As we’ve seen and reported on Spend Matters over the past year, interest in easier-to-use, more efficient and organic B2B social collaboration platforms seems to be steadily growing. Once viewed as yet another source of risk, social media platforms, both external- and internal-facing ones, have finally proven they can help procurement folks do their jobs better.
The Procurement Category
The Hackett Group and Ivalua presented a webinar this month on this year’s key procurement issues, and digital transformation stood out perhaps most of all. What does digital transformation really involve, and how can procurement get on board? The presenters explained that there are four main areas to look at, with the overarching one being improving the stakeholder experience.
Very recently — and rather quietly, overshadowed by talk of walls and deportations — the Mexican government made a major move that could upend North American supply chains for years to come. On Feb. 17, the Finance Secretariat announced that fuel prices in each of the country’s 90 regions would change on Saturday, Feb. 18, with daily price changes coming into place from that point forward, according to a report from Breakthrough Fuel, a global transportation energy management and advisory firm. This deregulatory move almost instantaneously introduced a new era of commodity price volatility concerns for multinational procurement organizations and their supply chains operating in or through Mexico.
The world’s second-largest copper mine, the Grasberg open pit mine, in Indonesia, sits idle as its operator, Arizona-based Freeport-McMoran, and the government of Indonesia squabble over permitting issues. President Donald Trump’s administration is mulling changes to how the U.S. calculates trade deficits. The Week in Metals brings you the latest procurement and supply chain news from our sister site MetalMiner.
In case you missed Part 1, which covered millennials’ self-described strengths, the insights in these posts came from Q&As with a number of the 2014 ISM/ThomasNet “30 Under 30” winners, who are at the older end of the “millennial” generation that usually includes 15- to 35-year-olds. As far as weaknesses go, these millennial professionals agreed with some of the oft-repeated beliefs — that millennials are lazy, entitled, inexperienced, etc. — and picked fault with others.
When I wrote to several of the 2014 winners of ISM/ThomasNet’s “30 Under 30” competition recognizing young talent working in supply chain, I asked them how they think their generation will change the procurement and supply chain profession. I also asked them how they would describe their generation’s strengths, weaknesses and challenges as pertaining to supply chain. And as I read through their responses (my sincere thanks to all who participated!), common themes emerged.
Is your procurement function using a platform-inspired approach to transcend savings from simply spend management? If not, then now might be the time. Join Pierre Mitchell and Julien Nadaud, chief product officer at Determine, tomorrow at 10 a.m. CST for Designing the Procurement Virtual Factory — Reinventing Procurement Through a Platform. Pierre and Julien will focus on the digital requirements to support new procurement and spend approaches, as well as how technology firms are trying to cope in a brave new world.
We don't have to reinvent procurement, but we do need to reinvent how it's made. On Wednesday, February 22 at 10am Central, our own Pierre Mitchell will join Julien Nadaud, chief product officer at Determine, for an in-depth discussion and debate on emerging procurement platform trends and technologies. Designing the Procurement Virtual Factory – Reinventing Procurement Through a Platform will specifically focus on the digital requirements to support new approaches, as well as how technology firms are coping with a new frontier. What can you take away from this webinar? Read on!
Spend Matters welcomes this guest post from Naseem Malik, managing partner at MRA Global Sourcing.
Call them on-demand workers, contractors, free agents or mercenaries — just don’t call them inconsequential. Procurement is no longer immune to to the increase of contingent workers other functions have experienced in recent years. And the shift from employing permanent workers to temporary ones is gaining ground.
Preparing for disruptive technologies and closing the talent gap are on many CPOs’ minds, as findings from Deloitte’s 2017 CPO Survey show. Among procurement executives, 75% of respondents in this year’s CPO Survey said that procurement’s role in delivering digital strategy will increase in the future. Talent shortages are also a big concern, with 60% of respondents saying that they do not think their teams have the skills necessary for their procurement strategy.
In one of my conversations with a “30 Under 30” winner who’s about to hit 10 years in the procurement profession, I realized the in hindsight highly obvious fact that millennials are growing up. They already make up a third of the workforce. The older among them are stepping into managerial positions. They’re hiring and mentoring younger employees. They’re giving talks at conferences and industry events. And a decade from now, they could even be CPOs.
When it comes to the intersection of social media and procurement, we’re all interested in how to use it effectively, whether it’s to improve our relationships, our jobs or both. Yet at times, the magic of its use can seem elusive. More and more public-facing platforms (the Facebooks, Twitters, Snapchats) and private/collaborative ones (the Procuriouses...Procurii?) seem to crop up every day, but where to start?