More Related Content Similar to Redefining Success Through Digital Procurement Services: WNS Denali (20) More from SheetalSharma899215 (8) Redefining Success Through Digital Procurement Services: WNS Denali1. 0 © Copyright 2020 WNS (Holdings) Ltd. All rights reserved
© Copyright 2020 WNS (Holdings) Ltd. All rights reserved
How to Build a Roadmap for
Your Digital Transformation
HANDBOOK
2. 1 © Copyright 2020 WNS (Holdings) Ltd. All rights reserved
Are you just getting started or further along on your digital journey?
No matter where you are, now is the time to accelerate…
A note from the author, Christopher Eyerman
Prior to the disruptive impact of COVID-19, many Procurement organizations were on some
path toward digital transformation. They were seeking to become more agile, automated, and
intelligent. Other companies were assessing their next move or watching from the sidelines.
Today, we are seeing the accelerated urgency to digitize our procurement function. We
need to move from hype to action - now is the time to get going with our digital strategies.
With all the cool new AI and intelligent technologies emerging, it’s tempting to put what troubles
you in procurement aside and focus on the shiny technology. I see some procurement
practitioners rush with the technology enablement piece without considering the connectedness
with their strategy, people and processes. Digital transformation isn’t only about incorporating
new technologies and tools, it also requires mastering your procurement ecosystem.
Digital transformation can be daunting, no matter where you are in your overall journey. So, I
partnered with our client teams, digital technology groups, procurement excellence team, and
marketing department to design a comprehensive guide for you. Here are some of the
fundamental rules of the journey:
1. Align digital technology to your unique procurement ecosystem
2. Set a vision for your procurement function that supports digital
3. Self-assess your maturity and understand what that means for your digital choices
4. Follow proven best practices for a digitally enabled procurement transformation
Let’s get started!
Christopher Eyerman
Head, Innovation Lab
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Your Road Trip Itinerary in This Guidebook
Why Digital is More
Important Than Ever
Pages-03-05
1
2
Building a Vision and Plan
for Change
Pages-06-10
The Significance of Knowing
Your Digital Maturity
Pages-16-24
Best Practices and
Lessons Learned
Page-31
How Digital Transformation is an
Ecosystem Problem
Pages-11-15
How to Build a Unique
Digital Roadmap
Pages-25-30
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3
4
5
6
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3
First Stop: Why Digital is More Important Than Ever
Come gather round people
Wherever you roam
And admit that waters
Around you have grown
And accept it that soon
You’ll be drenched to the bone
If your time to you is worth savin
Then you better start swimmin or
you’ll sink like a stone
For the times they are a-changin
- Bob Dylan
‘The Times They Are
A-Changin’ with the Digital
Transformation of Procurement
Throughout this guidebook, we will share our favorite
road trip songs with you. You can listen to the Spotify
playlist and add your own songs here.
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Digital is Top Priority for Chief Procurement Officers Today
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We recently polled procurement leaders about their top initiatives to
increase the strategic impact of their procurement organization.
The data proved that digital transformation was the top priority. In fact,
83 percent of CPOs have implemented digital tools. Yet, only 28
percent see a positive ROI from their investments.
Why is there such a big disconnect between the appetite for new
technology and user adoption that leads to actual benefits?
Often, procurement practitioners rush to implement a new, sexy
technology solution without considering the connectedness of the
procurement ecosystem.
As a procurement practitioner, knowing where you are today and how
technology enables your ecosystem helps you build a strong
foundation for a digital transformation.
83%
CPOs have
implemented
digital tools
43%
aren’t
consistently
seeing value
29%
implementation
is ongoing
28%
report great
adoption
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Industry Analysts Agree That Digital Transformation is a
Necessary Step for Increased Strategic Impact
If you take a quick look across industry analyst reports, you will see a common theme: digital transformation
is more about transforming the organization than acquiring and adopting emerging technologies.
• “Today’s enterprises need to rethink global operating models, transform offshore/onshore operations, and harmonize
processes globally. To compete effectively in their markets, organizations should integrate new technologies to
automate processes and having access to more granular data to drive greater business insights.” – Alison Close, IDC
• 55% of enterprise clients expect changes in their business priorities post-COVID-19.“We will emerge with a whole new
wave of digitally-agile, data-savvy and super-energized businesses that do not rely on the legacy infrastructures of old.”
