Mapping today, shaping tomorrow through change management

The modern world celebrates constant hustle. The supply chain landscape is crowded with competing voices. Supply chains are operating in a world defined by velocity, uncertainty and constant change.  Procurement is therefore at the crossroads.

For supply chain professionals, it has been a wild ride to remain calm and collected. In a world that feels increasingly fractured and fatigued, it takes time, patience and hard work to build something truly long lasting. Change must be regarded as evolutionary not revolutionary. The forces of change surrounding procurement are accelerating at a pace we cannot ignore.

Legacy procurement systems have become outdated relics. Change management initiatives will be expected to reposition the supply chain ecosystem as a central hub for the next chapter of value creation.

The strength of change management lies in creating order from chaos. Effectual procurement change management efforts require an all-inclusive comprehension of the current processes and recognition of the areas in need of improvement.

The rapid pace of change in the business environment seem to underscore the critical importance of pursuing change management initiatives in business organisations. Change management acts as a huge bridge which ordinarily seeks to connect the desired future state with the current reality. It has become an inevitable part of any organisation’s journey towards prosperity. 

Change management entails streamlining processes to fit the modern procurement landscape. It appears the current external supply chain challenges will continue to multiply — from changes in regulatory requirements to geopolitical volatility as well as daily pressures associated with de-carbonisation pressures.

Given the business environment that is replete with multiple challenges, procurement personnel will continue to operate in a disrupted world. It would appear supply chains are pressured never to rest.  Supply markets are constantly shifting at amazing speed.  Black swam events are the order of day. Supply chain disruptions are throwing curve balls all day long. Through change management efforts, there is need to build organisations that can change as fast as change itself.

The procurement profession is undergoing a significant change management transformation. The supply chain industry is a vast, multifaceted ecosystem that plays a crucial role in the global trading business environment. Supply chain activities involve a series of activities that include the sourcing of materials, manufacturing of products and distribution and last mile delivery of same. Supply chain management activities will seek to cut across numerous sectors, including manufacturing, retail, transportation, technology and much more. 

Supply chain leaders are in common agreement that moving away from outdated legacy procurement processes is the only way to move the needle. It has been observed over the years that to stay competitive, organisations are required to adopt change management initiatives that drive excellence in procurement management.

Growing uncertainty along with increasing polarisation is adding new layers of complexity. Business leaders are now fully aware that complacency is the enemy of progressive change. The worst thing a business can do is to assume what has worked in the past will continue to work in the future. The ability to respond quickly and effectively to possible supply chain changes will certainly assist organisations to stay competitive.

In a rapidly changing business environment, agility is key. Effective change management enables procurement to respond quickly to new opportunities or challenges. Treating change management as a strategic imperative should be second nature. Procurement is transforming from a back-office function focussed on cost savings to a strategic partner that drives value.

Procurement may be one department or one function, but it has enormous reach across all organisations. Supply chain management professionals sit at the intersection of change management initiatives. It is imperative to cast the gaze towards the future of this dynamic landscape.

Planning is key to change management. It will determine the extent of the change efforts required as well as evaluating its potential effects on procurement efficiency levels. Change management will assist in navigating the complexities of procurement processes with a singular view to minimise supply chain disruptions.

The nature of the supply chain industry is inherently dynamic. It is sensitive to fluctuations and rapid changes associated with various factors such as the availability of raw materials, changing conditions in the labour market, technological advancement in the fast-changing business environment as well as adjusting to the sudden changes in the economic, political and environmental challenges. Firefighting is therefore a perennial element in supply chain management.

But the problem with firefighting is it can only get you so far. The need to always prepare for change management is the need of the hour under such circumstances. It will help remove the stress of second-guessing every decision. The accumulated wisdom derived by supply chain professionals from successes and setbacks becomes institutional knowledge that is relied upon to navigate into the unknown future. The need for change management in procurement has never been more critical.

Change management initiatives will often be targeted at the adoption of new technologies, or to restructure certain processes or to address constant shifts in market demands.  Significant opportunities to unlock compounding value will remain an ocean of possibilities. 

Procurement thought leaders will seek to change from reactive postures to proactive change management adoption. Effective change management allows supply chain leaders to be proactive rather than reactive, anticipating and adapting to changes in the business environment more swiftly. The prevalence of evolving technologies is apparent, providing ease-of–use on procurement personnel work routines.

Global economic trends necessitate continuous adaptation and transformation. It may be necessary to look at practical ways of looking around the next curve for anticipated obstacles. It is important to rely on professionals who have done this for a living.

Changes in management initiatives in any part of the supply chain value chain can ripple through the entire ecosystem, taking a significant knock at supply chain costs, delivery times and customer satisfaction. Factors such as generational shifts, technological advancements, stringent regulations and global economic instability are reshaping the procurement landscape. It is important to embrace the change and lead the change management initiatives than play catch-up.

Procurement is a discipline where change is the rule, not the exception. This will reinforce a culture where change is an opportunity, not a burden. The adoption of change management initiatives will seek to come up with strategies to navigate a myriad of challenges to include regulatory compliance requirements, geopolitical tensions and changing market dynamics, reshaping the way organisations manage their supply chains. Such change management initiatives in procurement involves more than just making process tweaks.

Adapting to the change management curve guarantees a sure-fire way to get desired procurement results. The ultimate goal of change management in supply chain is to create a more agile and adaptable supply chain that can respond quickly to changes in the business environment. Strategic thinkers can adeptly navigate supply chain shifts and proactively address procurement challenges.

The various challenges targeted by procurement change management initiatives include changes in market conditions, changes in customer needs, advances in technology or changes in regulations. Changes in such variables defy prediction but high -impact change management initiatives can be relied upon to lay the foundation for scalable transformation and resilience, transforming turbulence into renewal.

Supply chain leaders must realise that true change management should be driven by people. Lasting change management should be led by people. This will certainly foster a sense of shared understanding. Change management initiatives must be used to shifting thought processes from individualistic heroism to shared wisdom. But leaders must also realise changing people’s minds is a process without an end date. There is need to adopt a cross functional collaboration mindset which can assist in rupturing silos at any given time.

The integration of diverse perspectives from diverse schools of thought happens to foster a collective journey towards robust change management. Supply chain leaders will be expected to demonstrate inclusivity and fostering a sense of ownership in the change management process as a way of giving more confidence to the lower levels.

Supply chain leaders will be required to provide guidance and support with a view to achieve lasting success. There is need to win the hearts and minds of people, converting the biggest critics of change management into advocates.

Effective change management ensures the transition is smooth, minimising downtime and maintaining productivity.

Nyika is a supply chain practitioner based in Harare. — [email protected]

 

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