Social media for Procurement Professionals workshop at International Supply Management Congress 2012, RAI Amsterdam by Ruud Olthoff, CPO Rabobank

1. Carolyn Ridsdale 2011
SOCIAL MEDIA FOR PROCUREMENT PROFESSIONALS
Drs. Ruud Olthoff MBA, CPO Rabobank

2. Ruud Olthoff
1962
14 years Rabobank
CPO Rabobank Group Purchasing
Director Sales Rabo Mobile
Manager Virtual Rabobank
Manager Marketing & Sales Retail
2

3. Experiences of a digital migrant
• Digital migrant: pré-internet, pré-mobile
• No innovator, but early adapter
• No web-nerd, or digi-evangelist
• Relatively new in procurement
• Hope to: arouse curiosity and trigger trial behaviour
• My truth, should not necessarily be yours
• If I can do it, so can you!

4. Research Project
“Social Media for Procurement & Supply
Chain Management Professionals”
Presented at Annual IPSERA conference Naples, Italy 1-4 April 2012
Frank Rozemeijer
Nadine Kiratli
Ruud Olthoff

6. http://www.nevi.nl/sites/default/files/starterskit_social_media/starterskit_2.html http://www.nevi.nl/sites/default/fil

8. Social media revolution
• 2.4 billion social network accounts worldwide
• 1.5 billion people using social network sites
• High awareness: Facebook 100%, Twitter 80%
• Facebook biggest: 800+ users end 2011
• In 2012 the social media landscape has become rather stable
• The world is not waiting for the next social network: no need for
something new, no intention to quit
• Mobile is the accelerator for social media usage: 51% internet
users have a smartphone
Insites Consulting Social Media Around the World 2012

9. Social media is more than just Facebook!!!

11. Main criticism, why not?
• It takes too much time
• It’s risky (‘Elephant’s memory’)
• My clients/environment/colleagues don’t use it
• Unclear rules: what (NOT) to do?
• Personal/professional life gets blurred
• Cannot access social media sites at work (still 55%
of the world!)

13. Social media in business?

14. Social media in business is B2C
Procurement is not on top of the social media list
Accenture 2011 US companies N= 200

15. Most companies do not fully leverage the
potential of social media

16. Social networking by procurement profs
Social media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011

17. Popular networks amongst buyers
Social media usage in business for buyers = LinkedIn
Social media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011

18. IT buyers are active on social media
IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012

19. 77% buyers believe their social
media usage will grow
Social media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011

20. … and influences the entire process
IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012

21. Why do buyers participate?
Information gathering!
Social media use by purchasing professionals, Frank Rozemeijer et. al., Maastricht University, December 2011

22. … and learn from trusted peers!
IT Purchasing goes social, Forrester & Research Now for LinkedIn, 400 US IT purchasers, August 2012

23. Reasons for use?

24. Need for speed
Need for innovation
Social
Complex organisations Media
Increased collaboration
Need for information

25. Three ways to leverage Social Media
1. Market Intelligence  Transparancy
• Exchanging key information & best practices
• Scanning supply markets for new suppliers
• Tracking career of key supplier contactpersons
2. Peer engagement  Connect & join communities
• Share information from trusted colleagues about suppliers and
products
3. Supplier collaboration  Interact & Collaborate
• Use SM as a channel for negotiation, relationship building as
well as continous improvement with suppliers

26. How can you, as a buyer, use social media?

27. Market intelligence

28. How did I use to do it?
• Member of the professional association
• Read the professional magazine
• Went to a congress
• Followed a course, or a seminar
• Talked to colleagues
Professional development

29. What do I do now?
And much
more….

30. What are the top-10 procurement
sites and blogs (in English)?
Name your favorite top-3!
Here are some good examples:

31. 1. www.supplymanagement.com
UK daily purchasing and supply news and jobs at the logistics and supply
chain news site by CIPS, the Chartered Institute of Purchasing & Supply:
the biggest! > 24k viewers pm

32. 2. blog.procurementleaders.com
US membership-led community for international procurement,
sourcing and supply chain management executives, see also:
www.procurementleaders.com #2nd 12k viewers

33. 3. www.supplychaintoday.com
U.S. Supply chain & business portal. An informational based
website integrated with social media (@SupplyChainBlog). Big on
twitter, now on Facebook. Many films and tutorials.

34. 4. www.CPOagenda.com
UK based, international business review designed specifically for
chief procurement officers and senior purchasing and supply chain
executives in larger organisations.

35. 5. www.capgemini.com/procurement-blog/
One year old, worldwide procurement blog by Cap Gemini (sponsored)

36. 6. www.procurement-iu.com/blog/
Membership-led knowledge resource dedicated to corporate
procurement professionals, at both the executive and operational
levels

37. 7. www.scdigest.com
U.S. web site for supply chain management and logistics practioners,
news, case studies, weekly newsletter, video’s.

38. 8. www.supplychainquarterly.com
U.S. web site and free app of the CSCMP, Council of Supply Chain
Management Professionals quarterly magazine.
Mirrors the paper magazine.