- HFS
• Procurement Leaders reported that fewer than 10% of companies have deployed procurement solutions based on key
technologies such as Big Data, the Internet of Things, or Blockchain.
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Second Stop: Building a Vision and Plan for Change
Ch-ch-changes
Turn and face the strange
Ch-ch-changes
Just gonna have to be a
different man
Time may change me
But I can't trace time
changes
- David Bowie
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Business
Results
Time
Failure to Launch
Failure to Sustain
Failure to
Scale
Stay Agile and Intentional: Approach Transformation as a Journey
Scale & Evolve: Mature Ecosystem
▪ Foster a collaborative and results-oriented culture
▪ Invest in fully integrated approach for business planning
▪ Evaluate your roadmap and vision
▪ Evolve competency development strategy
▪ Accelerate and scale use of AI tools and advanced analytics
▪ Drive digital transformation across the entire business
Sustain: Optimize & Consistently Apply
▪ Optimize and consistently apply processes and platforms
▪ Focus on proactive execution and collaboration
▪ Develop key supplier partnerships and risk capabilities
▪ Implement technology point solutions to augment platforms
▪ Experiment with RPA and other AI tools
▪ Expand analytics across procurement
Launch: Build the Foundation
▪ Perform an honest maturity assessment
▪ Define and share your vision
▪ Standardize processes, tools and templates
▪ Build competency development strategy
▪ Map data maturity and deploy core procurement analytics
▪ Select and deploy core technology platforms
Your transformation journey will have many potential points of failure. It is important to recognize this, anticipate the gaps, and
be agile enough to adapt to anything you didn’t see coming your way (look out, pothole ahead!). We consistently see three
common points in failed Digital Transformations : failure to launch, sustain and scale.
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Every Journey Starts with a Strong Strategic Vision
60%
Have a clearly documented
Vision and value proposition for
procurement
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If you are planning a road trip with
family and friends, you should:
✓ Research your options
✓ Read reviews and ask for
recommendations
✓ Pick a great destination
If you are embarking on a digital
transformation, you should:
✓ Spend time with key stakeholders
and team members
✓ Align to your business strategy
✓ Develop your vision
A strong vision determines your intention and direction. Your vision
statement is the vision for the overall procurement function, and your
digital transformation should support this ideal outcome.
• If your vision is to be a lean optimized touch-less transactional
powerhouse, you can align your technology to this goal.
• If you envision being a strategic and collaborative business
partner who aims improve stakeholder experiences with external
parties, the same technology roadmap will not work.
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Our Approach to a Successful Digital Transformation Roadmap is Grounded in
These Three Guiding Principles
Many procurement organizations identify and implement technology for their current state. You
should refrain from making the same mistake! Reflect on the future state and the way you will
sustain change through technology. Remember, a person or organization without a vision for
the future will always return to the past. Ask yourself these questions to develop a vision that is
aligned with your unique ecosystem and business goals too. We are here to help too!
▪ What is our current state of maturity across each procurement dimension?
▪ What gaps exist in our current operating model, policy and processes?
▪ Which opportunities can enable step-change improvements and accelerate our transformation
journey?
▪ Are your current service providers and partners the right choice for your transformation?
▪ What is our “North Star” and what is realistic to achieve over the next 3-5 years?
▪ Is our vision and strategy tightly aligned with the business and linked with annual planning?
▪ Do we have the right people, processes and technology to reach our goals?
▪ How do we monitor progress and identify opportunities to accelerate our journey?
▪ What metrics should be monitored and how will we measure value delivered?
Understand Your
Current State
Focus on
Implementation
& Sustainability
Envision Your
Future State
9
▪ How will we manage and sustain change, communicate and integrate with the business?
▪ Do we have enough resource capacity to build the foundation and implement?
▪ How will we develop competencies and capabilities while improving engagement?
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Craft Your Own Unique Vision Statement for Your Procurement Organization
Our vision is to become a strategically aligned and
integrated procurement organization that focuses on total
business alignment with our stakeholders, supported by
use of consistent and proven methodologies, automation,
and analytics to agilely achieve 95% spend under
management within the next three years.
Yogi Berra once said, “If you don’t know where you are going, you will end up someplace else.”
