The power of high performing digital procurement partnerships

The power of high performing digital procurement partnerships

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High performing partnerships between organisations can reap benefits for all including the whole supply chain.

The next step in evolving these business partnerships is the deeper application of digital.

What are High Performing Digital Partnerships?

There are five key elements that define High Performing Digital Partnerships:

1. Strategy and C-Suite alignment

To be able to properly develop strategic digital partnerships, both companies need to be aligned on the strategy and objectives for the partnership as misalignment of basic direction is the first step to a failed or inefficient partnership.

“If you’ve the right leadership in place, you can move mountains. Where they don’t have
       time and capacity to make decisions, this can be solved through digitalisation.”
      Lance Younger, CEO, ProcureTech
2. Technological Compatibility

Both organisations need to be operating at a similar technological level for the collaboration to be effective. If one company is a technology leader and the partner is a laggard, any digital exchange is hindered and is only as strong as the weakest link.

“Corporates should first consider how they can enable procurement and benefit from partnering up to make a better product”, according to Matthias Toepert, COO, LeanLinking, which will result in stronger solutions and performance.

“Get twice as much done using digital solutions, in the same time, but without you – meaning you can go home on time!”

3. Agility & Flexibility

A partnership must be flexible and agile as information needs to be shared and acted upon quickly with responses and ramp up of activity being equally fast. Being able to do this relies on having established processes and tools e.g., digital collaboration tools or shared workspaces.

“50% of executives expect their digital partnerships to lead to a change in business model at their organisation”
4. Knowledge Sharing

Effective knowledge sharing is critical to a partnership as a poor flow of information impedes task completion. Effective knowledge sharing can be facilitated by digital tools.

5. Constant Innovation

To ensure the partnership is ‘high performing’ there must be constant innovation of both technology and strategy otherwise the partnership can stagnate while competitors continue to innovate and fit the bill for a ‘high performing’ partnership.

What are the expected outcomes of a high performing partnership?

There are numerous benefits to establishing partnerships such as improved levels of innovation and competitiveness in your market as well as faster growth of the organisation driven by creativity and collaboration. This collaboration enables both partners to scale digitally.

“We can clone you, but not replace you, by using the right technologies.”
Patrick Foelck, Head of Strategy & Transformation Procurement and Head of Professional Services Procurement, Roche

Doug Johnson-Poensgen, CEO at Circulor, who have partnered up with Jaguar Land Rover to provide traceability throughout its supply chain. As a result, Jaguar Land Rover are transforming parts of the supply chain, acknowledging that sustainability goes beyond tier 1 suppliers. Like many companies, they want to ensure ethical and sustainable practices are in place, like focusing on decarbonisation efforts and eliminating harmful practices like child labour.

“80% of carbon emissions are in the supply chain and can’t be measured”
Doug Johnson-Poensgen, CEO, Circulor

When discussing leather, whilst it isn’t quite so environmentally friendly, it is better to use it rather than simply throwing it away, where it goes through aggressive chemical processes.

In a bid for net-zero, partnering up with Circulor has enabled Jaguar Land Rover to look at broader, critical materials including aluminium and steel to ensure they are sourced responsibly whilst considering if they can be re-used and recycled more locally, as well as the strategic imbalance of these critical supply chains.

Roadmaps, risk and patience

Patrick Foelck, Head of Strategy & Transformation Procurement and Head of Professional Services Procurement, Roche is partnering with LeanLinking to develop new digital negotiation capabilities. There is a clear roadmap in place, which shows both parties are committed to the partnership, along with the benefits Roche expects. The roadmap is not final, but a guide that can be enhanced and improved so it can be shared with the broader procurement community. Foelck also recommends to not take the traditional route to implementing a new partnership and technology straight away. Instead, focus on:

1. Specifications
2. Timelines
3. Roadmaps
4. … and wait! It takes a little bit of risk and patience

That way you become an organisation others want to partner with, fostering new relationships that can take the business even further. All of these benefits ultimately help to grow and expand the customer needs the business can cater to as well as improve their ability to exceed the expectations of customers.

If you’d like a hear more on high performance digital procurement partnerships from Patrick, Matthias and Doug then request a copy of the recording of our recent webinar with them, email

About LeanLinking

LeanLinking is the #1 supplier management solution build to help companies improve supplier governance, relationships, performance, quality and compliance management.
LeanLinking connects businesses with suppliers enabling a value growing collaboration reducing costs, risks and reaction times while improving supplier service, quality, performance and innovation.

About Circulor

Circulor is a leader in bringing traceability to complex industrial supply chains. They help customers to demonstrate responsible sourcing, to monitor inherited emissions from the supply chain and to underpin their circular economy ambitions. Circulor also help procurement and sustainability professionals see and manage what was previously invisible.

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