a snapshot of key takeaways -...
TRANSCRIPT
A Snapshot of Key Takeaways
*Snapshot from Each
Presentation
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*Snapshot from Each
Presentation
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The Ten Tensions Powering
Innovation in Sourcing
Chris Wasden, EdDExecutive Director & Professor of Innovation
Sorenson Center for Discovery & Innovation
David Eccles School of Business
University of Utah
sig.org/eval
A dynamic and turbulent future is creating unprecedented Tension that we must harness to power innovation
7
The future is already here – its just not very evenly distributed.
William Gibson
Tension outlines the 10 questions you must answer for success, we call this our 10 Ps & Qs Innovation framework
8
ProductHow achieve digital success?
PositionHow change the industry?
PropositionHow to create value?
Point of ViewWhat differentiates us?
Problem Where’s the problem’s root cause?
ProfitHow do we make money?
PromotionHow to change behavior?
PossibilitiesHow big can it be?
Process/PlanWhat are our MVPs?
People/PartnersWho must we enlist?
10 Ps & Qs of
Innovation
1
2
3
4
5 10
9
8
7
6
9
Chris Wasden, EdD
Executive Director & Professor of Innovation
Sorenson Center for Discovery & Innovation
David Eccles School of Business
University of Utah
C 203-305-8395
@chriswasden
www.tensioninnovation.com
From Legacy Software Licensing to SaaS
Look Before You Leap:
Alsbridge
Bill HuberManaging Director
Louis PellegrinoDirector
sig.org/eval
© 2016 Alsbridge Proprietary & Confidential
11
Today’s discussion
There are many items that are essential
to the complete SaaS discussion
Today we are focused on the Business
Model of SaaS
Other Important Topics not Covered
• The Business Case for SaaS
• The “Profile” of the Sourcing Team
• The Architecture & Technical Design
Issues
• The Legal & Compliance Issues
• The Security & Privacy Issues
© 2016 Alsbridge Proprietary & Confidential
12
Change Management & Implications
•Users must be comfortable with the Providers Interface
SaaS solutions are under the complete control of the provider
•Updates to the application happening without new version
notice
The concept of “versioning” is very diluted or eliminated in this
model
•There are a limited number of ways to use the solution
SaaS solutions typically run with a fixed feature set and only
provide “configuration” options versus “customization” options
•Users need to be ready to handle changes to the application UI
Updates to the User Interface (UI) are delivered by the provider
when they are ready
•Need notice of changes in advance of them happening
SaaS users need to plan for potential changes in the UI, as well as
for the delivery of new changes from the Provider
Tweet: #SIGspring16
Workshop # 1
Look Before You Leap:
From Legacy Software Licensing to SaaS
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Bill Huber
Managing Director
+1 704-806-3910
Louis Pellegrino
Director
[email protected]+1 305-542-1751
How to Play the Game and Win, Win, Win!
Procurement-In-The-Middle:
Vantage Partners
Danny Ertel Partner
sig.org/eval
Key topics for today
Procurement-in-the-middle: how and why we get stuck
Three secrets about how to get unstuck:
1. Communicating more effectively, about those things that actually make a difference
2. Leveraging the power of legitimacy – in your role, in the data, in the standards and processes that you bring to the discussion
3. Working towards alignment, without becoming hostage to the most difficult stakeholder (internal or external)
Copyright © 2016 by Vantage Partners, LLC. 15
The Approach
One party drafts their own proposal, then circulates it for input and/or feedback
Parties respond by staking out positions on suggested edits, or create their own versions of the draft
The drafter (or drafters) tries to incorporate multiple sets of conflicting edits into a new draft
Parties try to combine or synthesize drafts in order to reduce the overall number of proposals
Parties try to make a choice between many drafts, each with different strengths and weaknesses
A common approach to building multi-party agreement
The Result
Parties get locked into positions earlyand defend their own proposals
Parties do not share their interests, which impedes creative problem-solving
Multiple drafts are generated and become increasingly difficult to keep track of
Process tends to yield sub-optimal solutions or failure to reach agreement
Value of ultimate agreement is diminished by the high transaction cost of an inefficient process, which can undermine working relationships
Copyright © 2016 by Vantage Partners, LLC. 16
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Workshop # 02
Procurement-In-The-Middle:
How to Play the Game and Win, Win, Win!
www.sig.org/eval
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Danny Ertel
Partner
Vantage Partners
978-397-6990
Play to Elevate Procurement
Change Your Game in
Category Management:
Denali Group
Gregg Cooper Director
Aggie HanczewskiSr. Manager
sig.org/eval
19
© 2016 Copyright Denali Group. All Rights Reserved.
• Develop and maintain close stakeholder
relationships
• Build an understanding of internal spend
and business requirements
• Understand the category and market
dynamics
• Drive a portfolio of sourcing, contract and supplier
management activities as a result of the plan
• Prioritize and align resources; Drive execution
• Document results, lessons learned
• Deliver value to the business
• Determine appropriate planning level by category /
subcategory
• Develop the plan collaboratively w/ stakeholders
• Ensure the plan is a living, breathing guide
rather than a static document
• Leverage results and lessons learned to improve knowledge
base, stakeholder relationships and category governance
• Drive compliance to results across procurement lifecycle
• Manage performance and update plan
Category Management is a strategic, end-to-end procurement approach to more holistically manage how companies buy goods and services. Category Management aligns a company’s vision and business objectives with external market factors and capabilities, and seeks to consider long-range value to decision-making.
Monitor
and Adjust
Execute Against Plan
Develop an Actionable Plan
Establish Knowledge Foundation
20
© 2016 Copyright Denali Group. All Rights Reserved.
