8/29/2013
Procurement As A Business Partner Justina Mann, CPPO, CPCM, PMP Houston Airport System nigp.org
Transforming the Perception of Procurement • Promote benefits of partnering with procurement within the larger organization • Branding your procurement operations • Metrics that demonstrate value • Relationship management
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Procurement Offices • Bridge Organizational Boundaries • Tap into the Circulatory Systems of the Organization What are You Doing With Your Power?
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What Are Your Barriers… • Perception is the uniformed persons reality – Timeliness of processes – Documentation of efforts – Subject Matter Experts
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Potential Difficulties • Relationship must be tailored to each stakeholder • Understanding what each stakeholder wishes to achieve/overcome • Developing procedures and/or tools to help evolve the relationships • Continuous management of the relationships
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Start from Within • One Band, One Sound – Team Meetings and Team Building
• • • •
Solution‐Oriented Strategies Opportunities for Cross‐Training Survey and Share Results Remote offices in active business units
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Essential Ingredients • Commitment from Senior Management • Recognition of Efforts Required by ALL parties • Clear Strategy for defining the approach, efforts, results and success • Clear communication of this effort throughout the initial and ongoing engagement • Candid, frequent and open communication between stakeholders and end users alike | nigp.org
Essential Ingredients • Performance Measurements that tell and Informed Story • Innovative solutions • TRUST
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Opportunities to Add Value • Planning – Competing projects, Timeline
• Budget Forecasting – Cost estimating, Cost analysis
• Specification/Scope of Work Development – Historical projects, similar initiatives
• Awareness – Training opportunities, Reports, Community | nigp.org
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What are you measuring?
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Measurements That Add Value • Contracting Management – Contracts with Extensions/Renewals – Solicitations processed within SLA
• Supplier Management – Active vs. Inactive Suppliers – M/W/D/SBE Suppliers
• Warehouse/Inventory – Dormant Inventory vs. Excess Value | nigp.org
Measurements That Add Value • Purchase Order/Requisition Activity – Average processing time – Volume comparisons
• Payment Activity – Discounts Taken vs. Lost – Average Time from Receipt to Payment
• Training Program – Number of Classes and Attendees | nigp.org
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Who are your Key Stakeholders?
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Stakeholder Engagement • • • • • • •
Strategic Planning Human Resources Finance and Budget Information Technology Operations External Affairs Vendors | nigp.org
How is Your Brand Managed?
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Extending Your Brand • • • • • • •
Newsletter highlighting procurement Certification plan for staff Awards Recognizing High Performance Attend Community Functions Host Vendor Fair for Internal Agents Host Training for neighboring Organizations Present at Conferences | nigp.org
Where do you start • • • • • •
Sharpen Your Focus Assess the needs of your stakeholders Improve Procurement Processes Prioritize Actionable Items Develop and Manage a Schedule Communicate Progress and Success
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Benefits of Procurement as a Business Partner • Achieve Best Practices and Quality Standards • Increase Awareness of Challenges and Opportunities to Present Realistic Solutions • Opportunities for Innovation • Customer Service and Satisfaction • High Performance Organization
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Real Talk… • • • • •
Muscle up Speak their language Use your “magic procurement wand” Toot Your Own Horn Stay Thirsty, my Friend
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Teamwork is better than Combat!
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Questions/Discussion
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Thank You!!! Justina Mann, CPPO, CPCM, CPSM, PMP Chief Procurement Officer Houston Airport System
[email protected] | nigp.org
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