Key insights

• Digital Transformation and Skill Development

  • 📱 Impact of digital transformation on procurement and supply chain management
  • 🔝 Entrepreneurial approach to procurement
  • 🏭 Industry 4.0 and the connected world
  • 🔌 Role of digital technology in supply chains
  • 🎓 Skills required for success in the digital world
  • 📊 Training and competency assessment for competency development

• Negotiation and Risk Management

  • 📑 Standardized templates for services are important
  • 💪 Understanding negotiation power dynamics is crucial
  • 🛡️ Effective risk management is essential
  • 🔼 The Golden Triangle concept emphasizes growth, sustainability, and customer-centricity in strategic procurement

• Strategic Sourcing Principles

  • 💸 Strategic sourcing involves spend and risk management
  • 🔀 Different approaches for critical and non-critical items
  • 🎯 Market intelligence and understanding supplier objectives are crucial
  • 📊 Supplier evaluation and category management are important
  • 7️⃣ 7-step process for strategic sourcing

• Procurement-to-Pay Process and Strategic Management

  • ⏩ Procurement-to-pay (P2P) process improvement in efficiency and sustainability
  • 👥 Performance management of suppliers and procurement staff
  • 🔗 Importance of strategic sourcing and supplier relationship management
  • 🔄 Dynamic procurement strategy based on value, risk, and impact
  • ℹ️ Role of information management in procurement
  • 🏢 Evolving organizational structure in modern procurement

• Value-Adding Perception and Collaboration

  • 🔄 Changing perception of procurement to add value through innovation and strategic alignment
  • 💡 Focusing on total cost of ownership and promoting procurement as a profession
  • 🤝 Leveraging cross-functional teams to maximize savings and effectiveness
  • 🔍 Improving spend visibility and collaborating with suppliers for advanced sourcing

• Financial Perspective and Strategic Role

  • 💹 Adopt a strategic financial mindset as a procurement professional
  • 🔢 Focus on digital transformation and leverage technology
  • 🌟 Become a strategic asset for the organization
  • 💵 Manage cash flow and capital investment to improve financial position

• Transition to Value-Based Procurement

  • 🎯 Procurement is shifting from tactical and reactive to a strategic role
  • 🌍 Technology, globalization, sustainability, analytics, and collaboration are driving this change
  • 🔍 Strategic sourcing, p2p, and category management are important components of the transition towards value-based procurement

• Strategic Procurement Evolution

  • ⬆️ Procurement decisions aligned with corporate objectives for bottom and top-line impact
  • 🔄 Evolution of procurement from purchasing to a strategic asset
  • 💼 Importance of CFO mindset in supply chain
  • 🌐 Leadership transformation for procurement professionals
  • 💰 Shift from price to value-based focus
  • 🤝 Networking strategy and relationship management
  • 🖥️ Impact and role of digitization in procurement

Q&A

• What is the impact of digital transformation on procurement and supply chain management?

  The impact of digital transformation on procurement and supply chain management is significant, requiring professionals to adopt an entrepreneurial approach, be adept in digital technologies, and possess the necessary skills for success in the digital world.

• What are the key concepts emphasized in strategic procurement?

  Strategic procurement emphasizes the use of standardized templates for services, understanding negotiation power dynamics, effective risk management, and the Golden Triangle concept, focusing on growth, sustainability, and customer-centricity.

• What does strategic sourcing involve?

  Strategic sourcing involves spend and risk management, understanding supplier objectives, market intelligence, supplier evaluation, category management, and follows a 7-step process including spend segmentation and supply agreement.

• How should the perception of procurement change to add value?

  The perception of procurement should change to focus on adding value through innovation, cross-functional collaboration, and strategic alignment with corporate objectives. Procurement should also emphasize total cost of ownership and leverage cross-functional teams for maximum effectiveness.

• What mindset and focus should procurement professionals adopt?

  Procurement professionals should adopt a strategic financial mindset, focus on digital transformation, and strive to become strategic assets for their organizations by effectively managing cash flow, capital investment, and business impact.

• What are the key components of the transition towards value-based procurement?

  Strategic sourcing, procure-to-pay (P2P) processes, and category management are key components of the transition towards value-based procurement, emphasizing the strategic and value-driven nature of modern procurement.

• What are the driving factors for the evolution of procurement to a strategic role?

  The evolution of procurement to a strategic role is driven by factors such as technology, globalization, sustainability, analytics, and collaboration, all of which are reshaping the procurement landscape.

• What are the crucial aspects of modern procurement?

  Crucial aspects of modern procurement include the CFO mindset, leadership transformation, a shift from price to value-based focus, networking strategy, and the impact of digitization on procurement processes and strategy.

• How has procurement and supply management evolved?

  Procurement and supply management has evolved from being solely purchasing-oriented to becoming a strategic asset for organizations. This evolution emphasizes the broader impact of procurement decisions on the company's success.

• What is the focus of modern procurement decisions?

  Modern procurement decisions should be aligned with corporate objectives, focusing on both bottom and top-line impact. The focus is on strategic alignment with organizational goals and generating value for the company.

• 00:00 Procurement decisions should be aligned with corporate objectives, focusing on both bottom and top-line impact. Procurement and supply management has evolved from purchasing to a strategic asset. CFO mindset, leadership, value-based focus, networking strategy, and digitization are crucial for modern procurement.
• 07:31 Procurement is evolving from a purely tactical and reactive function to a strategic role, driven by factors like technology, globalization, sustainability, analytics, and collaboration. Strategic sourcing, p2p, and category management are key components of this evolution towards value-based procurement.
• 15:33 Procurement professionals need to adopt a strategic financial mindset, focus on digital transformation, and become strategic assets for the organization. By managing cash flow, capital investment, and business impact, they can improve the company's financial position.
• 22:56 The perception of procurement needs to change to add value through innovation, cross-functional collaboration, and strategic alignment with corporate objectives. Procurement should focus on total cost of ownership, become a profession, and leverage cross-functional teams to maximize savings and effectiveness.
• 30:44 The video discusses the procurement-to-pay (P2P) process, focusing on efficiency, sustainability, and performance management of suppliers and procurement staff. It emphasizes the importance of strategic sourcing and supplier relationship management, as well as the need for a dynamic procurement strategy based on value, risk, and impact. The video also highlights the role of information management and the evolving organizational structure in modern procurement.
• 38:15 Strategic sourcing involves spend management, risk management, and developing different approaches for critical and non-critical items. Market intelligence, supplier evaluation, and category management are crucial aspects of strategic sourcing. It's important to understand supplier objectives and market dynamics. 7-step process: understand business objectives, spend segmentation, market intelligence, sourcing strategies, supplier selection, offer evaluation, and supply agreement.
• 45:38 The speaker emphasizes the need for standardized templates for services, the importance of understanding negotiation power dynamics, risk management, and the Golden Triangle concept in strategic procurement. The focus is on achieving growth, sustainability, and customer-centricity.
• 52:43 The impact of digital transformation on procurement and supply chain management is significant, requiring entrepreneurs, change managers, negotiators, and technicians to succeed in the digital world.