Research Details How Top Procurement Organizations Re-invent Stakeholder Experience
Purchasing B2B magazine recently revealed how world-class procurement organizations now deliver services at 17% less cost than typical companies while offering improved effectiveness, largely by becoming more customer-centric, according to new research from The Hackett Group, Inc. A key differentiator is the superior ability of world-class procurement organizations to gain a deep understanding of the needs of their business, react more quickly to changing requirements, and drive higher overall value and greater stakeholder satisfaction.
The Hackett Group's research identified an array of procurement strategies and capabilities most strongly correlated with high performance and success of the procurement organization. World-class procurement organizations continue to invest in activities that elevate their role to that of a trusted adviser, moving beyond the traditional role of procurement as a gatekeeper. Delivering greater value is key, and procurement organizations that are viewed as a true business partner report 68% higher savings than those viewed as gatekeepers, reflecting higher effectiveness at both cost reduction and cost avoidance.
To achieve world-class performance, procurement organizations must take a structured approach to improving the customer experience, focusing in four areas. First, they should identify and understand key stakeholders, and segment their internal customers based on attributes such as importance and level of influence within the organization. In addition to seniority, issues such as language, culture, and personality should be taken into account. Procurement organizations can develop formal customer satisfaction surveys tailored to key stakeholders, taking care to use a variety of ad-hoc and structured approaches to gain deeper insights. Learn more: bit.ly/1itGNnB