No two organizations are the same. Every journey will look and feel different. And that is because
every business has different priorities. You can adjust as you go but selling a big and bold vision is
important. Below is a sample vision statement for you to use as an inspiration for building your own:
Your vision should be
timebound with a
destination in mind.
Create a vision that
stretches and challenges
you but is still achievable.
Stay relevant and ensure your
vision takes you on a journey
that addresses your highlighted
opportunities.
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11
Third Stop: How Digital Transformation is an Ecosystem Problem
Sometimes the light's all shinin' on me;
Other times I can barely see.
Lately it occurs to me what a long,
strange trip it's been.
Truckin, The Grateful Dead
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Technology Enablers Must be Mapped to Your
Unique Procurement Ecosystem…
All leading procurement organizations place an increasing focus on
digital technology as a critical element of their overall procurement
ecosystem. Your ecosystem encompasses process, policy, talent,
data, knowledge and the supplier community.
Next, we will describe an approach to build a multi-year digital
roadmap development that focuses on the overall business
imperatives and the procurement organization goals.
Technology must be assessed in the context of the overall
procurement ecosystem, specific business objectives, and company
culture: nothing exists in isolation.
A sound procurement transformation methodology will have a
firm grounding in:
▪ total business objectives
▪ procurement’s future state vision
▪ an honest maturity assessment of readiness and current
technology
12
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Let’s Explore Your Procurement Ecosystem
Your procurement ecosystem is a highly interconnected
network of co-existing elements:
▪ Stakeholders
▪ Business imperatives
▪ Suppliers
▪ Third-party partners
▪ Data (internal)
▪ Intelligence (external)
▪ Enabling tools and systems
(which ensure this ecosystem
functions in harmony)
You can read more about the
ideal procurement ecosystem
and why it matters in this
Harvard Business Review article.
13
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Always Link Your Vision Statement to Your Procurement Ecosystem Elements
Sample vision statement:
“Our vision is to become a strategically aligned and integrated procurement organization that
focuses on total business alignment with our stakeholders, supported by use of consistent and
proven methodologies, automation, and analytics to agilely achieve 95% spend under
management within the next three years.”
Ecosystem Elements (Example) Current State (Example) Vision Alignment (Example)
Stakeholders
Some strong relationships, but mostly
reactive communications
Focus on total business alignment
Strategy & Planning Procurement viewed as tactical
Business-aligned vision & strategy for procurement as a
trusted adviser
Policy & Process
Core processes established, but high error
rates and low global alignment
End-to-end processes optimized, ongoing continuous
improvement
Knowledge & Capability Procurement talent strategy not defined
Talent strategy drives recruiting, retention and ongoing
competency development
Data & Information
Low data credibility, limited visibility to core
procurement data
End-to-end data mapped, analytics supporting insights
across functions
Technology
Core Source-to-Pay (S2P) platforms
deployed, but disjointed and inconsistent
adoption
Key platforms optimized, point solutions identified &
providing value. RPA, AI technologies implemented
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What Does Your Unique Procurement Ecosystem Look Like Today?
Your turn! Take time to map out the elements to be impacted by the digital improvements that you are exploring.
Below is a sample table that you can use to brainstorm your priorities with an ecosystem-first mindset.
Your vision statement:
Ecosystem Components Your Current State Your Vision Alignment
Stakeholders
Strategy & Planning
Policy & Process
Knowledge & Capability
Data & Information
Technology
Category Managers
Suppliers
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Fourth Stop: The Significance of KnowingYour Digital Maturity
And everything looks so complete
When you're walking out on the streets
And the wind, it catches your feet
Sets you flying, crying
Ooh wee, wild night, is calling
Van Morrison – Wild Night
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Defining the Maturity of the Overall Procurement Ecosystem
“Maturity” is simply a candid assessment of the current state of development
or how far along you are on your journey relative to the key dimensions of
your procurement ecosystem. For example, a process would have a low
maturity if it is:
▪ not well defined
▪ inefficient and labor intensive
▪ not consistent across the organization.
We use maturity models that embody the experiences and best practices
across many procurement organizations.
Remember, there is no good or bad maturity level. Also, there is no value
in considering a high or low maturity “score” as better than the other. Instead,
the focus is purely on making a candid and clear assessment to drive action,
priorities and sustainable value from our transformation roadmaps.
