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Art of Procurement

Learn from Procurement Experts. Host Philip Ideson talks with thought leaders who share the trends, strategies and tactics that you can lever to elevate the role of procurement - and your career.
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Now displaying: Page 8
Oct 18, 2021

Everyone who works for the Clorox Company is encouraged to lead ‘with their head, heart and guts.’ For procurement, this meant boldly accepting - and even driving - change by reimagining their indirect procurement operating model. 

Art of Procurement was recently joined by Kathy Thrasher, a Senior Procurement Manager at The Clorox Company, and Mike Caldron, Senior Group Manager at WNS Denali, for an AOP Live session all about their transformation journey. When asked what made the greatest difference in their success, Kathy knows the answer offhand, “Communicate, communicate, communicate.” 

Clorox transformed their indirect P2P - half of their total spend as a company - in the middle of the pandemic, during a time when they were ‘all hands on deck’ trying to support the global spike in demand for antibacterial products. They were able to move from operating without any purchasing system to empowering distributed buyers and suppliers to meet their own transaction and information needs.

In this episode, host Philip Ideson speaks with Kathy and Mike about:

  • The role of IT in the transformation of Clorox’s indirect procurement
  • How the team revisited their talent and staffing to ensure that skills and system-related changes were addressed
  • The investments they made to improve the supplier experience, enabling their external partners in very challenging business conditions
Oct 11, 2021

News of supply shortages and price increases seem to be everywhere. For consumers, that means their dollar doesn’t buy quite as much as it used to, but for procurement, it means every supplier email or call is likely to be a request for a price increase. What is procurement to do?

In this crossover episode from The Sourcing Hero podcast, produced in partnership with Una, Host Kelly Barner flips the tables to interview AOP Founder and Managing Director Philip Ideson. His advice on how to address supplier price increase requests is timely - as is his input on how procurement can avoid being ‘re-pigeonholed’ as a cost-only team.

If you enjoy this interview, subscribe to The Sourcing Hero podcast for weekly conversations on topics of interest to procurement with a wide-ranging group of guests.

In this conversation, Phil shares his perspective on:

  • How procurement should respond to a supplier that reached out with a request for a price increase
  • What options procurement has for mitigating the increase once it has been determined to be a valid request from the supplier
  • If procurement needs to worry about getting TOO GOOD at protecting the bottom line in challenging times
Oct 4, 2021

It isn’t often that procurement has the opportunity to hear the sales perspective on our work, but that is precisely what we bring you in this episode of the Art of Procurement podcast.

Chris Mele is the Managing Partner of Software Pricing Partners. In this interview, he provides an outsider’s perspective on two topics that are important to procurement:

  1. How pricing works in the software industry: whether suppliers are being fair and how to negotiate when you feel like you’re examining a ‘black box,’ because the pricing is value-based rather than input cost-based 
  2. What the typical RFP process looks like to sales reps. You won’t just hear Chris’ perspective on RFPs - he solicited input from other sales professionals as well. 

Before hitting play, we would like to offer a special listener’s caution on this conversation... 

There are two ways to listen to this episode. You can either hear a salesperson advocating for process changes that might make his job easier (not recommended), or you can hear honest input that will help you design your sourcing strategy to better deliver what the business needs from its supply partners. Which way you listen is entirely up to you.

Sep 27, 2021

Procurement, treasury and accounts payable have one set of shared objectives when it comes to supplier engagement and management, but all too often they operate in silos. This complicates supplier management and does little to improve their experience while working with a company. Restructuring how these groups work together through procurement transformation can create opportunities to support each other’s goals and therefore better deliver against business expectations.

In this episode, Host Philip Ideson is joined by Joe Payne, SVP, Source-to-Pay at Corcentric, and Jennifer Ulrich, Senior Director of Advisory at Corcentric. They are both return guests on Art of Procurement and are two of four authors of the recently released book: Managing Indirect Spend.

This conversation is based on a recent AOP Live webinar titled, “Bridging the Gap Between Procurement, AP, and Treasury through Procurement Transformation.” 

