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TRANSCRIPT
Washington Chapter Chat
June 2013
President’s Message
Welcome Summer!
As the sun returns and Washington again becomes the most beautiful place to be, it’s time to submit for CPPB/CPPO fall exams and to prepare for Forum for in Florida! Hard to believe it’s been nearly a year since peers joined us in Seattle. Registration for these important events is happening now,
sign up soon...
Please join us at one of our new regional ―Firesides‖! Get together with peers to chat, eat, and share common questions, issues and best practices. Look for details in this edition, in your email and on our chapter website.
We are also still looking for volunteers to lead the Charity Committee or to be a back-up Webmaster/ Social Media liaison for the Chapter. These are two areas we need to expand so we need your help! Please let us know if you are interested.
Thanks to all who contribute each day in addition to their ―day‖ jobs, we are truly blessed. Have a great sunny June…..
Best regards, Cheral
WASHINGTON STATE CHAPTER
2013 OFFICERS
President Cheral Jones, CPPO, CPPB [email protected] Vice President, CPPO, CPPB Cathy Robinson [email protected] Treasurer Ken Matthews [email protected] Secretary Tim Shay [email protected] Membership Secretary Cynthia Shaw, CPPB, CPSM [email protected] Past President Nelson Park, CPPO, CPPB [email protected]
Inside this Issue
Member Spotlight
Call for Volunteers
Fireside Chat
Article of the Month
and more……
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Member Spotlight
NAME: Dave Davis, CPPO PERSONAL STATS:
Born in Butte, Montana several years ago as the first of ten children. My parents were small business owners. Graduated from the University of Montana (BA) and Boston University (MBA). Served 21+ years in the US Army as a Transportation and Logistics Officer. Married to Beth for almost 37 years now; three grown children; and four grandchildren. EMPLOYED BY: Washington State Department of Transportation HOW LONG: 12 years NIGP CHAPTER MEMBER SINCE: 2002 (I made the first membership payment) WHAT DO LIKE ABOUT YOUR JOB:
I like the variety. I’m able to interact with great people from all over WSDOT and travel to all parts of the state. My team in the Procurement and Materials Management Office is highly qualified and experienced; they’re true professionals and wonderful people who make my job easy. Through my involvement in NIGP and other professional organizations, I’ve also made great friends with procurement and supply practitioners in Washington and around the country. WHAT ADVICE WOULD YOU GIVE SOMEONE NEW TO YOUR PROFESSION?
My advice is to get connected and be committed. Professionals learn from each other and spend time outside of work building relationships and studying their craft. It’s a long-term commitment that doesn’t happen just between eight and five.
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The Washington Chapter Chat will be published bi-monthly: February, April, June, August, October and December. Do you have something to share with your purchasing peers? Want to be a newsletter contributor? Benefits: Receive re-certification points for articles published
Get published in an upcoming newsletter Get entered in the 2013 best article of the year contest
You may submit articles to Heidi Bohl at [email protected] or Josh Klika at [email protected] for publication in April’s Edition by March 30th June’s Edition by May 30st August’s Edition by July 30th October’s Edition by September 30th December’s Edition by November 30th February’s Edition by January 30th
Forum is coming soon!
The Annual NIGP Forum is the largest North American educational conference exclusively for individuals in public procurement. This year’s 68th event will be held in ―The Sunshine State‖.
To view the 2013 Forum registration fees please visit http://nsite.nigp.org/Forum/Registration.
For more information about the Forum, Networking opportunities, Workshops, Golf Tournament and Expo visit the NIGP Forum ―Connecting Procurement Communities‖ site at http://nsite.nigp.org/Forum/Home.
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The Washington State Chapter of NIGP is seeking volunteers to join and chair or co-chair the Chapter ―Charity/Community Service Committee‖. There are many ways we, as a Chapter can give back to the community and continue the ―Public Servants doing Public Service‖ motto. The needs are endless and there are a lot of less fortunate people that could use our help. This could be by holding a food drive, volunteering at Northwest Harvest warehouses to repackage bulk food, participating in ―Relay for Life‖, volunteering at a shelter, preparing a meal at the Ronald McDonald House, volunteering at ―Special Olympics‖ events, ―Dress for Success‖ clothing drive, etc. The opportunities are endless. If you are interested in making a difference and being part of the Charity/Community Service Committee, please contact [email protected].
Back-Up Webmaster/Social Media Liaison
The Washington State Chapter of NIGP is seeking a tech savvy Chapter member to serve as a back- up for the current Public Relations and Marketing Committee Chair. Members that are interested should be familiar with the goals and programs of the Chapter. Know who the board members are and their duties. Be able to forward electronic requests to the appropriate board member, or be able to take care if the issue themselves; checking the page weekly to ensure there are no blanks; send requests for content to add to the page. The website is powered by Chapter Manager which is utilized by professional organizations throughout the U.S.
If you have the technical knowledge and are interested in serving as a back-up to the current Public Relations and Marketing Committee Chair, please contact [email protected].
ALERT: Charity Committee Chair/Volunteers
& Back-Up Webmaster/Social Media Liaison Needed
Sign-Up to help your Chapter!
