This webinar will deal with the myth that setting strategy is very complicated and is only achievable by the planet’s smartest minds. We have too long held the view that we are mere mortals and that the ability to create a strategy is beyond us — we should just accept our mediocrity and leave strategy creation to the boardroom. Craig will take down this perceived giant by breaking it down into its logical component parts. And … do it in just 3 pages!

1. ACHIEVING STRATEGIC
ALIGNMENT

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Welcome to the webinar

3. Craig Lardner
FCIPS
1994 Director of Procurement Australia and New Zealand for BOC
1997 CPO Chief Procurement Officer (Global) The BOC Group, based in London. 10 years.
Next 5 years in FMCG...George Weston Foods as Director of Procurement
Spent $5,000 per minute, non stop, for 20 Years
2011 formed Procurement Advisory Services
2012 Commissioned to the Australian NSW Government as advisor
Fellow of CIPS …the Chartered Institute of Procurement and Supply
Appointed to the global CIPS Congress …member’s choice, 3 year term
2013 Interim Managing Director of CIPS Australasia
2014 Global President CIPS
2015 Returned to Congress to complete the 3 year term
2016 Appointed to The Board
Australia, New Zealand and other international clients across private and public sector

4. KEEP CALM
I'M FROM
PROCUREMENT

5. Creating a procurement Strategy…on 3 pages
1. The difference between objectives and strategy…is it none?...or is it lots?
2. Starting with your Board executive goals…turning them into your job goals.
3. Distinguishing between the procurement team job goals…and your personal goals.
4. The cascading effect…from the chairman of the board…to just you.
5. Is your strategic alignment now in place?...the proof technique.

6. The difference between Strategy and Objectives …is it
none?...or is it lots?
Strategy is the (secret) game plan
Common characteristics:
It describes moves we will make
Deals with the bigger picture
Is all embracing
Is a longer term perspective
Is broader than it is specific
Its measure of success is a collection
of outcomes
Objectives are the outcomes you want
when the strategy works.
Common characteristics:
It describes results from actions taken
Deals in single pictures
Is not all embracing
Short, medium and longer term
perspectives
Is more specific than it is broad
Its measure of success is a specific KPI

7. Strategy
Superior fitness to outlast the
opposition
Own the last 15 minutes
One goal up with 20 minutes to go,
shut it down , close ranks,
possession is everything
Objectives
Punctuality matters, be at the ground
45 minutes before KO
For this away game we want one goal
to help our for/against ratio
Goalie not needed to make a save in
the first half
No yellow cards in front of our home
fans
The beautiful game...

8. Strategy in 3 pages
Vision
We will be...
Road Map
Enterprise Strategy
Our Values
From the Board
BU #2 SpecificBU #1 Specific
5-10 Organisational
Objectives & KPI's
X# Branch / Department
Objectives & KPI's
Our Mantra

9. Strategy in 3 pages
Vision
We will be recognised as the ground breaker and admired for our innovation
and implementation.
Road Map
Enterprise Strategy
Our Values
• Employee fulfilment
• Accountability and transparency
• Collaboration and stretch
Our Mantra: Just do it
From the Board
BU #2 SpecificBU #1 Specific
5-10 Organisational
Objectives & KPI's
X# Branch / Department
Objectives & KPI's
Real examples coming
Board Level:
Real Examples

10. Strategy in 3 pages
Vision
We will be recognised as a trusted advisor and a value-adding investment .
Road Map
Enterprise Strategy
Our Values
•Employee fulfilment
•Accountability and transparency
•Collaboration and stretch
Our Mantra: Collaborate or die
From the Board
BU #2 SpecificBU #1 Specific
5-10 Organisational
Objectives & KPI's
X# Branch / Department
Objectives & KPI's
Real examples coming
Procurement Team:
Real Examples

11. (Real Example) Enterprise Strategy …from the Board
1. Step change in productivity and efficiency.
2. Employee programs to drive engagement.
3. Profitable segmentation of our customer base.
4. Growth through selective acquisition.
5. Differentiation through new products and technology.
6. Build the brands.
7. Protect quality.
8. SCM as a core competency.
From the board

