Too many Procurement professionals are overwhelmed by workload.
In today's fast-paced business environment, professionals find themselves walking a tightrope - the Procurement Paradox - where the demands on their time and expertise continue to increase, but without corresponding additional investment in heads, training and systems.
However, by thinking creatively and using our constraints to our advantage we can rethink how we approach activity, and, in doing so, not only alleviate stress, but transform the perception of procurement.
The solution lies in a fundamental shift in our approach to procurement. Instead of mindlessly taking on more and more work, we must prioritise high value activities and offload the rest. This approach not only protects our workforce but also frees them up to focus on strategic work, such as risk mitigation, relationship building, and innovation.
So, how can we achieve this? Here are seven practical tips to offload low-value, low-risk sourcing activities through guided buying, ultimately allowing teams to concentrate on what truly matters:
Streamline low-value procurement processes to reduce unnecessary complexities and save time. Think about the objective of the process in terms of risk management and map out other ways you can achieve this outcome. Pilot simpler ways of working and gain feedback and learning.
Make procurement guidance accessible to everyone by removing industry jargon and replacing it with clear, understandable language. Keep it short, and then make it shorter. Speak to stakeholders with no prior understanding of procurement and run a plain English test on your policies and guidance. Shorten it again.
Look at all ways of working and aim to reduce red tape and approval points to enable quicker decision-making and execution for low value. Use purchase order terms where possible to avoid spending legal time on simple work. Look to capture all approval points on a system where possible - don't rely on email!
Curate a list of trusted suppliers and put it on your intranet or self service system to make it easier for teams to make informed choices without needing to research or onboard new suppliers. Agree an simple ordering approach with these vendors to make placing orders easier, including framework contracts and clear communication channels.
Create a frequently asked questions (FAQ) page to address common queries and provide instant support. Even better, incorporate your FAQ into your guided buying flow (as in Acada Guided Buying) so that the user has their questions asked at the right stage of the process, before they've even thought of them.
Talk to stakeholders to gather feedback and continuously improve the process. Measure KPIs such as stakeholder satisfaction and time spent on low value sourcing to make sure that you are saving time and effort across your organisation.
Of course, the best way to achieve all these points is by leveraging technology to automate work, allowing procurement professionals to focus on strategic initiatives. But do not automate before you have refined the process! Broken processes must be fixed before they are systemised or automated, just as we would if we were outsourcing or delegating.
In essence, these tips revolve around one core principle – enhancing the user experience for stakeholders. Every interaction with procurement should be a positive one. It's crucial to remember that for many, this might be their only interaction with the procurement department, so let's make it a memorable and constructive one.
Ultimately, the goal is to shift the perception of procurement from a cumbersome, bureaucratic process to a dynamic and efficient enabler of organisational success.
By implementing these tips, we not only protect our people from burnout, but also empower them to drive innovation, foster relationships, and mitigate risks – all whilst helping stakeholders to help themselves.
Easy-to-use, slick systems reflect well on Procurement - and may go some way to repairing the damage that the dire procurement technology of the last 20 years has caused our reputation.
This is truly a win-win for everyone - think about how you can start today!
