It was an honor and a privilege to speak to the local ISM Chapter in Dallas in August. The house was packed with many familiar faces (and some new ones). Everyone made me feel very welcome with good Southern hospitality.
In case you missed my last blog post or my presentation last month, I shared how data is the key to procurement transformation. Today, I’ll dive deeper into the topic of transforming data into actionable intelligence in supply management.
Procurement professionals from a variety of industries including food service, retail, telecommunications and consumer products attended the ISM Dallas event. The majority of the attendees mentioned they have already undergone procurement transformations that allowed them to move from being decentralized to center-led category teams. Many attendees also shared they were currently using technology platforms to power spend visibility and strategic sourcing initiatives.
Although many of these procurement professionals had already undergone a transformation, categorization of non-PO spend was still a major concern. Some attendees shared they had poor data quality, which can occur when data categorization efforts are managed by IT and based on the taxonomies found in ERP systems.
To help teams overcome data quality issues and transform spend data into spend intelligence, I shared how our clients are taking spend visibility to the next level. The crowd found this topic very intriguing.
Spend cubes that only show plain vanilla details, such as “spend by supplier” or “spend by category” are just considered a starting point in spend analysis. You must connect the dots to group important supplier touch points in one place (and in real time) to create powerful sourcing intelligence. You should also include supplier risk and compliance details. When you consolidate this valuable data in a centralized location, visibility moves from just gazing in a rear view mirror to visualizing the realm of predictive analytics.
Are you facing similar challenges as the procurement professionals who joined me at ISM Dallas? I’d love for you to share your story by commenting below, connecting with me on LinkedIn or tweeting @iasta.
Thanks again to the leaders and members of ISM Dallas for letting me speak at the event- what a top-notch group!