Mandatory enforcement of human rights, environmental due diligence and even data privacy are a few examples of the regulatory challenges procurement faces in managing complex global supply networks.
I could also talk about the negative impact that a failure to address these regulatory conditions can have on an organization's brand as a company and employer. Of course, it's not exactly a revelation that negative press regarding regulatory violations will certainly impact your image with the public, e.g., your customers. However, did you realize that in a highly competitive job market, "58% of candidates surveyed said they consider a company's social and environmental commitments when deciding where to work." This mindset isn't just a checkbox sentiment: "55% said they would choose to work for a socially responsible company, even if the salary was less."
While employee attraction and retention are not often discussed in the same breath as ESG regulatory compliance – at least not enough, it is yet another indication of the expanded importance and impact of getting ESG right. In other words, people are taking this seriously.
We will specifically get into the critical aspects of identifying and managing compliance risks in your supply network, focusing on the following four Learning Objectives:
Conference season provides excellent opportunities for in-person networking and professional growth. Keep in mind though that conferences cost time and money. It’s worth asking how you can make the most out of the events on your schedule. Here are some of our favorite tips for optimizing your investment.
Plan Ahead
As with many things in life, maximizing your experience at a conference requires thoughtful preparation.
At the heart of that urgency is assessing and then mobilizing your procurement team’s digital capabilities throughout the extended organization.
How do you mobilize your procurement team’s digital capabilities?
With this third article from the 2022 SIG Procurement Technology Summit Keynote Series, I will share with you the "key insights" from Chris Kee (VP, Sourcing and Procurement at Northwestern Mutual) and Colin Frazier (VP – Solutions at ZIP) keynote on creating the right digital experience.
To better understand what creating the right digital experience around your team's procurement process involves, you must first understand your organization’s procurement workflow.
What Is The “Procurement Workflow?”
When asked, "what does the term procurement workflow really mean to you,” Northwestern’s Kee indicated that it does more than encompass the process for supplier onboarding. Kee believes the workflow process involves all critical end-to-end touchpoints, including reviews and signoffs. It also provides total stakeholder transparency to address company risk and privacy, legal, and data security requirements.
Furthermore, procurement professionals can't only be involved in the transactional process, which has traditionally been the case. Beyond managing the process from start to finish, procurement professionals also need to be capturing stakeholder engagement feedback to best manage the supplier relationship post-contract.
In this second article from the 2022 SIG Procurement Technology Summit Keynote Series, we will tap into the expertise of an esteemed panel of industry leaders who will share their experiences with mobilizing their respective organizations' ESG initiatives to achieve progressive outcomes. Make particular note of the words progressive outcomes because implementing and maintaining an ESG strategy is not a destination but an ongoing journey that requires commitment and the agility to respond to ever-changing marketplace realities.
Rather than just a generalized or conceptual discussion on ESG, these individuals delivered personal and detailed accounts regarding the successful transformation of their supply chains to align with social imperatives and financial objectives. In other words, during the discussion, they effectively "blazed" a trail of understanding that can serve as a helpful roadmap for the successful implementation of your organization's ESG strategy.
No Longer An Option
In the recent Oliver Wyman article, Powering Your Sustainability Strategy Through Procurement, it is clear that the proactive implementation of a successful ESG strategy is not an option for organizations – not that it ever was.
The authors specifically talk about how "For many years, calls have been getting louder for business leaders to pay more attention to their organization's environmental, societal, and governance (ESG) strategy."
Fueled by "intensifying pressure" from all directions, including customers, employees, investors, and governments, good intentions must now materialize into tangible outcomes sooner rather than later.
In what will be the first of several articles on the 2022 SIG Procurement Technology Summit Keynote Series, I will share with you the insights from each session, starting with today's post on my discussion with Shashank Saxena, General Manager for VNDLY - A Workday Company.
In the session - aptly titled "Closing The Digital Acceleration Gap In Procurement," Shashank and I talk about the disruptive approaches and new innovations that will reshape how procurement leaders can satisfy their most pressing strategic imperatives.
A little background information is in order before getting into the above specifics.
The New Digital Imperative
"Everyone wants to do digital transformation – think of all the board level priorities you have this is probably the most and biggest."
The above words by Shashank resonated with me on many levels.
They are a reminder of how far we have come over the past few years and how we still have a way to go before we achieve or realize the full potential of the digital promise.
What do I mean when I say "the full potential" of the digital promise?
A December 2019 Forbes article reported that "70% of companies either have a digital transformation strategy in place or are working on one." However, recognizing the importance of having a digital strategy is not the same as realizing the anticipated return as "only 7% of companies have fully implemented their digital transformations." As you can see, there is a notable difference between having a strategy and the ability to implement it successfully, and it is quite a gap to bridge.
It’s been a long year and we’re only halfway through it. Many of us have scrapped our plans, both personally and professionally, retooled our strategies and reprioritized our resources. It’s frustrating to make drastic changes with no clear forecast on the horizon, but growth comes from being uncomfortable and taking risks. Instead of dwelling on what could have been, let's take a look at what’s to come.
Summit Presentation Anthology
Following each Summit, we release our Summit Presentation Anthology that offers a snapshot of each presentation along with the presenter’s contact information. The inaugural Spring Procurement Technology Summit was supposed to be an in-person event in April, but the global pandemic upended our plans and we had to pivot our strategy to go digital.
While we missed catching up with old friends and making new connections at the Summit, we welcomed over 1,100 delegates from all over the world to our digital platform. The best part? Every single session is recorded! Not only can you get the presentation decks, but you can watch any sessions you missed or revisit sessions to dive deeper in the subject matter. The Anthology is only available to SIG members. If you’re not a member and want to join, reach out to us.
