Tagged Content: L2

How Finance Can Help Procurement: A Countdown on our CPO Website

QA2UI38DJP Over on Chief Procurement Officer, we recently began a countdown series of the top 17 ways finance can help procurement. Authored by Chief Research Officer Pierre Mitchell, the series, or wish list, is based off a snap poll Spend Matters and the Institute for Supply Management conducted regarding the alignment of procurement and finance organizations within a company. The series hits on the least important to most important ways procurement would like finance's help improving supply and spend management. (No. 1 will be the most important.) So far, Pierre has hit on tips Nos. 17-15. You can read the full articles over on Chief Procurement Officer, or read on and follow the links.

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Why Should Procurement Report Into Finance? ISM, Spend Matters, Machiavelli and More

KCIU8RWM09 We’re in the process of wrapping a joint Spend Matters/ISM snap poll exploring the relationship between finance and procurement, and more specifically, how to get more out of it on a pragmatic level (no one needs another study that just talks about the roots of “misalignment”). As part of the research, we asked participants why procurement should report into finance. Some of the responses include “senior management influence,” “ability to control budget and cash outflows,” and more. Read on to see what participants had to say.

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Deloitte on Elevating Procurement Talent: The Final 4 Steps

- May 27, 2015 6:21 AM | Categories: Analysis, Learning / Research, Talent Management

5J59QBUYOW We are coming to the end of exploration of Deloitte’s recently published paper, Procurement Talent Management: Exceptional Outcomes Require Exceptional People, with an analysis of the final “4 steps” Deloitte suggests to improve procurement talent management (see steps 1-4 here). Spend Matters commentary is included after each step. Deloitte wrote, “Train, in the right way. Instead of simply imparting skills, teach procurement people how to turn skills into business benefits. Apply solid principles, adopt a process, be demand-driven like the supply chain and understand and tailor training to stakeholder needs.” Read on to find out our take on this advice...

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Deloitte on Elevating Procurement Talent: The First 4 steps

Antares-Rocket-With-Cygnus-Spacecraft-Launches-03161442B61F71AD Our exploration of Deloitte’s paper, Procurement Talent Management: Exceptional Outcomes Require Exceptional People, continues today with exploring the introduction of the first “4 steps” Deloitte suggests to elevate the procurement talent game. Spend Matters commentary is included after each step. Find out what Deloitte suggests to attract top talent, from promoting procurement as a sustainable career to constantly working to develop and elevate the most skilled employees.

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Deloitte’s Take: Procurement Compensation in Talent Management

- May 22, 2015 6:11 AM | Categories: Analysis, Procurement Commentary, Procurement Research

Two hands of businessmen passing a stack of dollars 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.

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Deloitte’s Take: Virtuous Churn in Procurement Should be Welcomed, Not Feared

3S8PYJ7U5O 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?

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How to Mentor and Manage Procurement Talent: A View From Deloitte

96E1A8F1CB 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.

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Deloitte’s View: Attracting and Developing the Right Procurement Talent

horses-in-field-011914350712E346 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.

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‘Help Me, Help You,’ Said the CFO to the CPO

climb-to-the-top-of-a-rockshenandoah-old-rag-Mt--11091446EE765825 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...

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Deloitte’s View: 4 Steps to Bridge the HR and Procurement Gap for Better Talent Management

9PZMQ0ONK9 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.

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McDonald’s and Deforestation: Supply Chain Traceability vs. Visibility

american-fast-food-hamburger-1246-825x550 We recently started to cover McDonald’s recently announced commitment to eliminating deforestation throughout its supply chain. The announcement pays more than lip service to the opportunity, in part because if will cascade across multiple tiers of suppliers rather than just tier-1 or direct suppliers to the fast food giant. There’s also a number of other rather curious elements to the program that warrant further analysis, one of which is contained within the Supporting Addendum McDonald’s Corporation Commitment on Deforestation that explores the difference between how McDonald’s is defining traceability vs. visibility.

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McDonald’s CSR Commitments Go Multi-tier – But is the Fast Food Giant Ready?

62D65DAAF6 McDonald’s recently announced an important commitment to sustainability by moving to eliminate suppliers that engage in any potential deforestation practices in its supply chain. For quick background reading on the topic, see McDonald’s Corporation Commitment on Deforestation pledge. On the surface, the pronouncement would seem to have corporate social responsibility teeth. I share some of the main points the fast food company has made in its new commitment.

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