- Episode 8: The Procurement Operating Model
Episode 8: The Procurement Operating Model
Business Excelleration Podcast
The Hackett Group’s Chris Sawchuk talks with Nic Walden, procurement senior advisor, about the challenges with today’s typical procurement operating model, what changes can be made, the impact on procurement strategy and the increased demand for procurement agility and improved predictive capabilities.
In today’s episode, Chris Sawchuk, principal and practice leader of Global Procurement Advisory at The Hackett Group, talks with Nic Walden, procurement senior advisor, about the challenges with today’s typical procurement operating model, what changes can be made, the impact on the procurement strategy and the increased demand for procurement agility and improved predictive capabilities. The interview focuses on the changes that are coming, and that need to come to the current procurement model.
In their discussion Nic gives his insights into to how the role of Chief Procurement Officer is changing, as well as the challenges facing the model today, and what he sees as the primary changes that need to come. Some of these changes refer to e-procurement and include adding new technological resources and the related processes transformation needed. Nic also touches on ways that the procurement operating model allows organizations to become more flexible and agile, through working strategically with cross-functional teams.
To close, Nic and Chris focus on the Chief Procurement Officer (CPO) role. As the procurement operating model changes, the role of the CPO will continue to change and evolve. Nic states that it’s very likely that in the near future, CPO’s may have noticeably less direct reports, but have much higher impact on their organization. Nic and Chris both look forward to these changes and adaptations to the CPO role.
- 0:49 – Chris introduces himself and Nic
- 1:18 – Chris asks Nic about the challenges to the current procurement model
- 3:28 – Chris asks Nic about what changes he sees that need to come to the current model
- 7:16 – Nic discusses changes he sees coming to the model now
- 12:01 – Chris asks Nic how these changes that he sees coming, and he would like to see will affect a business’ agility in the current marketplace.
- 15:14 – Chris asks Nic how he sees the head of procurement’s role changing
- 16:56 – Chris gives his concluding thoughts
- 17:50 – Outro