Stakeholder Engagement
Supply Base Review, Profile
Supplier Landscape and Profiles
External Market Assessment
Category Risk Assessment
External Assessment
Category Maturity Assessment
Category Positioning
SWOT Analysis
Finalize Category Objectives and Strategy
Strategic Review
Category Vision & Strategy
Category Plan Documentation
Category Vision & Strategy
Project Portfolio
Category Opportunity Analysis
Develop Prioritized Portfolio of Projects
Develop Category Playbook
Internal Assessment
Stakeholder Mapping
Business Requirements Assessment (AQSCI)
Category Scoping and Segmentation
Category Spend Review
Category Supplier and Contract Review
Category Plan Development Tools & Templates
Stakeholder Map AQSCI Requirements
Template Baseline Stakeholder
Questions Category Summary
Template Spend Analysis Dashboard Contract Summary
Template
Market Profile Templates
Category Discovery Questions
Porters Five Forces, Kraljic Matrix
SWOT Analysis Sourcing Levers
Category Plan Template (brief/full)
Category Dashboards Category Roadmaps Business Case
Framework
Opportunity Assessment
Visual Project Timeline Template
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Workshop # 3
Change Your Game in Category Management:
Play to Elevate Procurement
www.sig.org/eval
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Gregg Cooper
Director
Denali Group
412-418-4746
Aggie Hanczewski
Sr. Manager
Denali Group
412-478-8054
The Good, the Bad and the
Ugly of SOWs
KellyOCG
Barb LauerSr. Director, Services Procurement
Deb ValentineVice President, Contingent Workforce Outsourcing
sig.org/eval
23 | Proprietary and confidential to KellyOCG
Agenda
• Welcome – 5 mins• Intro: Definitions and Common SOW pitfalls – 10 mins• Breakout Exercise: Review SOWs (Four scenarios) – 30 mins
– BPO, Hide-a-temp, Hard to Detect, Poorly written– Identify the following:
• Problems/Issues• Risks• Remediation• Benefit to organization
• Group Findings/Report out – 15• Key Take Aways/Q & A
24 | Proprietary and confidential to KellyOCG
Understanding spend, supply base and challenges within the services
spend will provide the catalyst for SOW management optimization that are
targeted to generate value and minimize risk
Improved Defined Processo Provide uniform SOWs
o Provide process improvements for writing
and delivering SOWs
o Proper assignment of labor and
engagement types
Riskso Improvements in adherence to Contingent
policies and procedures
o Minimize exceeded budgets due to improved
SOW details and defined misc. costs
o Ability to monitor changes to scope and costs
Visibility & Controlo Improved costs that align to total project
objectives and delivery
o Improvements in defining metrics
o Better control of supplier & their resources,
and management of the category
SOW Good, Bad & Ugly Summary
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Workshop # 4
The Good, the Bad and the Ugly of SOWs
www.sig.org/eval
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Barbara Lauer
Deb Vakentine
Seven Sourcing Business
Models to Create Value and
Manage Risk
The Forefront GroupBonnie Keith
President
sig.org/eval
SOURCING BUSINESS MODEL SELECTION ©
Overview
27
• Modern Research Supporting Business Model
Frameworks
• Introduction to Sourcing Business Models
• The Seven Sourcing Business Models
• Sourcing Business Model Selection
• A Word About Relational Business Models
SOURCING BUSINESS MODEL SELECTION ©
The Seven Sourcing Business Models
1. Basic Transaction Provider
2. Approved Provider
3. Preferred Provider
4. Performance –Based Agreement
5. Vested Business Model
6. Shared Services
7. Equity Partnerships
28
In this section we will do an in depth review of each Sourcing Business Model
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Workshop # 5
Seven Sourcing Business Models to Create Value and
Manage Risk
www.sig.org/eval
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Bonnie Keith, President
The Forefront Group
609-922-8977
Strategic Contracting
If You Build It (Right),
They Will Come:
Morgan Lewis
Ed HansenPartner
sig.org/eval
Key Takeaways
Provide an analytical
framework for interaction costs.
Differentiate between deal
economics and financials.
Incorporate actionable
collaborative contracting
techniques that work without leaving you
feeling exposed.
Look at Drafting Style as a
Business Tool: Why Legally
Binding Doesn’t Mean Effective.
Practice Tips
32
Multi Track with Caution Because . . .
The good stuff is in the schedules.
How the schedules interact is more important than how a schedule reads by itself.
Figure out what your deal really is and then either change it, or work within it.
If you don’t understand your pricing, its not going to work.
You need a pricing model, not a rate card. Do a sensitivity analysis.
Firm up your pricing model BEFORE performing due diligence (this is NOT a trap –it’s a test of your pricing model).
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Workshop # 06
If You Build It (Right), They Will Come:
Strategic Contracting
www.sig.org/eval
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Ed Hansen
+1.212.309.6035
What Sourcing Professionals Need To Know
To Be Able To Leverage AI, Automation and
IoT in Their Global Enterprises
Sourcing Beyond Digital:
CISCO
Jim McDonnell General Manager, Services Integration Technology & IoT
Bob Wilkinson Former CIO/CISO of Citibank/Banamex
Avasant
Kevin Parikh CEO and Partner
sig.org/eval
35
The last 40 years… Technology is driving a fundamental
economic shift
36
Interoperability is the #1 Challenge in Digital Health TodayPeople navigate the healthcare journey – their data does not
X
X X X
X X
There is no better time than now to renew our focus on a nationwide, interoperable health IT infrastructure – one in which all individuals, their families, and their health care providers have appropriate access to health information that facilitates informed decision-making, supports coordinated health management, allows patients to be active partners in their health and care, and improves the overall health of our population.
-- Office of the National Coordinator, 2014
An urgent national priority…
With major impact to US healthcare delivery alone: • $19.5B Spent on Medical Errors• 200K Deaths due to Preventable Medical Errors• 30% of Provided Care is Unnecessary• $12B Avoidable Readmissions• $158-226B Overtreatment• $25-45B Failures of Care Coordination• $102-154B Failures of Care Delivery• $27.6B Administrative Complexity• $300B Lack of Treatment & Medication
Adherence• Inefficient Health-related Research
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Session #01
Sourcing Beyond Digital:
What Sourcing Professionals Need To Know To Be Able To
Leverage AI, Automation and IoT in Their Global Enterprises
www.sig.org/eval
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Kevin Parikh: [email protected]
Jim McDonnell: [email protected]
Bob Wilkinson: [email protected]
Time to Quantify Success
Redefining Spend
Management:
David Hearn
Former CPO of Juniper, Kaiser Permanente,
Sun Microsystems
Coupa
Karen RichterVice President of Strategic Accounts - Eastern Region
sig.org/eval
Learning Points
• Challenging the Status Quo
• Redefining Spend Management
• Introducing and Committing to Success Criteria
• Getting Executive Buy-in
• Keeping Focused Through Obstacles and Hurdles
CSO SUCCESS
Improve
Business
Agility
Real time decision
engine for LOB
Managers and
Executives enabled by
the CSO
Reduce/Avoid
purchase
costs
Add sourcing and
procurement value
driven interactions
to all spend
Elevate role to
trusted advisor
Bring new insights to
execs on how you can
help them reach
their key business
goal
DRIVING SUCCESS FOR THE CHIEF SPEND OFFICER
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Session #2
Redefining Spend Management: Time to Quantify Success
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David HearnFormer Indirect CPO at:
Juniper Networks, Kaiser Permanente, Sun Microsystems
510-304-3380
Karen Richter
Coupa Software, Inc.
Vice President of Strategic Accounts - Eastern Region
650-931-3200
How To Do Everything Right
and Still Get Global Business
Services Wrong
UnitedHealthcare
Patrick StammCOO, Shared Services
Neo Group
Hemant PuthliPartner
sig.org/eval
© 2016 Neo Group Inc. Proprietary
GBS Introduction
UnitedHealthcare Case Study
Is GBS for me?