In that session Joe and Jennifer answered questions from a live Art of Procurement audience about:

  • Where procurement, treasury, and accounts payable tend to fall out of sync and why
  • How fragmented processes not only negatively impact suppliers, but reduce the ROI to the company from those relationships 
  • The additional benefits - such as reduced overall effort and improved data quality - that result when all three groups work collaboratively
Sep 20, 2021

“I'm going to change your mindset. You're going to want me to help you. You're going to want my team. You're going to want more procurement and you're going to advocate for us. I love watching it shift.”

 

Many procurement leaders have been tasked with building the first procurement organization at their company. It is always a challenging journey, with many unexpected twists and turns. For fast-growth companies with a global footprint, establishing formal procurement is absolutely critical, but it has to be done in a way that does not impede the growth trajectory.

 

Sarah Kaye is the Director of Procurement at Spin, a part of Ford Mobility, an electric scooter and bike-share company. She is combining her passion for marketing with the procurement experience she gained working at organizations such as Target, Radisson Hotel Group, and WeWork.

 

Sarah’s responsibilities at Spin began at the beginning; building and growing the company’s very first procurement team.

 

In this conversation, Host Philip Ideson and Sarah discuss how she is building procurement capabilities that truly align with the needs of the business, and how she is leveraging her marketing skills to build and sell the procurement value proposition:

  • The level of sophistication she is able to bring to procurement’s internal relationships by making personal connections aimed at delivering long term value
  • Why the best problem she has is too many contracts to negotiate and execute
  • The importance of procurement taking programs like diversity and inclusion or sustainability and moving beyond tracking and reporting to full advocacy with the business
Sep 13, 2021

Corporate travel is one of the most complex spend categories that procurement has management responsibility for. For almost two years now, business travel has been in a state of flux resulting from the global COVID-19 pandemic, leaving most companies and procurement teams with a whole series of unanswered questions:  

How should your corporate travel policy change to reflect new realities? How do you negotiate deals when volumes are uncertain? How do you account for traveler safety? And how do you integrate sustainability into your travel program?

In this four-part special series brought to you in partnership with Egencia, the world’s business travel platform, we will cover all of these pressing issues and more.

In the final episode of the series, host Philip Ideson speaks with Kristina Zdrilic Siljedahl, Global Account Manager and Sustainability Ambassador at Egencia, to discuss the tactics and metrics that companies can use to integrate sustainability into their travel program.

Sep 13, 2021

Corporate travel is one of the most complex spend categories that procurement has management responsibility for. For almost two years now, business travel has been in a state of flux resulting from the global COVID-19 pandemic, leaving most companies and procurement teams with a whole series of unanswered questions:  

How should your corporate travel policy change to reflect new realities? How do you negotiate deals when volumes are uncertain? How do you account for traveler safety? And how do you integrate sustainability into your travel program?

In this four-part special series brought to you in partnership with Egencia, the world’s business travel platform, we will cover all of these pressing issues and more.

In the third episode of the series, host Philip Ideson speaks with Caitlin Deegan, Senior Director of Strategy at Egencia, to discuss the elevated responsibility organizations have to protect traveler safety, and what actions they can take to minimize risk as much as possible.

Sep 13, 2021

Corporate travel is one of the most complex spend categories that procurement has management responsibility for. For almost two years now, business travel has been in a state of flux resulting from the global COVID-19 pandemic, leaving most companies and procurement teams with a whole series of unanswered questions:  

How should your corporate travel policy change to reflect new realities? How do you negotiate deals when volumes are uncertain? How do you account for traveler safety? And how do you integrate sustainability into your travel program?

In this four-part special series brought to you in partnership with Egencia, the world’s business travel platform, we will cover all of these pressing issues and more.

In the second episode of the series, host Philip Ideson speaks with Delphine Boulton, Director of Consulting at Egencia, to discuss different approaches procurement teams can take to negotiate travel deals when traveler demand is uncertain.