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New!
Fireside chats were a series of evening radio addresses on a particular topic*, given by President Roosevelt from 1933 to
1944, after he first successfully used "fireside chats" in 1929 as Governor of New York.
Since then, many organizations have adopted this beneficial program. Rotary International and many others hold them
regularly to engage members and discuss topics important to all. Knox College for example, hosts them to bring students,
faculty, and staff together, to get to know and learn from one another in an informal setting.
As chapter members, we don’t get together enough once the first of the year passes… When we do, it is in a formal, busy,
large-group setting. So, I would like to officially implement NIGP WA Chapter - Local Fireside Chats!
These quarterly(?) local get-togethers intend to help members get to know each other in a relaxed, small, group setting at
favorite local watering holes. It will allow us time to just chat, eat, and see what others are doing, hear about family lives,
and discuss common business issues. Beyond enjoying a no-host dinner and catching up, we can pick a topic to discuss,
then post a summary of each locale’s thoughts so the entire chapter can hear the ideas.
First Fireside Occurrence: TBD - Month of June – Cities across WA
First Chat Hot Topic? Meeting New Veteran Exec Order 13-01
Looking for regional fireside facilitators! Are you in Seattle, Tacoma, Olympia, Vancouver, Yakima, Everett,
Bellingham, Spokane, Walla Walla, or other cities? If you know a good place for people in your area to get
together and would like to facilitate, please contact me at: [email protected]
We will see how the first one goes and adjust as needed. Thank you in advance for those who step up to help coordinate,
and for what we hope will be a very successful turnout across the regions!
Stay tuned for email invitations for your area fireside soon…
*For those interested, below are the first 10 topics FDR used for his “fireside chats”:
1. On the Bank Crisis - Sunday, March 12, 1933 2. Outlining the New Deal Program - Sunday, May 7, 1933 3. On the Purposes and Foundations of the Recovery Program - Monday, July 24, 1933 4. On the Currency Situation - Sunday, October 22, 1933 5. Review of the Achievements of the Seventy-third Congress - Thursday, June 28, 1934 6. On Moving to Greater Freedom and Greater Security - Sunday, September 30, 1934 7. On the Works Relief Program - Sunday, April 28, 1935 8. On Drought Conditions - Sunday, September 6, 1936 9. On the Reorganization of the Judiciary - Tuesday, March 9, 1937 10. On Legislation to the Extraordinary Session of Congress - Tuesday, October 12, 1937
NIGP WA
Chapter
Presents…
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MY LEAN JOURNEY IN WASHINGTON STATE (Part II)
When it comes to Lean, it’s just semantics whether you work for
the private or public sector. Lean gives the private and public sectors an equal playing field to ―Woo‖ their customers. The Private sector calls it profits. The Public sector calls it savings. By 2008, I had worked for WSDOT as an Inventory Analyst for three years. Lean was three years old (i.e., 2005 GMAP1 introduction by the Governor’s Office) and gaining momentum. Lean is about commitment and communication from the top. Our past Governor Christine Gregoire updated me on statewide Lean activities via e-mail on a regular basis. My commentary on her Lean updates with excerpts from those e-mails2 follow:
Her message was encouraging to me as a stakeholder3 and our customers4for sure. Our collective efforts saved taxpayers $90 million from energy reductions and a shorter four-day work week (i.e., ten-hour/day) for some state agencies.
September 10, 2008 – Spending Adjustments and Energy Savings Measures Thanks to your efforts, I can now tell you our August controls on hiring, personal services contracts, equipment purchases and out-of-state travel will save taxpayers $90 million this fiscal year. And you have helped us reduce the costly use of energy, including an orderly transition to 10-hour, four-day work weeks in carefully selected agencies. Your efforts - from the bottom up - have made this first step a success. Thank you.
1Governmental Management and Accountability Performance (GMAP) will give the public a clear, concise view of
how government programs are working and whether citizens are receiving value for their dollars. GMAP will give
citizens a way to judge the effectiveness of government programs. GMAP will allow agency leaders to shine a spotlight
on problems and make decisions with greater clarity and accuracy. At the same time, it will give agency managers new
tools to solve problems and improve services. 2 Governor Christine Gregoire updated me on a regular basis. This is a sampling of some of those e-mails. 3 Stakeholder – a person or group that has an investment, share, or interest in something, as business or industry.
Dictionary.com 4 Customer – A person who purchases goods or services from another person, buyer, patron, etc. Dictionary.com
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Just five months later, her message had a serious connotation to it.
February 9, 2009 – Reforming State Government Today, I have one word for all of us in state government. Reform! It’s time to reform our state government to bring us into the 21st Century. It’s time to de-layer, reorganize, speed up the embrace of technology, and take the other steps we need to serve our customers in ways that work for this century, not the last one. Our work will be difficult. There are sacred cows and other hurdles, but reform we must. We must change or we will become increasingly irrelevant and unable to serve the people who pay for government – the citizens of Washington.
By year-end 2009, I sensed we all needed to continue to eliminate waste (i.e., Muda5, Muri6, and Mura7) on a daily basis. In addition, it was important for the Governor to continue to hear stakeholders‟ ideas.
