Digital Transformation Trends Procurement
•
3 j'aime•1,272 vues
The document discusses trends in digital transformation in procurement based on a presentation by Kurt Albertson of The Hackett Group. It summarizes key findings from Hackett research on priorities and investment areas for procurement in 2016, including reducing costs, improving supplier relationships, and data analytics. It then outlines Hackett's view of what digital transformation means for procurement, including four pillars: omni-channel stakeholder experiences, a digitally-enabled workforce, smart orchestration of procurement processes, and networked ecosystem solutions. The document evaluates organizations' readiness for digital transformation across these areas.
Recommandé
Recommandé
Contenu connexe
Tendances
Tendances (20)
Similaire à Digital Transformation Trends Procurement
Similaire à Digital Transformation Trends Procurement (20)
Plus de SAP Ariba
Plus de SAP Ariba (20)
Dernier
Dernier (20)
Digital Transformation Trends Procurement
- 1. Thought Leadership Showcase: Trends in Digital Transformation in Procurement Kurt Albertson, Associate Principal, Procurement Advisory, The Hackett Group / October 25, 2016
- 2. Procurement Key Trends Kurt Albertson, Principal – Procurement Advisory 10/6/2016
- 3. Statement of Confidentiality and Usage Restrictions This document contains trade secrets and other information that is company sensitive, proprietary, and confidential, the disclosure of which would provide a competitive advantage to others. As a result, the reproduction, copying, or redistribution of this document or the contents contained herein, in whole or in part, for any purpose is strictly prohibited without the prior written consent of The Hackett Group. Copyright © 2016 The Hackett Group, World-Class Defined. All rights reserved.
- 4. 4© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group 85% 81% 76% 74% 70% 68% 65% 63% 55% 51% Reduce and avoid purchase costs Elevate the role of procurement to a trusted advisor Increase spend influence Improve agility Increase stakeholder satisfaction Reduce supply continuity risk Deepen influence on complex indirect spend categories Strengthen/protect the company’s brand Tap supplier innovation Reduce regulatory non-compliance risk Top ten priorities for Procurement in 2016 % of Respondents who Selected the Objective as having Critical or Major Importance in 2016 Source: Key Issues Study, The Hackett Group, 2016
- 5. 5© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group 85% 83% 76% 74% 67% 51% 51% 45% 37% 35% Category management Strategic sourcing Talent management Supplier relationship management (SRM) Data analysis and reporting Supply market intelligence Procurement software Procurement COEs GBS/shared services Continuous improvement (e.g., Lean, Six Sigma) Top capabilities that procurement will invest for 2016 % of Respondents who Ranked the Capability a Critical or Major Area of Focus to Support Procurement’s Objectives. Source: Key Issues Study, The Hackett Group, 2016
- 6. 6© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Agility in service deliver was the key theme for Hackett's Best Practice Conference
- 7. 7© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Understanding an integrated view of risk requires predictive capabilities as well
- 8. 8© 2015 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. Category 1 Category 2 Category 3 Category 4 Category 5 Category 6 Category 7 Category 8 Category 9 Category 10 Category 11 Category 12 Quality Quantity of Spend ($M) QualityofSpend Influence Supply Assurance Price TCO SRM - Risk SRM - Innovation Demand Management SRM - Performance Spend($10M) Opportunity Opportunity Opportunity Opportunity Opportunity Improving the “quality” of influence is where the real opportunity exists for most organizations Supply Assurance Price Total Cost of Ownership Demand Management Value Mgmt. Evolving Procurement’s “quality” of influence across categories by moving up the value pyramid can drive greater cost savings and other “business value” objectives “Quantity”“Quality”
- 9. 9© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group An Omni – Channel, Personalized Stakeholder Experience A Digitally Enabled Procurement Workforce A “Smart” Orchestration Of Source-to- Pay Services An Ecosystem of Networked Solutions Insight Driven Analytics The Digital Business StrategyWe plan to introduce a digital procurement framework which includes four pillars of a digital business strategy Reporting, analytics and predictive insights will continue to be a 2017 theme 1 2 3 4 5 Let’s talk about what digital transformation really means to procurement… five characteristics of a future-proof procurement organization Potential 2017 Research: A Framework for Procurement’s Digital Transformation
- 10. 10© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Creating an omni-channel, personalized stakeholder experience Omni-channel access to procurement process allowing ability to buy/pay for goods/services from all locations (corporate, satellite offices/locations, home, on-the- go/mobile) Real-time information and status on all procurement requests/transactions Intelligent purchasing process that know who you are, where you sit, and what role you play in the organization Capabilities In-browser chat support Self-service User experience analytics Community engagement Personalized experience Email and messaging Guided talk tracks Phone support Case management Voice Mobile Social Web Potential 2017 Research: Omni-channel Best Practices and Lessons Learned From Consumer Facing Businesses
- 11. 11© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Automation: Agile P2P organizations are piloting robotic process automation (RPA) – especially in shared service centers Large outsourcing providers have begun to reap the benefits of RPA as a way to lower their own operating costs. GBS and procurement shared service centers should explore the potential as well. When does RPA make sense? – Stable, relatively static applications – Need to access multiple systems – Limited need for human intervention, exceptions handling – Clear understanding of the current cost of manually completing the work – High transaction volumes 77% 16% 7% 0% RPA Adoption in P2P None Piloting Partially Rolled Out Fully Adopted
