As procurement professionals, we are always striving to achieve the best total cost of ownership with the products and services we purchase. We’ve seen the negative impact that bottom-dollar pricing can have with respect to quality and delivery. We’ve seen how over-engineered products with high price tags can erode our margins. Our constant aim is to look at each purchase holistically and measure its total value to the company we represent. So why don’t we look at our procurement teams the same way?
Picture the scene: you’re in the middle of hiring for a role in your HR department. At the interview stage, some bright young candidate takes a seat. You ask the classic question, “So why should I hire you?”
In a recent interview for a technical blog, I mentioned that I heard keynote speaker former U.S. Attorney General John Ashcroft (at the 2016 Securities Industry and Financial Markets Association’s (SIFMA) Internal Auditors Society conference) reference that organizations should prepare to adopt what he called “anticipatory compliance.” This concept involves outsourcers being able to demonstrate that they are actively anticipating, studying and acting on perceived threats (cyber and otherwise) both internally and with their outsourced business partners.
The last few years have triggered dramatic changes in the way IT outsourcing arrangements have been made by enterprises. As expected, some of the changes are taking time before they become center stage. In addition, some of the triggers did not live past their hype and fizzled out before they could deliver the promised value sought by enterprises.
Throughout the course of my career, I’ve had the pleasure of working through more than one organizational downturn – whether due to the economy or the company’s financial status. In times like this, the organization turns to supply chain to lead and impact the bottom line.
Since the financial crisis of 2008, the financial services industry has been inundated with new rules and regulations that have consumed resources and increased spend on compliance. All of this is occurring at a time when the industry has also been under increasing competition from financial technology (fintech) firms. Whilst the fintech industry is booming by providing new innovative products at a rapid pace, traditional incumbents have appeared less agile at adopting these.
MeMbers of rMA’s Third-Party Risk Management Round Table are experienced leader-practitioners, individually and collectively creating emerging best practices in third-party risk management. As the round table’s facilitator, subject matter expert, and member of the Steering Committee, it’s exciting and rewarding for me to be integral to this evolution.