Benefits of GBS
GBS Evolution Model
Appendix
AGENDA43
© 2016 Neo Group Inc. Proprietary
5 STEPS TO GBS EXCELLENCE44
BASIC
I
Beginning
the journey
EVOLVING
II
Moving up
the curve
MATURE
III
Comparable
with local
peers
ADVANCED
IV
Better than
most local
peers
LEADERSHIP
V
On par with
world class
GBS
programs
© Neo Group
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Session #3
How To Do Everything Right and Still Get Global Business
Services Wrong
www.sig.org/eval
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Patrick Stamm
COO, Shared Services, UnitedHeathcare
Hemant Puthli
Partner, Neo Group
978.707.9769
Whose Job is it Anyway?
Contingent Workforce
Management:
DCR Workforce
David PuttEVP
Duff HallFormer Contingent Labor Category Manager at Microsoft
sig.org/eval
Best Practices in a Collaborative Organization
• Close partnership between Procurement and HR
• Engage other stakeholders (e.g. Legal, Finance)
• Common mission to CW users
Procurement
Manages MSP/VMS relationships
Overall program governance
Negotiates terms and contract lifecycle
Manages costs and liabilities
Manages staffing and project supplier relationships
Drives overall program optimization and operational efficiencies
Human Resources
Establishes policies
Ensures overall quality of talent
Provides guidance to managers
Identifies resources for future hiring
Provides regulatory oversight
Acts as brand ambassador
47
Microsoft: Unique Features
• Used “Influence” model, not mandate- Ensured more grass roots / organic buy-
in- Required heavier marketing effort- Leveraged individual “super users” as
advocates- Downside – Enabled users to go around
program
• Statement of Work - Deferred initially- Perceive value for future inclusion- VMS functionality critical- Incorporating SOW volume
Visibility to all non-employee workers
Addresses classification / tenure issues
- Improved treasury processes- Control on / off boarding
48
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Session #04
Contingent Workforce Management:
Whose Job is it Anyway?
www.sig.org/eval
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David Putt
EVP
DCR Workforce
703-981-1360
A Logistics Perspective on Creating a
Leading Organization to Support your
Strategy
Clarity from Chaos:
The Chemours Company
Walter IlgDirector of Global Logistics
GEP
David DoranVP Consulting
sig.org/eval
51© 2016, GEP. All Rights Reserved.
Objective and Agenda
Welcome and Introductions
Back Story: The Case for Change
Approach (Theory and Practical)
Key Findings / Ideas for Others
Q&A
To share our journey that moves from a old, tired organization to a new
organizational structure that is better aligned with all key stakeholders, has
enhanced processes and controls, and has improved our customer service to
our clients and suppliers
Agenda
Objective
52© 2016, GEP. All Rights Reserved.
Key Findings / Ideas for Others
Engage and empower a cross-
functional team. If you have multiple
businesses, make sure all are equally
part of the team
Continuously challenge the team to
consider “what can be” done
Use facts to drive change – there are
always multiple sides to anecdotes
Learn from each other
Recognize the commitment from the
team – leverage several members of
the working team and engage them
on the implementation activities
Don’t have a preconceived idea on
the output – let the process work
Don’t assume everyone
understands the “strategy” the
same way (but DO start here)
Don’t only address structure (lines
and boxes) – linkages and
processes are even more important
Don’t have the team talk about
people – keep that activity to a
select few individuals with the help
of HR professionals
DO DON’T
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Session #05
Clarity from Chaos: A Logistics Perspective on Creating a
Leading Organization to Support your Strategy
www.sig.org/eval
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David Doran
Vice President, Consulting
Transportation & Logistics
GEP
Office: (732) 382-6565 x4154
Cell: (770) 329-9386
www.gep.com
Walter Ilg
Director, Global Logistics
The Chemours Company
(302) 773 2281
www.chemours.com
"Getting to Strong" Third Party
Management
Comerica Bank's Journey:
Comerica Bank
Gloria OldaniSVP, Director of Corporate Procurement
Hiperos
Sam MeleVP Sales
sig.org/eval
Third Party (Supplier) Management
• Changing Operating Environment
• Third Party Management Trends
Comerica Bank Case Study
• Company Description
• Lines of Defense
• Supplier Lifecycle Program Framework
• System Implementation
• Segmenting the Supply Base
• Defining Critical Suppliers
• Program Delivery Strategy: Systematic and Automated
• Things to Consider on your Journey
Key Takeaways
Agenda
4
Third party management isn’t about compliance – it’s about good
business practices driving good results
The only constant is change – flexibility is key to success
This is bigger than just your suppliers or vendors – its all of the third
parties with whom you interact
Automation enables you to drive consistency, execution and auditability
across the entire portfolio
This isn’t about data – it’s about transforming data into actionable
intelligence
Real-time information from tools provides continuous oversight through
a closed loop process
Effective third party management is not an “option” – it is a must –
driven straight from the Board
56
Key Takeaways
14
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Session #06
Comerica Bank's Journey:
"Getting to Strong" Third Party Management
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Gloria Oldani
Comerica [email protected]
Sam Mele
Beyond Compliance
Enterprise Independent
Contractor Programs:
Cisco
Carey Pugh Senior Compliance Manager
MBO Partners
Bob LucasSenior Vice President
sig.org/eval
Outline
• MBO Partners Overview
• Independent Workforce Trends
• Characteristics of a Successful Program
• Cisco Overview
• Case Study – Cisco
59
Program Success Factors
• Intent– C-level mandate and buy-in
– Clear policy
– No backdoors
– Standardized processes
– Culture receptive to change
– Engaged Program Manager
• Incent– Client-funded
– Short payment terms
– Ease of use
– Proactive communications
– Culture facilitates new project access
– Industry-standard insurance requirements
60
Forced Acceptance
Clear Messaging
and Sustained Adoption
Death by 1,000 Cuts
Viral Growth
Critical Action Zone
INT
EN
TINCENT
WEAK
STRONG
WEAK STRONG
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Session #07
Enterprise Independent Contractor Programs: Beyond
Compliance
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Carey Pugh | Cisco | [email protected]
Bob Lucas | MBO Partners | [email protected]
Enabling the Journey to Value - Insights
and Best Practices from CPOs
Procurement Analytics:
North Carolina State University
Rob Handfield, PhDExecutive Director, Supply Chain Resource Cooperative
IBM Procurement Solutions
Alex ZhongSenior Market Segment Manager
sig.org/eval
Agenda
Analytics in a disruptive era - Alex Zhong
Procurement analytics: enabling journey to value - Dr. Robert Handfield
63
Issues to Consider From Today..
Procurement Analytics are key! Executives are keyed in on building analytics to not only
solve business problems, but as a core business strategy.
Establish stakeholder engagement as a key element to driving innovation and value for
the business.
