Art of Procurement

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“Procurement is at the point where they’re trying to figure out next steps on digitization, and it will be an immediate priority for everyone in the next couple of years.” - Gordon Donovan, Vice President of Research - Procurement and External Workforce at SAP It is Gordon Donovan’s job to read every single piece of research that’s published on procurement, the workforce, and the supply chain. More importantly, it is his job to figure out what it means. As he told Philip Ideson, “I’ve got the best job in the world.”  All of this information gives Gordon a deep and comprehensive view of the global procurement landscape and the challenges and opportunities that it presents.  In this episode, Philip draws on Gordon’s depth of knowledge to discuss the findings of SAP’s recently published Economist Impact report, as well as what the research tells us about procurement’s vision, priorities, and opportunities for the future.  Listen in to hear Gordon and Phil discuss the report, which included some surprising findings, as well as: Why digitization tops the list of procurement’s most important priorities How procurement can handle increased complexity and workloads, even as headcounts remain stagnant Procurement’s AI maturity journey and where they are on the path to acceptance and adoption compared to other business functions Links: Subscribe to This Week in Procurement Gordon Donovan on LinkedIn Read the 2024 Sap Economist Impact Report Listen to Gordon Donovan in a previous episode: From C-Suite Priority to Procurement  Unpacking SAP’s 2024 Economist Impact Report Strategy: Managing Risk at Scale

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“Everyone has an opinion about facility services in your buildings, so you're always trying to accommodate multiple stakeholders and juggle multiple departments.” - Alex Carlson, VP of Facilities Management Services at Fine Tune In the world of indirect spend management, there are few categories as complex - and high stakes - as facilities management. Delivery locations and sometimes provider networks are distributed and fragmented, making selection, implementation, and ongoing oversight especially difficult. It is no wonder, then, that so many companies are tempted over to “the dark side” of convenience-based solutions in this category. Unfortunately, allowing third parties to manage the delivery of services may also give them more control over cost than procurement realizes. In this episode, Kelly Barner is joined by Alex Carlson, former Vice President of Category Management within Wells Fargo’s Corporate Properties division and new VP of Facilities Management Services at Fine Tune.  His experience and advice can help your organization avoid “the dark side” and instead walk towards the many opportunities for value creation associated with this category of spend. Listen in to learn: The benefits of managing costs as well as services through a cost plus model How to navigate the transition from service provider to client Unique facilities management challenges in C-store, big box retail, and office environments In depth category perspectives and stories of managed services survival Links: Subscribe to This Week in Procurement Alex Carlson on LinkedIn Watch Again: Why is facilities management so complex?

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“At the end of the day, we're trying to create this organization from which we have the ability to help the profession move forward with more than ever before. We think in terms of what each trend or change is going to mean to each team and what they can make of the related opportunities and challenges.” - Philip Ideson, Founder & Managing Director, Art of Procurement In this episode of the Art of Procurement podcast, Philip Ideson and Kelly Barner take a break from their usual roles interviewing procurement thought leaders and experts to reflect on the year so far in procurement, including emerging trends, economic pressures, election coverage, AI, and the always-evolving needs of the procurement community. Philip and Kelly also discuss the recent results of an AOP survey that reveals procurement’s increasing demand for quality, targeted content, and they share what they’ve been hearing from other procurement leaders about the impact of AI now that the “newness” has worn off and teams are getting serious about implementation, use cases, and business outcomes. In this episode, they reflect on: How economic shifts and policy changes are reshaping procurement strategies and operations AI’s practical applications in procurement and why experimentation and continuous re-evaluation are so important Upcoming events and projects from the Art of Procurement, including a new AOP website in the works, the official launch of AOP’s YouTube channel, and a special series planned for October that will provide a comprehensive analysis of potential policy impacts to procurement and the supply chain from the U.S. presidential election Links: Subscribe to This Week in Procurement Philip Ideson on LinkedIn Kelly Barner on LinkedIn