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Why an Honest Assessment About the Maturity of
the Overall Procurement Ecosystem is a Must
Large High-tech Manufacturer
Before assessment: A young procurement
organization going through a transformation that would
require stakeholders to work with procurement using a
highly-disjointed email process.
After maturity Assessment: The team realized that
speed and User Experience (UX) were a top priority for
their business. So, they streamlined the intake process
and UX to ensure quick adoption before rollout, and
then focused on procurement technology
improvements.
Have you ever completed an honest assessment of your procurement maturity?
If not, it’s time to take a step back and assess your situation before you start on the road trip. Are
you starting out in a vintage Volkswagen bus with a leaky roof? Are your stakeholders ready for a
cross-country drive, or do they think you’re going on a local day trip? Do you have Dramamine?
In all seriousness, your self-assessment is instrumental to your success and the path
forward.
Here are some examples:
Large Defense Manufacturer with Fragmented Operations
Before assessment: The team was planning to sign a
contract for a massive Procure-to-Pay (P2P) system
implementation that would unify all purchasing and ordering
across all plants in North America.
After maturity assessment: They realized that the process
maturity and organizational readiness for change were not
strong enough for this effort. So, they started slow and opted
for a phased rollout that targeted the two largest plant
locations first.
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▪ Procurement data mapping, maturity
▪ Descriptive / Diagnostic / Predictive
▪ End-to-end connected data - spend,
Source-to-Contract (S2C), P2P,
contract, supplier, market
▪ Multi-year procurement vision alignment
▪ Assessment and transformation roadmap
▪ Strategic category management approach
▪ Smart RPA and Chatbots
▪ Machine Learning (ML), Natural
Language Processing (NLP), neural
networks and deep learning
▪ Cognitive (intelligent interactions)
▪ Automate core S2C and P2P processes
▪ Targeted point solutions (e.g., tail spend,
market intelligence, knowledge)
▪ Platform optimization and adoption
▪ Value stream optimization
and Lean Six Sigma
▪ Change management and
optimization
▪ Quality management system
▪ Dimensions of procurement effectiveness
▪ Strategic to operational activity alignment
▪ Resources and competency development
▪ Deep stakeholder partnering
▪ Joint vision, governance and performance
▪ Internal (business) to external (supplier) alignment
Embrace a Digitally Enabled Procurement Transformation Framework
To be successful, adopt agile execution best practices that support your enabling digital technologies.
Your maturity in these areas will help guide your focus and priorities:
Strategy &
Planning
Procurement
Data &
Analytics
Total
Business
Alignment
Intelligent
Automation,
AI
Technology
Core
Platforms &
Point Solutions
People,
Domain
Expertise
Next-gen
Operating
Model
Process &
Operational
Excellence
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A Snapshot of Enabling Digital
Technologies: Procurement
Data and Analytics
Next, we will take a
high-level view into the
landscape of the key
digital building blocks
that procurement
organizations are using
today to construct their
digital roadmaps.
All procurement insights, decision-making, processes and
operations are enabled by connecting data and information
with key procurement stakeholders. Data underpins and
flows through all digital tools. We want to connect and
leverage ALL data across the procurement ecosystem as
the basis for your digital technology roadmap.
Data management
includes the key activities
for data capture, data
processing / harmonization,
data quality (cleansing,
classification).
Data governance
provides the overarching
management system to
drive a data and analytics
culture.
Tools to support procurement data
and analytics include:
▪ Spend and procurement
analytics platforms
▪ Customized advanced
analytics solutions
▪ Data visualization tools
▪ Underlying AI technologies, including ML
and Big Data Engineering
20
We recommend that you reference the various procurement
analyst publications for a deeper assessment on the capabilities
available in each of these areas.
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Core platforms include sourcing /
RFx / auction tools, contract
management, supplier performance /
risk / information, requisition / PO,T&E,
invoicing and payment tools.
