"I believe if you can define it, you can source it. And if you can source it, you can auction it." - Adam Collins, Head of Sales, Esker
Market chaos has become the new normal for procurement teams worldwide.
Tariffs, geopolitical tensions, and persistent supply chain disruptions create an environment where traditional sourcing strategies feel inadequate and reactive planning dominates strategic thinking.
What if this turbulence actually represents procurement's greatest opportunity to demonstrate strategic value?
Adam Collins, Head of Sales at Esker, recently joined Kelly Barner and me to discuss how procurement can leverage foundational strategic sourcing techniques to thrive during uncertain times.
With years of procurement technology experience focused on source-to-contract functions, Adam offers practical strategies on how procurement can transform market instability into competitive advantage.
Here, in Adam's own words, are some standout moments from our conversation:
The Opportunity in Chaos
"I think there's no such thing as the ‘new normal’ because, you know, tomorrow is another day, right? … But I would also say that procurement is always chaotic. There was always something around the corner."
Rather than viewing current conditions as uniquely challenging, successful procurement teams recognize that adaptability and strategic thinking have always been core requirements. The current environment simply amplifies the importance of these fundamental skills.
Proactive Disaster Recovery Planning
"I like the whole narrative of being proactive rather than reactive, because if you can just get yourself ahead of the curve and almost have a procurement disaster recovery plan or whatever you want to call it, it can certainly help make everything a lot smoother."
Procurement teams that develop contingency plans at the category level (not just supplier level) position themselves to respond quickly when disruptions occur. This preparation enables strategic decision-making rather than crisis management.
The Importance of Broad Supply Chains
"I think having a broad supply chain always helps. I think that was where a lot of people came unstuck during COVID. Single source, all of a sudden, was nowhere to be seen."
Creating and leveraging competition remains one of procurement's most powerful tools for driving value, especially when markets are unstable. Organizations that maintain broad supply chains and multiple sourcing options can navigate disruptions more effectively than those dependent on single sources.
Redefining Addressable Spend
"Addressable spend in my terminology is that it's negotiable and it hasn't actually been negotiated for some time. So let's actually inspect that and see whether or not we could make some savings there."
Many procurement teams accept limitations on what they can influence without challenging those assumptions. Market instability creates opportunities to revisit previously untouchable spend categories and apply strategic sourcing techniques where they haven't been used before.
The Transparency Advantage
"It comes down to having that transparency and being completely open and honest. As a salesperson with a solution that I want to offer to the entire market, I'm also a realist and I hugely value when people are telling me not necessarily good news. Any line of communication is so useful for me because I can then go and do something with that, rather than being completely unknown as to whether or not anything's actually going to occur, which becomes a huge frustrating wild goose chase."
Honest communication with suppliers about market conditions and sourcing intentions builds stronger relationships than attempts to hide competitive activities. Transparency enables suppliers to respond appropriately while maintaining trust during uncertain times.
Strategic Payment Timing
"If we let you hold onto your cash a little bit longer, maybe you can help us with something else that we can agree to as a part of the TOS or the MSA or, you know, whatever gets drafted from a legal standpoint."
Payment terms have evolved from administrative details to strategic negotiating tools. Organizations can leverage payment timing to support working capital objectives while creating additional value in supplier relationships.
The Auction Evolution
"We've seen temporary labor be auctioned, we've seen energy be auctioned, we've seen mechanical components be auctioned, we've seen people's time being auctioned, security services, HR services, snow removal services, you name it."
Successful auctions depend on clear scope and competition rather than specific category characteristics. Organizations that approach auctions with open minds discover opportunities in unexpected areas while driving both cost optimization and market intelligence.