Lack of a robust Source to Pay integrated solution is the biggest barrier to creating a
data platform for procurement analytics. Investment requires a solid business case tied to a
real set of business issues and challenges.
Analytical insight requires talented procurement analysts to drive customized solutions
that build on existing enterprise systems and platforms
Supplier management can be used to align with the right partners – that drive the
right insights on continuous supplier performance improvements, cost reductions,
and innovation.
Suppliers are a core element of your integrated solution. Intelligent solutions to drive
collaboration in SRM, deep integration of SLM with all S2P components, and other
approaches are needed.
64
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Session #8
Procurement Analytics:
Enabling the Journey to Value –
Insights and Best Practices from CPOs
www.sig.org/eval
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Rob Handfield
Email: [email protected]
https://www.linkedin.com/in/rob-handfield-939570
@Robhandfield
Alex Zhong
Email: [email protected]
LinkedIn: https://www.linkedin.com/in/alex-zhong-5535591
@alex7zhong
Mandatory or Optional? Building the
Business Case for the Right Solution
Contingent Labor Program:
Amazon
Jim Serrano
Global Program Manager
Allegis Global Solutions
Bruce MortonGlobal Head of Innovation
sig.org/eval
• Visibility on spend
• Controls
• Risk Management
• Competitive Differentiator
• Reactive vs Forward-Looking
• Efficiencies
Pros And Cons To Both Mandatory vs. Optional Contingent Labor Programs
• HQ Supporting vs HQ Leading
• Local Culture
• Business Initiatives
• Global Expansion
A Global And Local Perspective On Best Practices To Align To Your Organization's Culture
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Session #09
Contingent Labor Program: ‘Mandatory or Optional?
Building the Business Case for the Right Solution
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Jim Serrano
Global Program Manager
Amazon
Bruce Morton
Global Head of Innovation
Allegis Global Solutions
Importance of Third-Party Due
Diligence for Sourcing
Professionals
American Water
Danielle DeakCategory Manager
LexisNexis
Karen E. GraySr. Supply Management Specialist
sig.org/eval
71
AGENDA:
• Introductions
• The Importance of a Documented Due Diligence/Risk Management
Process
• Effective Third-Party Due Diligence
• Lessons Learned
72
• There is no “one size fits all” duediligence/risk management process.
• The 9 steps outlined in this presentationshould help provide guidance towards adocumented due diligence process.
• Plan for your documented process to evolveover time.
Lessons Learned
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Session #11
Importance of Third-Party Due Diligence for Sourcing
Professionals
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Category Manager
856.727.6209
Senior Supply Management Specialist
214.370.9682
With a Decade of Uncertainty
Ahead, How Does
Procurement Focus?
Clyde Dornier
Former CPO of The Freeman Company
Pat Mitchell
Former CPO of Mars
sig.org/eval
Confidential Information
Procurement Decade To Come
Objective and General Outline
Objective –The decade to come is already being defined in many ways – culturally, environmentally, technologically, geopolitically, financially – how should we in Procurement prepare?
Agenda Topics –
• Provocation – 2025 Hypothetical
• How has Procurement ‘Excellence’ been defined in the past, today, and readiness for the future?
• Can we prioritize some of the many themes about the next decade? Which ones are pretty common, and which one’s are not so common?
• What are the options we have for the choices we can makegoing forward?
• How did one Company approach these question?
75
Confidential Information
Procurement Decade To Come
Business Case Brief – Key Strategies
• Solid hygienics
• Effective Category Management needs to be finished – strategic remains the core focus – commoditize the non-core
• Organization is a transitional element in the transformation
• Risk Management is the Value Proposition 1 for tomorrow – Supply, Sustainability, Responsibility
• Increasing earnings and Innovation are Value Proposition 2 for tomorrow
• Lead within the Company where our footprint takes us
• Create tomorrow’s network and collaborative models
• Invest what enables success first - Technology
• Talent as infrastructure and not a variable component
76
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Session #12
With a Decade of Uncertainty Ahead, How Does
Procurement Focus?
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Patrick Mitchell [email protected]
Clyde Dornier [email protected]
Procurement Leadership Drives Value in
Outsourcing Corporate Services
Easy Wins:
Canon Business Process Services
Ted ArdeleanDirector, R&D Marketing
Ann Van AnneRegional Manager
sig.org/eval
Agenda
4
3
2
1
5
Trends in Corporate Services
Corporate Services Overview
Easy Wins
Spend control strategies and tactics
Lessons Learned and Q & A
79
80
Take away
Strategic Sourcing has the expertise to align FM activities with company strategy
Cost of Corporate Services within FM may be reduced 20% by consolidating services
There is an opportunity to bring under control more of the otherwise uncontrolled cost
within FM
For the easy cost reduction opportunities within FM, Strategic Sourcing needs to rely on
the service provider when internal procurement resources are not available
Selectively moving contingent positions in FM to outsourced services can reduce cost,
improve outcomes, avoid co-employment risk. (Some clients realized $10K annual savings
per position)
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Session #13
Easy Wins:
Procurement Leadership Drives
Value in Outsourcing Corporate Services
www.sig.org/eval
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Ted Ardelean
Director R&D Marketing
Canon Business Process Services
631-672-6972 [email protected]
Addressing Value, Risk and
Compliance through an
Offshore Global In-House
Center ModelAIG Philippines Insurance
Mark LwinPresident and CEO, AIG Philippines Insurance
Everest Group
Sakshi GargPractice Director, Global Sourcing
DTSI Group
Miguel GarciaPresident and Chief Executive Officer
sig.org/eval
- 83 -
Today’s Agenda:
• Audience Insights
• Speaker/Panelist Introductions
• Global In-House Centers (GIC) Market Perspective
• Panelist Discussion on GIC Strategies & Future
• Audience Q&A
High
Low
Imp
act
delivere
d
Low cost set-up
Scaled internal
provider
Strategic entity
driving innovation
Value addition
partner
Key focus
Innovation and new
products/services
Addition to revenue
streams
Global leaders for
the enterprise
Process
standardization
Teams for select
anchor functions
Multiple pilots and
transitions in
process
Predictable and
hi-quality delivery
Process efficiency
Capacity
augmentation
Transformational
process
improvements
High skill capabilities
Vendor management
Products for
emerging/ local
markets
Value drivers
Cost
Business
Strategic
Time
GICs are evolving to increase the impact delivered to the
enterprise
Everest Group’s GIC maturity assessment framework
Drive competitive
advantage
Extend
influence across
organization
Build robust
delivery
capabilities
Prove the concept
- 84 -
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Session #14
Addressing Value, Risk and Compliance through an
Offshore Global In-House Center Model
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Mark Lwin
AIG Shared Services (Philippines)
Miguel Garcia
DTSI Group
Sakshi Garg
Everest Group
Becoming a Client-of-Choice
for the Flexible Workforce
Aon Service Corporation
Kim NeisenGSM Manager
sig.org/eval
Equifax
Barry NortonDirector of Strategic Sourcing
TalentWave
Sabrina ClayVP, Client Solutions
Today’s Learning Objectives
• Discover what being a “client-of-choice” really means for procurement organizations
• Learn proven tactics and best practices from stakeholders who are building client-of-choice programs
• Hear first-hand perspective on common challenges and how to overcome them
• Discuss future talent acquisition opportunities
87
Becoming a “client-of-choice”• Build a leadership coalition across Procurement and HR• Make it easy and desirable to work at your company
– Do your policies and procedures work for a “company of one”?