Sep 13, 2021

Corporate travel is one of the most complex spend categories that procurement has management responsibility for. For almost two years now, business travel has been in a state of flux resulting from the global COVID-19 pandemic, leaving most companies and procurement teams with a whole series of unanswered questions:  

How should your corporate travel policy change to reflect new realities? How do you negotiate deals when volumes are uncertain? How do you account for traveler safety? And how do you integrate sustainability into your travel program?

In this four-part special series brought to you in partnership with Egencia, the world’s business travel platform, we will cover all of these pressing issues and more.

In this first episode of the series, host Philip Ideson speaks with Ann Dery, Director of Global Travel at S&P Global, and Rob Fodor, Global Account Manager at Egencia, about the changes companies are making to their travel policies in the short term and their perspective on when different types of travel will resume.

Sep 6, 2021

Anyone who has worked in procurement for more than a year or two has probably found themselves in a situation where they suspect that they are overpaying on a supplier contract. How can you be sure and what should you do if you uncover overpayment? In some cases overpayment issues are based on billing errors, and in other cases, agreed upon contract terms are not being adhered to by suppliers. Either way, third-party compliance audits can be essential.

Ben Evans is the President at Auditech Solutions, a company that provides accounts payable and contract compliance audits to help companies determine whether they are overpaying on invoices. He points out that not only may audits need to be done when a company suspects something is wrong with a set of invoices, but that it may be advantageous to include an audit clause in certain contracts.

In this conversation, Ben and host Philip Ideson: 

  • Discuss the value of inserting audit causes into supplier contracts, what they should look like, and how to negotiate them. 
  • Take a deeper dive into compliance audits and how to make them a regular part of a supplier governance program. 
  • And cover the ‘nuts and bolts’ of updates, including the different types of commercial models for hiring and compensating an audit firm.
Aug 30, 2021

Procurement has been working to digitally transform spend and supplier related processes for years, but even the companies that have succeeded can always do more. Each procurement process connects to other enterprise processes, functions, and systems. The more integrated all of those components are, the better positioned the company is to respond to disruption and seize competitive advantage.

In this conversation, Tony Harris, Global Vice President, Global Business Network Solutions at SAP, and host Philip Ideson discuss what today's integrated business networks actually are and what use cases he has seen. In addition to sharing his detailed thoughts about data models, spot buying, and business networks, Tony also shares some tips for procurement leaders that want to start on their own business network design and implementation journey.

For example: 

  • Looking for ways to speed up the typical RFP process so that it supports the business instead of hindering progress
  • Ensuring that third party services and contingent workforce providers are included in distributed sourcing and buying platforms
  • Opportunities for supplier value creation associated with leveraging global business networks
Aug 23, 2021

Since Philip Ideson started Art of Procurement almost six years ago, a broad range of executives, practitioners, academics, and more have shared over 3.2 Million words of wisdom through our podcasts, webinars, virtual events, and long-form writing. Regardless of their focus or point of view, each person shared our singular goal of helping forward-thinking leaders change the game for their company by elevating procurement’s impact. 

In this week’s episode, Philip Ideson delivers a solo show update on the year to date, looking at everything we’ve all been through and how it has changed our lives, our work, and our perspective on the future. 

Listen in to hear his opinion on:

  • The overall impact of COVID on procurement as a result of how it has affected supply markets, talent availability, investment in technology, and socially-driven initiatives.
  • How the Art of Procurement team is working to make sure that we never get too comfortable, remaining open to feedback and inspiration and continuing to raise the bar on ourselves
  • Purposeful changes we are making to the availability and delivery of our content and events to ensure that we remain aligned with what you need most
Aug 16, 2021

Procurement professionals are always plagued by the fact that no one seems to understand what we do. While this is often blamed on language barriers and the fact that procurement is always evolving, at the end of the day it comes down to one harsh reality - procurement does not have a well-established, recognisable brand.

Steve Wills is the Founder and Managing Director of Procurement Central, a specialist training provider based in the UK. Steve formerly served as the Procurement Advisor to the 2012 London Olympic Games’ organizing committee. He has extensive business experience with blue chip organizations and has worked with leaders in industry and commerce as a CPO to transform complex procurement functions.

