2014 Global SRM Research Report - Customer of choice

PEOPLE & SKILLS

STATE OF FLUX

2014 GLOBAL SRM RESEARCH REPORT

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Figure 4.9. SRM skills requiring improvement and provision of training gap analysis – all respondents

○ SKILLS CONSIDERED THE MOST IMPORTANT

○ TRAINING PROVIDED IN THE LAST 12 MONTHS

TRUST BUILDING COMMUNICATION CHANGE MANAGEMENT COMMERCIAL AND CONTRACTUAL EXPERTISE CROSS FUNCTIONAL WORKING STRATEGIC THINKING

NEGOTIATION SKILLS CREATIVE MINDSET FACILITATION SKILLS UNDERSTANDING THE SALES AND KEY ACCOUNT MANAGEMENT PROCESS LEADERSHIP INFLUENCING SKILLS

ANALYTICAL SKILLS ACCOUNT PLANNING PROBLEM SOLVING PROJECT MANAGEMENT MARKET AND CATEGORY KNOWLEDGE

GENERAL PRODUCT AND SERVICE KNOWLEDGE DEEP PRODUCT / SERVICE KNOWLEDGE

0%

10%

20%

30%

40%

50%

© 2014 State of Flux

understanding of what is needed continues to improve. However, without the necessary focus and investment in training and development to make this happen, sub-optimal SRM delivery remains a real risk for many organisations.

The responses are shown together in figure 4.9 . in order to reveal a supply and demand gap analysis. What is clearly shown is that demand (represented by skills that need to be improved) is far greater than supply (represented by the provision of training in the last 12 months). Some of the biggest gaps are to be found in the areas of skill identified as the most important in figure 4.8 , for example: strategic thinking, building trust, cross-functional working, communication and influencing. The only areas where the demand and supply relationships are more aligned are in commercial and contractual expertise, negotiation (where supply seems to exceed demand), project management and general product knowledge. If we believe an effective SRM programme is an essential element of enabling procurement to deliver maximum value to the organisation, then success in developing the right skills and competencies within our teams is paramount. According to this year’s responses,

We separate procurement and SRM. The people in procurement and SRM are completely different. They have very different competencies and personal attributes. I personally think it’s very hard to transition from traditional procurement into SRM. Head of SRM – global oil and gas company

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