Hackett provides senior Procurement executives with objective benchmarking, transformation and advisory services that enable performance evaluation, insights into proven and leading best practices, as well as the design and implementation of client-centric transformation solutions. These include:
Procurement Strategy
Hackett advises Chief Procurement Officers on how to craft the procurement organization's journey to world-class performance by providing insights on the best practices, processes and metrics that world-class organizations adopt for Purchase-to-Pay process design, organizational design, globalization, as well as solution selection and implementation. Our experienced senior transformation advisors quickly diagnose current performance and quantify the cost opportunity of driving the organization to perform at world-class levels, working collaboratively with key stakeholders to drive the transformation roadmap.
Improving the organization's roles and influence, shifting operating costs and investments to strategic activities, maximizing the effectiveness and efficiency of transactional processes, planning for the best policies and solutions are all key elements on the path to top performance.
Purchase-to-Pay Process Design
Hackett advises organizations on world-class practices and metrics for all aspects of managing the procurement function. One of the capabilities delivered by our benchmarking and related research is our application of proven best practices to process design projects, to optimize the mix of our clients' solutions and controls over purchasing and payment. Sometimes organizations' policies and procedures evolve excessive or redundant controls, including failure to sufficiently utilize or over reliance on purchase orders and inadequate or excessive delegations of monetary and commercial authority. Hackett's transformation strategists engage client teams to educate on best practices and deliver designs reflecting the optimum balance of process cost and control, and a solution strategy that considers risks and the best set of methods and solutions to enable world-class performance.
Organizational Design
Leveraging benchmark data for enabling technologies and procurement staff costs by sub-process, Hackett assists clients to navigate the risks and pitfalls of centralizing, decentralizing, offshoring or outsourcing business processes. Seasoned Hackett transformation strategists develop and deliver operating model designs and job descriptions to balance competing forces and considerations to devise and implement the optimal roadmap for any unique enterprise. Sometimes, particular procurement roles and functions are best aligned with a business, sometimes they are centralized with a corporate center and sometimes they report into a virtual deployed structure. Similarly, procurement roles are sometimes integrated with finance and accounting, sometimes integrated with materials management or supply chain operations. Some activities can best be offshored, delegated to key suppliers, or outsourced independently. Hackett brings to bear its extensive experience in this arena, having measured and designed hundreds of organizations of all shapes and sizes and their SG&A functions.
Globalization
Hackett assists clients to harness the power of globalization and navigate the risks and pitfalls of low-cost country sourcing. Leveraging the data-focused insights of our best practices repository, Hackett sheds light on how the nascent procurement outsourcing market is evolving and advises clients on the proven methods for designing process, technology and measurement architectures required in a global environment.
Talent Management
Given the importance of strong leadership in procurement, Hackett advises clients on the best practices framework needed to raise talent management to world-class levels for the procurement function. With ever more specialized skills needed in relationship management, supply chain management and supply market intelligence, companies are looking to staff up to meet the new skills profile and understand whether to train, hire or outsource. Hackett helps clients understand the implications of talent management on the procurement function.
Solution Selection and Implementation
Given a sound Purchase-to-Pay process optimization strategy, one key to success is the selection, configuration and deployment of effective solutions, including e-sourcing and contract management, e-procurement and e-catalog software, electronic invoice presentment and payment, purchasing and travel cards. Hackett's transformation strategists include veterans of these industries, without the conflict of interests common to typical consultancies that aspire to system integration or outsourcing contracts. Hackett's extensive toolset includes the findings of ample market research and systems selections, demonstrations scripts and evaluation scorecards to assist clients in efficiently developing sound and complete agreements to deploy such tools, and objective expert transformation and project management services to ensure a rapid and effective deployment, on time and under budget.
Supply risk management
Hackett advises organizations on the practices and metrics that world-class organizations use for strategic sourcing, supplier management and development. Fostering and capturing innovation in the supply base can support not just the inbound supply chain, but also the broader innovation requirements across the enterprise. Hackett advises on how to ensure that procurement is sufficiently involved in innovation activities such as core research, new-product development and new market/channel development activities.
Our consultants work in partnership with client organizations to determine procurement's role in influencing the Corporate Social Responsibility agenda.
Aligning Procurement with the business
Today's Chief Procurement Officer understands the importance of aligning the procurement function to the needs of stakeholders across the enterprise and beyond. Hackett advises clients on how to secure world-class performance from the procurement function, helping address the future state vision of the function.
For more information on any of the Advisory Programs, Benchmarking Programs, or Transformation Programs, contact us.
