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Building Sponsorship

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People tend to fear the unknown. Poking your head into an area that someone else manages can make that person feel uncomfortable. An end user who is reluctant to engage has the ability to negatively affect the initiative by providing incomplete information, talking to suppliers without your knowledge, or providing the incumbent supplier with details that should not be disclosed to them. An end user could even tell his or her favorite supplier, “Do not worry about this initiative. We will never change vendors.” Such a response could upset negotiations with the incumbent further down the road.

Most times, a brief introduction to the project and an explanation of what you are trying to accomplish is all the prompting an end user needs to engage with the process. If you sense that end users are still reluctant to participate, however, you can take several steps to ensure they are on board.

First, let them know that they are not being singled out. It is important for them to understand that there is an effort to reduce costs and improve bottom‐line profitability across the organization. Their participation is critical to the process.

Second, let them know that the success or failure of the project is tied directly to their engagement and collaboration. Be direct and make sure they know you recognize that they have the power to upset the applecart, but also that you are not going to allow it.

Third, tie the project to the end user's list of objectives for the year. If there are some end users who do not report to you, work with their direct supervisors to include this project in the next performance review.

Fourth, make sure they understand that a well‐managed, collaborative process will ensure their suppliers have a fair shot at retaining or growing their business with your organization. This translates to a healthier relationship where both sides benefit from the exercise.

If it is not clear that you have end‐user support after initial discussions, it is critical to engage senior level management to enlist the support you need. Otherwise, all the work you do after this step could go to waste.

Managing Indirect Spend

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