Download - KellyOCG Alejandro Builes
Finding Your True North in Services Procurement
KellyOCG
Alejandro BuilesPrincipal Consultant & COE Lead – Services Procurement
53rd Edition | 2018 | DC
Sourcing Industry Group’s Global Executive Summit
Alejandro BuilesPrincipal Consultant & COE Lead – Services Procurement
Finding your true northIN SERVICES PROCUREMENT
© 2018 Proprietary and Confidential to Kelly Services | 3
72 years designing and managing workforce solutions.
$8.3B spend under management 408,900+ contingent labor assignment 4,600 supply chain partners
© 2018 Proprietary and Confidential to Kelly Services | 4
Disruption is everywhere.
“Every CPO Should Know These 7
Contingent Workforce Trends”
“Europe’s Thirst for Cheap Labor Fuels a
Boom in Disposable Workers”
“As Industrial Supply Chains Undergo Digital Transformation, Talent Gaps Persist”
“Traditional Workforce Models are Constraining Business Growth – Being the Solution, Not the Problem”
“Uncertainty Permeates Labor & Employment Landscape, According To Bloomberg Law’s 2018 Outlook”
“The Power Shift Of Labor: Who Controls The Work Schedule?”
“AI and Human Understanding Will Win the War for Talent”
“Talent search: As need for expertise grows, so do staffing challenges”
“Hiring Pressures Mount As Talent Supply Tightens”
© 2018 Proprietary and Confidential to Kelly Services | 5
There are least four generations of talent in the workforce today –
each experiencing your organization through their own lens.
Born 1946-1963
Age 55-72 in 2018
Individualistic
Loyal
Career-focused
Born 1964-1979
Age 39-54 in 2018
Entrepreneurial
Self-reliant
Globally-minded
Born 1980-1995
Age 23-38 in 2018
Group-oriented
Idealistic
Socially-conscious
Born 1996-2010
Age 8-22 in 2018
Realistic
Aware
Technology Native
BABY BOOMERS GEN X GEN Y GEN Z
© 2018 Proprietary and Confidential to Kelly Services | 6
Today’s Objectives
• The World of work continues to rapidly
evolve
• Matching business strategies with the right
talent is critical to long term success
• It is difficult to optimize demand and supply
with a traditional approach in Services
Procurement
CHALLENGES
• A “Business First” concierge approach to driving
buying channel optimization
• How to deliver policy compliance while meeting
business objectives
• How to deliver sustainable demand management and
negotiated savings
• How to leverage program and behavioral data to create
meaningful analytics
YOU WILL LEARN
© 2018 Proprietary and Confidential to Kelly Services | 7
CHALLENGES
Today’s Focus
CONSEQUENCES
• Policies and strategies focused on procedural controls vs meeting demand
• Requisitioner’s preconceptions of how labor “has always been bought”
• Alienate the requisitioner
• Lack of program adoption
• Increased cost structures
INEFFICIENT
PROCESSES
• Lack of understanding and access to different labor channels
• Inexperience in managing work in an outcomes-based environment
• Lack of utilization of diversetalent and skills
ACCESS
TO TALENT
• Focus on data vs analytics• Holistic opportunities
not identified
INEFFECTIVE
ANALYTICS
© 2018 Proprietary and Confidential to Kelly Services | 8
Overcoming the challenges…
FOCUS ON
THE END USER
INCREASE
ACCESS
TO TALENT
LEVERAGE
INSIGHTFUL
ANALYTICS
© 2018 Proprietary and Confidential to Kelly Services | 9
Overcoming the challenges…
FOCUS ON
THE END USER
• End-user experience
drives adoption.
• Adoption ensures
compliance.
• Compliance
accelerates value.
INCREASE
ACCESS
TO TALENT
LEVERAGE
INSIGHTFUL
ANALYTICS
© 2018 Proprietary and Confidential to Kelly Services | 10
THE CASEFortune 50
Pharmaceutical
C H A L L E N G E S
Fortune 100 company with ~10B+
in Services Procurement spend
Traditional sourcing and
negotiations had not yielded
significant savings
With limited addressable spend,
client turned to demand
management levers to drive savings
Client launched new spend policies,
however they had significant
challenges with driving compliance
S O L U T I O N
KOCG created an operational model that would ensure compliance to spend policies and enable demand management savings
KOCG launched our Guided Spend solution with global team of SME’s to serve as pre-approval stage gate
Our BPM enabled decision tree technology allowed our global team to deliver demand management savings while guiding requisitionersto meet their business needs through the most appropriate buying channels
R E S U L T S
5 categories managed –Professional Services/SOW, Temp Staffing, Mgmt. Consulting, Memberships & Subscriptions, and Events
~$1B in spend under management, across all global regions
Our program enabled client to exceed 2017 savings STRETCHgoal by $11M
Demand Management savings across client BUs of ~8-10%
FOCUS ON THE END USER
© 2018 Proprietary and Confidential to Kelly Services | 11
DRIVING
BUSINESS
RESULTS
A P P R O A C HFocus on defining outcomes vs
how it’s always been bought
D E L I V E R A B L E SPremium End User Experience
Increased Program Adoption
Drives Compliance to Policyand Strategies
Optimized Savings/Value Creation
“I have a need for contractor/services…”
“Let’s identify your optimal solution”
Temp
Staffing
Project
Services
Outsourced
Services
Client’s Requistioner Concierge Solution
FOCUS ON THE END USER
© 2018 Proprietary and Confidential to Kelly Services | 12
• Basic principle of guiding to “best
fit” labor channel in order to open
up a PO
• Limited additional benefits to
downstream purchasing
effectiveness
TYPICAL CONCIERGE APPROACHEVOLUTION
OF THE
CONCIERGE
APPROACH
FOCUS ON THE END USER
© 2018 Proprietary and Confidential to Kelly Services | 13
• Introduces pre-approval and
controls earlier in purchasing
life cycle
• Leverages technology and SME to
“get it right the first time”, while
driving compliance & value
GUIDED WORK SOLUTIONEVOLUTION
OF THE
CONCIERGE
APPROACH
FOCUS ON THE END USER
© 2018 Proprietary and Confidential to Kelly Services | 14
INCREASE
ACCESS
TO TALENT
Overcoming the challenges…
FOCUS ON
THE END USER
LEVERAGE
INSIGHTFUL
ANALYTICS
INCREASE
ACCESS
TO TALENT
How you access
expertise on-
demand could be
the game changer.