- 12. 12© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Creating a digitally enabled workforce Helping Millennials, the first generation of digital natives, draw from a familiar set of technology tools to work anywhere, anytime Self-provisioning of IT assets (i.e. phones, laptops, tablets) to increase productivity, job satisfaction Modernizing training to include broader experiences through job rotations, industry recognized certifications and new ways of learning – ex. “massively open online courses (MOOC) Potential 2017 Research: The Future Of Learning and Development In Procurement
- 13. 13© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Beyond supporting transactions, networks can also be a source of market intelligence Suppliers Research centers Industry groups & trade associations Internal business partners Government agencies & NGOs Customers Universities/schools Procurement Potential 2017 Research: Unlocking The Value Of Knowledge Networks
- 14. 14© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Assessment Questions Digital Stakeholder Engagement • Have you segmented the stakeholder base to better understand their needs and wants? • Have you aligned your engagement model with each stakeholder’s requirements? • Is the stakeholder experience consistent across all interaction channels? Digitally Enabled Workforce • Are employees able to self-provision their laptops, phone, tablets, etc.? • Has training been modernized to take advantage of new digital formats? • Is there a plan in place to maximize the use of video conferencing, including suppliers? Digital Service Orchestration • Have you evaluated your current state for RPA opportunities? • Is there a clear inventory of procurement’s available services? Is it well understood? • Is there a vision for delivering procurement-as-a-service? Digital Network Ecosystem • Is there a vision for extending supplier networks to all trading partners? • Is there a strategy in place for taking advantage of emerging technology? • Has crowdsourcing been considered? Enterprise social networking? Insight Driven Enterprise • Have you evaluated your current BI solutions to understand their roadmap to cognitive computing? • Do you have a plan in place to deliver predictive forecasting in areas like commodity volatility and risk? • Is mobility part of the overall strategy? I.E. How are you enabling access to real-time analytics on a tablet or phone? Digital Transformation Assessment Are you ready for 2017 & Beyond? Do you have an overarching strategy for digital procurement?
- 15. 15© 2016 The Hackett Group, Inc. All rights reserved. Reproduction of this document or any portion thereof without prior written consent is prohibited. 2016 The Hackett Group Statement of Confidentiality and Usage Restrictions This document contains trade secrets and information that is sensitive, proprietary, and confidential to The Hackett Group the disclosure of which would provide a competitive advantage to others. As a result, the information contained herein, including, information relating to The Hackett Group’s data, equipment, apparatus, programs, software, security keys, specifications, drawings, business information, pricing, tools, taxonomy, questionnaires, deliverables, including without limitation any benchmark reports, and the data and calculations contained therein, may not be duplicated or otherwise distributed without The Hackett Group Inc.’s express written approval. www.thehackettgroup.com
Notes de l'éditeur
- Added the third bullet on forecasting.
- Location in a stable environment The business process should reside in a functional area and set of platforms that are fairly stable from an enterprise applications perspective and not subject to the disruptions of a major new IT-driven, SOA-based development effort. A period of 12 to 18 months in which no major changes are anticipated is ideal Need to access multiple systems The process should normally require an employee to access multiple independent systems to complete it. This is attractive because such a process doesn’t present particular challenges to automation software vendor’s presentation-layer integration approach, which exploits the similarities of the presentation layer across different platforms. By contrast, automating such a process as would IT – using application- or data-layer integration – would typically be much more expensive, time-consuming, and in the case of the latter, more likely to break in the event of changes to any one of the component systems Easy decomposition into unambiguous rules The process should be one that business analysts and process modelers can decompose into a clearly defined set of business rules – a logical flow with no ambiguities as to decisions and required inputs and outputs for each step of the process Limited need for human intervention The process should have no gray areas that require the intervention of a human worker to make decisions based on analysis, judgment, perceptual, or interpretive skills, e.g., handwriting recognition Limited need for exception handling The process should have as few exception cases to handle as possible. The tool has sophisticated capabilities for rules-based exception handling, but the more exceptions the robot has to handle, the longer it will take to automate, test, and optimize. Simpler processes with fewer exceptions are especially preferable for the proof-of-concept and pilot phases Clear understanding of the current manual costs Automating the process should yield a projected benefit of at least 200% of the anticipated cost in 12 months or less – a common minimum standard for getting approval to go forward with the pilot of a new technology. To make this case, it helps to have a defensible breakdown of what it costs for your organization to deliver the business process by current in-house or offshore methods so you can clearly quantify the expected savings High transaction volumes High transaction volumes often will help the business case for automating a particular business process, but are not essential. Tasks that are high in value but low in transaction volume, or low in volume but still business-critical, can also be good candidates for automation. For example, automating the process of handling certain customer transactions on holidays to meet a service-level claim of 24/365 availability can eliminate human FTEs that would require expensive holiday pay. Also, low transaction volumes almost always weaken the business case for traditional IT software development to meet the requirement