How to embrace change and transformation

Managing change is part of many indirect procurement roles but it can be daunting

The results of a survey conducted by RS and the Chartered Institute of Procurement and Supply (CIPS) for the 2022 Indirect Procurement Report demonstrate that within UK organisations, procurement is second only to operations as the department managing change.

Most of the survey respondents involved in maintenance, repair and operations (MRO) felt they had an opportunity in their existing roles to drive change in their organisation, but the ability to influence change varies significantly by seniority. While 71% of those in advanced professional roles felt they had a good or significant opportunity to drive change, 53% of those in tactical roles said their influence on change was limited.

So how do you go about initiating and driving through transformation?

Get buy-in from all levels
Change leaders should focus on the big picture and connect their transformation clearly to the organisation’s purpose and strategy. Creating a narrative of why and how things will change can help generate a sense of common purpose across teams. It can provide focus when there is a danger of being blown off course too.

A transformation project is also easier to deliver if you have support from a board-level sponsor, so if you’re a change leader, don’t be afraid to reach out to the senior team and make your case for why change is needed. A

At the same time, don’t forget those who will have to operate new processes and systems. As the end user, they need to be the ones who get to say if a tool works or not. As they have to live with the consequences, they must sign it off.

Understand attitudes to change
Procurement transformations affect all stakeholders, so involving them in the project from the outset is essential to getting new processes right and ensuring buy-in. “Processes that are poorly designed or don’t meet end-user requirements make adoption difficult,” says Renata Rybak-Pazdur of consultancy firm Capgemini. You need to understand how these changes look and feel to stakeholders.

“Change causes conflict, it always has and always will,” says Amenallah Reghimi, Vice President for Product Management at eProcurement provider Jaggaer. “How you respond to that conflict, however, determines the rest of the story.

“People should always be the priority, which boosts digital adoption and, ultimately, creates smoother organizational change.”

Neuropsychologist Dr Theo Tsaousides points to the paradox that although people often say change is hard, many also want to see change happen. But because the status quo is comfortable, it’s important to keep a focus on why things need to change, he says.

The people challenges will not be just in your own organisation. Rybak-Pazdur of Capgemini says the effects of changing people’s roles is often overlooked, both within the organisation and in day-to-day supplier relationships.

Share your wins
Helen Alder, Head of Knowledge & Learning Development at CIPS, says procurement teams need to get better at trumpeting their successes to the rest of the business. “Market yourself effectively and get buy-in from the rest of the business,” she says.

It’s also important to showcase the benefits of new processes and digital tools. “Change shouldn’t stop at the end of the project,” says Rybak-Pazdur. “It needs to be continually reinforced by end-user support functions, which should provide the proper training and reinforcement needed to maintain the change while driving process compliance.

“Above all, change is an evolution not a revolution. It takes time, patience and hard work to build something truly durable you can be proud of in years to come. Something that has a good finish to it and can adapt to whatever environment it finds itself in.”

Remember success is possible
But what about the risk of failure, even if you follow all the best advice? Dr Mark Hughes of Brighton University thinks the dangers have been overstated. Writing for the Journal of Change Management, he examined the claims of a 70% failure rate and concluded that “there is no valid and reliable empirical evidence to support such a narrative.”

Dr David Wilkinson, a lecturer at Oxford University and Brookes University Business School, says the true failure rate is closer to 6%, although around half of all projects were only rated as “somewhat successful”.

So, take heart. The majority of transformation projects are not automatically doomed to fail after all. The extent to which they succeed, however, will be down to how clear your goals are and how well you engage and communicate with stakeholders across your organisation.

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