pensions sorted out in good time. 

Job for Life? Or Jobs A-plenty?

But back to the changes in working life. For those graduating in the 1970s and 80s, a training scheme with a respected large firm, like Shell, Mars, Ford, P&G or IBM was the pinnacle of ambition for many. The expectation then was that if the new entrant performed well, they might be there for life, with a nice final salary pension at the end of it.  

Now that world has not disappeared completely, and there are still huge corporate employers – the big accounting firms having become a major recruiter of graduates, for instance. But for many young people, the world of work looks very different.

These people are more likely to start their own businesses, as true entrepreneurs, for tax reasons, or perhaps to work part-time while pursuing another dream (writing, acting, or charitable work).  They are more likely to end up working for many different employers, and probably carrying out many different roles. They may have part-time jobs, perhaps several at the same time.

Many will end up on flexible or zero-hours contracts at some point. They may well at some point be self-employed. They may work hard for a year, then disappear off travelling for six months.

Not all of this is positive, and some may wish for the old days of the steady nine-to-five. But there are opportunities now to try different things, and take a flexible approach to work, perhaps to follow that dream of being a movie star or the next Bill Gates, whilst making enough money to survive by cycling around town with a Deliveroo bag on your back!

Employing the Right Flexible Workers

This situation has arisen in the main partly because of demand from individuals, but mainly because employers see the advantages in flexible working patterns and approaches. Yet this new world of work has brought issues as well, for both workers and employers.

For the employer, managing a group of often highly independent and intelligent workers, who may have limited real loyalty to the organisation, and who may disappear at any moment off to Thailand or to go on tour with their band, is a challenge.

In many cases, flexible working is attractive for the employer because it helps to cope with changes in demand – peaks and troughs – in an efficient manner. But that assumes the organisation can get hold of the right workers when they are needed. That is difficult enough even in many relatively unskilled roles, but when it comes to finding skilled people, ranging from heavy goods lorry drivers to social workers to film make-up artists, the challenge is even greater.

The Unseen Risks

There are also reputational and even strategic risks for some organisations. In the health, education and social care sectors, ensuring that workers have the right accreditations and qualification is vital. Security clearances come into play in certain cases, for instance in the security and defence sectors, and increasingly in other roles where data comes into play.

In other sectors, such as technology, questions of intellectual property, confidentiality and competition come into play. If you have seen the film Social Network, you may remember that the Winklevoss twins claimed they took on Marc Zuckerberg in effect as a “contract worker” to develop  coding for their business idea of a website to connect students.  We all know what happened next.  Not long after, to their surprise, Zuckerberg’s “The Facebook” hit the dorms of Harvard!

The smart young programmer you’ve taken on to help meet a deadline – where else has she been working? Might she have her own plans for a similar product, game or app?  Is her best friend getting married to your biggest competitor’s head of marketing?  

This may sound paranoid, but in a world of flexible working and workers, these issues are increasingly significant. Protecting the organisation’s reputation and intellectual property are further key imperatives in this emerging world.

So Long to the “Good Old Days”

So, we can assume that “work” is changing for all parties; and it needs to be underpinned by robust data and efficient operational management (and the two are linked, of course). Employees want to find opportunities, to engage easily and quickly with prospective employers, and to experience smooth and effective administration when they are employed.

Employers want to comply with tax and other regulations, know about the available pool of workers, be able to check them out, then manage the employment relationship efficiently and effectively. All of this requires good data, good processes, and good systems.

Any organisation that does not have those in place will struggle to attract, retain and manage their increasingly flexible and dynamic workforce. Whatever comes after Generation Z, we can assume we will never return to the old days! 

This article was written for Procurious by Stephan Beeusaert, UKI Head – SAP Ariba & SAP Fieldglass, and Peter Smith, Managing Director – Procurement Excellence Ltd. If you want to learn more or have any questions,  join SAP Ariba at ValueX – Unleashing the Power of Spend.

Your Procurement Resolution: Don’t Settle For Best-In-Class

What better time to set and start tackling key objectives for 2019? Your new year’s resolution is to be better than best-in-class…

In this time of personal New Year’s resolutions, it seems appropriate for leaders to also consider a resolution for their departments. For Procurement leaders in particular there couldn’t be a better time to do so. In recent years, the function has made tremendous progress in transforming into a strategic value driver.

