BTW EP 21: Planning for People: Behavioral Architecture with David Loseby

Procurement's toughest problems rarely come from spreadsheets or contracts.  They come from people. In this episode of "Buy: The Way…To Purposeful Procurement," David Loseby – professor, former CPO, and self-described "pracademic" – joins Philip Ideson and Rich Ham to explore why procurement's incentive systems often fail not because they're wrong on paper, but because they ignore how people actually think and act. Unfortunately, he says, most systems are designed for tidy models, not messy human behavior. Drawing on behavioral science and front-line experience, David introduces the idea of "behavioral architecture," a practical approach to shaping decisions by understanding how different audiences think, decide, and act. Finance wants the spreadsheet. Marketing wants the story. The CEO wants 30 seconds and a decision. A single, one-size-fits-all KPI (which we know is usually "savings") can't carry that load, and when it tries, it often drives the wrong behaviors. Instead, David makes the case for incentives that create shared ownership of outcomes across functions. He walks through a concrete example of shifting an energy "re-tender" into an enterprise-wide consumption program that improved P&L results through local engagement, gamification, and rapid payback actions – all proof that when the metric matches the mission, the business moves.  He then applies the same logic to sustainability, customer experience, and resilience, showing how to frame the same initiative in different "languages" across the business without diluting the goal. David also offers actionable guidance: build balanced scorecards that include the business's priorities (not only procurement's), tie a portion of bonuses to stakeholder metrics, and tailor communications so each audience sees their value in the work. It's a call to action for procurement that may be uncomfortable, but it's exactly what they need to hear: if you want purposeful outcomes, you have to design for human behavior, not inhuman systems and processes. Links: David Loseby on LinkedIn Rich Ham on LinkedIn Learn more at FineTuneUs.com

"Fraudulent conduct robs the government – at all levels, local, state, or federal – of the benefit of competition. Competition is free and open; it is the Magna Carta of the American economic system, and robbing the government of that benefit is inherently wrongful."  Public sector procurement faces mounting challenges, not least of which is the threat of collusion and fraud that quietly erodes budgets and public trust. The Department of Justice's Procurement Collusion Strike Force is taking this seriously, with a coordinated and data-driven approach to cracking down on anticompetitive conduct at all levels. In this episode, Philip Ideson speaks with Daniel Glad, Director of the Procurement Collusion Strike Force at the DOJ, who walks listeners through the reality of prosecuting bid rigging and price fixing in public contracts.  Daniel shares compelling stories, actionable red flags, and new tools (like the groundbreaking whistleblower reward program) that empower honest players to speak up. Learn what triggers a federal investigation, which spend categories are especially vulnerable, and why the risks (and penalties) for collusion have never been higher. In this episode, Daniel discusses ways to: Identify which purchasing patterns often attract collusive behavior Detect early warning signs that suggest fraudulent bidding Leverage whistleblower programs to protect your organization and career Understand how technology and data analytics are changing enforcement Prepare for the scrutiny of the DOJ's proactive investigative methods Links: Daniel Glad on LinkedIn Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube

"Too many procurement professionals have developed a push energy. If you take that same approach with internal stakeholders, it won't work. We need to develop pull energy — asking questions, listening, and creating a shared vision." - Giuseppe Conti, Professor, Author of Negotiation + Influence = Success: Quick Lessons to Help You Win in Corporate Life Procurement leaders know how much the field has changed, but the biggest barriers often come from within. As procurement's role expands, it has become essential to influence internally, manage expectations, and go beyond data-driven persuasion. In this Art of Procurement podcast episode, Philip Ideson speaks with Giuseppe Conti, a seasoned procurement executive turned business school professor. Giuseppe reveals why internal negotiation is so much tougher than dealing with suppliers, and offers strategies to shift procurement teams from "push" to "pull" influence. If your team's technical skills are strong, but your impact could be greater, this is a must-listen. Giuseppe's practical tools – like a 20-minute, one-page prep template and real-world active listening techniques – will give any procurement leader an edge. In this episode, Giuseppe explains how to: Diagnose and close the gap between perceived and actual listening skills Move from "push energy" to "pull energy" for genuine, lasting influence Set realistic internal stakeholder expectations and avoid common missteps Balance data with emotional intelligence to drive decisions Links: Giuseppe Conti on LinkedIn Negotiation + Influence = Success: Quick Lessons to Help You Win in Corporate Life by Giuseppe Conti Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube

Procurement doesn't just have a measurement problem. It has a motivation problem. Behind every misaligned target, every "savings" claim, and every missed opportunity is the same invisible culprit: incentives that quietly tell people to do the wrong things well. In this episode of Buy: The Way…To Purposeful Procurement, Jason Brown, accounting professor at Indiana University and longtime corporate incentives expert, joins co-hosts Philip Ideson and Rich Ham to expose how organizational reward systems shape behavior far more powerfully than strategy or mission statements ever could. He explains why even the most principled teams end up chasing metrics that distort procurement's purpose, and why rethinking incentive design may be the key to unlocking true business alignment. Drawing from decades of academic research and corporate consulting, Jason unpacks the subtle ways procurement incentives drift off course: how bonus structures reward volume over value, how finance and procurement end up speaking different dialects of "performance," and how organizations confuse compliance with contribution. He also brings attention to the rare examples of companies that have broken these patterns by tying procurement's rewards directly to shared outcomes that improve EBITDA, resilience, and stakeholder trust. This conversation challenges a fundamental assumption: can procurement ever be purposeful if its people are rewarded for something other than real impact?  As Jason argues, until incentives reflect what actually matters to the business and society, procurement will remain stuck in a cycle of performative alignment where everyone looks busy but the enterprise stands still. According to Jason, the truth may be uncomfortable, but it's exactly what procurement needs to hear. Incentive design isn't a soft topic or a side project. It's the operating system of purposeful procurement, and it's long overdue for an upgrade. Links: Jason Brown on LinkedInRich Ham on LinkedInLearn more at FineTuneUs.com

"Everyone keeps talking about AI just for the sake of AI, but, ultimately, the only thing that matters is the outcome you can achieve." - Baber Farooq, Senior Vice President, Market Strategy, Procurement Solutions at SAP Procurement leaders have long felt the pinch: rising expectations, tight budgets, and platforms that struggle to keep up with user expectations. As AI shifts from a buzzword to true capability, procurement needs to rethink what they need from their core procurement suite. What will it take to move from incremental change to a genuine step-change in productivity? In this episode, Baber Farooq, Senior Vice President, Market Strategy, Procurement Solutions at SAP, discusses the future of SAP Ariba and what "next-gen" truly means for procurement. To do this, Baber draws back the curtain on SAP's rethink of Ariba, including why incremental AI add-ons just weren't enough, and how his team approached trust, transparency, and a seamless transition for current users. In this episode, Baber speaks about: Reimagining procurement technology with AI as a core capability, not a bolt-on Why data quality and structure are critical to enabling reliable AI outcomes Concrete examples of how generative AI changes real user workflows and decision-making Links: Baber Farooq on LinkedIn Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube  

"There is no stagnancy in a supply relationship. Continuous improvement is the basis for that." - Neji Isaac, Global Category Manager, NOVA Chemicals Procurement often measures success in cost savings and contract terms, but today's business environment demands more.  As supplier markets consolidate and customer needs shift, procurement leaders must find new ways to bring value to the business, especially in categories that seem stagnant or constrained. In this Art of Procurement podcast episode, Neji Isaac, Global Category Manager at NOVA Chemicals, shares a real-world case study that pushed the boundaries of traditional supplier relationships. Drawing on his global experience and recent doctoral research, Neji explains how identifying overlooked opportunities and challenging old assumptions can unlock efficiency and drive unexpected value. Whether you're facing a "take-it-or-leave-it" supplier market or searching for fresh levers to pull, Neji offers pragmatic strategies to reflect on. In this episode, Neji discusses: Rethinking supplier relationships in long-standing, strategic categories How to recognize and act on cultural and regional differences in supply approaches Turning overlooked assets (like spare land) into value-adding levers Why the "we win" approach beats traditional win-win thinking Ways to uncover what truly matters to your suppliers Links: Neji Isaac on LinkedIn Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube  

In this Phil-Ins episode of "Buy: The Way…To Purposeful Procurement," Philip Ideson, Rich Ham, and Kelly Barner reflect on their conversations with Bayer CPO Thomas Udesen, franchise procurement leader Kristine Morton, and procurement entrepreneur Jason Busch. Despite differences in scope, scale, and sector, the through-line is unmistakable: common sense.  For example, Thomas showed how Bayer abandoned "pointless" savings metrics in favor of measures that connect directly to business outcomes, while Kristine reminded us that for franchisees, if it doesn't hit the P&L, it didn't happen. And Jason revealed how AI employees could finally make real-time validation and continuous monitoring of results possible at scale. Taken together, these stories underscore procurement's most pressing challenge: leaving behind the dysfunctional obsession with "claimed savings" and building incentive systems that reward real impact. Rich, Phil, and Kelly also step back to examine procurement's sense of alignment (or detachment?) from the wider business. Kelly shares vivid experiences from her own practitioner days, contrasting the urgency of grocery logistics with the abstraction of office supplies. Phil cautions against "procurement blinkers," reminding us that silos plague every function, not just ours. And Rich argues that measuring against EBITDA – profits, not projections – may finally put procurement "on the pitch" with their teammates. This recap sets the stage for the next phase of the series: designing incentive structures that actually work. Because if procurement doesn't align with business value, AI vendors may sell that value straight to the C-suite. Links: Rich Ham on LinkedInLearn more at FineTuneUs.com