 In this conversation, Steve and Host Philip Ideson discuss procurement’s brand and how function is positioned strategically. This is a topic that is central to procurement executives and leaders, and will only become more so as procurement pushes to change how they are perceived internally and externally.

Steve provides the following thoughts and examples to make the case that procurement should purposefully invest in their brand:

  • Whether procurement’s brand should be across the professional community or defined specifically within each company
  • The lasting damage that can be done when procurement prioritizes short term goals and objectives over their longer term vision
  • The difference it can make when the CEO or executive team ‘gets’ what procurement can do and why they are so valuable on the journey to organizational success
Aug 9, 2021

In this week’s episode, which is based on an Art of Procurement Mastermind Community Category Briefing, Philip Ideson and Kelly Barner ask J. Grant Caplan, President of Procurigence, Inc. and Chairperson  of the GBTA Committee on Diversity, Equity, and Inclusion, detailed questions about the current state of the meetings and events to better understand the conditions companies are dealing with and possible steps they can take to restart their meetings programs without incurring unnecessary risk.

He shared his knowledge and experience regarding:

  • The nuanced differences between ‘meetings’ and ‘events’ and how procurement needs to manage them
  • How companies can navigate the complex web of policies and guidelines that help meeting and event planners decide how much to spend on what elements of their gathering
  • Why he believes travel is a service sold as a commodity, and how that should influence procurement’s handling of the category
Aug 2, 2021

Every time someone interacts with procurement’s people, processes, or technology, it influences what that person thinks of procurement. This perception determines how early procurement is brought into a sourcing decision, if they are approached about a new business need, and how willingly stakeholders participate in procurement-led projects.

 

Procurement may not often focus significant resources on the ‘intake-to-procure’ process, but distributed buyers are likely to feel different. By meeting buyer needs through an improved intake-to-procure experience, procurement has an opportunity to recast their internal image and finally realize the level of business engagement they have always sought.

 

In this podcast, which is based on an AOP Live session, Liem Hua, Michael Denari, and Rujul Zaparde discuss 

  • How procurement is currently perceived in many organizations, and the opportunities they have for improving the ‘customer experience’ associated with distributed buying 
  • The common pain points in the intake-to-procure process that procurement may not even be aware of, but which are affecting distributed buyers on a regular basis
  • How technology can empower distributed buyers without endangering procurement’s ability to manage spend and suppliers
Jul 26, 2021

“A lot of procurement managers think, ‘I have my process. It will be digitized, but I'm still in control of the process and it will remain with procurement.’ But digitalization is one step further where you really question everything.” 

Procurement has been focused on digital transformation for so long that we accept the change it will have on our work and team structures. That said, none of us is certain how emerging technologies such as RPA and AI will be incorporated into existing platforms, where we should start the process of automating procurement tasks, and what the future implications will be. To find out, akirolabs worked with Cognitive Corporate Consulting to apply the scientific method to different types of procurement tasks to capture the efficiency impact of automation.

Christoph Flöthmann is one of four co-founders at akirolabs, a new and growing procurement collaboration tool focused on helping procurement professionals develop and execute more impactful supply and category strategies. His experience includes time at organizations such as Bayer, The World Bank, DB Schenker, and KPMG. 

In this episode, Christoph joins Host Philip Ideson to discuss: 

  • The methodology used by Cognitive Corporate Consulting and akirolabs to research the task-level impact of automation on the future of procurement and what they learned
  • What he sees as the seven ‘next generation’ skills for strategic procurement professionals and teams
  • Some of the actionable insights uncovered by their research and shared in their new whitepaper
Jul 19, 2021

When the first edition of Managing Indirect Spend was published, Joe Payne and Bill Dorn often spoke to customers about what strategic sourcing was and what value it could bring to their organization. 10 years later, much has changed, but a lot has remained the same. Procurement is now much better known and recognized as a valuable corporate function, and yet we are still facing many of the same challenges we were back then.

Authors Joe Payne, Bill Dorn, Dave Pastore, and Jenn Ulrich all work for Corcentric, where they spend their time working with procurement teams to help them transform and mature. Many of their real life experiences are included in the book, allowing procurement leaders to learn from the journeys of others.