Yet, as leaders broadly acknowledge, this transformation journey still has a long way to go. A recent study by the Hackett Group found that only 63 per cent of procurement organisations have even developed a plan for digital transformation and 33 per cent bluntly stated their service does not meet customer expectations. A Forrester study on enabling smarter procurement found only 22 per cent believe their reporting and analysis is where it should be and only 22 per cent that they have the required agility to respond to changing requirements.

So what better time to set and start tackling key objectives for 2019?

My recommendation is to set an aspirational resolution that reflects procurement’s true potential. One that is distinct from your MBOs, which are likely based on continuous improvement of performance aimed at closing the gap with best-in-class.

The problem with best-in-class

There is nothing wrong with benchmarking yourself and striving to improve performance to match the best of your competition. Organisations should do so, especially if still early in their transformation journeys. Success will result in greater value to those organisations. But achieving best-in-class performance won’t result in procurement becoming truly strategic, and may actually hinder progress in the long term.

How is that so?

Look at it in the context of the World Cup (or the upcoming Superbowl). Every team in the tournament earned its spot by being the best in their region. Hence, each team can be said to be best-in-class. Yet only one is the champion and that team doesn’t win by playing at the same level as their best-in-class peers but by playing better, doing something critical differently. Best-in-class is not a competitive advantage in sports, nor in today’s increasingly winner-take-all market. It is a stepping stone on the path to true greatness.

If leaders are to build competitive advantage and truly drive strategic value, they have to think beyond best-in-class and view that as an interim objective on their transformation journeys. Leaders must ensure that the people and technology they embrace to navigate those journeys have the capability to take them the full way, and not become a constraint at some point.

Yes, your top competitors are doing this right now

What exactly does going beyond best-in-class entail? Is anyone actually doing this? Yes they are. Your top competitors are extending their competitive advantage even as you’re reading this. Below are just a couple of examples:

  • Revenue: A leading Telco leveraged the flexibility of our platform to create a private marketplace where suppliers can bid for used mobile phones in mass volumes, generating hundreds of millions of dollars each year
  • Innovation: In 2014 Meritor launched a three-year initiative to drive massive value by transforming their supply chain in what can be thought of as a drive to achieve best-in-class. They then followed that with a new initiative to unlock massive innovation through a unique approach to new product introductions, configuring our platform to their ideas. The result? Their stock price rose from $4.45 to $13.30 at the end of 2016 and much further since, far ahead of competitor growth.

Note that in both of these examples the teams implemented best-in-class processes and wanted quick value. It should never be a compromise. But they kept the ultimate objective in mind and brought on the right talent and technology to take them to the next level when ready.

The talent challenge

In any meeting with CPOs I have attended in recent years, the top pain point raised is attracting and retaining top talent. Talent that is up to the task of driving successful transformations, to best-in-class and beyond.

The above examples illustrate an important point about talent, and the symbiotic relationship with technology. What good is top talent if your systems are too rigid for them to bring their best ideas to life? Out of the box best practices are important, but that shouldn’t mean constraining yourself from doing a few strategic things differently.

Meritor has a great team with great ideas. So when deploying software, they took embedded best practices but ensured they had the flexibility to easily configure once they were ready for that next phase. This empowered them to realise a unique and innovative approach that supported their financial success.

Realise your true potential

So as we enter a new year, filled with endless challenges and opportunities I encourage you to set a procurement resolution. One that, if achieved, will set you on the path beyond best-in-class, to building a competitive advantage. One that will empower your talent to truly make procurement strategic and realise your true potential.

A Shark at the 2018 Asia-Pacific CPO Forum

Shark Tank star, entrepreneur and talent expert Andrew Banks presented at the 2018 CPO Forum as a guest of our Premium Sponsor, American Express. Here are the highlights for this top-rated speaker.

There’s no single, agreed-upon definition of what leads to career success. If you pose the question on Google, you’ll find opinions ranging from salary levels, to happiness, to work-life balance, to growth opportunities.

