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Social media for procurement professionals


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Social media for Procurement Professionals workshop at International Supply Management Congress 2012, RAI Amsterdam by Ruud Olthoff, CPO Rabobank

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Social media for procurement professionals

  1. 1. Carolyn Ridsdale 2011SOCIAL MEDIA FOR PROCUREMENT PROFESSIONALSDrs. Ruud Olthoff MBA, CPO Rabobank
  2. 2. Ruud Olthoff196214 years RabobankCPO Rabobank Group PurchasingDirector Sales Rabo MobileManager Virtual RabobankManager Marketing & Sales Retail 2
  3. 3. Experiences of a digital migrant• Digital migrant: pré-internet, pré-mobile• No innovator, but early adapter• No web-nerd, or digi-evangelist• Relatively new in procurement• Hope to: arouse curiosity and trigger trial behaviour• My truth, should not necessarily be yours• If I can do it, so can you!
  4. 4. Research Project “Social Media for Procurement & Supply Chain Management Professionals”Presented at Annual IPSERA conference Naples, Italy 1-4 April 2012 Frank Rozemeijer Nadine Kiratli Ruud Olthoff
  5. 5.
  6. 6. Social media revolution• 2.4 billion social network accounts worldwide• 1.5 billion people using social network sites• High awareness: Facebook 100%, Twitter 80%• Facebook biggest: 800+ users end 2011• In 2012 the social media landscape has become rather stable• The world is not waiting for the next social network: no need for something new, no intention to quit• Mobile is the accelerator for social media usage: 51% internet users have a smartphone Insites Consulting Social Media Around the World 2012
  7. 7. Social media is more than just Facebook!!!
  8. 8. Main criticism, why not?• It takes too much time• It’s risky (‘Elephant’s memory’)• My clients/environment/colleagues don’t use it• Unclear rules: what (NOT) to do?• Personal/professional life gets blurred• Cannot access social media sites at work (still 55% of the world!)
  9. 9. Social media in business?
  10. 10. Social media in business is B2CProcurement is not on top of the social media list Accenture 2011 US companies N= 200
  11. 11. Most companies do not fully leverage the potential of social media
  12. 12. Social networking by procurement profsSocial media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011
  13. 13. Popular networks amongst buyersSocial media usage in business for buyers = LinkedInSocial media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011
  14. 14. IT buyers are active on social media IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012
  15. 15. 77% buyers believe their social media usage will growSocial media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011
  16. 16. … and influences the entire process IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012
  17. 17. Why do buyers participate? Information gathering!Social media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011
  18. 18. … and learn from trusted peers!IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012
  19. 19. Reasons for use?
  20. 20. Need for speedNeed for innovation SocialComplex organisations MediaIncreased collaborationNeed for information
  21. 21. Three ways to leverage Social Media1. Market Intelligence  Transparancy • Exchanging key information & best practices • Scanning supply markets for new suppliers • Tracking career of key supplier contactpersons2. Peer engagement  Connect & join communities • Share information from trusted colleagues about suppliers and products3. Supplier collaboration  Interact & Collaborate • Use SM as a channel for negotiation, relationship building as well as continous improvement with suppliers
  22. 22. How can you, as a buyer, use social media?
  23. 23. Market intelligence
  24. 24. How did I use to do it?• Member of the professional association• Read the professional magazine• Went to a congress• Followed a course, or a seminar• Talked to colleaguesProfessional development
  25. 25. What do I do now?And much more….
  26. 26. What are the top-10 procurement sites and blogs (in English)?Name your favorite top-3!Here are some good examples:
  27. 27. 1. www.supplymanagement.comUK daily purchasing and supply news and jobs at the logistics and supplychain news site by CIPS, the Chartered Institute of Purchasing & Supply:the biggest! > 24k viewers pm
  28. 28. 2. blog.procurementleaders.comUS membership-led community for international procurement,sourcing and supply chain management executives, see #2nd 12k viewers
  29. 29. 3. www.supplychaintoday.comU.S. Supply chain & business portal. An informational basedwebsite integrated with social media (@SupplyChainBlog). Big ontwitter, now on Facebook. Many films and tutorials.
  30. 30. 4. www.CPOagenda.comUK based, international business review designed specifically forchief procurement officers and senior purchasing and supply chainexecutives in larger organisations.
  31. 31. 5. year old, worldwide procurement blog by Cap Gemini (sponsored)
  32. 32. 6. knowledge resource dedicated to corporateprocurement professionals, at both the executive and operationallevels
