My recent ISM – Zycus Webinar stimulated some interesting exchanges with the sizable audience. I say sizable audience because I think it is important for you to know that the discussion and corresponding poll result actually came from a healthy pool of respondents. In short, it would not be unreasonable to assume that the numbers are a fair representation of the procurement industry as a whole.
Based on the response, to the question “What is the most effective way to elevate procurement’s role,” it was suggested that education others on our profession’s value and contributions was self-serving.
This prompted this month’s (or week’s or for that matter whenever it comes over me) Questionable Quote:
Do you agree or disagree?
Share your thoughts here in the comment section, or from whatever you consider to be your soapbox . . . you have one of those right? š
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Procurement Insights 
Bertrand Maltaverne
November 17, 2016
I was not in the webinar so I do not have the full context of the discussion around the question. But, nevertheless the answer is quite surprising.
My 1st reaction was to take the answer as a way of saying “we are right, the others are wrong.”
Over confidence?
Explain, ok but educate… sounds like a tentative to push a point of view. Also, it somehow shows that the other party is not in a position to understand deliverables from Procurement. And, that Procurement knows better than its customers.
Looks to me as a sign that “stakeholder management” was not done properly; if done at all.
Stakeholders are busy, their time is precious. Time taken for justification / education is time wasted. It comes too late in the process.
SRM2, an inclusive process!
View at Medium.com
Better is to listen to, understand, integrate, explain some “technical” consideration early in process. It is called category mgmt!
Once the coordination and alignment is done as part of the definition of the category’s requirements and strategies, it can be executed. Procurement can act with a mandate and come back with a solution that fits the business needs. Procurement can also highlight options and trade offs and get decision.
At the end of the day, Procurement is there to serve the rest of the organization. So, explaining what we do is not the most important things to do if what we deliver is what they need. Influencing is important though as internal customers may not fully grasp some ins and outs of the technicalities.
To elevate the role, first and foremost: deliver what the business needs!
piblogger
November 17, 2016
Great perspective Bertrand.
I like the orange juice and marmalade analogy š
Bill Culhane (@Contract_Hunter)
November 17, 2016
Say what you’ll do, do what you say. Don’t tell me you’re a great singer, just belt out the lyrics. Full stop.
piblogger
November 18, 2016
When we do this, we won’t have to ask for a seat at the executive table . . . we will be able to just take it!
Mike Robertson
November 18, 2016
Bertrand.. i couldn’t agree more ” first and foremost: deliver what the business needs” . If Procurement is not being recognised for its value then maybe that’s because it is not adding any value to those who matter most, the business !
Its time to stop “telling” others what a great job procurement does and instead, actually do a great job that others identify with it
Maybe that might mean helping the business decide what contracting model to use and the associated benefits?
Maybe its helping the business select the right supplier, with procurement acting as a trusted advisor and not a dictator?
Remember its not your opinion that matters, its what others think of you = Value
piblogger
November 18, 2016
Well said Mike.
In explaining the disconnect between purchasing and finance, an Aberdeen survey of CFOs a number of years ago, found that the vast majority did not believe that purchasing added any real value to the organization’s profitability and bottom line in key areas such as ROI etc.
A CPO Agenda Roundtable, that included exec’s from global enterprises, and took place about the same time as the Aberdeen study, concluded that the best person to run a purchasing department is someone who does not have a purchasing background.
Fast forward to the present and the fact that the majority in our field believe that procurement has to educate those outside of our profession regarding our value, would seem to indicate that little progress has been made over the years in terms of truly understanding the needs of those we seek to serve.