This Week in Procurement

This Week in Procurement – To Outsource or Not to Outsource

By March 14, 2020 April 5th, 2020 No Comments

TOP STORY: Facility Maintenance & Outsourcing: To Broker or not to Broker

There are two interesting things about this week’s top story, a LinkedIn Pulse Post from Nicholas Ammaturo, Head of Indirect Procurement for Subway. One is that he’s a practitioner writing openly and honestly about his experience with a spend category – something we need a whole lot more of. The other is that he uses the article to make the case for outsourcing. Maybe it is all of the ‘as-a-Service’ experience we’ve gained, but outsourcing used to be a bit of a dirty word. It was gone for a while, but perhaps now it is back as just another strategy procurement can consider when managing services spend.

ON THE POD: Powering Procurement’s Social Impact W/ Paul Polizzotto

Everyone wants to have a positive social impact on their community or industry, but doing so also has to be a sound business move. As the Founder and CEO of Givewith, Paul Polizzotto is combining his desire to have social impact with his knowledge of marketing and advertising to create value for buyers, suppliers, and the world. In this interview, Paul explains how B2B transactions can be leveraged for social good. If you happen to have a few ‘objections’ that come to mind as a pragmatic procurement professional – you’re not alone. We asked Paul some tough questions about his business model as well.

HEARD ON THE STREET: Increasing the Perceived Value of Procurement

“Yes, we should make it easier for our companies to buy what they need to support business, but we should also be looking for ways to make it easier for suppliers to do business with us.” – Joe Payne (Three steps for increasing the value of procurement professionalsFleet Owner)

“A company’s capital will not generate value if it’s tied up in inventory, and the procurement department has its finger close to this pulse.” (Making the most of the cash-to-cash cycleSupply Chain Dive)

“Prioritization is necessary for any organization, but it’s especially crucial for the resource-constrained and stakeholder-dependent procurement function. As procurement matures within an organization, however, sourcing starts to yield diminishing returns. In turn, objectives evolve to include metrics beyond savings (such as risk and efficiency). This all means that simply applying the Pareto principle to your spend profile is no longer good enough.” (Surpassing the Pareto Principle in Procurement – Supply & Demand Chain Executive)

TURN BACK TIME: Previously on the Art of Procurement podcast…

This week in 2019: Episode 243: Building Your Procurement AI Game Plan W/ Sammeli Sammalkorpi

This week in 2018: Episode 175: Creating A Culture That Challenges The Status Quo W/ Jocelyn Stahl, The Hershey Company

This week in 2017: Episode 126: Why Global Buying Strategies Are Often Doomed To Fail & What You Can Do About It, W/ Brian Bancroft

This week in 2016: Episode 031: Friday Show: 4 Procurement Activities You Should Outsource Today

BITS & PIECES: Meet the 2020 ISM Rising Supply Chain Stars

+ Institute for Supply Management® Honors 30 Under 30 Rising Supply Chain Stars (Press Release)

+ How Blockchain Is Revolutionising Procurement And Supply Chain In India (Inc42)

+ Unleash the Power of Vendor Management in Procurement (Thomas)

+ Procurement Industry Event Updates (Buyers Meeting Point)