  33. 33. 7. www.scdigest.comU.S. web site for supply chain management and logistics practioners,news, case studies, weekly newsletter, video’s.
  34. 34. 8. www.supplychainquarterly.comU.S. web site and free app of the CSCMP, Council of Supply ChainManagement Professionals quarterly magazine.Mirrors the paper magazine.
  35. 35. 9: CPOrising.comSponsored media site (by Ardent) for CPO’s and other supplymanagement executives, focused on procurement and supplymanagement.
  36. 36. 10: purchasinginsight.comSponsored blog on e-procurement, P2P and electronic invoicing(software)
  37. 37. Other interesting sites and blogs•••••••••• planning••••
  38. 38. Getting your newsRSS-reader: reading all digital magazines, blogs and sites of yourchoice in your own, real-time collected newspaper
  39. 39. RSS-readers as AppVia RSS-reader-app on your iPod/iPhone/iPad:Google, Reeder, Feedly, Pulse, Currents
  40. 40. RSS-feeds in Outlook, even at work
  41. 41. Storing, retrieving and sharing sources Tagging • In Windows: favorites • Tagging software: Delicious (or Evernote, etc)
  42. 42. Finding and sharing presentations
  43. 43. E-learning tools for procurementApps E-books•SCM Terms •CRICS contractmgmnt•Einkaufslexikon •DEAL! (app end nov 2012)•SCM Supplier Strategies•Buying business travel Video learning •Procurement AcademyTraining•Procurement managementWiki’s•TenderNed•esourcingwiki
  44. 44. Peer engagement
  45. 45. Cooperation within
  46. 46. Intra company social networking• Social tools collaborative workflow: – Yammer – Sharepoint – Social-Go – Etc.• Aim:Integratingthe effort
  47. 47. My Sites
  48. 48. Peer networking
  49. 49. Finding colleagues and promoting careerProfessional social media:• LinkedIn-profile• LinkedIn search• Purchasing Groups on LinkedIn: – CPO-Club – Procurement professionals• Promoting yourself• React and interact• Finding jobs / colleagues• Starting a group• PS your supplier might also do this!
  50. 50. Networking collaboration with peersCollaboration platform:• Free website for business networking in procurement (USA)
  51. 51. Networking collaboration with peers
  52. 52. www.pianoo.nlDutch community and centre of expertise for publicprocurement: information, advice, instruments and practices:3.000 active users
  53. 53. www.sepp.nuDutch independant platform of Self Employed PurchasingProfessionals (SEPP)
  54. 54. Twitter: does it allTwitter is a microblog system, enables you to follow peopleand companies (and vice versa) and interact with themProfessional twitter usage: – Search #procurement #purchasing – Follow sites and blogs – Publish yourself: “if you’re twittering it, you are not doing it” – React and interact – Btw your supplier might also follow youIt’s all free!!
  55. 55. Active NL-social media buyers on twitter in 2011
  56. 56. Supplier collaboration
  57. 57. Source for better dealsSocial media are already an important buying decisions source for US SME buyers SMB Grouop Study Technology Buyers 2010 N=474
  58. 58. Following companies & suppliers (1)What do you do before meeting a new contact?  Name-GoogleBut there is more supplier information available: google trends and alerts
  59. 59. Following companies & suppliers (2)
  60. 60. … or real-time social media search
  61. 61. Following companies & suppliers (3) Free apps to check chamber of commerce status (NL)
  62. 62. Following companies & suppliers (4) On-line supplier rating by procurement profs
  63. 63. Social media public tenderingAanbestedingskalender: Dutch Public tendering website that brings parties together.
  64. 64. On-line outsourcing market places• Elance Online professionals• Freelancer Small business• eDesk Verified work• Guru Freelancers• Vworker Pay for deliverables• Scriptlance Programmers
  65. 65. Outsourcing networks
  66. 66. Outsourcing networks
  67. 67. New business modelscrowdSPRING: marketplace for logo & web design
  68. 68. On-line supplier networks• Ariba – #1 web based trading communityMoving towards social media business networks• Aravo Assure• TradeShift• Emporis (nu: IBM)• Crossgate (nu: SAP)
  69. 69. Does your procurement department already have an ‘App’ ?• UN Procurement Division: The first procurement department with their own app! With RFP’s and public tendering information
  70. 70. Collective buying?• EC Purchasing: An Apple and Android App for buying commodities at a discount. A kind of Groupon for buyers
  71. 71. Want to start?
  72. 72. How should you behave? Be curious
  73. 73. How should you behave? Be helpful: share Communicate: talk knowledge, give advice, to the people in yourintroduce people that might network, make them help important Be accessible: be an active contributor …and social: make contacts with many people and get truly involved Invest: give without expecting something in return, never take more than you might give
  74. 74. Interested?• Just do it• Before you know it, it might be of helpTIP 1:Start simple, give yourself the opportunity to learn:Start listening, before participating. Start inspiringothers, before inviting dialogue to your suppliers TIP 2: Don’t stumble into all networks, be selective: Choose the most valuable network for your company/yourself, and put energy into it. This implies some investment upfront, but it will pay off.