"Play the long game, avoid myopic thinking and approaches to solve immediate problems as much as you can, and treat your suppliers as your customers or clients."  – Darshan Deshmukh, President at ProcureAbility Procurement leaders are facing unparalleled uncertainty – trade wars, shifting regulations, and headlines that change overnight. Pressure is mounting to build more resilient, agile supply chains, but most organizations are battling change fatigue as well as a need to redefine value.  Procurement has to rewire their operating model for a future where disruption is the norm. In this Art of Procurement podcast episode, Philip Ideson and Kelly Barner are joined by Darshan Deshmukh, President at ProcureAbility. Darshan shares real-world stories about how teams are grappling with global risk and why some are seeing volatility as an engine for growth, while others are retrenching. The conversation addresses how CPOs can actively manage optionality in their supply chains, and how procurement leaders can spot – and address – risk fatigue in their teams. If you want to understand what it means to create a cost-effective and resilient, opportunity-ready supply chain, this episode gives you the roadmap. In this episode, Darshan discusses how to: Adapt your approach for regional differences in geopolitical risk Invest in supply chain optionality, even if it adds time and/or cost Transition from transactional work to collaborative, strategic relationship building Use data and human judgment to separate real risks from noise Links: Darshan Deshmukh on LinkedIn Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube Overcoming Procurement's Fear of AI with ProcureAbility

"We're in the business of change – selling change and then delivering it." - Gordon Donovan, Vice President Research - Procurement & External Workforce, SAP  In an era of overlapping crises, procurement faces fast-evolving challenges… and opportunities.  Senior leaders are tasked with not only keeping the engine running but also building resilient, future-facing teams that thrive in complexity. The recently published SAP Economist Impact research report, "The Resilient Edge: Procurement in an Era of Polycrisis," provides a data-driven lens on what the next three to five years may hold, especially as outsourcing, skills, and technology reshape operating models. To dig into this new research, Philip Ideson welcomes Gordon Donovan, Vice President Research - Procurement & External Workforce at SAP, back to the show. Gordon combs through insights on what is driving procurement decision-making, current confidence in category management, and the practical implications of surging contingent workforce and outsourcing activity. Whether you want to understand why risk management is lagging, how AI will drive operating model transformation, or where procurement should focus next, Gordon brings both the latest data and his own hard-won advice for CPOs. In this episode, Gordon discusses how this latest research from SAP can help procurement: Identify how leaders' priorities are aligning for the first time in four years Rethink the value proposition beyond cost savings and communicate it upstream Advance risk management beyond basic compliance, especially in category strategies Harness outsourcing and the contingent workforce as proactive transformation levers Prioritize the right skills, even those that rarely make the official list Links Gordon Donovan on LinkedIn Procurement's Path Through an Era of Polycrisis Visit the SAP Website Subscribe to This Week in Procurement Subscribe to Art of Procurement on YouTube

"We can all claim savings without necessarily achieving the result."  This stark observation from Jason Busch sums up decades of dysfunction in how procurement measures their impact and why AI may finally force a (much-needed) reckoning with reality. In this episode of "Buy: The Way...To Purposeful Procurement," Jason joins co-hosts Philip Ideson and Rich Ham to explore how artificial intelligence might finally solve procurement's validation problem… but only if organizations abandon their addiction to "claiming savings" and start measuring what actually matters: EBITDA. As a co-founder of FreeMarkets and a founder of Spend Matters, Jason has witnessed 25 years of procurement's evolution from the inside, and he's not pulling any punches. Instead, he offers a radical proposition: procurement should function as economic "detectives" gathering evidence of spend crimes, then "prosecutors" holding suppliers accountable based on that evidence. The technology finally exists to make this possible, but it will require procurement to abandon the comfortable fiction of projected savings in favor of the uncomfortable truth of EBITDA impact. The implications of this approach extend beyond individual organizations. Jason frames procurement's societal purpose as "public defenders against rampant cost escalation," suggesting that when buyer-side flaws enable seller-side exploitation, the ultimate losers are consumers who absorb these costs through higher prices. According to Jason, the question isn't whether technology will transform procurement… It's whether procurement will transform themselves enough to leverage that technology purposefully and for the good of the business. Links: Jason Busch on LinkedIn Rich Ham on LinkedIn Learn more at FineTuneUs.com