NRS Meeting 25 jarig jubileum PhD Research on Creativity in Purchasing 27 January 2015, Zwolle MSc Nadine Kiratli Prof dr Frank Rozemeijer
Agenda How it all started Creativity in Purchasing Project 1 Project 2 Project 3 What s next?
NEVI Leerstoel Maastricht University Since 2007 8 Purchasing courses >415 students 7,9 course grade (2014) 1 st PhD (Blonska, 2010) 1 IPSERA Conf. (2011) 9 Conference papers 4 Journal articles 45 columns/articles 35 presentations 2 TV appearances 9 PhD committees NEVI PLP (2012) Unilever (2012-2014) 2 nd PhD (Kiratli, 2015)
Purchasing Leadership Program
NEVI Chair PSM - People NEVI Chair Purchasing and Supply Management Prof Dr Frank Rozemeijer (0,2 fte) PhD Candidates Agnes Blonska (1,0 fte / 2007-2010) Nadine Kiratli (1,0 fte / 2011-2015) Vacancy (1,0 fte / 2015-2019) Tutors Simon Bartczek, Nadine Kiratli Research team Prof Martin Wetzels, Prof Ko de Ruyter, Dr Lieven Quintens, Dr Evelyne VanPoucke, Tim Hilken and students (UM) Prof Ad de Jong (Aston University, UK), Prof Eva Demerouti (TU/e)
How it all started in 2011
Social media for procurement professionals: Is it on their radar? Chapter MOA Marketing jaarboek Workshops in NL, Belgium & Sweden
Where to go from here? Social media not common practice yet BUT great potential in underlying phenomena Hot topics identified in exploratory research: Collaborative Innovation Supplier Engagement Idea generation Supplier Creativity
FOR INTERNAL USE ONLY Doing things different: New Competences demanded Collaborative approach Competitive approach Venture Capitalist Understand risk/reward tradeoff Market & technology acuity Financial skills: business case and valuation Entrepreneurial Deal maker Thought leader. Big picture thinker Influencing leader Dynamic leadership Personal impact Intellectual flexibility Influence strategic & senior stakeholders Assertiveness skills Relationship builder X-functional teamwork Persuasion skills Communication Skills and empathy Strategic Negotiation Networking skills Creative Innovator Strategic options and scenarios Strategy development Thinking out of the box Innovative thinking Pioneering purchasing practices Programme Manager Change management Programme design Project management Stakeholders engagement PMP, Bell Mason, Project Plaza Mastery of Strategic Sourcing Methodology (SSM) remains the necessary minimum Category Manager Deep industry knowledge Deep category knowledge Cost and value processes (TCO) Negotiation Analytical skills
Can creativity contribute to business success? What does it take to produce creative outcomes? Are purchasers creative? Do they have the skills? What is the work environment for creativity? How to be creative in teams? With peers...with suppliers? What drives creativity? Can creativity be managed? What does creativity mean in the purchasing context? Is there room for creativity in purchasing?
Why do we focus on creativity? Theoretical Motivation Lack of team perspective Few insights into behavioral elements Strong focus on technocratic aspects Few learning from other fields Practical Motivation Changing role of purchasing Increasingly complex tasks New competences needed People are core
What about creativity?
How important do you consider creativity to be in Purchasing?
To what extent does your current job require you to be creative?
To what extent do you regard yourself as a creative person?
To what extent do you regard your colleagues as creative?
In what specific area is your crea vity most needed? In which areas is creativity needed? Other 12% Both 10% Cross-Func onal Sourcing Teams 43% External Collabora on with Suppliers 35%
Creativity Innovation Creativity is the raw material of innovation. Put another way, innovation is creativity implemented. Source: IBM 2010 Global Chief Human Resource Officer Study Creativity Selected as Most Crucial Factor for Future Success Source: IBM 2010 Global CEO Study Creative as overused buzzword on LinkedIn in 2011 and 2012. Source: LinkedIn (2013)
Please formulate in your own words what creativity means to you in your daily job as a purchasing professional.