12. 1. Own a unique service offering differentiator.
2. Segment customer base by profitability.
Focus on major accounts
Profitable assets through a branch acquisition program
3. Build the heritage of the brand.
4. Collaborate in partnership with our OEM’s.
5. Revenue growth from:
Pursue customer demand that requires “technical”
service (heart surgeon not GP).
Decide what we are “in”, and what we are “not in”.
From the board
BU #1 Specific BU #2 Specific

13. 1. Capitalise on brand value and customer loyalty for profitability.
2. Revenue growth from:
3. Rationalise our footprint on branch network centres.
A premium brand customer experience
Market share growth by after sales service excellence
Selective acquisition where we have no power zones
From the board
BU #1 Specific BU #2 Specific

14. Strategy in 3 pages
Enterprise Strategy
1. Step change in productivity and efficiency
2. Employee programs to drive engagement
3. Profitable segmentation of our customer base
4. Growth through selective acquisition
5. Differentiation through new products and technology
6. Build the brands
7. Protect quality
8. SCM as a core competency
BU #1 Specific
1. Own a unique service offering differentiator
2. Segment customer base by profitability
• Pursue customer demand that requires
“technical” service (heart surgeon not GP)
• Decide what we are “in”, and “not in”
3. Build the heritage of the brand
4. Collaborate in partnership with our OEM’s
5. Revenue growth from:
• Focus on major accounts
• Profitable assets through a branch acquisition
program
BU #2 Specific
1. Capitalise on brand value and customer loyalty for
profiitability
2. Revenue growth from:
A premium brand customer experience
Market share growth by after sales service
excellence
Selective acquisition where we have no power
zones
3. ​Rationalise our footprint on branch network centres
Bringing it all together
….a 1-pager

15. Strategy
Clusters
Protect Quality
Foster innovation from the supplier base
Suppliers support our brands
Procurement Strategies Our actions to deliver on Strategies
Employee programs to drive engagement
SCM as a core competency
Collaboration in partnership with our OEMs
Active in acquisition program
…Supplier pre-qualification
…Supplier innovation workshops
…Joint supplier initiatives
...Pilot the employee program in procurement
...sponsor and run in-house training
…Share our sourcing tools with our OEMs
…Set procurement synergies cost saving goals
Products
&
Brands
People
&
Process
Markets
&
Customers
Financial
Performance
& Growth
My personal goals:
1. Design the pre qualification tool
2. Build skills in facilitation
3. Inject a creative person…learn it
4. Be a tester of the empoyee tool
5. Do train-the-trainer...to Cert IV
6. Visit 2 OEMs with the account mgr
7. Learn M&A procurement techniques

16. Creating a procurement Strategy…on 3 pages
1. The difference between objectives and strategy…is it none?...or is it lots?
2. Starting with your Board executive goals…turning them into your job goals.
3. Distinguishing between the procurement team job goals…and your personal goals.
4. The cascading effect…from the chairman of the board…to just you.
5. Is your strategic alignment now in place?...the proof technique.​
Apply ‘reverse-cascade’

17. Do your vision, values and
mantra support and fit the
board + BU strategy and goals?
Do the procurement goals and
strategy support and fit the
board + BU strategy and goals?
Do your personal goals support
and fit the procurement goals?

18. Creating a procurement Strategy…on 3 pages
1. The difference between objectives and strategy…is it none?...or is it lots?
2. Starting with your Board executive goals…turning them into your job goals.
3. Distinguishing between the procurement team job goals…and your personal goals.
4. The cascading effect…from the chairman of the board…to just you.
5. Is your strategic alignment now in place?...the proof technique.​
Have you ever been
this close to the
Chairman of the
Board?
BIG LOTS!
EASY
EASY

19. Q&A
cg.lardner@bigpond.com | +61 (0) 406 429 668