As the old saying goes, you get what you pay for. The same can be said of recruiting the best procurement talent into an organization. Spend Matters is continuing to feature excerpts from Deloitte’s recently published paper: Procurement Talent Management: Exceptional Outcomes Require Exceptional People. Today we take a glance at Deloitte’s thoughts on the compensation equation. Read on to catch a glimpse at the new research paper and find out why we think compensation matters at all levels of procurement.
Category Archives: Procurement Research
Partner enablement and managing indirect spend is a tried and true method for controlling costs. However, direct connectivity still has a ways to go before it gets on the same level as indirect procurement. Pierre Mitchell, chief research officer at Spend Matters, created a nifty checklist for tier-1 manufacturers and procurement professionals to follow in order to execute direct connectivity. Direct Procurement Execution: What’s Changing? is now available for FREE download, but only for a limited time. Be sure to secure your copy today before it goes back behind the PRO paywall!
Our exploration of Deloitte’s paper Procurement Talent Management: Exceptional Outcomes Require Exceptional People continues today with exploring the concept of “virtuous churn” within procurement. Looking at procurement as a “temporary home” within an organization rather than a singular career destination is essential when considering the type of talent structure and program that procurement leadership teams – ideally with the support of HR – want to nurture and build. As the paper states: “Churn can be virtuous – Formal job rotation programs for future senior leadership positions, or even senior finance positions, are increasingly putting procurement and supply chain on the rotation list. What better place to develop commercial, operational, analytical and collaborative skills all in one department?
Not enough has been written on getting the procurement talent equation right or fundamentally changing the function from the inside out. Spend Matters is continuing to feature excerpts from Deloitte’s recently published paper: Procurement Talent Management: Exceptional Outcomes Require Exceptional People. Today we explore Deloitte’s views on mentoring procurement talent. As stated in the paper: “High-potential staff can become high performers by learning both the mechanics and the art of the procurement trade. Anyone can comprehend a process, but invaluable learning can be gained by working alongside highly skilled teachers, mentors, colleagues and trusted third parties in an apprenticeship model. Top chief procurement officers (CPOs) often cite mentors who helped shape their careers and instill the importance of strong execution.
Spend Matters is continuing to feature excerpts from Deloitte’s recently published paper Procurement Talent Management: Exceptional Outcomes Require Exceptional People, along with our own commentary on the ideas presented in the analysis. Today we explore Deloitte’s views on how to attract the right set of talent into procurement. An excerpt from the paper: Leading procurement functions are aggressively recruiting strong leadership candidates from universities. Businesses are offering attractive compensation and touting the multidisciplinary nature of working in procurement and supply chain. In the consumer packaged goods (CPG) industry, sell-side brand/category managers are often future business unit presidents and CEOs. Buy-side category managers essentially run their own mega-category akin to an entire services business.
While it’s true that managing indirect spend is a proven method to control costs, direct procurement requires an entirely different set of tools and methods. It calls for a deep expertise in setting up a global supply network comprised of numerous partners with the ability to collaborate at a very high level. Let Pierre Mitchell, chief research officer at Spend Matters, walk you through direct connectivity and executing procurement with partner enablement. Direct Procurement Execution: What’s Changing? is now available for FREE download. Get your copy today!
There are a number of studies out there showing how financial executives don't always see the savings procurement claims it brings to the business. But is this mainly because finance and procurement are not effectively communicating or are not properly aligned within the company? As Pierre Mitchell, Spend Matters chief research officer, writes in his article, How Would Jerry Maguire Do Spend Management? Procurement/Finance Alignment Series – Part 1 published this week on Chief Procurement Officer: "...[T]he biggest thing here is to get procurement and finance having real conversations about what they need from each other and how to help each other. Just doing that will help identify common objectives that lead to aligned improvement initiatives to jointly create change." Read on, or check out the full article to learn more...
In the past week, Spend Matters has been featuring excerpts and analysis from Deloitte’s recently published paper: Procurement Talent Management: Exceptional Outcomes Require Exceptional People. Today we continue to explore Deloitte’s observations on improving procurement talent, zeroing in on 4 steps to bridging the gap between procurement and HR departments. Having examined the potential and the challenges of elevating procurement talent we can explore the 4-step process of closing the gap between procurement needs and human resources, beginning with planning and design of the talent management function.
On Friday, May 15, Spend Matters Chief Research Officer Pierre Mitchell will lead an Ask the Expert webinar on the alignment – or lack thereof – between finance and procurement. The webinar is based of provisional results from a study Spend Matters and the Institute for Supply Management conducted on the relationship between finance and procurement in a company. You wont want to miss this! Plus and PRO members are welcome to sign up for this webinar.
Spend Matters welcomes this guest article by Anup Shetty from GEP. With growth rates plateauing in both the developed and developing worlds, companies are turning their attention to managing costs and keeping their demanding stakeholders just about satisfied. This trend has brought a spotlight on procurement organizations that are frantically searching for the next big wave of savings opportunities. Most companies agree supply market intelligence is a key enabler in this pursuit. However, many are struggling with the classic “make vs. buy” conundrum as they plan to institutionalize market intelligence into their workings.
Spend Matters is featuring continuing excerpts and analysis from Deloitte’s recently published paper: Procurement Talent Management: Exceptional Outcomes Require Exceptional People. Today we explore Deloitte’s view on a few of the common challenges with procurement and talent management: ""The perception that talent identification and management is more art than science continues to hang over talent decisions in some organizations. Human capital may be seen as a weak link in achieving and improving business outcomes, with several factors contributing to this perception."
Jason Busch, founder and managing director of Spend Matters, has teamed with Vroozi to deliver a new “buying manifesto” for the procurement market as it is today and where they think it will go, moving forward. Declaration of the New Purchasing: A Buying Manifesto outlines 20 concrete examples on the expected evolution of procurement in the years to come. This is an absolute must-read for all procurement professionals. Get your FREE copy today!