The Big Mistake that Procurement Makes!
Purchasing & Procurement Center
Transforming CPOs & Their Teams to Strategic Units with Real-Life & Practical Procurement Trainings & Certifications!
There is one big mistake many procurement executives make.
It stops them from progress, improvement and earning the respect of their peers, other C-Level Executives, internal customers and suppliers.
This mistake is illustrated by Stephen Covey in the Best-Seller Book 7 Habits of Highly Effective People, with his “Jungle Story”. Here’s how it goes ….
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The jungle story tells about a group of executives who are working very hard and clearing the jungle - on time, within budget, with the right tools and very efficiently. They're patting each other on the back since there's tremendous progress. Fortunately the leader, climbs up a tree and after looking left and right shouts out loudly:
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"WRONG JUNGLE"
Determining the right or the wrong jungle, is a distinction well-put by Peter Drucker - called the God-Father of Modern Management:
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What is the major problem? It is fundamentally the confusion between effectiveness and efficiency that stands between doing the right things and doing things right. There is surely nothing quite so useless as doing with great efficiency what should not be done at all.
This?is reinforced by Deloitte in its yearly annual CPO survey - see image below. It?consistently shows that only about one quarter (26%) of Chief Procurement Officers around the world rate procurement function as an Effective Business Partner!
Two questions that every procurement leader needs to ask are:
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领英推荐
Am I Doing the Right Things & Being Effective OR
Am I Doing Things Right and Being Efficient?
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and ...
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Should this be done at all?
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Efficiency might be ok for clerks, Effectiveness is a must for Leaders if they are to Remain and Advance as Leaders!
If this resonates with you, then ...
Down to Earth, Easy to Read & Understand Special Report Show-Cases Unique Procurement Practices with Unconventional & Hard-Hitting Examples to Help Buyers Move to a Strategic Level!
Procurement Specialist - Strategist for Goods, Services, Works, and Consultancy.
1 年This is a very sad report and reading. It reflects badly on the profession but does not come as surprise to me. Twenty six percent is a very low figure and very disappointing. Who has bewitched? Tell me. It is like you are from the same mother. However, all is not lost. You can pick it up somehow and move forward. Download the document and devour it. Agreed!
Global Transitions, EMEA
1 年Ethel Abbey