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“One thing is very clear from our research: the skill sets for procurement are changing. Whatever the skill sets are today, they are not going to be the skill sets that are needed tomorrow.” -Baber Farooq, Senior Vice President, Market Strategy, Procurement Solutions at SAP SAP recently released the 2024 results of their annual Economist Impact survey. It contains insights into the overall health of procurement and provides a look at C-suite perspectives on procurement’s role and reputation in the business and the most pressing challenges and opportunities facing them today. This year, they surveyed over 2,300 C-suite executives across procurement and other functional areas and C-suite positions. To unpack the survey results, Philip Ideson is joined in conversation by Baber Farooq, Senior Vice President, Market Strategy, Procurement Solutions at SAP.   In addition to discussing key findings and insights, they talk about: How this year’s responses differ from previous years and what these new trends say about the future of procurement Major factors impacting the procurement operating model, including new reporting structures, compliance demands, and sustainability expectations How digitization is putting pressure on (and opening new opportunities for) traditional procurement organizations Links: Subscribe to This Week in Procurement Read the 2024 Sap Economist Impact Report Baber Farooq on LinkedIn

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

Category management has been around for decades - so why hasn’t it become ubiquitous?  Many of the objectives procurement needs to satisfy - both qualitative and quantitative - can be addressed by a category management program. Taking a more comprehensive approach to spend and supplier management can deliver improved cost flexibility, more leverage in tightly held markets, and a closer alignment with the priorities of the business. Despite all of these benefits, category management struggles to secure broad adoption.   In this solo episode, Philip Ideson speaks about his personal experience with category management and the challenges and opportunities he sees. Listen in to discover: The roadblocks that prevent category management from living up to expectations Advancements in procurement technology that will enable everyone in the company to play a larger role at the category level Why he still believes category management IS the future of procurement Links: Subscribe to This Week in Procurement Philip Ideson on LinkedIn Category Management: How Far We’ve Come, How Far We Can Go featuring Mark Webb What is Category Management? (According to the Experts) Build Your Category Management Framework with Five Evergreen Principles Learn from the 4-step Category Management Process Refined by Novartis

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“What ultimately drove all of us – leadership team, colleagues, and people in procurement – was the excitement about the future. The ability to contribute very differently to the success of the company, ultimately impacting the patient journey, is a great purpose that we have – curing and helping patients.” - Patrick Foelck, Head of Strategy & Transformation and Head of Insights & Enablement Procurement at Roche How procurement prepares for the future, one that includes accelerating digital innovation, may determine whether they have a future at all.  In this episode, Philip Ideson discusses the importance, if not existential necessity, of procurement transformation with Patrick Foelck, Head of Strategy & Transformation and Head of Insights & Enablement Procurement at Roche. As Patrick said, “There must be more than running this singular, one-dimensional process and chasing the savings as a one-dimensional outcome. I think that is also our future. If we don’t get out of it, or if we don’t build on it, procurement will be dead to an extent, or replaced by technology or by an external party.” In this episode, Patrick and Philip tackle the ‘big’ questions around the future of the procurement operating model and the role of procurement transformation in securing that future, while also discussing:  How to build the procurement operating model of the future, pulling together insights and enablement, delivery, business partnering, capabilities, and digitization Roche’s own transformation journey and what success looks like post-transformation Defining, measuring, and achieving transformation success with KPIs beyond savings Links: Subscribe to This Week in Procurement Patrick Foelck on LinkedIn

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“What’s interesting in financial services is that third-party risk management is very different than supplier risk management. When a financial institution looks at risk, they look at risk at the relationship level, not just at the supplier level.” - Arnaud Malardé, Director of Product Marketing, Ivalua In the highly-regulated financial services industry, effective third-party risk management is non-negotiable. It can make or break operational success, not to mention client trust. Even though avoiding risk altogether is not realistic, it doesn’t have to feel like an uphill battle.  In this episode, Kelly Barner speaks with Arnaud Malardé, Director of Product Marketing at Ivalua, and Vivek Jayaraj, Managing Director at Deloitte Consulting LLP, about how procurement can turn third-party risk management into a strategic advantage for the business.  As they explain, streamlining business practices and supporting them with well-integrated digital platforms can create the best environment for managing third-party risk and achieving successful outcomes for the business.  They also share their ideas about: What a ‘single source of truth’ for third party risk looks like in practice How to align risk management with supplier management  Best practices for leveraging AI in third-party risk management platforms Links: Subscribe to This Week in Procurement Arnaud Malardé on LinkedIn Vivek Jayaraj on LinkedIn Watch Again: Establishing a Single Source of Truth for Third Party Risk in Financial Services