• Skilled independent workers have many choices…– It takes more than just money to attract and retain them!– Promote a grand vision/purpose they can connect to…– Have interesting/challenging problems to solve…
• Revisit job descriptions: – Recast them from competencies and skillsets, to outcomes and
deliverables. – Align them with SOW-centric workers. Projectize the work!
• Evaluate worker location requirements– Consider remote work, hoteling, collaboration tools
• Don’t neglect worker misclassification and engagement risk– Manage your process to avoid legal issues
88
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Session #15
Becoming a Client-of-Choice for the Flexible Workforce
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Sabrina Clay
VP, Client Solutions
TalentWave
512-244-7865 [email protected]
Enterprise Cloud Adoptions,
Challenges and Best Practices
VirtusaPolaris
Amit KhannaVice President and Global Head of Cloud
sig.org/eval
91
Agenda
1 Overview
2 Enterprise Cloud Computing Landscape
3 Best Practices: Lessons learned in migrating diverse workloads to Cloud
4 Success Stories
92
Financial: Current cost models, existing contracts etc.
Regulatory: Data security and ownership, compliance and other related requirements
Organizational: Current skillsets and competencies, vendors, team structures
Service: Existing service level agreements, contracts in place etc.
Technical: Technology stacks, software licenses, integration requirements
Operational: DevOps, governance, risk management etc.
2. Existing organizational constraints are important
EXPLORATION BEST PRACTICES
Document, plan and incorporate constraints
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Session #16
Enterprise Cloud Adoptions, Challenges and Best Practices
www.sig.org/eval
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Amit Khanna
(508) 207-7030
A Way to Avoid Costly Legal Mistakes
Sourcing + Lawyers =
Unum Group
J. David Canarie, Jr.Vice President & Managing Counsel, Transactions Practice
Mayer Brown, LLP
Brad L. PetersonPartner
sig.org/eval
• Key legal pitfalls and how to sidestep them
• How the legal issues change during the sourcing life cycle
• How to effectively and efficiently use lawyers
• New strategies and issues for Digital Age agreements
95
Agenda
• Lawyers can help you avoid contract and legal problems
• You aren’t “done” with the lawyers when you sign the contract, because the issues change throughout the process
• Conferring with lawyers early and often can help you maximize value and avoid costly pitfalls
• The need to talk with lawyers has only increased with emerging Digital Age technologies
96
Summary
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Session #17
Sourcing + Lawyers =
A Way to Avoid Costly Legal Mistakes
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
J. David Canarie, Jr.Vice President & Managing Counsel,
Transactions Practice
Unum Group
Brad L. PetersonPartner
Mayer Brown, LLP+1 312 701 8568
Capitalizing on New Data
Analytics and Business
Intelligence for Contingent
Workforce Management
PRO Unlimited
Dustin BurgessVP of Strategy, Analytics, & Metrics
Amy BoganVP of Client Services
sig.org/eval
Today…
1
2
3
The workforce is changing rapidly. Evolving from permanent employees to
a balanced mix of permanents, staff augmentation, provision of services
(SOW), freelancers, independent contractors, and consultants. This
dynamic and fluid population represents a significant company investment.
Leveraging effective and innovative solutions in workforce analytics
and business intelligence can drive company value and ROI
You will learn:
99
• How several Fortune 100 companies have
used analytics to gain a competitive
advantage
• New ways to analyze the performance of
your contingent workforce
• What to expect from a consultative partner
Wrap Up
Workforce Analytics can be used to influence
fact-based business decisions
Having a trusted consultative partner
enables strategic organizational gains
100
Thank you!
The data analytics alone are not enough. The
ability to use analytic insights to facilitate
strategic decisions drives advantage
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Session #18
Capitalizing on New Data Analytics and Business Intelligence for Contingent Workforce Management
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Dustin BurgessVP, Strategy, Analytics, & Metrics
PRO Unlimited
1.916.669.3156
Amy BoganVP, Client Services
PRO Unlimited
1.650.515.5899
How to Avoid Fumbling Your Deal on
the "One Yard Line"
Outsourcing's Red Zone:
Boeing
Brian PowersBPO Program Management Office
Lawrence KaneIT Sourcing Functional Excellence
sig.org/eval
Shared Services Group | Supplier Management
Copyright © 2016 Boeing. All rights reserved.
1. Insufficient stakeholder engagement and governance
2. Buyer over-proscribes the solution
3. Deal value is based on false economics (squeeze every penny)
4. Adversarial negotiations start things off on the wrong foot
5. Incentives misaligned (e.g., utility deal that “expects” innovation)
6. Underpinning complexities (e.g., ITO, tribal knowledge, Safe Harbor Trust) are underappreciated or ignored
7. Negotiate a deal then “throw it over the wall” to implement
8. Transition via “big bang” with insufficient risk management, pilot, and testing
9. Inexperience, both parties don’t truly know what they’re getting into (e.g., tools, processes, people)
10. Etc…
103
Discuss: What are common root causes for BPO deal failure?
Shared Services Group | Supplier Management
Copyright © 2016 Boeing. All rights reserved. 104
Additional Recommendations
Early on, develop and deploy a master project plan that is resource loaded and inclusive of both Boeing and supplier requirements.
Patience, flexibility and open communications are critical
Change management – Ensure all changes are documented, cost implications are clearly understood and changes are approved in close proximity to the time of the request
Ensure system’s inventory includes all systems, servers, websites, etc.