© 2018 Proprietary and Confidential to Kelly Services | 15
Nearly
1/3workers are free agents.
OF TRADITIONAL WORKERS
say the recent economic environment has encouraged them to give more consideration to free agency as a career choice.
58%
than those working as traditional employees.
MORE LIKELY TO HOLD HIGHER DEGREES
48%FREE AGENTS ARE
than those working as traditional employees.
MORE LIKELY TO POSSESS PT SKILLS
69%FREE AGENTS ARE
saying free agency is a lifelong career choice.
ARE IN IT FOR LIFE
56%OF FREE AGENTS
NEARLY1 IN 3
WORKERS ARE FREE AGENTS
INCREASE ACCESS TO TALENT
© 2018 Proprietary and Confidential to Kelly Services | 16
STEP 1 Understand the
what, howand where
STEP 2 Source and
acquireExternal Talent
DEFINING TALENTNEEDS & SOURCE
HOWEngagement Models
WHERESources of Talent
WHATTypes of Work
INCREASE ACCESS TO TALENT
© 2018 Proprietary and Confidential to Kelly Services | 17
The what, where, and how of acquiring external talent
HR
Engineering & R&D
Corp & Finance
Marketing & Sales
Facilities
Manufacturing & Logistics
IT
WHATTypes of Work
INCREASE ACCESS TO TALENT
© 2018 Proprietary and Confidential to Kelly Services | 18
OutsourcedServices
Project ServicesTemp StaffingHOWEngagementModels
TALENT SUPPLY CHAIN
The what, where, and how of acquiring external talentINCREASE ACCESS TO TALENT
HR
Engineering & R&D
Corp & Finance
Marketing & Sales
Facilities
Manufacturing & Logistics
IT
WHATTypes of Work
© 2018 Proprietary and Confidential to Kelly Services | 19
OutsourcedServices
Project ServicesTemp StaffingHOWEngagementModels
TALENT SUPPLY CHAIN
The what, where, and how of acquiring external talentINCREASE ACCESS TO TALENT
HR
Engineering & R&D
Corp & Finance
Marketing & Sales
Facilities
Manufacturing & Logistics
IT
WHATTypes of Work
Dire
ct
So
urc
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Tra
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Sta
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irm
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Pro
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en
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Ind
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WHERESources of Talent
© 2018 Proprietary and Confidential to Kelly Services | 20
LEVERAGE
INSIGHTFUL
ANALYTICS
Overcoming the challenges…
FOCUS ON
THE END USER
INCREASE
ACCESS
TO TALENT
LEVERAGE
INSIGHTFUL
ANALYTICS
Insight provides the
route to the best
talent…
Outcome thinking
ensures optimal ROI.
© 2018 Proprietary and Confidential to Kelly Services | 21
DEFINING TALENTNEEDS & SOURCE
HOWEngagement Models
WHERESources of Talent
WHATTypes of Work
THE MISSING
ELEMENT
WHYYou Buy Services
LEVERAGE INSIGHTFUL ANALYTICS
© 2018 Proprietary and Confidential to Kelly Services | 22
© 2018 Proprietary and Confidential to Kelly Services | 23
© 2018 Proprietary and Confidential to Kelly Services | 24
Data driven analytics will enable consistently better hiring decisions.
Visibility |3rd-party Benchmarking | Decision Analysis | Business Insights | Predictive Analytics | Continuous Improvement
LEVERAGE INSIGHTFUL ANALYTICS
© 2018 Proprietary and Confidential to Kelly Services | 25
In summary…
LEVERAGE
INSIGHTFUL
ANALYTICS
Insight provides the
route to the best
talent…
Outcome thinking
ensures optimal ROI.
INCREASE
ACCESS
TO TALENT
How you access
expertise on-
demand could be
the game changer.
FOCUS ON
THE END USER
• End-user experience
drives adoption.
• Adoption ensures
compliance.
• Compliance
accelerates value.
© 2018 Proprietary and Confidential to Kelly Services | 26
Thank you…
For further questions, please feel free to contact me
Alejandro Builes,
Principal Consultant & COE Lead – Services Procurement
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Alejandro Builes,
Principal Consultant & COE Lead – Services Procurement
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