It was refreshing, then, when Andrew Banks stood on the stage at the 2018 CPO Forum and announced that he had discovered the following formula: career success lies at the sweet spot between:

  • what you are passionate about
  • what you are good at, and
  • what the world

Banks is a modern-day polymath who might have delivered a fascinating speech on any number of topics, but knowing that he had over 60 CPO-level delegates in the room, he chose to speak about leadership and talent. Drawing upon his experience as a co-founder of Morgan & Banks, he spoke about motivation, attributes, values and purpose, and the winning combination when hiring talent. 

Motivation

“Intrinsic motivation is desirable, but extrinsic motivation helps direction”, says Banks. His point is that although a self-driven professional is admirable, a savvy leader will tap into their teams’ innate competitiveness and desire for rewards. He recommends driving performance and out-of-the-box thinking by:

  • creating competitions and prizes for teams and company-wide goals
  • making the rewards special (outside of normal rewards that are a part of the job)
  • making it open to all (anyone can play!)
  • setting specific targets and timelines to drive a sense of excitement and urgency.

Attributes Beat Skills and Knowledge

Banks is a strong believer in the power of psychometric testing and its ability to predict future job performance. Psychometric tests soon became a key differentiator for Morgan & Banks, with candidates tested across areas as diverse as cognitive ability, personality, interests, and attitudes. His message is similar to that of U.S. media figure Arianna Huffington, who tells businesses that no matter how brilliant an employee may be, the company should no longer tolerate “brilliant jerks” in the workplace.

Cultural Leadership

Banks quoted Peter Drucker’s famous observation that “Culture eats strategy for breakfast” before delving into an explanation of what cultural leadership looks like. It involves:

  • a constant rally around a ‘noble purpose’ – remembering that part of Bank’s definition of career success is “what the world needs”
  • highlighting core values daily/weekly.
  • being interested in your team, not interesting
  • providing inspiration and expecting the best.

The Winning Combination When Hiring Great Talent

If you can find a candidate with the combination of both passion and ability, you’re onto a winner. Banks comments that in job interviews, there are ways to ascertain what people want, opposed to what they think they want. Get them to explain the why within questions such as “What’s the best job you’ve ever had?”, and “Where do you excel?”

Similarly, when you’re writing a job description, always describe the behaviours and qualities you seek, not the role – just as you would describe the driver, not the car.

According to Banks, an ideal team member understands the business model and displays curiosity, thinks for themselves and innovates naturally, gets on well and never settles, has extra capacity for the next challenge, and makes their boss’s life easier.

In summary, if a leader is able to:

  • keep yourself refreshed by staying curious, seeking new input and inspiring the team,
  • motivate with games and rewards for out-of-the-box thinking,
  • get the team culture right around noble purpose and values,
  • start with the right raw materials …

…you’ll get superior performance!

Visit Chief Future Officer for more thought-leadership from The Faculty CPO Forum Premium Partner, American Express.

Bridging the Talent Gap in Procurement: Attracting New Hires in a Digital World

Want procurement teams to attract the best talent? Show us your stuff!

oatawa/Shutterstock.com

According to The Deloitte Global Chief Procurement Officer Survey 2017, 87 per cent of the respondents agree that talent is the single greatest factor in driving procurement performance. But the rates of new hires and recent graduates pursuing a career in procurement is decreasing.

That translates into a problem for the future of this function – a talent gap in procurement. But why?

Procurement is More than Cost Savings and Compliance

There are several reasons we can speculate as to why the workforce is pursuing careers outside of procurement, but in my opinion the overarching problem is that procurement is not seen as a ‘sexy’ career path. In the world of tech startups, innovative products, self-made social media sensations, and more, the idea of focusing on corporate cost-savings and spend compliance just doesn’t appeal – especially to the up-and-coming millennial workforce.

But the truth is, procurement is more than policing the organisation and saving company money. It’s about building relationships with internal stakeholders and external suppliers, drawing strategic insights from data to help others and using unique talent to solve problems.

Confession time: I’m also a millennial, and I think we have an opportunity here to fill the talent gap with eager new hires by showing what the new world of procurement is all about.

