CIPS Pan-African Conference Zambia Game changing procurement and supply management by Babs Omotowa

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Speaker Name: Babs Omotowa Topic: Game Changing Procurement and Supply Management

description

July 2014 Game Changing Procurement and Supply Management “Good Procurement, Good for Society, Good for People” A presentation by Mr. Babs Omotowa, Managing Director/Chief Executive Officer of Nigeria LNG Limited at the 2014 Pan-African Conference of Chartered Institute of Purchasing and Supply (CIPS) in Lusaka, Zambia

Transcript of CIPS Pan-African Conference Zambia Game changing procurement and supply management by Babs Omotowa

Page 1: CIPS Pan-African Conference Zambia   Game changing procurement and supply management by Babs Omotowa

Speaker Name: Babs Omotowa

Topic: Game Changing Procurement and Supply Management

Page 2: CIPS Pan-African Conference Zambia   Game changing procurement and supply management by Babs Omotowa

Leading global excellence in procurement and supply

Game Changing Procurement and Supply Management “Good Procurement, Good for Society, Good for People”

Mr. Babs Omotowa MD/CEO

Nigeria LNG Limited

Page 3: CIPS Pan-African Conference Zambia   Game changing procurement and supply management by Babs Omotowa

Leading global excellence in procurement and supply

Global Business Environment Background

CIPS Royal Charter (1992) Intent

Evolution of the profession

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Leading global excellence in procurement and supply

Global developments

Enablers Challenges

Telecommunication

More efficient logistics

50% global poverty

Climate changes

Global economy

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Leading global excellence in procurement and supply

Societal expectations of Governments

Expectations Realities 70% of countries with GDP/c < $20k

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Leading global excellence in procurement and supply

Societal expectations of Organisations

Social Responsibilities Tax

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Leading global excellence in procurement and supply

Seat at the table

Almost 1 in 5 of every CPOs reports to the CEO

Growing importance of office of government commerce/public procurement bureau

100% with bureau

91% adoption

32 OECD countries Source : OECD Public Sector Integrity Division, 2013

Source : Ardent Partners Research, 2014

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Leading global excellence in procurement and supply

Seat at the table for what? – Public sector

Ethical standards

Waste reduction

• Focus on relevance • SMART projects • Balance in cost and risk

• Adopt best practice • Improve efficiency • E-procurement

Anti-bribery & corruption

Timely delivery

Professionalism

Value for money

• Right people in right places • Standardization • Governance

• Code of conduct • Training

• Operational efficiency • Management expertise

• Embed compliance • Prosecution

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Leading global excellence in procurement and supply

+ Meeting societal needs

Shareholders returns

Seat at the table for what ?– Private sector

• Innovate • Drive value with integrity • Local content development

• Surplus management • Customer satisfaction

• Standardization, E-platforms • Performance and efficiency • Competition

• Develop professionalism • Adopt best practices • Benchmarking • Value chain engineering

Backward Integration

Sustainable development

Forward Integration

Growing Capacity

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Leading global excellence in procurement and supply

The gamer changer – Societal entrepreneurs

Ensuring societal needs are met for public benefit Proactively drive and deliver value (private/ public)

Understanding societal expectations and shareholder value

Understanding long term plans and strategies

Understanding Economies and value for money

Delivery – efficient and effective

Benchmarking and Continuous Improvements

Delivering societal needs and shareholder values

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Leading global excellence in procurement and supply

Last words…

Total ownership cost Innovation/technology Ethical practice Green procurement Eliminate Fraud

Value for money Infrastructure delivered Human rights Climate Change. GDP growth

Jobs /employment High quality of living Emotional wellbeing Higher income/capita

Good Procurement Good for Society Good for People is is

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Leading global excellence in procurement and supply