How Marketing to a Chief Procurement Officer can be Vital for Business
Procurement Officers are responsible for evaluating suppliers, products, and services, negotiating contracts, and ensuring that approved purchases are cost-efficient and of high quality.
Who is a CPO? A CPO [chief Procurement Officer], based on the business dictionary id an executive whose responsibilities include sourcing, supply management, and procurement for the company. In most of the companies, the CPO reports directly to the CEO. They play the leading role in the company’s acquisition programs.
A CPO deals with the entire supply chain of a company. Companies also give them alternative titles such as assistant vice president for procurement, and so on. The CPO takes up a significant role in the functioning of a company. CPOs play a role in every complex, long-term, or expensive purchase of the company.
Responsibilities of the Chief Procurement Officer of a company
• Cost-effective Procurement strategies: As a CPO, it is the most essential activity to monitor costs. Procurement officers keep expenditure under control during every purchase made by the company. They develop and implement procurement strategies to do so.
• Align with procurement policies and procedures: Procurement officers adhere to the procurement policies and procedures internally and externally. By this, they maintain corporate social responsibility, company reputation, and ethical procurement.
• Effective Procurement Teams: In large organizations or a small start-up, procurement officers maintain a systematized team that can give impactful outcomes. Large teams comprise of an assistant chief procurement officer, purchasing manager, purchasing director, contract administrator, and more. In smaller companies, the team includes procurement professionals, contractors, and more. These systematized teams provide companies with effective results.
Importance of CPO in an Organization
The chief procurement officer plays the role of monitoring the cost of doing business. Though initially recognized for only this one task, they do much more in an organization.
The strengthened role of a CPO now does not just focus on the expenses incurred in marketing. They plan, monitor, and control expenditure in travel, information technology, consulting, real estate, security, transportation, and much more. This is the importance of a CPO in the internal operations of an organization.
Externally a CPO is one of the best advocates for business in customer satisfaction, quality, and on-time delivery. The Chief Procurement Officer is the most significant element in providing operational effectiveness in everything from inventory to manufacturing, product design, cash flow, outsourcing, workflow, quality, and customer service.
Given the strategic leadership role, CPOs directly or indirectly affects every aspect of efficiency in a Business to Customer services or Business to Business services.
Benefits of Marketing to the Chief Procurement Officer
• Strategic Initiatives: Procurement Officers play an active role in merging and acquisitions. This makes them the leader taking the core strategic initiatives in business purchases. Marketing to Procurement officers enables businesses to deal directly with the decision-makers.
• Buying Power: The procurement officer takes a holistic approach to everything that is purchased in a company. They make buying decisions for their companies to leap forward. When educated about a product or service that is relevant, they directly have access to make the buying decision of the product or service.
• The CPO is right below the CEO: The CEO as known is the head of the company, but the CPO reports directly to the CEO. This gives the procurement officer the need to think and act like a CEO and take up the same amount of responsibility in focusing on business drives. This makes them shift their approach from cost saving to the well-being of the company. While businesses market to them, they need not think about the budget as other executives, but the relevance of the product or service.
Procurement Officers in the industry have taken up a significant stand. They have also developed from mere executives to lead decision-makers. Marketing to CPOs can be a great deal breaker to an enormous volume of businesses.
When a business wants to sell in business, the best way to get the product or service notices would be through the procurement officer who makes the buying decisions. Businesses can efficiently reach procurement officers through a CPO Email List, social media, and many more platforms.
Marketing to Chief Procurement Officers can make a significant impact on B2B marketers. They can dive into the opportunity of direct marketing to the key decision-makers.