For the day that is in it, Valentine’s Day, the 14th of February, when little Cupid is shooting arrows straight into people’s hearts, and making people fall in love, we need to take into account the other side of the rainbow as well…
Ah, Elvis, he sang it so well! The pain, the agony, the suffering of a broken heart!! The impact when it goes wrong, the heartache, the emotional drain of it all…. If only we found a way to understand the why, know what to do about it, and how we can make sure we can mend it! And the joy when we do find a common ground, the solution, a way forward.
Love me ‘Tender’, and tender needs to be understood here as ‘formal, structured invitation to suppliers to submit a bid to supply products or service’.
Buying is a rational but equally an emotional process, and the song can be recited from both sides of the coin. Both buyers and sellers need to understand the other side first before they can make the proposal stick! The process, and it is a process, is used and abused a lot of times to disengage, to blame, to hide behind when in reality, it should be a help, not a hindrance.
Mastery Matters, so let’s demystify the Tender process and start loving it! From both sides, so that ultimately, it is not the process but the value that buyers and sellers can offer each other, that will result in the optimum decision.
For me, the most important question to ask is ‘What is procurement trying to achieve and how can we work closer together with suppliers to achieve the desired outcome?’
Traditional Procurement starts with the needs identification and defines the performance or conformance specifications which are the inputs in the tender process. Procurement supports the definition of requirements and translates these into a tender and through the process engages with the market to achieve the best possible outcomes.
What are we missing? In the above scenario, we miss the supplier’s expertise to help us to define the right specifications. Procurement should be focused on delivering the business outcomes that are valuable, rather than focusing on drafting the input specifications. The supplier is a lot more expertised in doing that, we need to ensure that we clearly communicate to the market what our desired outcome is.
Thus, the responsibility of the inputs definition needs to be transferred over to the suppliers and they can advise their customers and decision makers how they can create value and deliver the desired outcome for their business. This different perspective of procurement value changes the model entirely and we move towards an outcome-based procurement model.
Ultimately, a process, is a process, is a process, is a process. Whatever tender process suits to deliver the desired outcome, that is for me a ‘fit for purpose’ process. Ultimately, it is the outcome that is important, not the process. After all, does it not matter for Cupid’s arrow as well? Does it matter what path needs to be followed for 2 people to fall in love? As long as they do?
Co-sponsored by Salesforce, the study looks to uncover strategic insights to help companies succeed in 2018. This is the second year of the study, devised by Altify in conjunction with iDDea.
- The 2017 budget contains a €750m fund for builders, plus an additional €75m to open up sites for residential development and 3,800 new social homes in 2018 as housing initiative measures 1
- The Construction Industry Federation has reported very strong demand in the sector at 25,000 units, while increased output activity will reach nearly 19,000 units 2
- The Ulster Bank Construction Purchasing Managers’ Index (PMI) expanded to 56.5 in September from 55.1 in August 3
What do you like about iDDea?
iDDea is a young progressive company that offers a comprehensive end to end Procurement service to its clients. We are also is keen to influence all audiences. Through our research, iDDea established itself as a forward-thinking and moving training and knowledge centre. We allow others to benefit through sharing knowledge.
Why did you choose to work in Procurement?
As a student starting out, I wanted to get into a business with a future. I chose Procurement as it is a rapidly growing area in today’s world. It is an industry where I can grow and learn at a rapid pace in a short amount of time. Being a fresh graduate, I am like a sponge when it comes to knowledge. With Procurement, you collaborate with individuals from various sectors, gaining a wealth of cross-industry experience. It is an excellent way for me to get as much information as I can while putting my learning into practice.
Why did you choose to work in Procurement?
I’m not sure I chose Procurement, more that Procurement chose me! I am a people person and I love to learn new things. With a penchant for too much detail I fit in well to the job. To work in Procurement you need to have an eye for detail, a dogged nature to never give up until you’ve found that solution that works. I enjoy learning from other people and teaching them about possibility, even if the most probable is right there in front of your face.