BravoSolution Real World Sourcing part 2 – Making Spend Analysis Work

Thanks to everyone who came to the sold-out BravoSolution Real World Sourcing Series event yesterday, "Searching for Clues - Making Spend Analysis Work". Guy Allen led this one, and did a great job despite the drilling in the street outside starting just as he stood up to speak...!

What I've really enjoyed at both this session and the last (which I led) was the informal discussions around the lunch table. I guess there's an element of self-selection, in the sense that the people who come are by definition fundamentally interested in procurement and procurement thinking. But it has been very good to see how many smart and passionate (I hesitate to use the word, but it's the best I can find)  procurement people you can assemble in one room!

Guy Allen (23rd row, 15th from left) watching Brentford

We'll have a fuller account of the session next week, and give you a link to the slides, but just a couple of thoughts for now that I took away from Guy's comments.

- Spend analytics often doesn't give you the answers directly - but it does provide the clues which can lead to savings, better procurement performance...

- Understanding your spend is essential if you want to be a credible category manager or CPO. And, as Guy explained based on his own experience, if you do find yourself in a merger / acquisition situation, "the people who can show that they understand their spend come out on top".

- But just providing the system isn't enough. There are often cultural barriers, or just habit to overcome before you get people to really use the data. So if you're a procurement leader trying to get the most out of the data, building usage of data into category reviews, and expecting your team to demonstrate how they're using it is vital .

More next week.

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