Earlier this year, SIG launched The Sourcing Industry Landscape with the Art of Procurement, a podcast dedicated to furthering thought leadership and conversations with innovators who embrace technology to improve, influence and inspire procurement professionals.
Delivered through iTunes, the Art of Procurement website or your favorite podcast app, The Sourcing Industry Landscape has produced over 30 podcasts this year with CPOs, CEOs, company founders, product innovators, Rising Stars, Future of Sourcing Awards winners and finalists, procurement industry titans, technologists, entrepreneurs and the list goes on. Their breadth of knowledge, commentary on the industry and, perhaps most importantly, their hindsight and lessons learned throughout their career are all laid bare in these interviews.
After sorting through a year of podcast data and analytics, we’ve compiled a list of the five most popular episodes of The Sourcing Industry Landscape and they all have a common theme: elevating the role of procurement as a value-added strategic partner to the business. Whether you’re traveling by plane, train or automobile over the holidays, or staying home wrapping presents and prepping for holiday dinners and parties, download these episodes for the doses of inspiration and motivation that will take you into 2019 with a fresh outlook on your role and the changes that are becoming possible in the industry.
“It’s not just about cost savings--which was the traditional mindset of the Procurement function. It's about continually improving and re-evaluating how we’re buying to make sure we’re getting the best business outcomes.” - Neil Aronson, Head of Global Strategic Sourcing for Uber
Across all industries, margin and growth pressures are heating up. By 2021, 55 percent of technology procurement staff will require additional digital and analytical skills to enable their desired business outcomes (Gartner 2017). To succeed in this environment, CPOs must focus on closely aligning their team’s strategy and objectives with broader company goals. That requires changing the way their procurement and sourcing teams operate.
Changes of this nature call for a clear blueprint for transformation. And it starts with taking a closer look into current Procurement processes--and determining how success is being measured. A key insight: when organizations evolve alongside new technologies and market trends, so must the metrics needed to track performance.
Evolving Beyond Cost Savings to Accelerate Change
Historically, Procurement and Sourcing teams have been accountable for cost savings as the ultimate measure of success.
But as teams look to transform, they need to reshape their success metrics to chart a path forward. While anecdotal and periodic measurements are helpful, they are forgotten without a consistent stream of key performance indicators (KPIs) to indicate the overall direction of progress.
In fact, without clear, effective KPIs to back up these plans, securing executive support for transformation becomes unlikely. When executives understand how metrics and ongoing improvements directly align with the business, they’ll confidently support an initiative that delivers real value to the company.
Stan Garber, President and Co-Founder at Scout RFP