Contributed article by Peter Smith, Author former CIPS President and Managing Editor of Spend Matters Europe
In my own 20 year career as a procurement practitioner, before I took refuge in consulting, writing and commentating, I ”enjoyed” a range of different reporting lines. Early in my career, I reported to a more senior procurement director. In Mars Confectionery, that reporting line went right to the top; procurement and supply chain was vital to the business and we had the “seat at the top table” that is often discussed. In another case, my global procurement director boss reported into Finance, then later into a regional “shared services” leader. In my government role, my boss looked after
finance and a whole range of other “back office” activities for the Department. At NatWest, I reported firstly to the Group CFO, then to the Group COO.
So, I’ve looked at this from both sides now, as they say, and can comment reasonably objectively in terms of whether finance is a good home for procurement. And more broadly, what makes the relationship between procurement and finance often so “interesting”?