Being 'entreprocurial' is the next big thing! More than a concept, it's a mindset that procurement professionals need to adopt to stay relevant in today's changing world. It stems from the idea that procurement should take up a more entrepreneurial stand in order to help further the organization's growth ambitions. Bringing entrepreneurial thinking and behaviour to procurement also means
- Questioning why things are done a certain way and coming up with new solutions that add value to stakeholders – basically, think outside the box
- Being curious – that's key to taking the initiative to challenge the norms and driving change
- Gaining valuable insights, for that's the way to knowledge. This includes knowing what's happening in your supply markets as well as the wider world, so that you are aware of new possibilities/opportunities
- Being passionate about what you do – that's a prerequisite for a entrepreneur
- Leading not just in terms of managing, but by being a visionary, guiding and leading the team through the entire idea/project lifecycle.
- Empathising with your stakeholders by stepping into their shoes and solving problems from their perspective.
The three Rs of being entreprocurial
According to Procurement leaders Natalie Henfrey and JJ Van Der Meer of PA Consulting, the 3 Rs in entreprocurial (literally and figuratively) are:
- Reputation – it's everything! So stand by your ideas and decisions even if you are under pressure.
- Being Ruthless – focus only on things that make a difference.
- Staying in the Room – and not take the easy way out. Be an innovator and continue with difficult yet objective decision
Innovation in procurement – why invest in it
Innovation is the key to sustainable growth. Today, innovation has evolved from being a purely internal capability to something to be delivered in collaboration with the external network of supply partners. This is sure to result in
- A greater focus on value chain optimization and interaction
- A broader role of supply partners in the innovation processes.
Promoting innovation in procurement means processes that are transparent and efficient, and that which facilitate equal access and open competition. It also means keeping up with the pace of development and being flexible and agile too. An entreprocurial approach is essential to get there.
Adding value with entreprocurial behaviour
In simple terms, being entreprocurial in procurement would mean coming out of your comfort zone. The new entreprocurial procurement manager will be one who can
- Convince the executive board about market risks
- Take ownership of innovative ideas and turn them into reality
- Shift focus from the supply market to adding value to the customer.
This entreprocurial approach is the key to the future of procurement management.