Earn £521 Daily, Contract Erosion, and say "NO!"
Insights that help your Procurement Career
Hey Procurement Legend,
My Tuesday series of articles has got some brain juices flowing (it was bound to happen eventually), and I’m now pursuing how different mental models can be applied to procurement. I’ve noted over the years that procurement can be a bit of a clique. Siloed. Relying on past ways of doing the work.
I want to break this down, as much as a bearded man, who writes from his little office, in his garden, can.
If you’ve come across any mental models that you apply in your procurement role, please leave a comment and give some insights to our community about this.
WoP Content You May Have Missed
Did you Get your Procurement Pay Rise?
Hey Procurement Legends, this is an article for paid members. Every Friday is a deep dive into a topic that will give you new insights. At this point, I could take sponsors for content from all sorts of providers across the World of Procurement but I want to keep this content pure. And not influenced by outside players (kinda like this piece I’m writing about by CIPS and Hays). So if you’ve got value from my content at all, consider a paid subscription to World of Procurement.
The Pursuit of Procurement's Meaning
Seth Godin is one of those people I madly respect. Yes, he’s known as a marketer, but the guy gets business. But he gets life more. At times, throughout my procurement career, I’ve felt like a cog in a machine turning for no reason. It left me feeling burned out last year, and that’s partly why I decided to move into ProcureTech.
3 Insights Wednesday
CIPS Procurement Salary Guide 2023 UK:
The average Procurement interim day rate is now £521. I actually became an interim procurement professional after 18 months of working in Procurement & Contract Management and was able to command a high six figure salary fairly fast.
With day rates like this on offer, if you’re not opposed to taking some risk on, such as periods of time without work, and are financially stable, this could be a great way to earn a lot of money. Rates go way beyond this with many £800-£1000+ for senior procurement pros.
The ROI of Contracting Excellence
Value Erosion: The report mentions that many contracts lead to value erosion, with an average of 8.6% value lost due to inefficiencies, unclear roles and responsibilities, and distorted measurement systems.
Back in 2014, this figure was at 9.2% so we’ve seen a small improvement but the report notes that the worst performers are losing over 20% of contract value during the term.
My thoughts are absolute around this. We don’t treat Contract Management (post-signature), with the respect it deserves - which pains me as a Contract Management Pro.
The Power of NO
How many pointless meetings have you had this year? How many projects or requests have you taking on that create noise and don’t fulfil your main objectives in your role.
We’re conditioned to say yes. Saying no is hard.
The next time you receive a request that doesn’t make sense to you, or you know is a waste of time. Pause. Reflect. Question the need for it. Figure out if it’s truly needed. Have courage to do so
If you’re not controlling your day someone else will hijack it. And that leads to an unfulfilled life.
Recommended Books for Procurement Pros
As an Amazon Associate I earn from qualifying purchases.
Trade wars, pandemics, and chaos: How digital procurement enables business success in a disordered world - BUY HERE
Profit from the Source: Transforming Your Business by Putting Suppliers at the Core - BUY HERE
Chip War: The Fight for the World's Most Critical Technology - BUY HERE
The End of the World Is Just the Beginning: Mapping the Collapse of Globalization - BUY HERE
How you can support World of Procurement
Become a Paid Subscriber
Subscribe to our YouTube Channel
Take our Contract Management Course for Beginners
Check out our Digital Downloads on Gumroad
Thanks for reading, legends.
Daniel