A Snapshot of Enabling
Digital Technologies: Core
Platforms and Point Solutions
Core platforms are the foundation of your digital
ecosystem that automate your core S2C and
P2P processes. Point solutions help you
address core areas of targeted value such as
tail spend and market intelligence. Point solutions refer to additional
sub-processes or functions in the
procurement spectrum that can be
automated or enhanced with digital,
including:
▪ Project and savings tracking
▪ Tail spend management
▪ Market intelligence
▪ Intelligent contracts
▪ Knowledge management
21
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A Snapshot of Enabling Digital
Technologies: Intelligent
Automation and AI Technology
Intelligent automation and AI technology encompasses a variety of
technologies, analytics, algorithms and software “bots.” The goal is to
automate error-prone human tasks and distill actionable insights from
mountains of information. The application of AI and Intelligent Automation
technologies is rapidly evolving, including:
RPA automates
repetitive, high-volume
procurement tasks like
PR processing,
supplier adds,
workspace creation
and data validation
Digital assistants
(Chatbots) simplify
the buying
experience and
automate queries
and statuses
ML algorithms are in an
increasing array of applications
including spend data classification,
contract terms matching,
synthesizing unstructured market
data, and learning buying and
bidding patterns
Deep learning
tackles data-heavy
applications such
as speech
recognition and
image processing
NLP allows a computer
to intelligently interpret
human text and voice,
with applications in areas
such as contract
document reviews and
digital assistants
22
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Key Assessment Dimensions
for Digital Maturity
Level 1 Level 2 Level 3 Level 4 Level 5
Process standardization
& adoption
Largely manual processes
Core procurement
processes defined
Core processes optimized and
adopted across company
Beginning to standardize end-to-end
processes
End-to-end procurement processes
optimized and adopted
Technology landscape,
standardization & automation
Few and archaic technology
systems
Establishing &
standardizing core
procurement platforms
Optimizing core platforms,
augmenting with key point
technologies
Technology and automation
implemented in most areas
End-to-end, seamless automation
Connectivity between
systems
Disparate and disconnected
systems
Identifying key linkages for
core platforms
Key linkages defined and
automated across core
systems
Mapping and refining linkages across
all procurement systems
Connected procurement ecosystem
Data Maturity – availability,
access, quality
Poor availability and access
to procurement data; No data
credibility
Core spend data captured,
cleansed, available
End-to-end data mapped and
improvement plan initiated
Improving data maturity; Core data is
accessible, mature, connected
End-to-end connected procurement
data & Information; Data value
beyond procurement
Analytics penetration
& maturity
No analytics capability, other
than spreadsheets
Core spend and data
analytics established,
dashboards developing
Analytics supporting insights for
core functions; Expanding
analytics beyond spend to
contracts, S2C, P2P data
Leverage predictive analytics in key
functions
Advanced analytics driving forward-
looking insights across business
functions
AI and Advanced
Technologies adoption
None
Starting to consider and
build business case
Piloting RPA projects,
experimenting with AI tools
Accelerate and scale use of AI tools -
RPA, chatbots, ML, NLP, Big data
AI and Advanced Technologies
seamlessly integrated within digital
ecosystem
Organizational Readiness
and digital culture
Lacks digital vision, strategy;
Limited digital understanding
and skills within procurement
Organization recognizes
need for digital readiness,
beginning to explore
Digital vision, strategy initiated;
Foundational training; Hiring for
key digital capabilities
Executing on key strategic digital
initiatives; Digital acumen increasing
across procurement organization
Holistic digital strategy being
executed; Procurement driving digital
transformation across business
The Importance of Understanding Your Digital Maturity
A maturity model is a useful tool to make a candid assessment of your current state. By now, you know the importance of your future
vision. But if you are not clear on where you are today, then your path forward towards your vision may be on shaky ground. A clear
assessment of your current state also helps to inform where you place your priorities and investments at each step of your
roadmap. With scarce resources, it is even more paramount to ensure you are using them wisely.