39. 9: CPOrising.com
Sponsored media site (by Ardent) for CPO’s and other supply
management executives, focused on procurement and supply
management.

40. 10: purchasinginsight.com
Sponsored blog on e-procurement, P2P and electronic invoicing
(software)

41. Other interesting sites and blogs
• www.inkopers-cafe.nl
• www.nevi.nl
• www.supplychainmagazine.nl
• inkooppracht.blogspot.nl
• www.strategicsourceror.com
• www.spendmatters.com
• www.ifpmm.org
• www.napmbuffalo.com
• www.escouringforum.com
• www.cebviews.com/category/taxonomy/procurement-strategies-
planning
• procureinsights.wordpress.com
• davidcoethica.wordpress.com/
• innovationdrivenprocurement.blogspot.com/
• www.npiconnection.org

42. Getting your news
RSS-reader: reading all digital magazines, blogs and sites of your
choice in your own, real-time collected newspaper

43. RSS-readers as App
Via RSS-reader-app on your iPod/iPhone/iPad:
Google, Reeder, Feedly, Pulse, Currents

44. RSS-feeds in Outlook, even at work

45. Storing, retrieving and sharing sources
Tagging
• In Windows: favorites
• Tagging software: Delicious (or Evernote, etc)

46. Finding and sharing presentations

47. E-learning tools for procurement
Apps E-books
•SCM Terms •CRICS contractmgmnt
•Einkaufslexikon •DEAL! (app end nov 2012)
•SCM Supplier Strategies
•Buying business travel Video learning
•Procurement Academy
Training
•Procurement management
Wiki’s
•TenderNed
•esourcingwiki

48. Peer engagement

49. Cooperation within

50. Intra company social networking
• Social tools collaborative workflow:
– Yammer
– Sharepoint
– Social-Go
– Etc.
• Aim:
Integrating
the effort http://www.enterpriseirregulars.com/40987/putting-social-business-to-work/

52. My Sites

53. Peer networking

54. Finding colleagues and promoting career
Professional social media:
• LinkedIn-profile
• LinkedIn search
• Purchasing Groups on LinkedIn:
– CPO-Club
– Procurement professionals
• Promoting yourself
• React and interact
• Finding jobs / colleagues
• Starting a group
• PS your supplier might also do this!

55. Networking collaboration with peers
Collaboration platform:
• Free website for business networking in
procurement
mysourcingteam.com (USA)

56. Networking collaboration with peers

57. www.pianoo.nl
Dutch community and centre of expertise for public
procurement: information, advice, instruments and practices:
3.000 active users

58. www.sepp.nu
Dutch independant platform of Self Employed Purchasing
Professionals (SEPP)

59. Twitter: does it all
Twitter is a microblog system, enables you to follow people
and companies (and vice versa) and interact with them
Professional twitter usage:
– Search #procurement #purchasing
– Follow sites and blogs
– Publish yourself: “if you’re twittering it, you are
not doing it”
– React and interact
– Btw your supplier might also follow you
It’s all free!!

61. Active NL-social media buyers on twitter in
2011

64. Supplier collaboration

65. Source for better deals
Social media are already an important buying decisions source for US SME buyers
SMB Grouop Study Technology Buyers 2010 N=474

66. Following companies & suppliers (1)
What do you do before meeting a new contact?  Name-Google
But there is more supplier information available: google trends and alerts

67. Following companies & suppliers (2)

68. … or real-time social media search

69. Following companies & suppliers (3)
Free apps to check chamber of commerce status (NL)

70. Following companies & suppliers (4)
On-line supplier rating by procurement profs

74. Social media public tendering
Aanbestedingskalender: Dutch Public tendering
website that brings parties together.

75. On-line outsourcing market places
• Elance Online professionals
• Freelancer Small business
• eDesk Verified work
• Guru Freelancers
• Vworker Pay for deliverables
• Scriptlance Programmers

76. Outsourcing networks

77. Outsourcing networks

78. New business models
crowdSPRING: marketplace for logo & web design

79. On-line supplier networks
• Ariba – #1 web based trading community
Moving towards social media business networks
• Aravo Assure
• TradeShift
• Emporis (nu: IBM)
• Crossgate (nu: SAP)

80. Does your procurement department
already have an ‘App’ ?
• UN Procurement Division: The first
procurement department with their own app!
With RFP’s and public tendering information

81. Collective buying?
• EC Purchasing: An Apple and Android App for
buying commodities at a discount. A kind of
Groupon for buyers

82. Want to start?

83. How should you behave?
Be curious

84. How should you behave?
Be helpful: share Communicate: talk
knowledge, give advice, to the people in your
introduce people that might network, make them
help important
Be accessible: be an active
contributor
…and social: make
contacts with many
people and get truly
involved Invest: give without expecting something in return,
never take more than you might give

85. Interested?
• Just do it
• Before you know it, it might be of help
TIP 1:
Start simple, give yourself the opportunity to learn:
Start listening, before participating. Start inspiring
others, before inviting dialogue to your suppliers
TIP 2:
Don’t stumble into all networks, be selective:
Choose the most valuable network for your
company/yourself, and put energy into it. This
implies some investment upfront, but it will pay off.