EP 032 - Building Procurement at Tech Companies with Michiel de Bruijn, Procurement Lead at Bloomreach

Strategy of Finance

In this episode, Michiel de Bruijn, a procurement lead at Bloomreach, shares his journey in the field of procurement and discusses the challenges and strategies involved in software procurement. He highlights the importance of understanding the specific needs of the business and aligning procurement objectives with overall business goals. Michiel also emphasizes the significance of cost reduction, turnaround time, and compliance in procurement. Additionally, he explains the complexities of cloud procurement and the need for benchmarking and understanding the metrics and criteria of different cloud providers. Michiel also highlights the need for compliance and privacy considerations when dealing with AI applications. The future of procurement, according to Michiel, lies in direct access to data, community platforms for sharing experiences, and aggregator platforms for standardized pricing and contract terms. He advises aspiring procurement professionals to gain experience through internships and to reach out to industry experts for guidance.

Takeaways

- Align procurement objectives with overall business goals

- Focus on cost reduction, turnaround time, and compliance

- Understand the complexities of cloud procurement and the need for benchmarking

- Software procurement requires Apple-to-Apple comparisons and benchmarking

- Benchmarking is crucial in procurement to ensure fair pricing and transparency

- Compliance and privacy considerations are essential when dealing with AI applications.

- Managing a multifunctional procurement process requires prioritizing risks and customizing the process accordingly.

- Optimizing software contracts involves understanding the scope, documenting requirements, and tracking savings.

- The future of procurement includes direct access to data, community platforms for sharing experiences, and aggregator platforms for standardized pricing and contract terms.

- Aspiring procurement professionals should gain experience through internships and seek guidance from industry experts.

- Success in procurement is defined by making small daily impacts, enjoying the work, and continuously learning and adapting to new challenges.

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Quotes

“Procurement is still such an undersold profession.”

“The great thing about the profession is that everything I do is with people, for people, and yeah, so it's very people-oriented.”

“Ironically… every crisis for procurement is a good one because like suddenly procurement gets a voice.”

“[Cloud spend is] way more about utilization, and optimizing utilization and infrastructure versus the actual negotiation.”

“Without benchmarks, you're just kind of standing out in the street naked.”

“[As a negotiator] don't change too far away from your personality.”

“You're not negotiating with another company, you're negotiating with a person.”

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Where to find Michiel de Bruijn:

LinkedIn: https://www.linkedin.com/in/meldebruijn/

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Where to find Bloomreach:

Website: https://www.bloomreach.com/en

LinkedIn: https://www.linkedin.com/company/bloomreach/

X: https://x.com/bloomreach_tm

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Where to find Rohit:

LinkedIn: https://www.linkedin.com/in/rohitagarwal001/

X: https://x.com/podcast_SoF

Email: [email protected]

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Sponsor:

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