“The visionary leaders can see the opportunities but also recognize that, while traditional skills in procurement still remain very, very important, they need to evolve to realize the true value of technology.” – Andrew Daley, Managing Director, Digital Procurement & Supply Chain, Edbury Daley
Whether procurement is facing a single, large-scale transformation or they’re on a steady, continuous evolution towards digitization, the skills and operating models they prioritize are key to their success.
I recently had the opportunity to meet with Andrew Daley, Managing Director, Digital Procurement & Supply Chain at Edbury Daley, at SAP Spend Connect Live in Las Vegas. Andrew shared his expertise and research on procurement’s evolving skill set and how those capabilities enable procurement to create and execute on their digital roadmaps.
As Andrew said, there are some traditional procurement skills that will always be relevant and valued, but we can’t ignore the fact that digitization is also reshaping the procurement function, creating both challenges and opportunities for teams who now have to take a long, hard look not just at individual skills but the structure and functionality of their entire operating model.
Here, in his own words, are some of Andrew’s most poignant insights on procurement’s journey toward digitization:
How Procurement Can Win the Battle for Talent
“We’ve got a real battle for emerging talent, and we’ve still got the battle for the experienced talent. So first and foremost, CPOs interested in finding and recruiting emerging talent need to get down to your local universities, get in front of people from the courses you think will develop the skills you want to bring in, and sell them that vision of a career in procurement.”
Building a “Dream Scenario” Center of Excellence for Recruitment
“You need your digital capability about scouting, your proof of concept incubation, and a change management capability to go with that.You’d have your ESG and sustainability capability in there as well. I would also argue for capability process expertise. And then tech proficiency in areas like automation, AI, and machine learning. Once you’ve got the operating model, you can then create a structured career path for your emerging talent that you hire.”
Leverage the Fact that Early-Career Professionals Are Digital Natives
“It’s a win-win when your team learns from new graduates coming into the business. And if you can create that appreciation for the value of intellectual curiosity and create a culture of continuous learning, if you can establish that positive momentum, that will be a really transformative change in a procurement function.”
Adapt, or Else…
“We need to embrace this opportunity for digitization right now, because the technology is there for procurement. If you don’t embrace it, if you don’t develop the skills and capabilities and don’t develop the vision, you’re at risk of the change happening to you rather than being part of the leading agent or being the agent of change.”
The Skills That AI Won’t Replace
“Other skills that can’t be automated that are going to be really, really important in a data driven or AI automated world are strategic thinking, critical thinking, and that ability to apply human oversight to an AI driven piece of strategy on cash or whatever it may be. Or the ability to analyze and interpret data and make good decisions from it, not just be led by what the computer says.”
Supporting Practitioners Who Jump to the Other Side of the Fence
“Once you bring that person through from procurement over to the sales side, you’ve got to really support them in the early days and recognize there is going to be a learning curve. There is going to be a period of adapting. Also, you need to run a really good selection process. You really need to know what you’re looking for, how you’re going to measure it, how you’re going to test it, be open and transparent with the person about the challenges they’re going to face, they’re going to have their eyes wide open.”
