Over the last year, my team and I have spent countless hours speaking with procurement professionals. Driven to empower sourcing and make tealbook® the gold standard in collecting and accessing supplier information has made us listen attentively.
The feedback we’ve collected has helped us better understand the pain points and evolving metrics for procurement, which in turn helps us continue to improve tealbook’s value and ability to integrate into procurement’s existing tools and processes.
Here are several trending topics for procurement professionals that will continue to impact business in 2016:
Metrics are significantly shifting from savings to other metrics that are often more difficult to measure. (It’s an ongoing process but it is a really good thing! We have heard that the most common new metrics are:
1.Increasing supplier diversity (somewhat hard to identify);
2. Building internal relationships (most are on their own trying to build trust and confidence); and
3. Becoming better strategic partners (someone mentioned that their leadership team asked procurement to become hunters instead of gatherers)
Understanding how to meet these new metrics is challenging for most and quite subjective based on the company. Finding efficient ways and adopting new tools to help accomplish the above is critical…easier said than done when there are competing priorities and so much to get done.
And here are some paradigm shifts:
- Companies need to clearly define and continuously reassess its changing metrics
- Building internal relationships should be done as a function, not simply defined by small wins or single events
- Innovation should encourage risk-taking and allow for some inevitable failure (it often takes one great idea to significantly impact outcomes)
- Finding innovative suppliers should be a collaborative process between procurement and internal stakeholders
- Procurement doesn’t have to be involved in everything, but can remain engaged, allowing internal stakeholders to access better information and do more up-front due diligence in collaboration with procurement
- Improving access to better information and increasing efficiencies will allow procurement to spend less time on tactical initiatives and more on strategic thinking and sharing innovative ideas and new partners
- Reducing the supplier base is not as important as finding and partnering with the strongest suppliers
- Internal intelligence is the most credible source of supplier information and can be extremely valuable – but only if it is collected, continuously updated and easily available
I believe that procurement has a lot to catch up on, but I am encouraged to hear that these trends and paradigm shifts are top of mind across the industry. Procurement has an exciting opportunity to be a driver of efficiency and innovation and become indispensable partners to their team and company .
tealbook is an exciting online platform that empowers sourcing and procurement professionals’ interactions with internal stakeholders. By quickly providing all of the information necessary to make an informed decision, including supplier details and status, industry recommendations, and existing connections to colleagues, tealbook helps identify the most suitable supplier options and facilitates collaboration on supplier needs. Through its robust yet streamlined approach to initiating the RFP process, tealbook empowers sourcing and procurement departments to enable collaboration and efficiency with internal stakeholders and suppliers. Similarly, tealbook offers suppliers a unique and powerful way to generate new business by increasing visibility and collaboration with sourcing and procurement – for the ultimate benefit of internal stakeholders. For more information, visit www.tealbook.com.