Creativity defined! Coming up with fresh ideas for changing products, services and processes so as to better achieve the organization's goals Source: Amabile et al. (2005) Big-C creativity vs. Little-c/Mini-c creativity Source: Craft (2000), Kaufmann & Beghetto (2008) Nature vs. Nurture debate
Business Creativity Original? Unconventional? Radically new? Applicable? Relevant? Effective? Implementable? Constraints? Capabilities? Action plan? Detailed? Communicable? NOVEL RELEVANT FEASIBLE SPECIFIC B2B Creativity
Meaning Development of novel and meaningful business solutions together with purchasing colleagues and internal stakeholders as well as with employees from the suppliers.
Discuss with your neighbor for some moments and write down 3 examples of acts of creativity in purchasing!
Researching Creativity in Purchasing Project 1 Literature search Develop measurement scale Interviews & Pilot study Refining & Validating Project 2 52 Cross-functional teams Conceptual Model Online surveys Quantitative Testing Project 3 ca. 50 Buyer-supplier teams Conceptual Model Online surveys Quantitative Testing
Project 1 Scale Development In-depth literature review Practitioner Interviews Item Formulation (32 items) Expert Panel (3 doctoral students, 4 professors) Item Refinement Pilot study with NEVI (n=139) Scale Testing (Factor analysis, Reliability, Validity) Final 9-item scale
Sourcing Team Creativity Climate Team members collective beliefs about their joint effort and common practices with respect to developing novel and meaningful solutions. Example Items (measured on scale from 1 = fully agree to 5 = fully disagree) Team members openly share their ideas without fear of rejection. Team members actively seek out each other for constructive discussions. Building on each other s ideas is an integral part of how team members work. Team members are comfortable with exploring unfamiliar ideas and unknown perspectives.
Project 2 Cross-functional teams Input Process Output Creative Skill Leader Behavior.51** -.20*.39** Creative Sourcing Solution Novelty Meaningfulness Feasibility Specificity Intrinsic Motivation Sourcing Team Creativity Climate.71*** Task Expertise.21*.20**.50* Sourcing Performance Effectiveness Efficiency Functional Diversity * p < 0.10 ** p <0.05 *** p <0.01
Pre-work (with companies) Online Survey (15-20 min response time) Deliverables & Follow up Briefing to fix detailed timeplan and milestones Pre-design and customize survey Identify target teams for data collection Brief and inform teams and team leaders to get commitment Actionpoints Roll out survey with contact person Contact details of teams to follow up Access to X-functional teams (min. 4 per team) & project owner Promotion of data collection in teams Systematic Empirical Analysis Detailed Management Report Briefing to Purchasing Management Team In-house Team Workshops (Optional)
Key Learnings Creative Skills and Task Expertise help to set a creative climate in cross-functional sourcing teams. When diverse functions are present in a sourcing team, the positive influence of task expertise on creative climate is even stronger. (Leverage Effect) However, facilitative leader behavior seems to deteriorate climates as the positive impact of team members creative skills on creative climate is weaker. 75% of leaders are Purchasers. These Purchasing leaders score higher than Non-purchasing leaders on facilitative leadership behavior. The extent to which a sourcing team s sourcing strategy is creative is a strong determinator of project performance in terms of effectiveness and efficiency. (Channelling Effect)
Project 3 Buyer-supplier teams Input Process Output Creative Components Contractual Alignment Relational Alignment Task Alignment X-functional Alignment Sourcing Team Creativity Climate Creative Sourcing Solution Novelty Meaningfulness Feasibility Specificity Sourcing Performance Market Turnover Business Turnover
Status so far Dyadic team-level data Ongoing data collection Targeting ca.50 teams (n ~ 220)
What to expect next? IPSERA 2015 Project 1 and 2 accepted Competitive Paper and Working Paper Prepare for scientific publication Project 3 Practitioner workshops Doctoral dissertation Finalizing data collection Analyse and write up Prepare for scientific publication Feedback to companies Validate results and find explanations Finalize in August Planned defense in December
What to expect next?
Next Generation Procurement Creativity Job crafting
Job Crafting Creative job performance