Classroom training should be minimized – focus on 1:1 training (OJT)
Consider FTE staffing requirements during peak times
BP’s are in this for the long haul as well
More complex processes might require more SOW refinements and/or take longer to transition
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Session #19
Outsourcing's Red Zone: How to Avoid Fumbling Your Deal
on the "One Yard Line"
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Lawrence KaneIT Sourcing Functional Excellence
The Boeing Company
(425) 865-7516
Brian PowersBPO Program Management Office
The Boeing Company
(425) 237-4951
When Procurement Worlds
Collide
Florida Blue
Tim CroninVice President & Chief Procurement Officer
sig.org/eval
Supporting Processes
• Procurement operations
• Contract management
• Req to pay
Delivering Value
• Strategic sourcing
• Real estate
Driving Change
• Shared services model
• Affiliate integration
• Supplier innovation
107
Our business relationship model had to evolve…
• Procurement HelpDesk
• Procurement email
• Transactional
processes and policies
• Requisition workflow
• Staff meetings
• Building supplier
Relations
• Demand management
• Procurement governance
board
• Category teams
• BRM alignment
• Strategic plan
• Category management
108
Chargebacks were based on usage and drove behaviors
▪ Base price
affected by:
– Size of spend
– # suppliers
– # invoices
▪ Price for strategic
sourcing offering
affected by
resources needed
to complete
project
Chargeback
unitOffering
Chargeback
method
Strategic
sourcing
▪ Project by
project basis
▪ T&M
Base
▪ Spend
▪ #suppliers
▪ Allocation
Contract lifecycle management
▪ Spend
▪ # suppliers
▪ Allocation
Procure to invoice
▪ # invoices ▪ Unit cost
Procuring suppliers
SRM governance
▪ Spend
▪ #suppliers
▪ Allocation
See draft Service
Level Agreement
(SLA) for more
details
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Session #20
When Procurement Worlds Collide
www.sig.org/eval
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Tim Cronin
Florida Blue
Vice President and Chief Procurement Officer
904-905-1810
New Strategies for Planning,
Sourcing and Governing
Part III: Complex
Outsourcing Deals
SIG Resource Center Thought Leaders Council Presenters:
Alsbridge, Bill Huber
Mayer Brown, Brad Peterson
Ontala Performance Solutions, Linda Tuck Chapman
Scotiabank, Merrilee Evans
sig.org/eval
Agenda
There’s a new breed of multi-sourced relationships, innovative
solutions and practices and emerging complexities that require new
skills and expertise to harness.
Objective:
Introduce best practices and real-life experiences that will inform
your strategies and practices throughout the lifecycle of third party
relationships during the three phases of outsourcing:
1. Strategy and Planning
2. Sourcing and Implementation
3. Management and Governance
111
This session will help build the knowledge and skills you
need to be successful.
Today’s Focus
Changes to goals and negotiations
Bona fide collaboration
Value from provider and
customer interaction
Joint accountability and decision
making
Focus on results, not historical costs and service levels
Commercial partnerships
Gain sharing
Innovation provisions and
protocols
Adaptive
metrics
Recalculating baselines during
the term
Measure business impact and attribution
Flexibility
with structure
Adding/changing scope beyond
ARC/RRC methods
Greater flexibility for termination
Dynamic governance
provisions
112
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Session #21
Complex Outsourcing Deals:
New Strategies for Planning, Sourcing and Governing
www.sig.org/eval
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Once The Internet of Things (IoT)
Connects Everything in Your
Operational Facility, What's Next?
The Holy Grail:
Microsoft
Chad NeslandDirector, Strategic Sourcing
JLL
John HamptonSVP, Innovation & Product Development
sig.org/eval
115
Agenda
• New frontier - The Internet of Things (IoT) for buildings
• Smart buildings impact on bottom-line
• IoT in action at Microsoft
• Key considerations
• Q&A
Success and performance metrics
Define the goals and metrics for your smart building project
_ Energy cost savings
_ Reduced carbon footprint
_ Marketing differentiation, leadership
_ Technology upgrades, reduced obsolescence
_ Reduced operations and maintenance costs
_ Extended life of systems and equipment
_ Improved productivity
_ Better experience for tenants and employees;
better workplace
_ Safety and security
_ Other?
23
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Session #23
The Holy Grail: Once The Internet of Things (IoT) Connects
Everything in Your Operational Facility, What's Next?
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Chad Nesland, MicrosoftDirector, Strategic Sourcing
Seattle, WA
(425) 707-0089
John Hampton, JLL SVP, Innovation & Product Development
Dallas, TX
(214) 438-6383
Market Intelligence to Help Your
Negotiations with Suppliers
Avoid "Overpaying" For
Contingent Labor:
Ericsson
James McCombsStrategic Sourcing Manager
PeopleTicker
Marc WongChief Data Scientist
Mike ZimmerExecutive Vice President
sig.org/eval
PeopleTicker, LLC. | peopleticker.com | (561) 278-8383
Agenda
The Market vs Your Market
Negotiating with Suppliers using Market Intelligence
Statutory Costs – opportunity for savings
Ericsson’s use of Market Intelligence for Contingent Labor
119
Public | © Ericsson AB 2016 | 2016-04-20 | Page 120
Bid to Bid Bid to Current Bid to Market
Data used to determine Cost
• 100% ability to compare information from Sourcing events.
• Advanced comparison tools and platforms allow Sourcing to break down proposals to comparable parts.
• 70% ability to compare current pricing.
• Gaps existed due to total cost of ownership, data integrity, organizational structure.
• 20% ability to compare Bid and Current price to Market Price.
• Gaps existed in having a flexible solution or service to be used at a moments notice with a variety of demands.
Triangulating A Cost is key to paying fair value
External labor category had the largest gap in Market Intelligence source
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Session #24
Avoid "Overpaying" For Contingent Labor: Market
Intelligence to Help Your Negotiations with Suppliers
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
James McCombsEricsson
972-583-5953
Mike Zimmer PeopleTicker
561-278-8383
Marc WongPeopleTicker
858-231-7364
Why Content is King in
Procurement
Alex MesanzaFormer Director, Strategic Sourcing, Ingersoll Rand
John GreerFormer Director, Strategic Sourcing, Verizon Communications
EdgeVerve
Jeff Adams Manager ProcureEdge
Infosys
Rajiv GuptaSr. Director
sig.org/eval
12
3©2016 EdgeVerve Systems Limited External Confidential
• Procurement tools and policies – Review the past
• Outlook for sourcing and procurement over the next 5 years
• 4 main procurement focus areas
• Lighting up sourcing and procurement through an integrated
ecosystem
• Importance of the casual users adoption
• Guided Buying
Agenda
124 ©2016 EdgeVerve Systems Limited External Unrestricted
• Majority of initiatives today are about software refresh. But, does a simple refresh yield the desired results?
• Many of the problems of today lie in world outside the software and technology. Are we addressing those challenges?
• The need is beyond technology and traditional transaction outsourcing. The need really is for a holistic networked solution that addresses the problems of the space.
• To aid such a transformation, a trusted partner who advises on such transformation is a key ally.
• Procurement as a network play – A network comprising of content, technology, services and payments. This is what the trusted advisor owns.
