The Talent Management Category

World-Class Procurement Organizations Boast 29% Fewer Staff and 21% Lower Labor Costs

Deloitte Global CPO Survey 2016

For every 10 employees that average procurement organizations have, their world-class peers have just seven, according to new research from The Hackett Group. Not only do world-class procurement organizations boast 29% fewer staff, but their labor costs are also 21% lower. These numbers come from The Hackett Group’s 2018 analysis of its procurement benchmarking database, the results of which are published in the report “Raising the World-Class Bar in Procurement Through Digital Transformation.”

The Rise of the Social Enterprise (Part 3): Are Humans and Robots Smarter Together?

Robots are not our overlords (yet), but they will be our colleagues — if they aren’t already. According to Deloitte’s survey of 11,070 business and HR professionals around the world, the findings of which are published in the colossal 2018 Global Human Capital Trends Report, 47% say that their organizations are already undertaking automation projects. Twenty-four percent are using artificial intelligence and robotics to perform routine tasks, 16% are using automation to augment human skills, and 7% are restructuring work altogether.

The Rise of the Social Enterprise (Part 2): Why Corporate Citizenship is Crucial

As the nature of work changes, so too does our understanding of careers. This is one of the most important trends covered in Deloitte’s 100-page 2018 Global Human Capital Trends Report. While 84% of respondents who took part in Deloitte’s survey deemed the ability to build a 21st-century career as “important” or “very important,” only 37% think they are ready to do so. Part 1 of this series covered C-suite, contingent workforce and compensation trends. Today’s post will discuss four more trends in human capital: corporate citizenship, corporate wellness, longer careers and the redefinition of the career itself.

The Rise of the Social Enterprise: Working Toward a Symphonic C-Suite (Part 1)

marketing procurement

As the concepts of the workforce and the workplace shift, the concept of the business itself may be changing as well, Deloitte’s 2018 Global Human Capital Trends Report suggests, giving rise to what the report’s authors call “social enterprises.” A social enterprise is an organization “whose mission combines revenue growth and profit-making with the need to respect and support its environment and stakeholder network,” the authors write. “Today, successful businesses must incorporate external trends, perspectives and voices by maintaining positive relationships, not just with customers and employees, but also with local communities, regulators and a variety of stakeholders.”

Penn State’s Undergraduate Supply Chain Program Again Tops Gartner’s 2018 Rankings

Michigan State University

Pennsylvania State University’s supply chain program has once again taken the top spot in Gartner’s 2018 rankings of the top 25 undergraduate supply chain programs in North America. But other rankings have seen some shuffling. Rutgers University and Auburn University were ranked second and third this year, while Michigan State University’s supply chain program, previously ranked second, has fallen to the fourth spot.

Deloitte’s 2018 Millennial Survey: Industry 4.0, Employer Loyalty and Business Ethics

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Young professionals across the globe are unsure about their ability to adapt to Industry 4.0 technologies and increasingly critical of business ethics, Deloitte’s 2018 Millennial Survey finds. For its seventh annual report on the millennial generation in the workplace, Deloitte researchers surveyed 10,455 college-educated professionals from 36 countries who were born between 1983 and 1994. The researchers also surveyed 1,844 respondents born between 1995 and 1999, who fall into Generation Z.

Recruiting an Executive Search Firm in Procurement: 7 Questions to Ask and Evaluation Criteria [PRO]

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Talent makes procurement happen, and executive search firms play a critical role in bringing new talent into organizations. But when it comes to recruiting senior talent, few procurement teams we’ve spoken to take anything but a relationship-driven or ad-hoc approach to selecting executive search firms. The same relationship-based approach is also common with senior HR staff, CFOs and even CEOs, who often lead the selection process with executive search firms when they plan to hire a new chief procurement officer (CPO).

At Spend Matters, we are big believers in evidence-driven approaches to decision-making, as one can see through our SolutionMap methodology. In the case of procurement talent management and recruiting, this often starts with selecting the best possible executive search firm, especially hiring a CPO, VP and director-level talent. We recently assisted in the hiring of an executive search firm, but when tried to find an evidence-driven set of criteria for assessing such firms, we came up short. So we created a model ourselves, following the general theory suggested by Nobel Laureate Daniel Kanheman for optimal firm assessment.

In this Spend Matters PRO research brief, we share our framework for selecting executive search firms that specialize in procurement, using an evidence-driven model to support the best chance for positive outcomes. The frameworks comprises seven RFI questions to ask potential executive recruiting firms, scoring criteria for each question and a scoring matrix.

Outdated Procurement Software a Top Threat to Talent Retention, Study Finds

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Workers at “technology laggard” businesses are much more likely to be frustrated or quit, putting procurement organizations’ talent management strategies at risk, according to a report by Unisys Corporation. Titled “The New Digital Workplace Divide,” the research illustrates how a company’s technology maturity plays a significant role in employee satisfaction  — perhaps the key role. Workers at organizations whose tech lags behind the industry standard report frustration at a rate of 51%, compared with only 6% for those who work for tech leaders. Productivity is thus stifled when workers are frustrated by their laggard IT systems, procurement software included.

‘Pull In’ Initiatives More Effective Than ‘Lean In’ for Retaining and Advancing Women in Supply Chain

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While women only make up about 20% of supply chain vice presidents today, that share is expected to rise to roughly one in three by 2023, according to a new report from Gartner and AWESOME, a leadership organization focused on the advancement of women in supply chain. Now in its third year, the 2018 Women in Supply Chain Survey focused on supply chain organizations’ initiatives on the retention and advancement of women. It found that while the percentage of women holding executive-level supply chain positions has risen in recent years, the average percentage of women leaders at other levels has remained flat.

Supply Management Compensation Rose Last Year, But Not For Top Earners

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Salaries and overall compensation for supply management professionals not only increased in 2017 but also rose at a higher rate compared with salary growth for professionals overall. According to the Institute for Supply Management (ISM)’s recently released salary survey, now in its 13th year, the average overall compensation for supply management professionals in 2017 was a respectable $117,425. This marks a 1.7% increase from the average overall compensation in 2016, which was $115,440.

Procurement Findings from ISM2018: The Path Ahead

Eved

Spend Matters welcomes this guest column from Naseem Malik and Nick Lazzara of MRA Global Sourcing.

Having attended several ISM annual conferences as both a participant and the past few years as a CLC member, I’m always struck by the energy, enthusiasm and growing excellence when it comes to this evolving function. As the quality of the conference has improved via content and companies represented, it has steadily bolstered the number of attendees every year, culminating to their highest turnout to date this year. 

What Does the Data Say About Millennials in Supply Chain Management?

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Judging from the many interviews and casual conversations that we’ve had with millennial professionals in supply chain management over the past few years, we can say with some certainty that this generation (roughly defined as those born between 1981 and 1996) is characterized by a desire for purpose, a willingness to collaborate, and an eagerness to look for technological solutions to problems. A new report from APICS, APQC and Supply Chain Management Review on millennials in supply chain largely supports these assertions.