Show Us Your Stuff, Procurement

As employers and providers in the world of procurement, it’s up to us to make procurement a strategic and desirable field to enter. Hiding in the back office has made many of us modest, but it’s time for us to show off a bit to demonstrate the true strategic value procurement brings to the party. In reading The Deloitte Global Chief Procurement Officer Survey 2017, there were clear trends on how CPOs feel about the state of procurement, which led me to think about how we can apply those insights to address the talent gap.

Here are 5 ways to bring procurement careers into the modern world…

1.Create a digital culture

I’ll admit, I stole this one right from Deloitte’s recommendations because it’s spot on. 75 per cent of the survey respondents agreed – “procurement’s role in delivering digital strategy will increase in the future and are also clear that technology will impact all procurement processes to some degree.” And you know who grew up with technology from day 1 and is perfect for navigating a digital procurement world? You guessed it – millennials. Demonstrate to this up-and-coming workforce that your procurement department is committed to leveraging technology to automate and outsource the repetitive tasks, expedite the pace of business and enable them to focus on strategic initiatives. Invest in digital procurement today and think about how emerging technologies like AI, machine learning and robotics influence the procurement world. And best yet – involve your entry level procurement team members in these discussions. Give them the opportunity to shape and influence the path of technology at your organisation and make recommendations on your digital future.

2. Invest in employee development

According to the survey, 60 per cent of CPOs do not believe their teams have the skills to deliver their procurement strategy, yet investment in on-going training and employee development remains low. Demonstrate to your current staff and those entering the workforce that you recognise that people are key to procurement success and invest in their future with procurement and non-procurement training programs.

3. Dial-in on data

Data is the alpha and omega of the future and 60 per cent of the Deloitte survey respondents regard analytics as the most impactful technology for the function over the coming two years. So, this is a two-part recommendation: 1) Make sure to capture 100 per cent  of your financial data, and 2) Properly train current and future procurement professionals on data analysis. Analytics and technologies like AI and machine learning are only as good as the data that feeds them, so it’s imperative to build a complete data set for your employees to leverage. Gartner also says that data science and analytical skills are required in procurement to leverage a future with AI. Many professionals enter procurement to be hands-on in solving problems across the business – this could be saving money; negotiating better contracts; optimising the supplier base; helping other departments create and track budgets; reducing risk; finding funds to support new product innovation or growth, etc. Give these professionals reliable data and training to properly analyse it to extract actionable insights so they can act quickly and effectively on strategic initiatives.

4. Provide opportunities to influence innovation

Long gone are the days when procurement meant squeezing every penny out of suppliers and business partners. Now it’s about building strategic partnerships that can take your business to the next level and procurement is at the forefront of that effort. Young procurement professionals are going to be excited and eager to make their mark on something – let them help lead the charge in sourcing and nurturing relationships with key suppliers. Product innovation comes not only from finding the money to explore and test but also from finding the right partners that bring you the elements you need to build that innovation. Create collaboration between your procurement and product departments, as well as other departments for that matter, so that procurement becomes a true business partner and is actively involved in core business functions.

5. Build rapport with internal stakeholders

Another reason that procurement might not be seen as ‘sexy’ is the simple fact that people in other functions just don’t know what exactly it is that they do. If you’re a procurement leader, be a champion for your team. Help others understand what procurement truly is and communicate and celebrate your wins. Also look for opportunities for collaboration between your team and other business functions. Become an advisor during critical times like budget planning and showcase the talent you have in your team. When budgets remain flat, offer up procurement expertise to help other departments produce cost savings and new money from their existing spending habits. As the Deloitte survey eloquently says, “Procurement professionals should challenge themselves to understand functional stakeholders in the same way they do their suppliers.”

At the end of the day, many people are motivated by the idea of being a hero at work. What profession enables employees to swoop in and save the day better than procurement? There are not many. With the required people skills, analytical approach and desire to focus energy internally and externally, the procurement profession is a truly unique career path that doesn’t receive the credit it deserves. Look on to the future of procurement at your organisation and build the culture that attracts your next generation of hires.

To learn more about Basware’s approach to collaborative procurement, download the eBook: WeProcurementTM: Putting the “We” in e-Procurement and contact us to learn more about rolling out a digital procurement solution.