Going Beyond Software
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Session #25
Why Content is King in Procurement
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Jeff Adams
EdgeVerve
312 371-4376
Alex Mesanza
John Greer
What Regulators are Focused on Now and Why
Third Party Risk Management:
Options Clearing Corporation
Tom CiardielloVice President, Strategic Sourcing
Ontala Performance Solutions
Linda Tuck ChapmanPresident
sig.org/eval
© 2016 ONTALA Performance Solutions Ltd..@ 2016 Crowe Horwath LLP
Confidential Information. Do not copy or distribute. 127
What we’ll talk about today
Context for Action1
2
What is a “non-vendor” third party?3
Compliance versus risk management
4 Assessing material sub-contractor risk
5
6
Monitoring critical relationships
Concentration risk
© 2016 ONTALA Performance Solutions Ltd..@ 2016 Crowe Horwath LLP
Confidential Information. Do not copy or distribute. 128
< $10 B $10 – 50B $50 – 100B > $100B
Identified during the RFP / process
37.8% 75% 50% 57.9%
Rely on contractual terms with parties
62.2% 62.5% 62.5% 68.4%
Third party must update list of material fourth parties annually.
6.7% 25% 0% 15.8%
Identified by automated in third party risk management system
2.2% 12.5% 25% 15.8%
Other (please specify) 8.9% 25% 50% 21.1%
4. Assessing material sub-contractor risk
The 2015 RMA Survey reveals immaturity in rigor for assessing and controlling material subcontractor risks
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Session #26
Third Party Risk Management:
What Regulators are Focused on Now and Why
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Tom Ciardiello
Vice President, Strategic Sourcing and Vendor Management Office
Options Clearing Corporation
312.322.4984
Linda Tuck Chapman
CPO Emeritus
President, ONTALA Performance Solutions Ltd
in association with Crowe Horwath
Tips for Successful Supplier Relationships
Whether You Have Been Together For
Years or Just Had Your First Date
Time Warner and Enlighta:
Time Warner
Joe WroblewskiDirector, Third Party Governance
Enlighta
Nipun SehgalCEO and Co-Founder
sig.org/eval
Agenda and Approach
Image courtesy of nipitphand at FreeDigitalPhotos.net
• This session will present the challenges faced with managing supplier relationships and how to leverage best practices and tools of Risk Management and Supplier Governance leading to long term happiness and business success.
• We will cover all phases of relationships including: – dating - finding and choosing a partner– signing the pre-nup - signing a contract– enjoying the honeymoon - leveraging initial excitement– seeking counseling - dealing with issues– breaking up - deciding whether to part ways and doing it properly; and – reaching the Golden Years - staying happy together.
• Important aspects of maintaining successful supplier relationships• Key tools and capabilities for enabling success• Effective risk management and supplier governance concepts
(We hope) this session will be particularly interesting to sourcing executives and vendor management professionals dealing with supplier governance, compliance and risk management (or anyone in a relationship).
Key Takeaways• Define your goals. Share them.
• Be honest about your capabilities.
• Communicate. Be Transparent.
• Define Measures of Success.
• Be aware of red flags.
• Track. Report. Discuss.
• Seek counseling/help when needed.
• Celebrate Success.
• Be flexible.
• Evaluate and Pilot Tools to Help manage your Supplier Relationships
Things to do Today• Document goals for 1 relationship.
• List business constraints.
• Create communications plan.
• Define key SLAs, Obligations.
• Document risks. Share.
• Schedule performance review.
• Identify an “at risk” relationship.
• Send a Thank you email.
• Research Tools and Case Studies that would help you manage supplier relationships
Image courtesy of nipitphand at FreeDigitalPhotos.net
Interested in a free supplier governance/relationship management tools capabilities assessment matrix?send an email to [email protected]
Tweet: #SIGspring16
Session #27
Time Warner and Enlighta:
Tips for Successful Supplier Relationships Whether You Have
Been Together For Years or Just Had Your First Date
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Joe Wroblewski
Director, Third Party Governance
Time Warner
Nipun Sehgal
CEO and Co-Founder
Enlighta
Who Decides and Protects the
Company?
Supplier Risk and Voting
Rights:
Vantiv
Carolina MaurerVice President
Procurement
sig.org/eval
© 2015 Vantiv, LLC. All rights reserved.135 4/29/2016
Agenda
• What is supplier risk?
• Who is part of the risk equation?
• Conflicting Interests
• What works and what does not
© 2015 Vantiv, LLC. All rights reserved.4/29/2016136
Risk mitigation ideas
• Customer contracts and Supplier contracts need to be consistent.
• The SLAs you are promising need to be covered in your engagements with suppliers.
• You need to make sure that anytime Sales is signing up for a new solution that involves a third party Procurement is involved.
Tweet: #SIGspring16
Session #28
Supplier Risk and Voting Rights:
Who Decides and Protects the Company?
www.sig.org/eval
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Carolina Maurer
Vice President
Procurement
Strategic Sourcing in the
Digital Economy
Abercrombie & Fitch
Quave BurtonVice President
SAP Ariba
Michael KochDirector- Solutions Marketing
sig.org/eval
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 139Customer
Agenda
• Introduction
• Strategic Sourcing in Digital Economy
• Abercrombie & Fitch Strategic Sourcing Journey
• Q & A
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 140Customer
Lessons Learned
Grow into Solution – “Evolve At a Steady Rate”
BE PATIENT!!
Leverage Existing Budgets – “Avoid Special Funding Requests”
Build Transparency – “Maintain Pipeline”
Obtain Executive Support – “Leverage Organizational Alignment“
Create Center of Excellence – “Drive Adoption”
Alignment of Resources – “Do what you do best”
Optimize Sourcing Process – “Add Velocity”
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Session #29
Strategic Sourcing in the Digital Economy
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Quave Burton
Vice President
Abercrombie & Fitch
Michael Koch
Director-Solutions Marketing
SAP Ariba
How to Optimize Global Business
Services Relationships with Regular
Check-ups
Health Checks:
National Bank of Canada
Bernard TruongSenior Director
Global Sourcing Optimization Services
Matt ShockleePresident & CEO
sig.org/eval
Some Key Questions We’ll Answer Today:
What’s one of the biggest opportunities facing Customers/Buyers and their
Service Providers today in the Global Business Services (GBS) Industry?
What is a Sourcing Relationship Health CheckTM and why should
organizations like yours care?
What do users of the Sourcing Relationship Health Check process
experience when performing Health Checks?
What data/information will you have access to as a result of
performing a Sourcing Relationship Health CheckTM?
What are the tangible and intangible benefits of performing a Sourcing
Relationship Health CheckTM?
Sourcing Relationship Health CheckTM
Powered by enlighta
5.
A
Global Sourcing Optimization Services
GSOS Copyrighted & All Rights Reserved
How Do You Launch a
Sourcing Relationship Health CheckTM
1.) Identify the Key Stakeholders in the Relationship:- Identify the Health Check Administrators (Customer & Service Provider),- Customer Stakeholders = key business users and governance/supporting staff,- Service Provider Stakeholders = key executives, delivery & support personnel.
