And… we’re back! After a week (mostly) without events due to the holiday weekend, we once again have a slate of webinars to recommend. Click on the title of each event below to view the full description in our events calendar and to connect to their registration pages.
Organizations themselves present a major problem; they are stuck in an outdated approach to value creation that has emerged over the past few decades. They continue to view value creation narrowly, optimizing short-term financial performance in a bubble while missing the most important customer needs and ignoring the broader influences that determine their longer-term success.” (p. 24)
In November, Kate Vitasek and a team of co-authors released Strategic Sourcing in the New Economy: Harnessing the Potential of Sourcing Business Models for Modern Procurement. Vitasek is best known for her Vested Outsourcing series a books, which are responsible for helping professionals in all functions see the potential of outsourcing relationships aimed at accomplishing a new, more value-oriented type of result. While the Vested books naturally appeal to a procurement audience, you would hardly say that procurement is the main character. We appear in little more than an occasional walk on role – not central to the plot and not particularly memorable.
The contrast between procurement’s role in the Vested series and the fact that we now have a book dedicated to our perspective and objectives is striking. While the Vested Way is open to all, clearly we seized an opportunity that has now led to a book all our own.
The BMP events calendar is stocked for the rest of the month of May, and this week I recommend the following webinars… click on the title of each to connect to that event on our calendar and link to the registration page.
Listen daaahlings, let me tell you a little something about negotiating. Talking about money is so… GAUCHE. No no no, that won’t do at all. Today, enlightened procurement professionals collaborate. We innovate. We partner. We strategize. I do for you… you do for me… we have a relationship. No ugliness, no shoving. After all, there is no need to stoop to talking about dollars and cents. We have people for that. Right? Yes, well, have your people call my people: we’ll do lunch.
We can’t say that procurement no longer needs strong negotiating skills just because many spend categories are now being managed in a more relational way. Making that assertion demonstrates a fundamental lack of understanding about what it means to negotiate. Negotiation is a phase, not an action. There are a myriad of skills required to be an effective negotiator, and they are different for each set of circumstances.
Warehouse Management: A Complete Guide to Improving Efficiency and Minimizing Costs in the Modern Warehouse, 2nd Edition (Kogan Page, 2014), by warehouse management and logistics specialist Gwynne Richards, is a comprehensive guide to all considerations for managers looking to improve the effectiveness and efficiency of their warehouse operations. In fact, that title does not do the book justice, and “Complete” is a term not to be brushed over in this case. A Guide to Modern Warehouse Safety, Automation, Sustainability, Outsourcing, Systems, Picking, Equipment, and Performance Management Strategy is more accurate but not concise or catchy enough.
On September 3rd of last year, Jeanette Jones, Owner and Founder of Cottrill Research, suggested (out of the blue!) that she and I co-author a book. There was never any question of whether or not I would do it. I’ve always wanted to write a book. I enjoy doing research and I have been fascinated with procurement ever since I ‘fell into’ the profession in 2003. Jeanette’s suggestion that we write a book to help procurement professionals create their own supply market intelligence combined all three.
For anyone who has read the other books in the Vested Outsourcing series, Getting to We (published in August 2013) is the logical next step in the pursuit of more collaborative, value-based relationships between supply partners. A better way to think of the book might actually be as a ‘prequel’ to the others, stepping back in time to explain how to reach the point where you are working in a Vested relationship. Getting to We is the connection between the vision of Vested Outsourcing and the negotiating tactics necessary to turn the vision into a reality.
Earlier this year, we reviewed ‘Vested Outsourcing’, the first book in what has become a series of publications by Kate Vitasek and her colleagues on the evolving potential of mutually beneficial relationships between companies and their suppliers. ‘Vested Outsourcing’ was followed by ‘The Vested Way’, and ‘The Vested Outsourcing Manual’. Kate’s latest publication is ‘Vested: How P&G, McDonald's, and Microsoft are Redefining Winning in Business Relationships.’ I’ll include some background as well as an overview of the Vested philosophy at the end of this review. I encourage you to read my review of ‘Vested Outsourcing’ and to purchase one or all of the books in the series.
This week’s Wiki-Wednesday article, ‘Shape Demand… For Services’, looks at the challenges procurement organizations face as they work to address internal demand for services. As an increasing number of non-core functions are handled by third parties, it is important to consider the management of this spend as the outsourced category model it is.
At Buyers Meeting Point, we often have opportunities to recommend the publications we have read, reviewed and endorsed to our supply management colleagues. Vested Outsourcing by Kate Vitasek is one of the easiest books to recommend, not because it is excellently written – although it is, but because questions constantly arise in discussion groups and forums around strategic outsourcing relationships with suppliers and how to make them work.