In this episode of The Procuretech Podcast, host James Meads explores the digitisation challenges faced by mid-market companies with guest Hans Boot, a partner from consulting firm Durch Denken Vorne, specialising in this sector.
They discuss their experiences working with small and mid-sized companies in Austria, Switzerland, and Germany. They touch on topics like organisational development, digitisation of processes, indirect costs, and risk management.
Tune in to gain insights on navigating the digitisation journey in the mid-market procurement space.
Procurement transformation challenges in the mid-market
This episode focuses on the challenges of digitising procurement in mid-sized companies. Hans Boot is from Durch Denken Vorne. They are a German procurement consultancy which is part of a wider alliance callled Procurement Excellence Group.
Hans highlights that many mid-sized firms still rely on manual, outdated methods for procurement, particularly in areas like supplier management, risk management, and sustainability. The episode stresses the importance of analysing and improving procurement processes, contrasting them with the more professional and modern practices of larger companies.
Additionally, it advocates for giving operational procurement employees the chance to engage in strategic tasks, emphasising mindset over skills. The episode addresses the difficulties in finding experienced individuals in the job market and suggests investing in training and coaching for existing employees as a long-term solution. Ultimately, it underscores the need for a mindset shift to foster a more strategic procurement function within mid-sized companies.
[00:02:04] Introducing Hans Boot of Durch Denken Vorne
[00:05:47] German business culture challenges.
[00:08:22] Thinking long-term vs. short-term.
[00:13:01] Analysing procurement departments.
[00:17:10] Traditional companies in Europe.
[00:21:10] Giving time for strategic tasks.
[00:26:04] Operational buyers adopting a more strategic mindset.
[00:30:13] Adoption of digital software in procurement.
[00:34:02] The importance of procurement to these organisations.
And that wraps up another episode of The Procuretech Podcast!
Thanks to Hans for sharing his insights with us today, and big thanks to you for listening. We'll be back at the same time next week, so see you there.
If you want to learn more about Hans Boot, Durch Denken Vorne or Procurement Software, check out the useful links below.