Art of Procurement

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

Sometimes the most damning evidence about an industry or an organization comes from the inside. In this second installment of “Buy: The Way…To Purposeful Procurement’s” deep dive into supplier tactics, two former supply executives continue exposing the ins and outs of the supplier playbook they used on procurement when they were on the other side of the fence.  Bob Schreiner, former CIA section chief and G4s operations executive, explains how security guard service providers can obscure margin increases within seemingly reasonable wage adjustments for officers. He also exposes the “position rate variance” tactic, where suppliers charge premium rates for senior guards to fill junior positions, and also how disasters can become margin-grabbing bonanzas for suppliers. Keith Robinson, one of only 150 board-certified entomologists working commercially in North America, exposes seasonal billing schemes in the pest control industry, where compliance rates plummet in colder months, yet billing continues unchanged. Perhaps most shocking is his revelation that 80-90 percent of fogging and fumigation services are often completely avoidable. These true stories from industry insiders point to a troubling reality: procurement is sometimes so focused on up-front savings that they inadvertently signal to suppliers exactly how to game the system. In effect, procurement ends up creating the perfect conditions for the kind of post-contract chicanery that can create significant cost increases for the business over the years, without any change in service scope or delivery.    Links: * Bob Schreiner on LinkedIn [https://www.linkedin.com/search/results/all/?fetchDeterministicClustersOnly=true&heroEntityKey=urn%3Ali%3Afsd_profile%3AACoAAAI-vZwBTB2bW-n2DZwVSaQjjk5-1LTmEJI&keywords=robert%20schreiner&origin=RICH_QUERY_SUGGESTION&position=0&searchId=6e09e77e-dc18-40b1-80eb-44913c3becec&sid=!oU&spellCorrectionEnabled=false] * Keith Robinson on LinkedIn [https://www.linkedin.com/in/keithrobinson333/] * Rich Ham on LinkedIn [https://www.linkedin.com/in/richard-ham-51b38a10/] * Learn more at FineTuneUs.com [http://finetuneus.com]

“Procurement officers are going to have to go hunt for the solutions they need and the workflows that can help their business. I do feel like to do this job properly moving forward, it's an offensive job, and you don't have the luxury of sitting back.” - Matt Ziskie, Co-Founder, Bungalow Capital How procurement approaches working with smaller, innovative startups can look quite different than other supplier relationships. From lengthy sales cycles, complex negotiations, and mismatched expectations… these and other roadblocks can crop up in different ways depending on the size, scale, needs, and maturity level of the supplier. Procurement has to understand the unique needs and constraints that each type of supplier brings to the table. In this episode of Art of Procurement, recorded on stage at Catalyst LA, Philip Ideson speaks with Matt Ziskie, Co-Founder of Bungalow Capital, about bridging the gap between enterprise procurement and startup innovation. Matt offers a unique perspective, having worked as a procurement leader at companies like Box and Airbnb, and now as an investor helping startups navigate enterprise sales. In this episode, Matt explains: * Why enterprise procurement teams should consider segmented processes when working with startups  * How to mitigate the "fragility" of startup partnerships without ignoring the tremendous value they can provide * The importance of communication and transparency to understanding the real financial impact of enterprise contract terms  * Practical ways to support startups beyond contract terms, including coaching, references, and protection from scope creep Links: * Matt Ziskie on LinkedIn [https://www.linkedin.com/in/matthew-b-ziskie-2853515/] * Subscribe to This Week in Procurement [https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe] * Subscribe to Art of Procurement on YouTube [https://www.youtube.com/@ArtofProcurement]

Procurement 6 is a short podcast from Art of Procurement that publishes in the Art of Procurement feed every Friday morning at 6am US Eastern Time. Presented by a member of the Art of Procurement team, each episode has 6 short segments that summarize the week in procurement. Segments range from procurement tips to podcast summaries, from details of events to news or overviews of blog posts that capture our attention.

“I was humbled by the buy-in from the AOP community because, ultimately, people came on trust. They came on the trust that we would deliver what we said we would for our first in-person event.” - Philip Ideson, Co-Founder and Managing Director, Art of Procurement Now that Art of Procurement's first-ever in-person event, Catalyst LA, is in the rear-view mirror, co-hosts Philip Ideson and Kelly Barner sit down for a candid debrief about what it took to launch a new kind of procurement event and how it may impact procurement’s approach to learning, community, and collaboration going forward.  From their initial vision of creating something different in the procurement event space to the unexpected challenges on the May 6th conference day itself, Philip and Kelly share the behind-the-scenes story of how they transformed their digital-first community into a world-class experience focused on procurement operating model transformation. In this episode, Philip and Kelly reflect on: * Why they chose to focus on experience for AOP’s first in-person event in the company’s 10-year history  * What the response from procurement executives reveals about the evolution of today's CPOs * How pairing attendees based on procurement maturity, organization size, and roles maximized event-based learning  * Unexpected moments that tested the team’s stress levels (but ultimately enhanced the attendee experience!) Links: * Subscribe to This Week in Procurement [https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe] * Subscribe to Art of Procurement on YouTube [https://www.youtube.com/@ArtofProcurement]