Though leading Procurement groups have grown increasingly essential across organizations, many still have trouble making an impact in IT. Procurement and IT share a common goal, but the two departments have historically butted heads. This is partially due to the critical role IT plays within organizations. The department is responsible for a number of technologies and processes that provide the foundation of business operations. Oftentimes, companies consider IT's spend concerns too critical for outside interference.
Friction also comes from outdated notions about Procurement. In the past, many Procurement teams earned themselves bad reputations by wantonly cutting costs. Oftentimes, when other departments hear "lower costs" their minds immediately conjure images of inferior products and services. This has created the (all-too-popular) idea of Procurement as an adversary rather than an ally within organizations. The best Procurement teams, however, have continually refuted these stereotypes by offering value well beyond cost savings.
IT sourcing expert Torey Guingrich joins the Source One podcast to discuss strategies for aligning the goals of both departments. Procurement is capable of helping IT better leverage its budget and drive more value from its initiatives. To do so, they've got to position themselves as a support group for better decision making. It's up to Procurement groups to clue other departments into the value more strategic purchasing can have.
To learn more about promoting collaboration between IT and Procurement, check out Source One's recent whitepaper: Equipping Procurement to Tackle IT Spend: Building Successful Relationships with Stakeholders.