Omid Ghamami, CGNE™, CPSCM™’s Post

Omid G's latest Negotiation Training Blog is here! "The Wrong People Are Getting Recognized in Procurement". https://lnkd.in/gwq3N8K5 . Please like, share, comment, and subscribe. Thank you! #purchasing #procurement #negotiation #purchasingtraining #procurementtraining #negotiationtraining

I wanted to share a few do nots with procurement people... we all hear about best practice and what to do ... lets share experience and what not to do ... 1. Avoid any situation where personal interests conflict with their duties. This includes accepting gifts, bribes, or favors from suppliers. If you cant give then dont receive. 2. Skip proper due diligence on vendors, such as background checks, financial assessments, and performance evaluations, this can lead to selecting unreliable or unqualified suppliers. 3. Avoid lack of transparency in procurement processes as this can lead to suspicions of favoritism or corruption. It's essential to maintain clear and transparent procedures throughout the procurement lifecycle. 4. Don't adhere to legal and regulatory requirements, such as procurement laws, policies, and procedures, can result in legal liabilities, penalties, and reputational damage. 5. Once contracts are awarded, it's crucial to actively manage them throughout their lifecycle. Ignoring contract management can lead to cost overruns, missed deliverables, and disputes. 6. Rushing through the procurement process can result in errors, oversights, and suboptimal decisions. It's important to allocate sufficient time for planning, evaluation, and negotiation. 7. Competitive bidding helps ensure fairness and value for money in procurement. Bypassing competitive processes without valid reasons can raise concerns about favoritism and restrict opportunities for other suppliers. 8. Effective communication with stakeholders, including vendors, internal teams, and management, is essential for successful procurement outcomes. Failure to communicate can lead to misunderstandings, delays, and dissatisfaction. Dont go it alone it will always come back to bite you. 9. Procurement should be viewed as an evolving function that can benefit from continuous improvement efforts. Failing to assess and refine procurement processes over time can result in inefficiencies and missed opportunities for optimization Hope that these help as we are teaching these in https://lnkd.in/gcr948sc

What’s your understanding of contracts? For me, they’re not just legal terms or signatures from both parties—they’re the backbone of trust and collaboration. When I draft a contract with a clear scope of work and well-defined responsibilities, it ensures that both parties are aligned and committed to fulfilling their obligations. How do you view contracts in your work? Procurement Leaders | A World 50 Group Community Procurement & Supply Chain LIVE Procurement #ProcurementExcellence #Contracts #SupplierRelationships #procurement

Negotiation in Procurement: A Path to Value or a Risk to Transparency? Is negotiation in procurement truly beneficial, or does it compromise fairness and transparency? While negotiation can deliver cost savings and foster strong supplier relationships, it also raises concerns about transparency, particularly in public procurement. A well-structured process can ensure value for money, but without proper guidelines, negotiation may risk favouritism or compromise competitive principles. Benefits of Negotiation: Cost savings Improved quality, service, and flexibility Strengthening supplier relationships Challenges: Transparency issues in closed-door discussions Erosion of competition Risk of accepting Abnormally Low Bids (ALBs) Ensuring Transparency: Use of data-driven decision-making Involvement of cross-functional teams Clear post-negotiation audits Ultimately, negotiation can drive value in procurement if governed by strict transparency measures. Let's ensure that negotiation strengthens, not weakens, the principles of fairness and value for money. What do you think? Can negotiation be a transparent tool, or is it too risky? Share your insights below! #Procurement #Negotiation #ValueForMoney #Transparency #PublicProcurement #SupplyChain

Our founder's hot-take for today! Are procurement professionals deserving of bonuses too? 👇 Let's talk about something that needs to change in procurement: bonuses based on savings. Why? It’s a dangerous game. It’s a bad incentive only for short-term thinking and can harm our suppliers. When the power is already in the buyer’s hands, pushing for more savings adds to the imbalance. Procurement should be about building strong, long-lasting relationships, not just cutting costs. We need to rethink how we reward procurement professionals, focusing on the value they bring, not just the savings. Let’s move away from harmful incentives and focus on sustainable success. What do you think?👇

Did you know? The procurement professionals are the unsung heroes of the corporate world? They're responsible for negotiating better contracts, obtaining lower prices, ensuring the quality of goods or services delivered,and analyzing contracts. And, they're not just number crunchers - they're also problem solvers, strategists, and sometimes even musicians So, the next time you see a procurement manager, remember they're not just shopping for a living, they're building the foundation of your business #procurement #procurementprotagonist #procurementfunfacts"

In the procurement world, the scenario of the hen and its eggs can serve as a strong metaphor for the unethical act of accepting bribes from vendors. Initially, the hen protects its eggs diligently, just as a procurement manager is meant to safeguard the interests of their organization. However, when the owner offers the hen corn, the hen abandons its protective stance and allows the eggs to be taken away. Similarly, when a procurement manager accepts a bribe, they are effectively allowing their judgment and integrity to be compromised in exchange for personal gain, thereby neglecting their responsibility to act in the best interest of the organization. In reality, the procurement manager has a duty to ensure fairness, transparency, and accountability in all dealings with vendors. Accepting bribes distorts this process, leading to biased decisions that can result in inflated costs, substandard goods, or services that do not meet the organization's needs. Just as the hen sacrifices its eggs after being tempted by corn, a procurement manager who takes a bribe sacrifices the long-term interests of the organization for short-term personal benefit. This not only harms the organization but also damages the manager’s reputation, undermines trust in the procurement process, and could lead to severe legal and professional consequences. Ultimately, just as the hen's actions cannot be undone once the eggs are lost, the damage caused by unethical procurement practices can have lasting effects on an organization's operations, finances, and ethical standing.

Omid G's latest Procurement & Negotiation Training Blog is here! "Why Procurement Doesn't Have a Seat at the Table." https://lnkd.in/g3TCGmu7 . Please like, share, & comment. #purchasing #procurement #negotiations #purchasingtraining #procurementtraining #negotiationtraining

Omid G's latest Procurement & Negotiation Training Blog is here! "Why Procurement Doesn't Have a Seat at the Table." https://lnkd.in/g3TCGmu7 . Please like, share, & comment. #purchasing #procurement #negotiations #purchasingtraining #procurementtraining #negotiationtraining

𝐈𝐧𝐜𝐨𝐫𝐩𝐨𝐫𝐚𝐭𝐢𝐧𝐠 𝐈𝐧𝐭𝐞𝐫𝐝𝐞𝐩𝐞𝐧𝐝𝐞𝐧𝐭 𝐃𝐞𝐜𝐢𝐬𝐢𝐨𝐧-𝐌𝐚𝐤𝐢𝐧𝐠 𝐈𝐧 𝐏𝐫𝐨𝐜𝐮𝐫𝐞𝐦𝐞𝐧𝐭: https://lnkd.in/dFuqKhxh Decision-making is at the heart of #procurement. Whether it’s selecting suppliers, negotiating contracts, or managing risks, procurement professionals face a constant stream of decisions that shape the efficiency, cost-effectiveness, and success of their organisations. However, the quality of these decisions may vary greatly depending on how they are made.