What can you do to implement some Procurement Quick Wins?
Quick wins No.1 – Identify issues with the current landscape. This could be setting up controls for new suppliers, reviewing the Goods receipt process, undertaking spend analysis, review scheme of delegation, put in place suitable terms and conditions, standardise tendering process, and review governance procedures.
Quick wins No. 2 Explain to stakeholders the result of poor governance. Examples might be loss of financial control, value for money is eroded, internal frustration about applying the right or correct procedures, users unclear about process, increased risk of fraud, spend uncommitted, competitors are doing better and have better competitive advantage
Quick wins No. 3 Put a chart up and show everyone where the organisation sits on the Procurement Maturity Index. A visual guide explains where you need to be in seconds.
Quick wins No. 4 Document the changes to procurement. For example, put an excel spreadsheet together with headings for the Scheme of Delegation, Governance, Quotes & Tendering, Suppliers, Templates. Under each heading add some bullet points on how you will tackle each of the areas.
Quick wins No. 5 If this isn’t already in place, enforce the PO process and segregation of duties. There should be an initial requisitioner. A different person to approve the purchase order and a third person to approve the invoice.
Quick wins No.6 No PO No Pay policy
Quick wins No.7 – Aide-memoire/ A4 page on procurement route for users
You can identify other problems by speaking to your stakeholders and understanding their concerns. Review past projects, what went well and what can be done to improve the procurement offering and help stakeholders meet their objectives. The aim is to find low hanging fruit that doesn’t take a long time to implement but has an immediate impact. When you want to implement change it’s normally a good idea to do something small to get the rapport going and to get the stakeholder buy-in before you launch into long-term changes.