In this conversation, the authors speak with Host Philip Ideson about:

  • How procurement can secure ‘sponsorship’ for strategic sourcing projects and encourage the business to engage them as early as possible
  • The common mistakes or ‘landmines’ that undermine procurement’s efforts to bring spend under management
  • Options for procurement organizational design that make it possible to address all of the levels of project complexity that naturally arise
Jul 12, 2021

Between corporate efforts to digitize operations and an increasingly remote workforce, telecom and technology spend is now more important than ever. Changes to the ownership or structure of a business often lead to opportunities to optimize this category - but only if procurement has it actively under management and knows what to be on the lookout for.

Jeff Poirior is the President & COO of Valicom. He joined us for a recent AOP Live session focused on the unique nuances and opportunities contained in telecom spend. This category requires a specific approach, because - despite the size of the category - very few procurement organizations have a dedicated telecom specialist. This makes it a real challenge to navigate huge data sets and detailed requirements without inflating costs or impacting connectivity and service quality.

In this AOP Live-based session, Jeff Poirior answers live audience questions about:

  • How to navigate the distributed ownership typically associated with telecom spend and make a solid business case for optimization
  • Common sources of savings, including avoiding late fees and changes to the business that justify re-analysis
  • Supplier management strategies, including negotiation and benchmarking
Jul 7, 2021

We recently partnered with UNA to bring their The Sourcing Hero podcast into the Art of Procurement stable. 

The Sourcing Hero is a weekly 20-30 minute podcast that captures the stories of people who are rising up and beating the odds to create exceptional value within procurement, and is hosted by Art of Procurement General Manager, Kelly Barner.  

Today marks the launch of Season 2 of the podcast, and the first of our collaboration with UNA, and we’re going to run the episode in full in the AOP feed.

---

Learning to Recognize Heroes feat. Dr. Dred Scott and Anthony Clervi

Over the last year, most of us have expanded our concept of what it means to be a hero. From teachers to truck drivers, and grocery store workers to hospital staff, we have plenty of community members to look up to. We’ve also learned that anyone, anywhere, in any role has the opportunity to be a hero to the people around them every day - whether it is in their job description or not.

In this very special episode of The Sourcing Hero podcast, Host Kelly Barner welcomes Dr. Dred Scott, President of the Boys & Girls Club of Greater Kansas City, and Anthony Clervi, Principal at Una, to talk about the importance of heroism in all its forms. The Boys & Girls Clubs of Greater Kansas City has been helping at-risk youth for over 100 years. While much has changed during that time, heroes have always been present - sometimes in the form of the adults working at the club, and other times in the children themselves.

Jul 5, 2021

As digital transformation progresses, corporate leadership teams are increasing their focus on the quality and availability of data. Spend analysis is just one internal data resource in a sea of data ecosystems, but it has the potential to serve as the foundational connection point for all procurement analytics.

For this special series, Art of Procurement partnered with Sievo and Buyers Meeting Point to take a deep dive into procurement data ecosystems. We will explore how procurement leaders can meet their analytical requirements while also exploiting the full cross-functional value of data – data that enables corporate growth and competitive advantage.

In this episode, Philip Ideson and Kelly Barner provide a series recap and reflect back on the major take-aways from each interview and identify the connecting opportunities that bring them all together into one cohesive vision for data-driven procurement.

  • What we learned about data from these diverse points of view, including what makes it valuable and how to approach the problem of poor quality data
  • How to identify the breaks between people, systems, and processes that prevent data from driving strategic insights and actions
  • The ways in which procurement has to approach data differently for the sake of its future potential, and how this connects to our vision for procurement as a whole
Jun 28, 2021

As procurement places greater and greater emphasis on building supplier relationships, what impact will that have on the role played by our contracts? Kate Vitasek has been studying the role of contracts in relational procurement for years, and she has seen the contract v. relationship question go wrong many times. She has seen companies tell suppliers that they are in a partnership, only to terminate their contract on 60 days’ notice, and she has seen effective contracts fall into disarray when the buy-side company is acquired by someone else.

