Proving Value Is A Constant Fight. Others Fight It Too.

Let’s face it: As one CPO at a recent Procurement Leaders Roundtable commented, “few outsiders like us.” No wonder some in the function get a little defensive at times.

"They make us perform tasks we dislike."

"They prevent us from doing what we want."

"They focus too much on administrivia."

 

Do these sound familiar? They should. The words and sentiments could have come from any formal or even informal gripe session about procurement.

Or, how about this: “They can’t communicate with other groups.” You may have heard your peers say that about your staff.

Let’s face it: As one CPO at a recent Procurement Leaders Roundtable commented, “few outsiders like us.” No wonder some in the function get a little defensive at times.

But here’s the thing: Except for the quote from the roundtable, none of those other statements refer to procurement. The first three–about unpleasant tasks, roadblocks to performance, and administrative trivia–reflect complaints business people make about Human Resources.

 

The comment about lack of communications skills: That came from a study about attitudes toward accounting and finance professionals.

Yes, there are plenty of misconceptions about procurement, and, let’s be honest, a few complaints that are valid. As Carlos Alvarenga of Ernst & Young has written on this website, there are people in the function that are focused solely on price and consider other factors meaningless.

But procurement is not alone in coming under fire from others in the organization. There are misconceptions about other functions too. Interestingly, the way to correct the misconceptions are often the same for all functions.

For example, among the recommendations for HR offered by Peter Cappelli of the University of Pennsylvania Wharton School: Show why the issues you address matter to the business, and demonstrate that you actually understand the business. As for finance, Kathy Hoffelder of CFO Magazine, suggests accountants and others focus on developing the soft skills required for getting their message across.

Cappelli and Hoffelder could just as well be making their recommendations to procurement.

There are, of course, many other traits that procurement professionals will have to develop to raise the recognition of their value. One is to understand that proving value may well be a constant battle. That’s why Laks Natarajan, CPO at Marsh & McLennan, suggests that procurement professionals be tenacious, but know how to manage their boundaries so they can challenge the status quo in a respectable way. That’s advice well worth taking.

from Procurement Leaders Blog http://ift.tt/1C0NQ0d
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The views expressed in this post and throughout the series are the autor's own and not intended to reflect the views the YQ Matrix platform, its users or any associated organisations.

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