2021.01.21: Driving Change

Original article published on Linkedin by Dustin Lanier, CPPO

PRESSING THROUGH HEADWINDS - Public procurement can be an agent of change in the way it helps business units to go to market - in a way that learns from the past to improve the future. 

This is the transformative power of procurement that improves outcomes for our citizens, and attracts the next generation to procurement as a career.

However, there are constant headwinds we must overcome, that naturally inhibit creativity and a problem-solving approach to procurement work, and impact the ability to try new solicitation approaches. These include:

  • A glut of purchasing transactions that could have been automated or addressed through master contracts that are instead managed by hand leading to staff fatigue
  • Limited planning interaction between divisions and procurement to properly prepare and sequence work with the right teams
  • Insufficient investment in developing competencies in staff to capture and design new sourcing models
  • Legal frameworks that have not kept up with the current rate of change

These known forces lead to logical shortcuts such as recycling the last solicitation, or following patterns in our comfort zone, such as specing the tractor instead of defining the need in the field.

What are some practical ways to overcome these headwinds and nurture creativity in procurement?

Eliminate the “folklaw”In Jim Colangelo’s full interview, he talks about how the Competitive Proof of Concept started with a legal reexamination of what the actual limitations were. In a decade of leading procurement program assessments, I have found that there is often a lot of “folklaw” – commonly understood limitations of what is possible that are not actually present in the written word that is folklore we have told each other.

Encourage the system view: Support staff in exploring what problem is this acquisition solving, and how will we know when it is solved, and is there math that can measure outputs and outcomes? Keeping the big picture as the operating frame will encourage asking what is the right tool for the job, and be more likely to produce solicitations that focus on the “what” and give vendors the space to fill in the “how.” 

Establish the beachhead: Stories are powerful catalysts of change. Rather than making a generic argument for change that may be too abstract for decision-makers, find a real world example where the business need is best met through something new. Success of a test case will create a curiosity for more.

Invest in the team: As I mentioned in recent content, “there is a subtle, but important, mindset shift that must happen in the perspective of the buyer as they transition” from invitations to bid to best value solicitations. The mindset change towards true best value needs to be amplified with skills in system design, alternatives analysis and consultative processes.

Commit to value for the customer: Our staff may feel overwhelmed and need new energy. Business units are always in a hurry and may be trepidatious about work that impacts schedules. CPO’s have a critical role as leaders both for their internal teams, and with their business unit peers, about the value in finding the right tools for the job.