As the architect of the Vested business model, she is dedicated to helping companies and their suppliers thrive with the right combination of contracts and relationships. Her latest book is Contracting in the New Economy: Using Relational Contracts to Boost Trust and Collaboration in Strategic Business Relationships, published in May 2021.

In this episode of the podcast, Kate joins Host Philip Ideson to talk about:

  • What a formal relational contract looks like in practice and how the change management process should work
  • How to establish governance frameworks around contracts that are based on principles and behaviors rather than specific deliverables and KPIs
  • Whether suppliers are open to the differences between traditional contracts and relational contracts
Jun 21, 2021

As digital transformation progresses, corporate leadership teams are increasing their focus on the quality and availability of data. Spend analysis is just one internal data resource in a sea of data ecosystems, but it has the potential to serve as the foundational connection point for all procurement analytics.

 

For this special series, Art of Procurement partnered with Sievo and Buyers Meeting Point to take a deep dive into procurement data ecosystems. We will explore how procurement leaders can meet their analytical requirements while also exploiting the full cross-functional value of data – data that enables corporate growth and competitive advantage. 

 

In this episode, Kelly Barner and Magnus Bergfors, Global Business Director of Basware, discuss the evolving role of procure-to-pay in helping procurement satisfy business objectives while also improving the internal user and supplier experiences.

  • How to ensure that any P2P implementation or digitalization project delivers what the business needs over the long term
  • The barriers to supplier adoption and what additional requirements are being added through efforts to bring small and diverse suppliers into the enterprise supply ecosystem
  • How CPOs should approach P2P in the coming years, and how they should evaluate their success
Jun 14, 2021

The bi-annual Deloitte CPO Report has been a source of insight and information for procurement leaders for years. In the last report, released in 2019, the core topic was mastering complexity. Little did Deloitte - or the participating CPOs - know, the whole world was about to get a crash course in mastering complexity.

Ryan Flynn is a Principal at Deloitte Consulting and one of the co-authors of the 2021 CPO Report: Agility serves as the solution to an increasingly complex procurement landscape. Their research and the resulting report focus on top CPO priorities, talent, risk and suppliers management, and what allows procurement leaders to be “agility masters” in today’s complex business landscape.

Jun 7, 2021

As digital transformation progresses, corporate leadership teams are increasing their focus on the quality and availability of data. Spend analysis is just one internal data resource in a sea of data ecosystems, but it has the potential to serve as the foundational connection point for all procurement analytics.

For this special series, Art of Procurement partnered with Sievo and Buyers Meeting Point to take a deep dive into procurement data ecosystems. We will explore how procurement leaders can meet their analytical requirements while also exploiting the full cross-functional value of data - data that enables corporate growth and competitive advantage. 

In this episode, Kelly Barner and Pierre-Francois Thaler, Co-Founder and Co-CEO of EcoVadis, discuss the different scopes, organizational models, and ways of tracking, certifying, and reporting on investments in sustainability.

  • The current state of sustainability initiatives and what large enterprises can do to scale their impact
  • How procurement can use metrics and scorecards to ensure that investments in sustainability are recognized from the end consumer to the boardroom
  • Whether risk mitigation is a natural outcome of sustainability programs and how technology can carry these efforts successfully forward into the future
May 31, 2021

Procurement has been swept up in nearly non-stop change for the last two decades, and yet, we continue to talk about the need for transformation? Is this due to their failures or their successes? In Conrad Snover’s opinion, it is a little bit of both.

Conrad Snover is the President of ProcureAbility and he was joined by Betsy Pancik, their Vice President of Customer Success, for a recent AOP Live session. They believe that how procurement is structured can either help them achieve overall business alignment and an improved customer experience, or can slow processes down and hold them back from delivering full value. 

In this AOP Live-based session, Conrad Snover and Betsy Pancik answer live audience questions about:

  • What a procurement operating model is and how that aligns with procurement’s organizational structure
  • The evolving requirements of procurement talent and how the available skill sets may need to change during and after transformation 
  • Which transformational concerns can be addressed - and even advanced - by selecting the right procurement operating model
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