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Key Assessment Dimensions
for Digital Maturity
Level 1 Level 2 Level 3 Level 4 Level 5
Process standardization
& adoption
Largely manual
processes
Core procurement
processes defined
Core processes optimized and
adopted across company
Beginning to standardize
end-to-end processes
End-to-end procurement
processes optimized and adopted
Technology landscape,
standardization &
automation
Few and archaic
technology systems
Establishing &
standardizing core
procurement platforms
Optimizing core platforms,
augmenting with key point
technologies
Technology and
automation implemented
in most areas
End-to-end, seamless
automation
Connectivity between
systems
Disparate and
disconnected systems
Identifying key linkages
for core platforms
Key linkages defined and
automated across core
systems
Mapping and refining
linkages across all
procurement systems
Connected procurement
ecosystem
Data Maturity – availability,
access, quality
Poor availability and
access to procurement
data; No data credibility
Core spend data
captured, cleansed,
available
End-to-end data mapped
and improvement plan initiated
Improving data maturity;
Core data is accessible,
mature, connected
End-to-end connected
procurement data & Information;
Data value beyond procurement
Analytics penetration
& maturity
No analytics capability,
other than spreadsheets
Core spend and data
analytics established,
dashboards developing
Analytics supporting insights
for core functions; Expanding
analytics beyond spend to
contracts, S2C, P2P data
Leverage predictive
analytics in key functions
Advanced analytics driving
forward-looking insights across
business functions
AI and Advanced
Technologies adoption
None
Starting to consider and
build business case
Piloting RPA projects,
experimenting with AI tools
Accelerate and scale use
of AI tools - RPA, chatbots,
ML, NLP, Big data
AI and Advanced Technologies
seamlessly integrated within
digital ecosystem
Organizational Readiness
and digital culture
Lacks digital vision,
strategy; Limited digital
understanding and skills
within procurement
Organization
recognizes need for
digital readiness,
beginning to explore
Digital vision, strategy
initiated; Foundational
training; Hiring for key digital
capabilities
Executing on key strategic
digital initiatives; Digital
acumen increasing across
procurement organization
Holistic digital strategy being
executed; Procurement driving
digital transformation across
business
Your turn: What is Your Digital Maturity?
Below, we have provided a simplified maturity model, wherein you can quickly assess the current state of your organization across
several key dimensions. To complete the assessment, select the level you most identify within each dimension of maturity.
Feeling stuck in first gear? Here is an example: if you have your core
processes defined, but perhaps not fully optimized and standardized across
the company, you will put a checkmark in the box for Level 2 for “Process.”
This is a great starting point to help focus where you may need to prioritize
across these dimensions, and we will also look at the aggregate maturity to
assess broadly the key focus areas that may be most appropriate.
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25
Fifth Stop: How to Build Your Digital Roadmap
Let's get it on,
You know what I'm talkin’ about
Marvin Gaye, Let’s Get It On
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Establish
Foundation
Augment and
Experiment
Accelerate and Scale
Automation
Mature Digital
Ecosystem
Manual
World
▪ Mostly manual
processes
▪ Disparate and
disconnected systems
▪ Limited access and
visibility to
procurement data
▪ Establish and
standardize core
procurement platforms
▪ Define core
procurement
processes
▪ Map data maturity and
initiate core spend and
data analysis
▪ Optimize core
platforms and
augment with key
point solutions
▪ Pilot RPA projects
and experiment
with AI
▪ Improve data
maturity and
expand analytics
▪ Accelerate and scale
use of AI tools – RPA,
Chatbots, ML, NLP,
and Big Data
▪ Ensure core data is
accessible, mature,
and connected
▪ Leverage predictive
analytics in key
functions
▪ Automate end-to-end
systems
▪ Build a connected
procurement ecosystem
▪ Use advanced analytics
to drive forward-looking
insights across business
functions
▪ Drive digital
transformation across
the business
Level 1 Level 2 Level 3 Level 4 Level 5
A Framework for Building Your Digital Roadmap
Figuring out where to start depends on your procurement organization’s maturity, future state
vision, and organizational readiness for change. There is no “wrong” level to start. You
provide value at every level. Candidly assess your current maturity level and 3 to 5-year vision
to build a truly actionable digital roadmap.
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Understanding
Your Maturity
Ranking and
the Way to
Move Forward
In our experience with clients,
there are foundational principles
and core technology elements
that follow a natural progression.
This journey demands
consideration for process maturity,
procurement data and analytics
maturity, and organizational digital
readiness and maturity.
Level 5: You are Cruising Along – Great Job! – Continue to optimize and
press toward additional emerging technologies. After all, you should always be
learning and evolving.
Level 1-2: Establish Foundation – Focus on establishing your core
procurement platforms, including source-to-contract platform (or best of breed
sourcing and contract tools) and procure-to-pay platform (or Req-to-PO if payment
is solidified in the ERP). To enable these, you must define and standardize your
core processes for these areas. Next, get a handle on your core spend and
procurement data. Then, you can establish a scalable analytics capability.
