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DOES SOCIAL TECHNOLOGY MAKE SENSE FOR PROCUREMENT?
Joe Walsh Intermountain Healthcare: AVP Procurement
Curtis McEntire
Mazree: Founder & President
BACKGROUND & OVERVIEW
Intermountain Healthcare
• Integrated Health System in Utah/Idaho. 23 Hospitals, Health
Plan, 185 Clinics, Home Health.
Joe Walsh
• AVP of Procurement for Intermountain Healthcare
• Responsible for more than $1.4B of annual purchases across
supplies, services, software, equipment and distribution.
Mazree.com
• Online network built to connect companies, facilitate
communication and collaboration, and provide supply chain
tools.
Curtis McEntire
• Founder of Mazree
• Previously Sr. Manager of Supply Chain Solutions at
Intermountain Healthcare.
PROCUREMENT COMMUNICATION “BACK IN THE DAY”
Did you know? The Batman Television Series lasted 3 seasons and aired 120 episodes.
60 episodes in just Season 2.
PROCUREMENT COMMUNICATION “BACK IN THE DAY”
Did you know? Emilio Estevez turned down the role of Cameron.
When did you start using E-mail?
How has it changed your work?
What are the pros and cons of E-
mail?
NEW COMMUNICATION TOOLS SOCIAL NETWORKS
A dedicated website or other
application that enables users to
communicate with each other by
posting information, comments,
messages, images, etc.
What is a Social Network?
WHY DO PEOPLE JOIN A SOCIAL NETWORK?
• Communicate information to those that are interested
in receiving your information.
Communicate
• Stay up-to-date with those that you are interested in
receiving information from.
Follow
• Easily find individuals, content, groups, etc. that you
are looking for.
Find
A SOCIAL NETWORK IS MORE THAN JUST FACEBOOK…
Developed by Brian Solis,
The Conversation Prism is
a visual map of today’s
social media landscape.
Where are the social tools
for Procurement?
Each network is designed to address the needs of specific groups.
MAYBE THERE ISN’T A NETWORK FOR PROCUREMENT BECAUSE…
B2B activity just
isn’t big
enough. There are not enough
players or activity to
justify a network. $252
$559
$0
$100
$200
$300
$400
$500
$600
B2C B2B
2013 US e-Commerce Sales (in billions)
Source: Forrester, “Key Trends In B2B e-Commerce for 2013”
MAYBE THERE ISN’T A NETWORK FOR PROCUREMENT BECAUSE…
We don’t have
any problems
that a social
network could
solve.
Transparency?
Trust?
Communication?
Direction?
With your suppliers is there:
MAYBE THERE ISN’T A NETWORK FOR PROCUREMENT BECAUSE…
Existing networks meet our needs. Facebook, LinkedIn, Yammer, etc.
LET’S PLAY A GAME:
IS THE COMPANY B2B OR B2C?
$122 $122 $123
$119
8,957
7,186,916
1,355,385
71 $100
$105
$110
$115
$120
$125
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Revenue
Facebook Likes
Facebook Likes Revenue (in billions)
McKesson Verizon CVS JX Holdings Company A Company B Company C Company D
MEET STEVE THE SOURCING MANAGER
Steve has a profile on
Facebook and is fairly active.
He uses it to follow and
share updates with close
family and friends…
And to watch the occasional
dancing cat video.
Steve also has a profile on
LinkedIn. He uses it to build
his professional network
and to keep his eye open on
other job opportunities.
Steve’s company uses
Yammer for internal
employee communication.
He finds it helpful to easily
communicate with co-
workers on projects and
other topics.
But Steve is confused. Why isn’t
there a social network where his
company can be connected to their
thousands of suppliers?
He doesn’t have any easy way to
communicate or stay up-to-date
with all of those suppliers.
MAYBE THERE ISN’T A NETWORK FOR PROCUREMENT BECAUSE…
Existing networks meet our needs. Facebook, LinkedIn, Yammer, etc.
2 SIMPLE CONSIDERATIONS FOR PLANNING YOUR SOCIAL MEDIA STRATEGY
1. Who is my audience?
2. Where is my audience (what network)?
Small home window
treatment company in
Utah.
Who? Women in Utah
over the age of 30.
Where? Facebook,
E X A M P L E
Procurement department
for large health system in
Utah.
Who? Our 10,000
suppliers.
Where? Great
question.
E X A M P L E
3 THINGS THAT MAKE A PROCUREMENT SOCIAL NETWORK DIFFERENT
Companies
Connect with
Companies
More than just
“the Social”
Security Roles
Governed by
Company
Administrators
MAZREE.COM A SOCIAL NETWORK BUILT FOR PROCUREMENT
In early 2013, with
the partnership of
Intermountain
Healthcare, I
launched Mazree: a
social network built
specifically for
procurement.
By the end of 2013,
Mazree had over
1,100 companies on
the network.
PROCUREMENT CHALLENGES
Communicating
key information
to all of your
suppliers?
Keeping supplier
contact
information up-
to-date?
Tracking your
team’s
interactions with
suppliers and
sharing them
across your team?
Managing cold
call suppliers?
Finding good
diversity qualified
suppliers?
Does your procurement department have any of these challenges?
What if your Procurement Department had these solutions?
PROCUREMENT SOLUTIONS
Communicating
key information
to all of your
suppliers?
Keeping supplier
contact
information up-
to-date?
Tracking your
team’s
interactions with
suppliers and
sharing them
across your team?
Managing cold
call suppliers?
Finding good
diversity qualified
suppliers?
COMMUNICATE
Ability to
communicate key
information to all
of your suppliers in
a single post.
CONTACT INFO
Electronic business
cards that update
automatically
when a rep
changes their info.
COMPANY NOTES
Document when
you interact with a
supplier and have
those notes
instantly visible to
only your team.
COLD CALLS
Segment your cold
call suppliers and
provide them
structured access
to view potential
opportunities.
DIVERSITY
Ability to easily
find and filter
suppliers based
upon their diversity
certifications.
MAKE YOUR PROCUREMENT CHALLENGES LESS…CHALLENGING
In a single post, communicate key information to all of your our suppliers.
No more trying to keep track of your supplier’s contact information.
Stay up-to-date with current and prospective suppliers.
Easily access a pool of prospective suppliers.
Track your interactions with suppliers and share them across your team.
IMAGINE ONE NETWORK FOR PROCUREMENT
A single network, like Facebook, where ALL buyers and suppliers exist – regardless of industry.
We can improve collaboration and together build a more efficient supply chain.
ARE YOU A CUSTOMER OF CHOICE?
What kind of
customer are you? 1. Do your suppliers have access to your bid
calendar?
2. Do your suppliers know what is important
to you?
3. Do your suppliers know who to contact
within your organization?
4. Are you able to communicate important
information to all of your suppliers easily?
5. Do your suppliers know how to engage
with your department?
6. Do your suppliers know how to engage
with stakeholders?
7. Do you listen to and learn from your
suppliers?
Leverage the
technology of a
social network to
help you become a
Customer of Choice
ANY QUESTIONS?
