Is a Decentralised Procurement Structure Better?

Supplier Procurement Chain

The instability of the last year has caused many candidates to stay in their roles or move during the pandemic, causing an industry wide candidate shortage. As things reopen, FM companies are greatly increasing hiring leading to a candidate driven market, where the number of job openings vastly outnumber the available talent. This has meant organisations are having to market themselves in order to be considered by prospective talent. Candidates are looking for many things from their next employer, including a more democratic approach to procurement.

In our experience some candidates have expressed a desire to be able to go direct to the supply chain and make their own financial decisions in their jobs, working within a flat structure. This allows them to have autonomy over their workflow and better engage with suppliers, rather than being restricted by procurement deals with little financial oversight or influence.

 

A flat procurement structure cannot always be adopted by larger organisations, but they can go some way towards it, particularly by including team and project managers in the process to account for a more nuanced and technical approach. Some large FM companies however do take this approach, and empower their employees with those decisions, whilst also supporting local and SME businesses, rather than taking on national suppliers. The procurement process thereby becomes a team effort, with suppliers seemingly working more as part of the company than being a less tangible force outside of it.

 

Empowering employees to take on procurement relationships with suppliers including building rapport and having a single point of contact can be extremely valuable, and can empower the people on both sides of the deals. However, owning and delivering the process building and maintaining the relationships necessary to ensure the day to day running of the procurement strategy can be stressful, with not everyone willing to be held accountable. It may be something that new hires ask for in the recruitment process and managers will therefore have to assess whether someone can take on that additional level of responsibility.

300 North are the Facilities Management recruitment specialists providing permanent, temporary and interim solutions to the UK Facilities Management, Mechanical & Electrical and Construction sectors. Get in touch to find out how we can help you with your recruitment needs by visiting our website home page or calling us on 0113 336 5161.