Monday Morning Query: Is Procurement a Finance or Operations Function?

The Context

The next topic that Ardent Partners (a leading supply management research firm) will be focusing on is the relationship between the CPO & the CFO in a research report that will publish at the end of November. As a prelude to that research effort, I am in London this week where I will be speaking at an event organized by Sievo on just this topic.

One question that I will pose in my presentation is the question of procurement’s larger role in the organization and whether it should be considered a finance function, an operations function, a blend of the two, or something else?

Like a Rorschach slide, how a person answers the question will say much about the orientation, focus, and worldview that the person brings to his/her role.

The upcoming research report will focus on this question in great detail by examining the two competing worldviews (finance and procurement), understanding their implications, and highlighting how successful enterprises bridge the organizational gap and develop strong collaborative ties that deliver great value.

How do you see it? Please weigh in here or better still, help improve our research by participating in it. Drop me a note if you are interested in connecting on this topic.

Cheers!

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