Level 2-3: Augment and Experiment - The roll out and adoption of your
core platforms is essential. Continue to optimize your platforms and
associated processes. Now is a great time to address key point solutions for
new opportunities, such as automated tail spend management or guided
buying chatbots. You can experiment with RPA and other AI tools too. Focus
on increasing your data maturity and expanding analytics capabilities to
keep evolving in your journey.
Level 3-4: Accelerate and Scale Automation – Explore all the ways you can
gain expertise in advanced technologies. Accelerate and scale more automation
and technologies to create an end-to-end connected digital ecosystem. Uncover
ways to expand your analytics across all your procurement data and implement
predictive analytics. Then, you can gain more forward-looking insights.
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28
Last Stop: How to Get Started
Get Going on Digital
Procurement Transformation
It’s time to move on, time to get going
What lies ahead, I have no way of knowing
But under my feet, baby, the grass is growing
It’s time to move on, it’s time to get going
Tom Petty - Time to Move On
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Next Steps for Building Your Own Digital Roadmap
The quick assessment and this guidebook should give you a sense of what you should be thinking about,
and what goes into building a digital roadmap. Now to put this into practice, we have some
recommendations on how to take the next steps:
Engage a broader set of
stakeholders and functional leaders
Host vision setting workshops
Dive deeper into current
maturity, assess technology and
maturity in each procurement
process area (category
management, sourcing, etc.)
Complete an overall
ecosystem assessment
Map out year-over-year objectives
for next 3-5 years and cascade that
to each of the major dimensions of
your digital maturity in order to
build your roadmap
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Example of a High-level Digital Transformation Roadmap
To help you get started, here is a high-level illustration of what a roadmap should look like. You’ll want to design your own, but
this will get you started with a clear vision statement, a 3 to 5-year plan, with progression and objectives to build towards that
vision, and critical ecosystem dimensions that connect with technology in your organization.
Direction Setting:
Establish Your
Procurement Vision
______________
Work Processes:
Assess Existing
Work Processes &
Technology
______________
Enablers:
Map Data Maturity
______________
Direction Setting:
Determine Core
Procurement Platforms
______________
Work Processes:
Implement Sourcing
and Contracting
Technology
______________
Enablers:
Launch Spend
Analytics Technology
and Services
______________
Direction Setting:
Set a Platform
Optimization Plan
______________
Work Processes:
Introduce
Prioritized
Automation
______________
Enablers:
Market Intelligence
Sources and
Processes
______________
Direction Setting:
Embed Long-term
Automation Vision
and Objectives
______________
Work Processes:
Start to Use
Predictive Analytics
to Fuel Portfolio
______________
Enablers:
Linkages
Established
Between Enablers
______________
Direction Setting:
Optimize End-to-
End Procurement
Technology
______________
Work Processes:
Complete and
Visible Flow of
Procurement Data
______________
Enablers:
Advanced
Technology and
Mature Linkages
______________
YEAR 1
YEAR 2
YEAR 3
YEAR 4
YEAR 5
Current
State
Where are
we now?
Future
Procurement
Vision
What do we
want to be?
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3 Best Practices to Activate Your Digital Roadmap
Consider these best practices that will ensure you develop a great roadmap.
Include stakeholders who have a stake in
digital enablement and procurement.
Engage a broader set of stakeholders and functional
leaders who are part of the digital enablers and
procurement ecosystem enhancements. Explain what
this means for them as an individual. You will catch the
attention of any C-level executive when you focus on
growth and risk as part of the process and outcomes.
Maintain a strong focus and
consider urgency.
Your digital roadmap will not be perfect on the first
draft. Give yourself the space to review the plan
often and make changes based on lessons learned
and stakeholder feedback. Putting your roadmap into
action will require you to plan for agile, flexible,
and sustainable “pit-stops” along the way.
Roadmap and transformation
planning is hard work.
To maximize your change management
success, you need a friend in marketing or
communications. They can partner with you
on a solid internal branding campaign to
boost engagement and adoption.
31
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Contact Us
Need help building your
own digital roadmap?
We are here to help!
Talk to our team:
Denaliusa.com/contact
Gain more inspiration:
Denaliusa.com/solutions
Listen to our playlist:
http://denaliwns.com/digital-
roadmap-spotify
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