2.) Complete Required Administrative Tasks:- All parties sign/accept the Health Check Terms of Use Agreement (Confidentiality),- The host (requesting party) completes a demographic profiler that provides
important background information about the relationship,- Customer and Service Provider pay their Health Check Fixed Fees.
(Note: In 2016 SIG Customer Member’s fees are waived!)
3.) Prepare Both Teams to Participate in the Health Check Process:- Prep Sessions for Customer & Services Provider Stakeholders (20 Min. Webinar),- Detailed Health Check Calendar created involving all key stakeholders,- Launch the web-based Health Check Survey!
32.
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Session #31
Health Checks: How to Optimize Global Business Services
Relationships with Regular Check-ups
www.sig.org/eval
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Matt Shocklee
Global Sourcing Optimization Services
Bernard Truong
National Bank of Canada
Using Your Data to Become
a Rock Star
Intermountain Healthcare
Richard BagleyDirector Supply Chain Business Development
Kreg KofordDirector Category Management
sig.org/eval
Data assets
Find opportunities
Customer engagement
Key lessons
Presentation Roadmap
147
Lesson #1: Leverage What You Have
Supply chain is in a unique position to correlate all the data
Start where you are and with what you have
Organize your data to get insights for utilization discussions and biddingUtilize GPO resources if you don’t have any
Non-labor spend analysis (purchase history)
Inventory and track contracts148
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Session #32
Using Your Data to Become a Rock Star
Speakers:
www.sig.org/eval
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Richard Bagley 801.442.3672 [email protected]
Kreg Koford 801.442.3690 [email protected]
Rethinking how Supply Chain
Management Creates Value
Market Disruptive Solutions:
JLL
Denver ClarkChief Procurement Officer – Americas
Jonathan TuckerSr. Manager, Strategic Sourcing
Yardi
Mike RooneyIndustry Principal
sig.org/eval
Proprietary & Confidential
Session Objectives
• Introduction and Background
• Explore the concept of supply chain value creation
• Review traditional approaches and thinking
• Share experiences of the session group
• Case Study: Tailoring your strategy to your business - JLL unique approaches
151
Proprietary & Confidential
Supply Chain Value Extraction
Closing Thoughts and Q&A
Identifying the opportunities in your business
Associating Revenue to true Value Add
Solutions
Broaden the view of who the client is
Drive consistent change management and
messaging internally and externally
152
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Session #33
Market Disruptive Solutions:
Rethinking how Supply Chain Management Creates Value
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Denver Clark
Chief Procurement Officer- Americas
JLL
Best-in-Class Procurement Using a Price
Management Strategy
Deal or No Deal:
Intermountain Healthcare
Cole SmithStrategic Sourcing Manager
sig.org/eval
Presentation Roadmap and Objectives
Why a Price Management Program?
How the Program Works
What is in it for you?
Key Lessons and Learnings
155
Key Learnings and Lessons
• Sr. Leadership support
• Ability to carve out projects in-flight preventing duplication of efforts and feelings of territoriality
• Sound methodology and playbook, designed to be scalable
• Data supports a 1.67 multiplier effect for Price Management projects; $2 million opportunity equates to $3.3 million in validated savings
• The fresh, horizontal approach to every initiative contributes significantly to the success of the team
• Success has resulted from an unwavering focus on quality, coupled with efficiency and sustainability
• Though project began with products, scope could include software, hardware, equipment and purchased services
156
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Session #34
Deal or No Deal: Best-in-Class Procurement
Using a Price Management Strategy
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Cole Smith, MBA, CPSM
Strategic Sourcing Manager, Intermountain Healthcare
Phone: 801.442.4634
Email: [email protected]
Bloomberg's Secret Sauce for Their
Vendor Risk Management Assessment
(VRMA)
Real-Time Data and
Predictive Analytics:
Bloomberg
Frank Wadsworth Head of Vendor Risk Management
sig.org/eval
159
Table of Contents
• Background: Bloomberg’s Vendor Risk Management Program
• Bloomberg’s VRMA Solution
• VRMA Dashboard – Risk Sensing & Intelligence
• Appendix
Risk Assessment Framework
160
Vendor Risk Key Considerations
1. Information / Physical Security Confidential / sensitive client or employee data
Level of access to Bloomberg facilities
Hosting data/applications outside Bloomberg environment/firewall
Access to Bloomberg IP
2. Business Continuity Outage impact to business
Revenue and/or cost impact to Bloomberg
3. Operational / Financial Historical financial performance and credit rating of the vendor
Revenue concentration
4. Regulatory / Legal Regulatory compliance requirements & history
Bribery or corruption
Personal health information (PHI) risk
Co-employment risk
Tax and trade compliance
5. Geographic Govt./Political stability
Natural disaster risk
Country economic/ financial instability
Crime/corruption rate
IP protection/legislation
6. Reputational Influenced by all other risk areas
Identified six risk categories and criteria allowing us to define and interpret vendor
risk in a uniform and consistent manner across the enterprise.
Vendor Risk Assessment Framework
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Session #35
Real-Time Data and Predictive Analytics:
Bloomberg's Secret Sauce for Their Vendor Risk
Management Assessment (VRMA)
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Frank Wadsworth
Global Head of Vendor Risk Management
Microsoft's Innovative New Procurement
Model
Deepening Business
Engagement:
Microsoft
Brent FrimodigSr Procurement Engagement Manager
Nihat SengulSr Strategic Sourcing Manager
sig.org/eval
About Microsoft
Q&A
Microsoft Procurement Overview
Transition to a New Model
Key Takeaways
Agenda
23
Key Takeaways
Our transformation has paid off
20
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Session #36
Deepening Business Engagement:
Microsoft's Innovative New Procurement Model
www.sig.org/eval
Download the App: bit.ly/SIGOrlando
Nihat Sengul
Sr Strategic Sourcing Manager
Brent Frimodig, CPSM
Sr Procurement
Engagement Manager
Leveraging Communication
and Relationship Building to
Optimize Stakeholder and
Change Management
Florida Blue
Allison BrownSenior Director
PwC (Buy-side)
John FafianDirector
sig.org/eval
Agenda
Identifying Key Stakeholders
Gathering Stakeholder Objectives
Segmenting Key Stakeholders
Converting Opponents
Developing a Communication Plan
Implementing the Communication Plan
167
Key Takeaways
Know Your Audience
Understand and Segment Key
Stakeholders
Tailor Communication to each
Segment
Build Strong Relationships Via the
Communication Plan
168
Tweet: #SIGspring16
Session #38
Leveraging Communication and Relationship Building to
Optimize Stakeholder and Change Management
www.sig.org/eval
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Allison Brown
Senior Director
Florida Blue
John Fafian
Director
PwC
SIG Resource Center
12