COVID-19 Resources for Procurement, Sourcing and Workforce Management
When we switched our spring Summit from in-person to virtual due to the global pandemic, many Summit presenters also changed their topic given the current events. What we are experiencing now is historical on many fronts, not the least of which is the role of procurement in a global emergency.
The inaugural SIG Procurement Technology Summit was unlike any other industry event. As COVID-19 swept across the globe, my team and I had to pull off something we’ve never done before: turn our in-person Summit into a completely virtual event.
While the circumstances were less than ideal, it was a humbling experience and a good reminder that to stay relevant, you must be flexible and agile when disruption strikes. Admittedly, a global pandemic was not in our risk scenario playbook, but you can bet that it will be going forward.
New Concerns for Procurement
In order to provide SIG members with the most up-to-date and relevant content, we ask for your feedback to find out what’s top of mind for you, your colleagues and your organization. For the first time in six years, the economy is a top business issue. This is markedly different than what you told us was a top concern just six months ago. Now, most people are concerned with how the crisis will impact:
Income and business opportunities
Negotiations in a virtual world
Business resiliency and continuity
Resiliency of their organization and the talent they support
Addressing risk – in the supply chain, in supplier negotiations, in online business operations and transactions
Many of our Summit presentations pivoted to reflect these new realities, and our upcoming events will feature practitioners and thought leaders sharing how their organizations responded to the disruption with flexible, proactive measures. The common thread in all of this is advanced technology and strong leadership.
Spend Matters has just released its 7th annual “50 Providers to Know/50 Providers to Watch” lists. Each year, Spend Matters’ technology analysts assess the capabilities for an array of companies across 13 market sectors and releases its lists of 100 vendors in the industry. These represent the best-in-class companies you need to know about as well as the up-and-coming, growing firms to keep your eye on.
Providers to Know
Among this year’s vendors are 11 companies that have earned the “50 Providers to Know” distinction each of the seven years the lists have been published! These include Accenture, Achilles, Basware, Beeline, Coupa (including Trade Extensions and Spend 360), Deloitte Consulting, GEP, Insight Sourcing Group (including SpendHQ), Ivalua, Jaggaer and The Hackett Group. These vendors sit alongside AppZen and Rosslyn Analytics, which are brand-new “to Know” companies for 2020.
Providers to Watch
Eight vendors jumped from the Watch to the Know list in 2020, they are Agiloft, Celonis, ConnXus, Lease Accelerator, MBO Partners, NPI, Per Angusta and Tipalti. More than half of the “50 Providers to Watch” list represents new honorees, with 34 new companies included, four of which are start-ups featured on the 2019 Spend Matters “Future 5” list — Bid Ops, Fairmarkit, Negotiatus and SupplyHive.
This year’s digital release of the lists will be accompanied by social and video content to spread the word throughout the procurement community leading up to the digital SIG Procurement Technology Summit, beginning May 11.
No one could have predicted that the start of Q2 would be quite like this. As the world works to flatten the curve of the COVID-19 pandemic, businesses will come to rely on procurement more than ever. This month, SIG is providing free access to a selection of business continuity resources for all readers, along with more information on earning a professional certification that will increase your value during these uncertain times, plus there's an exciting update on the Procurement Technology Summit and more.
Business Continuity Resources for Sourcing and Procurement
The SIG Resource Center has thousands of tools and templates for SIG members to use and reference, but since knowledge sharing is of critical importance right now, SIG is offering free access to the below resources to all readers, regardless of membership status. These can be used to help you and your teams ensure business continuity and plan for future crises that may arise.
 (1).png?gWqomJ7YgOW2Ipyi3zp3mvegLQjJa2Lu= "Attending a Conference? Make the Most of your Investment")
 (1).png?lWLaunmKsSByPLp2uJ8cAymJLpxdasOf= "Creating The Right Digital Experience Is Key To Your Procurement Team’s Success (A SIG Summit Keynote Review)")
 (1).png?mzZ54bqabXh5qcMg4C_Pw08UtNkJLvaf= "Is Your Supply Chain ESG Ready?")
 (1).png?m5WQ3ocgeu3L6wVlN6h3Au0SSibaZPU0= "Closing The Digital Acceleration Gap In Procurement")
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Preparing For Ever-Changing Supply Chain Regulations: But Where’s Procurement?
Mandatory enforcement of human rights, environmental due diligence and even data privacy are a few examples of the regulatory challenges procurement faces in managing complex global supply networks.
I could also talk about the negative impact that a failure to address these regulatory conditions can have on an organization's brand as a company and employer. Of course, it's not exactly a revelation that negative press regarding regulatory violations will certainly impact your image with the public, e.g., your customers. However, did you realize that in a highly competitive job market, "58% of candidates surveyed said they consider a company's social and environmental commitments when deciding where to work." This mindset isn't just a checkbox sentiment: "55% said they would choose to work for a socially responsible company, even if the salary was less."
While employee attraction and retention are not often discussed in the same breath as ESG regulatory compliance – at least not enough, it is yet another indication of the expanded importance and impact of getting ESG right. In other words, people are taking this seriously.
Learning How To Get It Right
Given ESG's recognized importance, I will be part of the panel discussion on preparing For Ever-Changing Supply Chain Regulations at the upcoming SIG Procurement Technology Summit.
We will specifically get into the critical aspects of identifying and managing compliance risks in your supply network, focusing on the following four Learning Objectives: