Talent Management
Key
 Insights
 from
 the
 NAEP
 Innovators
 
Forum
 and
 Recommended
 Strategies
 fo...
  2
 
HIGHER
 EDUCATION
 REPORT:
 
Insights
 from
 the
 2014
 NAEP
 Innovators
 Forum
 and
 Recomm...
  3
 
EXECUTIVE
 SUMMARY
 
 
Higher
 Education
 institutions
 are
 increasingly
 in
 pursuit
 of
...
  4
 
ABOUT
 THE
 INNOVATORS
 FORUM
 
 
The
 National
 Association
 of
 Educational
 Procurement
...
  5
 
ATTENDEES
 
 
New
 attendees
 bring
 fresh
 ideas
 and
 insight.
 This
 year’s
 Innovators	...
  6
 
ATTENDEES
 
 
TED
 JOHNSON
 
Chief
 Procurement
 Officer
 
University
 of
 California,
 San
...
  7
 
CASE
 FOR
 CHANGE
 
 
The
 higher
 education
 industry
 attracts
 individuals
 who
 are
 ...
  8
 
TALENT
 MANAGEMENT
 FRAMEWORK
 
 
Over
 the
 past
 several
 years
 a
 significant
 body
 ...
  9
 
ORGANIZATIONAL
 STRATEGY
 
 
Forum
 attendees
 first
 addressed
 organizational
 
strategies.
 ...
  10
 
TALENT
 STRATEGY
 
 
Forum
 attendees
 next
 turned
 their
 attention
 to
 the
 key
 
co...
  11
 
TALENT
 ACQUISITION
 
 
Having
 identified
 key
 competencies
 and
 skillsets
 that
 
emphas...
  12
 
TALENT
 PERFORMANCE
 
 
The
 discussion
 on
 this
 topic
 was
 focused
 on
 
performance
...
  13
 
BARRIERS
 AND
 CHALLENGES
 
 
The
 discussion
 on
 this
 topic
 was
 focused
 on
 the
...
  14
 
ACTIONS
 WE
 CAN
 TAKE
 NOW
 
 
Developing
 the
 ideal
 solution
 set
 to
 all
 of
 ...
  15
 
QUESTIONS
 FOR
 YOUR
 TEAM
 
 
Organizational
 Strategy
 
• Do
 you
 understand
 the
 key	...
  16
 
ABOUT
 US
 
 
NAEP
 is
 the
 association
 of
 choice
 for
 educational
 procurement
 pro...
  17
 
END
 NOTES
 
 
1
“Talent Management Performance Study.” The Hackett Group, 2009.
2
“CPO Rising, Convergenc...
of 17

NAEP Innovators Forum White Paper 2014 - FINAL_2014-5-5

Published on: Mar 3, 2016
Source: www.slideshare.net


Transcripts - NAEP Innovators Forum White Paper 2014 - FINAL_2014-5-5

  • 1. Talent Management Key  Insights  from  the  NAEP  Innovators   Forum  and  Recommended  Strategies  for   Procurement  Leaders   2014   Innovators   Forum  Report   This   paper   provides   an   overview   of   the   2014   Innovators   Forum   with   a   distillation   of   the   key   discussion   points   and   recommendations   regarding   talent   management.   The   group   engaged   in   robust  dialog  about  presenting  a  case  for  change  to  senior  administrators,  but  also  focused  on   pragmatic   ideas   and   practices   that   can   be   acted   on   today.   The   paper   outlines   a   talent   management  framework  and  recommendations  for  critical  practices  procurement  leaders  should   follow.   WITH  SUPPORT  FROM
  • 2.   2   HIGHER  EDUCATION  REPORT:   Insights  from  the  2014  NAEP  Innovators  Forum  and  Recommended  Talent  Management  Strategies  for   Procurement  Leaders     TABLE  OF  CONTENTS     EXECUTIVE  SUMMARY  ................................................................................................................................  3   ABOUT  THE  INNOVATORS  FORUM  .............................................................................................................  4   ATTENDEES  .................................................................................................................................................  5   CASE  FOR  CHANGE  .....................................................................................................................................  7   TALENT  MANAGEMENT  FRAMEWORK  .......................................................................................................  8   RECOMMENDED  PRACTICES   1) Organizational  Strategy  ............................................................................................................  9   2) Talent  Strategy  .......................................................................................................................  10   3) Talent  Acquisition  ...................................................................................................................  11   4) Talent  Performance  ................................................................................................................  12   BARRIERS  AND  CHALLENGES  ....................................................................................................................  13   ACTIONS  WE  CAN  TAKE  NOW  ..................................................................................................................  14   SUMMARY  ................................................................................................................................................  14   QUESTIONS  FOR  YOUR  TEAM  …………………………………………………………………………………………………………….  15   ABOUT  US  .....................................................................................................................................  16   END  NOTES  ...................................................................................................................................  17
  • 3.   3   EXECUTIVE  SUMMARY     Higher  Education  institutions  are  increasingly  in  pursuit  of  important  strategic  objectives  to  enhance  the  delivery   of  research,  instruction  and   regional/community  impact.  The   achievement  of  these  objectives   must  be  carried  out  within  complex   organizational  structures  more  akin   to  a  loose  federation,  than  a  strong   central  government  and  they  often   require  additional  funding  and/or  the   redirection  of  existing  funds.   Procurement  has  the  ability  to  be  a   significant  partner  in  delivering  on   these  goals  by  pursuing  initiatives   that  have  strong  returns  on  investment  and  customer  service  improvements.     In  the  past  several  years,  procurement  has  substantially  improved  basic  processes  related  to  technology,   customer  service,  strategic  sourcing  and  others.  This  upward  performance  trend  is  moving  the  profession   toward  increased  challenges  that  require  skills  necessary  for  enhanced  selling  and  influential  negotiations  as   well  as  other  strategic  issues  that  demand  advanced  problem  solving.    In  other  words,  there  is  a  significant  need   for  highly  qualified  talent.  We  need  this  talent  across  two  important  dimensions,  1)  the  select  few  who  can  lead   cross-­‐functional  teams  to  accomplish  strategic  objectives  and  2)  the  folks  with  individual  talents  that  can  be   leveraged  to  enhance  the  service  orientation  of  the  procurement  function.       The  2014  Innovators  Forum  attendees  came  together  in  Orlando  to  discuss  the  critical  topic  of  talent   management  with  this  strategic  context  in  mind.    The  group  consisted  of  a  strong  cross  section  of  higher   education  professionals  including  several  chief  procurement  officers,  senior  human  resource  officers,  chief   business  officers  and  a  change  management  consultant.  The  objectives  of  the  discussion  included:     • Understand  major  university  strategy  trends  and  the  role  of  procurement’s  support;   • Identify  the  talent  management  practices  necessary  to  attract  and  retain  individuals  with  the  right   skillsets  to  obtain  the  results  required;   • Evaluate  the  issues  and  challenges  that  make  it  difficult  to  obtain  talented  resources  needed  and   determine  what  can  be  done  today  to  move  forward;  and     • Provide  an  integrated  framework  to  discuss  and  define  procurement  talent  management  that  provides  a   useful  roadmap  for  colleagues  to  utilize  and  follow.       This  paper  presents  a  summary  and  distillation  of  the  key  recommendations  from  the  Forum  Group  related  to   these  key  objectives.   “Many  business  and  HR  executives  believe  that  talent   management  is  a  critical  part  of  the  corporate  performance   equation.  But  hard  evidence  of  the  better  results  produced  by   talent  management  have  been  hard  to  find.  The  Hackett   Group’s  Talent  Management  Performance  Study  gathered  both   quantitative  and  qualitative  data  showing  the  enterprise   financial,  operational  and  process  performance  payoff  from   talent  management.  Companies  with  the  most  mature  talent   management  capabilities  achieved  the  best  results…”    -­‐-­‐-­‐  The  Hackett  Group1
  • 4.   4   ABOUT  THE  INNOVATORS  FORUM     The  National  Association  of  Educational  Procurement  (NAEP)  convened  the  3rd  annual  Innovators  Forum  in   Orlando,  Florida  on  February  26,  2014.  College  and  university  leaders  gathered  to  discuss  future  trends  in  higher   education  and  their  impact  on  procurement.  The  purpose  of  the  Innovators  Forum  is  to  engage  in  an  analysis  of   the  major  issues  impacting  higher  education  institutions  and  procurement  professionals  and  to  better  inform   institutional  stakeholders  on  alternative  ways  to  approach  these  challenging  issues.     The  previous  NAEP  Innovators  Forums  resulted  in  distribution  of  white  papers  titled  “Key  Insights  from  the  NAEP   Innovators  Forum  and  Recommended  Strategies  for  Procurement  Leaders”  and  “Procurement  and  the  Impact  of   Technology  and  Expectations.”  Feedback  from  those  attending  this  year  and  in  previous  years  suggests  these   white  papers  are  powerful  tools  for  senior  leaders  and  procurement  professionals  to  learn  about  the  challenges   confronting  higher  education  procurement  and  to  educate  administration  about  those  challenges.           Building  upon  the  initial  momentum  of  the  2012  and  2013  Forums,  which  explored  a  broad  range  of  issues   affecting  higher  education  and  procurement,  this  year’s  group  was  asked  to  take  a  deeper  dive  into  the  strategic   topic  of  talent  management.     The  outcome  of  this  year’s  discussion  continues  the  Forum’s  goal  of  developing  roadmaps  that  procurement   professionals  can  use  to  better  understand  complex  procurement  topics,  communicate  those  topics  effectively   to  senior  leaders  and  to  improve  results  in  support  of  critical  university  strategic  goals.
  • 5.   5   ATTENDEES     New  attendees  bring  fresh  ideas  and  insight.  This  year’s  Innovators  Forum  was  assembled  by  NAEP  with  the   intent  of  deepening  talent  management  discussions.  Attendees  included  administrative  and  C-­‐level  executives   along  with  procurement  leadership,  business  and  HR  officers  as  well  as  key  representatives  from  professional   organizations.  The  team  was  committed  to  fulfilling  the  mission  of  the  Innovators  Forum  by  capturing  and   sharing  insights  with  each  other  –  and  with  their  colleagues  in  higher  education  and  procurement  via  this  white   paper  –  so  that  other  institutions  and  industry  professionals  may  benefit  from  their  exchange  of  ideas.     GEOFF  BARSCH   Associate  Vice  President   University  of  Colorado  System     WILLIAM  COOPER   Associate  Vice  President  &  Chief  Procurement  Officer   University  of  California,  Office  of  the  President     LISA  DEAL   Purchasing  Director   University  Florida     ERIC  DENBY   Director  of  Procurement  &  Supplier  Diversity  Services   University  of  Virginia     JOHN  FABRIS   Vice  President  of  Sales,  Higher  Education   SciQuest     MELANIE  FREEMAN   Manager  of  Education  &  Training   National  Association  of  Educational  Procurement     ANDREW  GASTWIRTH   Partner   Pathstone  Partners     DIANE  GODDARD   Vice  Provost  for  Administration  &  Finance   University  of  Kansas     MATT  HAWKS   Director  of  Human  Resources   Rollins  College     SANDY  HICKS   Assistant  Vice  President  &  Chief  Procurement  Officer   University  of  Colorado
  • 6.   6   ATTENDEES     TED  JOHNSON   Chief  Procurement  Officer   University  of  California,  San  Diego     JIM  KNIGHT   Managing  Partner   Pathstone  Partners     JASON  KNOCH   Executive  Director  of  Financial  Services  and  Strategic  Initiatives   Princeton  University     GARY  KRAFT   Director  of  Purchasing,  Inventory  and  Materials  Management   University  of  Nebraska,  Lincoln     NICHOL  LUOMA   Chief  Procurement  Officer   Arizona  State  University       PAUL  MARTIN   Associate  Vice  President  for  Administration   Rensselaer  Polytechnic  Institute     MARIA  MARTINEZ   Assistant  Vice  President,  Human  Resources  &  Risk  Management   Rollins  College     DOREEN  MURNER   Chief  Executive  Officer   National  Association  of  Educational  Procurement     VALERIE  RHODES-­‐SORRELLE   Senior  Strategic  Sourcing  Specialist   Grand  Valley  State  University     BETSY  RODRIGUEZ   Vice  President  for  Human  Resources   University  of  Missouri  System     BARRY  SWANSON   Associate  Vice  Provost  &  Chief  Procurement  Officer   University  of  Kansas     HOWARD  TEIBEL   President   Teibel,  Inc.     ERIC  ZOETMULDER   Vice  President,  Product  Management   SciQuest
  • 7.   7   CASE  FOR  CHANGE     The  higher  education  industry  attracts  individuals  who  are  thoughtful  about  the  world  and  who  want  to  make  a   difference  in  the  lives  of  others.  Most  universities  publish  their  strategic  plans  and  in  general  our  institutions  are   pursuing  significant  aspirational  goals  to  make  improvements  in  the  lives  of  their  students,  their  local   communities  and  the  world.     Institutions  pursuing  the  most  aggressive  goals  have  recognized  the  need  to  attract  the  brightest  students,   researchers,  teachers,  athletes,  coaches  and  administrators.    They  implicitly  recognize  the  need  for  talent  and   pursue  strategies  to  attract,  nurture  and  retain  the  best  resources  across  many  dimensions  of  human   performance.    Arguably,  no  other  industry  depends  upon  a  clearer  link  between  the  value  of  the  organization   and  the  value  of  its  human  talent.     While  established  measures  exist  in  the  evaluation  of  performance  in  the  areas  of  academics,  research  and  even   athletics,  efforts,  such  as  this,  continue  to  improve  our  understanding  of  the  critical  impact  of  administrative   support  functions  on  our  success.    A  considerable  body  of  research  supports  the  notion  that  there  is  a  direct  link   between  business  performance  and  talent.  The  goals  of  our  great  universities  are  increasing  in  both  scale  and   complexity.  In  order  for  the  procurement  department  to  become  an  essential  partner  in  assisting  university   leadership  in  achieving  strategic  objectives,  our  aspirations  must  increase  significantly  and  the  need  to  acquire   and  retain  talented  professionals  with  enhanced  skillsets  will  be  required.     The  reason  we  establish  strategic  plans  with  aspirational  goals  is  to  propel  us  forward  to  tackle  and  overcome   barriers  and  challenges.  Our  universities  are  in  need  of  substantial  additional  or  redirected  funds  and   procurement  can  play  a  vital  role  in  this  pursuit.  This  enhanced  procurement  role  requires  skills  and   competencies  that  are  in  short  supply.  Chief  Procurement  Officers  in  other  industries,  who  are  serious  about   talent  management  wield  significantly  greater  strategic  influence  on  their  organizations.  In  the  past,   procurement  professionals  have  been  able  to  build  the  business  case  for  investments  in  technology  and   improved  processes.  The  right  people  are  the  most  important  assets  we  have  and  it  is  time  we  made  an   investment  in  them.  Of  all  the  initiatives  procurement  can  undertake,  there  is  nothing  as  important  as  acquiring   the  right  talent,  developing  talent  to  its  full  potential  and  surrounding  the  right  people  with  a  challenging  and   nurturing  culture  more  compelling  than  the  lure  of  other  opportunities.             “…procurement’s   challenges  of  the  first   order  are  all  about   people  -­‐-­‐-­‐  getting  the   right  mix  of  people  into   procurement  (57%)  and   getting  the  right  mix  of   people  engaged  with   procurement  (53%).”2
  • 8.   8   TALENT  MANAGEMENT  FRAMEWORK     Over  the  past  several  years  a  significant  body  of  literature  has  developed  around  the  concept  of  talent   management.  If  you  search  for  images  on  the  phrase  “talent  management  framework”  you  will  find  many  well-­‐ developed  and  professional  looking  graphics.  It  is  easy  to  become  overwhelmed  by  the  volume  of  material  about   this  topic.       Sifting  through  the  volume  of  material  a  few  key  themes  emerge.  The  Innovators  Forum  group  discussed  talent   management  with  the  following  general  understanding  and  agreement:   1. The  essence  of  strategy  is  to  create  differential  advantage  and  therefore  strategic  procurement  is  about   being  a  partner  with  university  leadership  in  executing  on  goals  that  create  a  difference.   2. Significant  amounts  of  literature  and  research  supports  the  proposition  that  there  is  a  direct  relationship   between  business  performance  and  talent  and  that  talent  is  a  rapidly  increasing  source  of  value   creation3 .   3. Many  organizations  say  that  people  are  the  most  important  asset  when  in  truth  they  mean  “the  right   people  are  the  most  important  asset”4   4. In  considering  how  to  attract,  select,  develop,  retain  and  position  future  leaders  we  realize  how   important  it  is  to  have  an  integrated  talent  management  strategy.  Our  strategy  is  only  as  good  as  its   weakest  link.5 .   5. A  clear  understanding  of  what  drives  superior  performance  in  people  is  challenging  and  most   universities  and  business  organizations  have  not  thought  clearly  enough  about  it.   6. Achieving  excellence  in  talent  management  will  be  difficult  in  most  universities  because  many   entrenched  practices  and  beliefs  must  be  challenged.   7. When  faced  with  a  complex  and  multi-­‐faceted  problem  we  should  be  mindful  of  the  balance  between   the  ideal  and  what  is  do-­‐able.     The  Innovators  Forum  participants  are  hopeful  this  white  paper  will  make  progress  toward  the  ideal  by  pursuing   things  we  can  accomplish  today.  In  a  pragmatic  fashion  the  ensuing  discussion  followed  key  elements  of  the   talent  management  framework  illustrated  below.       Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK BARRIERS'AND'CHALLENGES'
  • 9.   9   ORGANIZATIONAL  STRATEGY     Forum  attendees  first  addressed  organizational   strategies.  What  are  the  common  university  strategies   being  pursued  today  and  how  are  procurement   strategies  integrated  with  them?  “The  ability  to   effectively  hire,  retain,  employ  and  engage  talent  at  all   levels  is  the  only  true  competitive  advantage  an  organization  possesses”6     Each  university  is  pursuing  unique  strategies;  however,  forum  participants  identified  four  common  themes.  They   include  1)  growing  a  diversified  source  of  revenue,  2)  pursuing  initiatives  related  to  globalization,  3)  enhancing   student  accessibility  and  4)  to  be  of  service  to  a  variety  of  constituents  and  stakeholders.     Realizing  that  integration  with  the  university  is  key  and  that  all  members  of  the  procurement  team  should  be   engaged  in  strategic  initiatives,  the  forum  group  identified  the  following  critical  procurement  strategies:     • Become  recognized  as  an  essential  strategic  partner  to  the  institution;   • Develop  and  continually  refine  the  ability  to  define  and  communicate  procurement’s  value  proposition   to  a  variety  of  stakeholders;   • Implement  a  plan  to  proactively  engage  campus  constituents;   • Develop  and  continually  refine  ability  to  provide  essential  information  to  support  strategies  and   selected  initiatives;  and   • Drive  process  redesign  and  technology  innovation  to  support  the  need  to  be  of  service  to  the  campus.     Additional  context  from  the  Forum  discussion  included  the  idea  that  the  essence  of  strategy  is  to  create   differential  advantage  and  most  procurement  groups  today  are  not  pursuing  strategic  objectives  unless  they  are   involved  in  achieving  goals  and  results  that  matter  to  university  leadership.     CASE STUDY – The University P200 Strategic Procurement Project Overview:    Collaborating  system-­‐wide  to  build  an  integrated,  sustainable  procurement  framework.    By   developing  and  utilizing  competitive  contracts  innovative  supply  chain  strategies  and  robust  reporting  and   analytics,  we  will  recapture  $200  million  annually  currently  lost  through  sub-­‐optimal  purchasing  contracts   and  practices,  redirecting  these  critically  needed  funds  to  support  UC’s  core  missions  of  teaching,  research   and  public  service.     Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK
  • 10.   10   TALENT  STRATEGY     Forum  attendees  next  turned  their  attention  to  the  key   competencies  and  skillsets  they  need  to  pursue  the   procurement  strategies  identified  in  the  previous  section.   This  discussion  occurred  within  the  context  that  talent  is   defined  by  Webster’s  to  be  “a  person  or  group  of  people   with  a  special  ability  to  do  something  well”.  The  forum  group  believes  the  right  people  are  the  biggest  drivers  of   success  and  that  talent  trumps  experience  every  time.    In  procurement,  basic  business  acumen  and  other   “traditional”  skillsets  (contracting,  negotiation,  ethics,  supplier  management,  etc.)  are  assumed,  but  this  group   recognized  that  the  required  skillset  of  procurement  professionals  have  gone  beyond  these  basics  and  other   important  core  competencies  sometimes  not  as  easily  recognized  or  taught  in  traditional  procurement  have   emerged  as  critical  to  the  success  of  the  organization.  The  group  further  recognized  that  some  element  of  risk   taking  is  required  to  push  things  forward  and  that  often  we  do  not  recognize  and  select  talented  people  because   we  are  not  looking  for  the  right  attributes.       Realizing  that  talent  strategy  is  about  knowing  what  you  are  looking  for  and  being  thoughtful  about  the  key   competencies  and  skillsets  that  are  required  to  achieve  strategic  goals  and  objectives  the  forum  group  reached   consensus  around  the  following  core  competencies:     • Ability  to  develop  compelling  business  cases;   • Ability  to  sell  and  influence  diverse  stakeholders  around  service  and  strategy;   • Proficiency  in  prioritization  and  management  of  complex,  high-­‐value  projects;     • Demonstrated  skills  in  critical  thinking  and  adaptability;     • Ability  to  build  and  manage  relationships  with  a  wide  variety  of  stakeholders;  and   • Ability  to  translate  data  to  information.     Additional  discussion  from  the  group  included  the  notion  that  we  are  looking  for  people  with  non-­‐traditional   skillsets.  They  should  have  a  significant  degree  of  curiosity  and  the  capacity  and  desire  to  learn.  Their  emotional   intelligence  must  be  high.  They  must  be  able  to  deal  with  challenges,  have  a  high  degree  of  self-­‐awareness  and   strong  communication  skills.  Above  all  else  it  is  critical  to  find  people  who  can  work  in  a  team,  lead  others,  be   coachable  and  who  can  build  relationships  at  many  levels.       Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK CASE  STUDY  –  NAEP’s  PROCUREMENT  CORE   COMPETENCIES       In  2013,  after  many  years  of  hard  work,  NAEP’s  Professional   Development  Committee  finalized  the  NAEP  Competency  Model   that  is  specific  to  procurement  professionals.         The  model  consists  of  24  competencies  categorized  under  four   quadrants:   • Increase  Performance   • Build  Relationships   • Drive  Results   • Lead  Others   Competencies  are  the  skills,  behaviors  and  attitudes  that  when   aligned  with  organizational  goals  lead  to  high  performance.     For  more  information  about  this  Member’s  only  resource,  go  to   NAEP  Competency  Model.
  • 11.   11   TALENT  ACQUISITION     Having  identified  key  competencies  and  skillsets  that   emphasize  non-­‐traditional  procurement  functions,   the  Forum  Group  turned  their  attention  to  the  critical   function  of  talent  acquisition.  Talented  people  have   options  and  therefore  to  acquire  talent  requires  careful  consideration  of  recruitment  and  selection  processes.   The  Forum  Group  reached  consensus  around  the  following  key  talent  acquisition  elements:     Recruitment  /  Attraction   • Develop  and  sell  an  exciting  image  and  culture;   • Emphasize  professional  growth  and  investment  in  people;   • Develop  positive  and  honest  messages  to  attract  entrepreneurial   minded  people;     • Develop  and  emphasize  leadership  recognition  of  the  group’s   strategic  value;  and   • Revise  job  descriptions  to  emphasize  talent  skills.   Selection   • Incorporate  stakeholder,  supervisor  and  supervisee  feedback;   • Test  critical  thinking;     • Develop  an  evaluation  team  with  different  roles  around  technical,  behavioral  and  cultural  fit;   • Build  a  bench  (a  list  of  potential  employees)  and  don’t  neglect  internal  candidates;   • Develop  behavioral  based  questions  that  bring  out  the  key  talent  attributes  of  curiosity,  critical   thinking,  logic  and  other;   • Develop  interview  questions  and  processes  to  evaluate  cultural  fit  in  addition  to  abilities;  and   • Perform  background  checks.         We  know  that  talented  people  have  options  and  that  attraction  is  more  important  then  selection.  Many  of  our   recruitment  processes  focus  on  procurement  as  a  back  office  operation  as  opposed  to  procurement  as  a   strategic  partner  delivering  on  a  critical  value  proposition.  We  need  to  realize  that  selection  is  a  two-­‐way  street   and  emphasize  how  recruits  will  benefit  from  employment  with  the  team.    In  a  smaller  way  we  can  think  of  this   process  as  similar  to  athletic  recruiting.  A  message  is  developed  that  emphasizes  the  positive  elements  of  joining   the  team  and  involves  a  two-­‐way  process  of  dialog  and  open  questions.  There  is  clearly  an  element  of  selling  and   influencing  that  occurs.  None  of  these  more  advanced  recruiting  and  selection  techniques  are  necessary  if  we   are  just  filling  jobs  for  back-­‐office  operations.  On  the  other  hand,  if  we  need  talent  that  can  bring  differential   advantage  to  us,  then  there  is  no  substitute  for  deploying  these  techniques  as  effectively  as  we  can.       CASE  STUDY  –  Arizona  State  University’s  Recruitment  Strategy  of  WP  Carey  Graduates  and  Interns   ASU  has  a  top  five  undergraduate  Supply  Chain  Management  program  at  the  WP  Carey  School  of  Business,  but  until   2012  it  had  never  recruited  from  there  like  other  top  companies  due  to  HR  restrictions  and  how  job  descriptions  were   written  for  entry  level  buyers.    With  a  commitment  from  the  Chief  HR  Officer  and  the  AVP  of  University  Business  Services,   the  first  Supply  Chain  Buyer  was  hired  into  the  role  in  2012.    In  2013,  the  procurement  department  hired  its  first   Management  Intern  from  WP  Carey  offering  the  student  hands  on  experience,  while  gaining  a  fresh  perspective  from   someone  just  out  of  college.    This  not  only  fulfilled  immediate  resource  needs  in  the  department,  it  also  supports  ASU’s   overall  goal  of  student  service  and  success.    ASU  Procurement  hopes  to  turn  the  intern  program  into  a  feeder  program   for  future  entry-­‐level  hires.   Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK “If  you  only  have  $1  to  spend  on   either  improving  the  way  you   develop  people  or  improving  your   hiring  and  selection  process,  pick   the  latter.”  -­‐-­‐-­‐Douglas  Bray  from   AT&T  30-­‐year  management  study
  • 12.   12   TALENT  PERFORMANCE     The  discussion  on  this  topic  was  focused  on   performance  management  and  development  processes.   Procurement  leaders  need  to  develop  talented  people   in  a  way  that  inspires  them  to  reach  their  full  potential   and  retains  them  within  the  organization.  As  background  it  is  helpful  to  understand  the  definition  of  the  words   performance  management,  training  and  development.   Performance  management  is  defined  as  the  process  of   creating  a  work  environment  in  which  people  are   enabled  to  perform  to  the  best  of  their  abilities.  Training   refers  to  educational  activities  to  support  the  current   job  a  person  holds  and  development  refers  to   educational  activities  that  may  relate  to  a  future  job.  It  is  commonly  understood  that  people  quit  their   supervisors  before  they  quit  their  organizations.  Procurement’s  ability  to  execute  performance  management   and  development  processes  at  a  high  level  is  significantly  correlated  with  the  ability  to  retain  talented  resources.   The  Forum  Group  believes  the  following  strategies  are  critical  in  these  two  areas:   Performance  Management   • Develop  measurable  goals  that  are  jointly  set  between  the  individual  and  the  supervisor;   • Have  employees  create  a  self  assessment  as  the  first  step  in  performance  management;   • Realize  and  support  some  degree  of  failure  and  have  a  mechanism  for  positive  reinforcement;     • Align  individual  goals  with  university,  procurement  and  user  departmental  strategies;     • Use  360  degree  feedback;  and   • Develop  strong  coaching  programs  to  set  goals  and  track  progress.     Development   • Develop  visible  career  paths  and  assist  employees  to  make  progress  against  them;   • Develop  a  strong  curriculum  map  that  emphasizes  the  building  of  core  competencies  and  values;     • Ensure  that  committed  training  funds  are  available  and  there  is  accountability  around  usage;   • Provide  for  internal  and  external  knowledge  sharing;  and   • Develop  mentorship  opportunities  with  university  executives  and  thought  leaders.         Employees  should  be  actively  involved  in  performance  management.    As  procurement  transitions  to  challenging   strategic  activities  it  is  important  to  recognize  that  some  degree  of  failure  is  likely  to  occur.  Performance   management  processes  must  encourage  some  risk  taking  and  be  supportive  when  things  do  not  go  as  planned.   People  who  are  afraid  of  failure  may  not  take  the  leap  needed  to  challenge  the  status  quo.    Measurement  is   important,  but  should  not  be  carried  too  far.    The  ability  to  create  differential  salaries  based  on  performance   and  bonus  programs  is  ideal,  but  there  is  also  much  that  can  be  done  to  recognize  and  reward  employees  short   of  this.  We  need  to  professionalize  our  coaching,  mentorship  and  training  processes.     CASE  STUDY  –  University  of  Nebraska  -­‐  Lincoln  (UNL)  Lunch   and  Learns   Procurement  Services  at  UNL  has  years  of  strategic  sourcing,  negotiating  and  Supplier   Relationship  Management  experience.    They  decided  to  tap  their  86  years  of  combined   negotiation  experience  to  schedule  a  series  of  “lunch  and  learns”  every  two  weeks.      The  first   session  was  titled  “Negotiating  101”  and  its  success  has  resulted  in  greater  confidence,   established  goals  and  better  contracts  for  the  University.     Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK “The  number  one  activity  impacting  employee   performance  is  the  alignment  of  individual  goals   with  overall  organizational  goals.”  AberdeenGroup7
  • 13.   13   BARRIERS  AND  CHALLENGES     The  discussion  on  this  topic  was  focused  on  the   barriers  and  challenges  within  our  universities  that  are   making  it  difficult  to  attract  and  retain  top  talent.   Procurement  leaders  are  competing  for  talent  against   private  industries  that  pay  differentiated  market   competitive  salaries  based  on  performance.  There  is  a   general  perception  in  higher  education  that   procurement  is  a  tactical,  back-­‐office  operation.    Most  universities  have  not  recognized  the  strategic  value  of   procurement  and  do  not  offer  effective  compensation  processes.  There  was  considerable  discussion  about  the   need  for  procurement  to  “re-­‐brand”  and  change  this  perception.  This  will  take  some  time,  but  it  is  a  critical  path   to  pursue.  The  Forum  Group  believes  the  following  barriers  and  challenges  are  critical  to  overcome:     • Competing  for  talent  against  other  industries   • Offering  competitive  salaries  for  skills  in  high  demand;   • Support  from  leadership  to  prioritize  needed  investment  in  human  resources;     • Retaining  talent  –  keeping  them  engaged  and  excited;     • Senior  leadership  perception  of  procurement  as  more  of  a  back  office  function;  and   • Human  resource  salary  benchmarking  practices.       The  Forum  Group  engaged  in  a  passionate  discussion  about  the  ability  to  pay  competitive  salaries.  To  fix  this   issue  requires  a  substantial  challenge  to  the  current  practices  embedded  in  most  universities  around  budgeting,   the  reluctance  to  pay  differentiated  salaries  and  bonuses  and  the  funding  challenges  generally.  Many  attendees   believe  the  problem  stems  not  from  a  lack  of  funds,  but  from  archaic  practices  for  how  funds  are  prioritized  and   distributed  within  the  university.  There  are  many  examples  from  athletics  and  the  hiring  of  star  researchers  that   suggest  universities  do  understand  the  need  for  competitive  salaries  and  differentiated  compensation  based  on   performance.  The  chief  procurement  officers  discussed  the  need  for  them  to  do  a  better  job  of  articulating  the   return  on  investment  that  strategic  procurement  brings  and  how  that  translates  to  the  need  for  talent  and  the   difficulty  of  acquiring  this  talent  when  competing  against  private  industries  with  better  defined  compensation   programs.       CASE  STUDY  –  The  University  of  Kansas  Strategic  Plan  -­‐  Bold  Aspirations       Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK BARRIERS'AND'CHALLENGES'
  • 14.   14   ACTIONS  WE  CAN  TAKE  NOW     Developing  the  ideal  solution  set  to  all  of  the  challenges   inherent  in  acquiring  and  retaining  talented  people  will   take  time.  At  the  end  of  the  second  day  and  after  many   hours  of  debate  and  conversation  about  a  wide  range  of   talent  management  topics  the  Innovators  Forum  group   turned  their  attention  to  a  few  things  that  can  be  done   now.  Their  recommendations  include:     1. Evaluate  and  complete  a  skills  assessment  of  your  current  organization.    Perform  a  gap  analysis  and   prepare  a  roadmap  to  address;     2. Understand  university  goals  and  objectives  (read  the  strategic  plan)  and  learn  how  to  map  personal  and   departmental  goals  against  those  objectives;   3. Define  your  pathway  to  success  and  identify  the  executive  sponsors  and/or  key  influencers  you  need  in   your  corner  for  support;     4. Develop  a  re-­‐branded  concept  of  procurement  and  market  the  value  proposition;     5. Listen  to  the  needs  of  key  stakeholders.    Develop  a  process  to  solicit  their  feedback  by  listening  to  what   they  need  instead  of  telling  them  what  you  can  do;     6. Develop  metrics  to  track  and  measure  value  creation;     7. Encourage  people  to  have  patience  to  support  the  change  that  is  needed  and  help  them  plug  into  the   change  where  they  best  fit.       SUMMARY       The  2014  Innovators  Forum  built  on  the  strategic  procurement  themes  developed  in  the  previous  two  years.     The  group  believes  that  talent  management  is  the  foundational  element  that  must  be  performed  with   excellence  if  procurement  is  to  become  an  essential  strategic  partner  to  the  university’s  mission  and  vision.  The   group  is  hopeful  this  white  paper  will  establish  a  foundation  to  support  further  conversations  with  key  university   leaders  and  to  address  the  significant  challenges  that  exist.  The  group  also  believes  there  are  many  practices   within  procurement’s  control  that  can  be  improved  now  and  that  should  be  committed  to  action  in  the  near   term.       Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK BARRIERS'AND'CHALLENGES' “If  you  want  to  hire  great  people  and  have  them  stay  working  for  you,  you  have  to  let  them   make  lots  of  decisions  and  you  have  to  be  run  by  ideas,  not  hierarchy.  The  best  ideas  have  to   win…”  -­‐-­‐-­‐  Steve  Jobs
  • 15.   15   QUESTIONS  FOR  YOUR  TEAM     Organizational  Strategy   • Do  you  understand  the  key  strategies  being   pursued  by  your  university?   • Have  you  thought  about  the  procurement  team’s   role  in  supporting  key  university  strategies  and   do  you  have  a  "re-­‐branded"  message  you  can   deliver  to  the  executive  team?   • Does  the  procurement  team  have  a  strategic  plan  with  identified  objectives,  goals  and  initiatives  to  drive   results?     Talent  Strategy   • What  does  “the  right  people”  mean  to  our  group?   • Considering  the  demands  on  procurement  today  and  in  the  near  future,  what  skill  sets  are  needed  for   our  success?   • Do  we  have  the  skill  sets  needed  or  do  we  have  a  gap?     Talent  Acquisition   • When  was  the  last  time  we  reviewed  and  updated  procurement  job  descriptions?    Have  they  changed,   or  perhaps  are  they  mired  in  traditional  language?     • Are  we  willing  to  consider  individuals  without  traditional  procurement  background  if  they  have  other   attributes  we  need  such  as  subject  matter  expertise  and  relationship  skills?   • Have  we  fully  considered  individuals  from  other  campus  departments  who  could  be  trained  as  needed?     Talent  Performance   • Are  the  individual  goals  in  our  performance  plans  aligned  with  departmental  goals?   • Do  we  invest  enough  in  the  people  we  have  through  training,  coaching  and  mentorship  programs?   • Have  we  developed  processes  to  provide  performance  feedback  on  a  real-­‐time  or  periodic  basis,  or  is  it   something  that  happens  once  per  year?         Organizational Strategy Talent Strategy Talent Acquisition Talent Performance •  University •  Procurement •  Competencies •  Skills •  Recruitment / Attraction •  Selection •  Performance Management •  Development TALENT MANAGEMENT FRAMEWORK BARRIERS'AND'CHALLENGES'
  • 16.   16   ABOUT  US     NAEP  is  the  association  of  choice  for  educational  procurement  professionals  dedicated  to  their  continued  professional   development  and  to  reinforcing  the  strategic  role  of  procurement  in  education.  Since  the  1920’s,  NAEP  has  been  the  non-­‐ profit  professional  association  primarily  dedicated  to  serving  higher  education  purchasing  officers  in  the  U.S.  and  Canada.  In   1934,  members  of  the  Association  founded  E&I  Cooperative  Purchasing,  Inc.  as  an  important  undertaking  and  benefit  of   NAEP  membership.  Currently,  over  1,500  colleges  and  universities  are  members.  NAEP  is  a  member-­‐focused  association   providing  progressive  knowledge  management  in  strategic  sourcing,  supply  chain,  materials  and  logistics  for  procurement   professionals.  NAEP  provides  professional  development  and  networking  opportunities  regionally  and  nationally.  These   meetings,  workshops,  and  seminars  provide  knowledge  transfer  ranging  from  “beginning”  to  “advanced”  and  are   conducted  throughout  the  year  and  across  the  nation.  Visit  www.NAEPnet.org  to  learn  more.   SciQuest  (NASDAQ:  SQI)  is  a  leading  provider  of  eProcurement  solutions  to  higher  education  that  enables  colleges  and   universities  to  realize  significant  efficiencies  and  savings  on  their  purchases  of  indirect  goods  and  services.  SciQuest’s   unique  expertise  and  innovative  “source-­‐to-­‐settle”  approach  to  eProcurement  enables  institutions  to  identify  savings   opportunities  they  may  otherwise  have  missed,  while  improving  contract  management,  compliance,  and  supplier   management.  Learn  more  about  SciQuest’s  commitment  to  higher  education  at  www.sciquest.com/higher_education.   Pathstone  Partners  is  a  leading  professional  services  firm  that  works  to  create  solutions  customized  to  fit  client  needs  in   the  higher  education  and  healthcare  industries.  By  creating  relationships  that  share  perspectives  we  collaborate  on   strategy,  then  establish  and  execute  the  right  implementation  approach.  Pathstone  cultivates  a  Balanced  Partnership  to   deliver  flexible  solutions  that  drive  optimal  value.  Visit  www.pathstonepartners.com  to  learn  more.
  • 17.   17   END  NOTES     1 “Talent Management Performance Study.” The Hackett Group, 2009. 2 “CPO Rising, Convergence.” Ardent Partners, 2014. 3 “Talent Management Performance Study.” The Hackett Group, 2009. 4 “White Paper – Nine Best Practices for Effective Talent Management.” Development Dimensions International, Inc. 5 Ibid. 6 Ibid. 7 “The CPO’s Talent Agenda for 2014: People Before Technology.” Aberdeen Group, February 2014.

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