Why do the best procurement strategies get rejected? And how do you stop this from happening?
All too often we hear businesses saying they want a transformational procurement professional to add value, implement new strategies and ‘make a difference’. Yet the feedback you hear from procurement professionals, is often frustration due to larger organisations not wanting to change how things have been done historically.
Here are a few tips on how to challenge current business operations to implement new strategies…
- Clearly understand their objectives and outline ambitions, if a procurement strategy will challenge the way the company has traditionally bought goods and services, does the business truly have the appetite for change?
- Understand how much influence procurement has in the decision making process. Is the internal profile of procurement strong enough to influence a change? One way to ensure that ideas are relayed fairly & succinctly to the right senior audience, is to make sure procurement has a seat at the decision making table so that cost-saving strategies are evaluated on a level playing field.
- Build relationships with your internal stakeholders – it’s not enough to simply ask other areas of the business to listen to you – procurement has to get under the skin of the businesses’ operations to thoroughly understand where the pressure points are.
- By doing this and gaining trust from your internal colleagues, procurement is in a better place to challenge historical processes and assumptions.
- Back up ideas with Facts – often Procurement is challenged to reduce costs with innovative thinking that challenges existing processes and mindsets in a business. Therefore, you have more chance of success if strategies are presented based on detailed understanding of the operational challenges facing a business.
It’s safe to say that when trying to implement new strategies as a procurement professional it’s not an easy task but by understanding the organisation and engaging with internal stakeholders you are closer to making a change. In any situation, communication is a key component to building key relationships and cracking historical culture and strategies.