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“You always really need to look at people, process, and technology. If you don’t look at all three and understand where you are and where you need to be in those areas, you are just going to be chasing.” - Sherry Ulsh, Director, Indirect Procurement, The Hershey Company At the CoreTrust Conference in April 2024, Philip Ideson had the opportunity to sit down with Sherry Ulsh, Director of Indirect Procurement at The Hershey Company, about a wide range of topics, including her own journey from finance to procurement, the evolving role of GPOs, and the changing skill sets required in modern procurement roles.  Sherry shared her views on the importance of supplier relationship management and stakeholder management, both of which are reflected in her belief that procurement’s value and influence in the business are best realized when they achieve a balance of people, process, and technology. In this episode, Sherry also shares her views on:  How to define procurement’s value proposition across different industries and organizational models The evolving role of GPOs, and how utilization of the GPO model today differs from in the past Shaping internal and external perceptions of procurement’s value, and how, for example, CFOs and other C-suite leaders can influence procurement’s perceived value beyond cost savings Links: Sherry Ulsh on LinkedIn Subscribe to This Week in Procurement

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“Sustainability is at the top of the agenda for businesses, because now they have to demonstrate exactly what their carbon footprint is and demonstrate with complete credibility and transparency exactly what they’re doing.” - Melanie Blackmore, Founder & CEO Blackmores (UK) Ltd and Carbonology Ltd When Melanie Blackmore, Founder & CEO Blackmores (UK) Ltd and Carbonology Ltd, says that she is deeply passionate and “in love with” standards, she readily admits not everyone will be able to relate to her enthusiasm. But, applying ISO (International Organization for Standardization) can give organizations, and specifically procurement teams, the direction they need to ensure quality, safety, efficiency, and even compliance across industries and for both goods and services.  The stakes can be high, but the benefits of implementing ISO standards are often even higher.  In this episode, Philip Ideson explores the ins and outs of an ISO framework and how it can help a business improve their processes by following a set of internationally recognized best practices.  They discuss: An overview of current ISO standards and how they have evolved How organizations can apply ISO standards to achieve their sustainability goals The differences between standards and certifications and how this impacts implementation  Links: Subscribe to This Week in Procurement Melanie Blackmore on LinkedIn  Visit IsologyHub to learn more about how to achieve ISO compliance Melanie’s Book on Amazon: Net Zero Planner: Design a Net Carbon Zero plan for your business in 90 days Blackmores (UK) Ltd Carbonology Ltd  

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“I think category management is great fun because you have the freedom to do things. It’s not following a rote process. It’s using structure to be creative. I think that’s the great benefit of it.” - Mark Webb, Managing Director at Future Purchasing For many in procurement, category management is “old hat.” Some even assume that widespread adoption and integration of category management structures and processes within the business are non-issues in 2024. They see category management as a mountain that has been scaled, and now procurement just needs to sit back and enjoy the view. When we look more closely, however, there is still significant room for improvement in category management strategy and for expanded scope of implementation throughout the business.  In this episode, Philip Ideson welcomes back Mark Webb, Managing Director at Future Purchasing, for a deep dive into the current state of category management, including where we’ve been and how far we have left to go. Mark also shares the results of the 2024 Global Category Management Report, a large, comprehensive study Future Purchasing conducts in partnership with Henley Business School.  They discuss the importance of stakeholder involvement, the need for more consistency and effective communication, the distinctions between category management and strategic sourcing, and the delicate balance between internal expertise versus external resources in implementation. Philip and Mark also explore: Why 80 percent of stakeholders don’t fully understand their role in category management, and what procurement can do to fix that Practical advice to streamline category planning and improve stakeholder engagement The ideal model for category management when considering big versus small teams Links: Subscribe to This Week in Procurement  Read the 2024 Global Category Management Report Mark Webb on LinkedIn The Differentiators of Category Management Leaders & Followers, w/ Mark Webb