October 9, 2009 – The Challenges Ahead I’m asking for your help again. These difficult times require us to dig even deeper for potential savings. If you have ideas on how we can be more efficient or how we can operate differently, I want to hear them. I am open to all approaches to saving money – now is the time to be thinking outside the box.
Government agencies were challenged to save more; we delivered, but it was not enough.
August 10, 2010 – A Message from the Governor Last year, I asked all state agencies to continue to focus on saving money. I just received preliminary numbers from the Office of Financial Management that state agencies saved more than $89 million in fiscal year 2010, which provides us much-needed help. Those are savings that are on top of budget cuts. I know it hasn’t been easy, and we are far from done with this challenge, but your hard work hasn’t gone unnoticed and is greatly appreciated. Unfortunately, even after a negative July forecast, our monthly collections have come up well short of projections. Consequently, I believe I have no choice but to begin preparing for across-the-board cuts of four to seven percent, and expect it to be effective October 1.
Five years after GMAP introduction in Washington State, Lean processes were in full effect.
December 14, 2010 – Consolidating State Agencies Today, I will announce further efforts to streamline government and continue to make it more efficient and Lean. It is clear that business as usual is no longer a way we can operate. We must continue to innovate, transform, and build a 21st century government that meets the needs of this new economy. Making common sense changes that better align some of our agencies and commissions will free vital resources that must go to the essential services we need to preserve: education, health care, social services and public safety.
5 Muda is any activity that consumes resources, but creates no value. Lean for Dummies by Sayer/Williams
6 Muri is waste or stress on the system due to overburdening or unreasonableness. Lean for Dummies by Sayer/William
7 Mura is waste due to unevenness or variation. Lean for Dummies by Sayer/Williams
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Even though state agencies continued their due diligence of focusing on value-added8 activities and eliminating non-value9 activities statewide, we were asked to submit plans for reductions up to 10% in 2011.
August 11, 2011 – Planning Ahead Each state agency has been asked to submit plans for reductions of up to 10 percent — prioritized in 5 percent increments… As we focus on a smaller and more efficient state government, we must tighten our focus on our very highest priorities. I have recently met with the state treasurer, the state economic forecaster and the four legislative leaders to assure that, as a state, we are prepared to get through this by making smart decisions early on.
Fall 2012, the Governor held her second Lean Transformation Conference at the Greater Tacoma Convention Center, October 23-24. An Executive Order 11-04 Lean Transformation was signed by the Governor in December 2011. “By the powers vested in me I order and direct executive cabinet agencies to begin implementing Lean by completing a Lean project by August 31, 2012.” The conference was an opportunity to recognize those successful agencies and projects. There were over 2,100 attendees. For the first time in four years, I had the privilege of hearing the Governor discuss Lean initiatives in person not via e-mail. I was excited and she did not disappoint.
Governor Christine Gregoire stated that our goal was to perfect the value stream10 that is tied directly to our jobs. This is the low hanging fruit. Ensure the way we do business instills public confidence; harness the innovation of all employees to improve the way we do business; empower the people who do the work to become efficient and effective; learn by doing – right here, right now; eliminate unneeded effort and utilize untapped capacity in our people… She stated it starts with top management; it’s a bottom-up process with support from the top. She urged that no efficiency was too small. In conclusion, she stated Washington State is not where it should be, but we’re on our way!
8 Value-added is defined by the customer and must meet all of the following criteria: customer is willing;
product/service done correctly the first time; product/service must be transformed. Lean for Dummies by
Sayer/Williams 9 Non-value added is any activity, product, or process that does not meet the value-added criteria. Lean for Dummies by
Sayer/Williams 10
Value Stream is the flow of materials and information through the process to deliver a product or service to a
customer. Lean for Dummies by Sayer/Williams
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The Governor„s Lean Transformation Conference has gained such notoriety that the well-known resource Wikipedia has a link to the Governor‟s Accountability & Performance website “Lean in Washington state government”: Wikipedia WA Government Lean Transformation Conference 2012
Year 2013, Washington State’s new Governor Jay Inslee has now picked up the torch. He has
already sought ideas from his stakeholders on how to improve state government. One WSDOT employee suggested that a coaching performance system should be used to implement Lean management across state government. All suggestions are taken seriously. In January, a statewide study group was formed (i.e., January 9 to May 22) for all state agencies to participate in an online book (i.e., Lean for Dummies by Sayer/Williams) review designed to help build stakeholders awareness of basic Lean thinking, tools, and techniques. There are over 600 participants. My next installment will discuss those learning’s. Until then continue in your fearless quest to eliminate Muda, Muri, and Mura!
Applying Lean Concepts in Supply Management, Institute of Supply Management, October 16, 2008
Cynthia Shaw, CPPB, CPSM
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How to work with Generational Differences
Multi-generational issues and opportunities are common to the current workplace. Consider the following when working with today’s workforce.
This Generation: Were born between:
They are this age:
Traditionalists 1928-1946 85-67
Baby Boomer 1947-1965 66-48
Gen X 1966-1979 47-34
Millennial or Gen Y 1980-1999 33-14
Traditionalists
Were formed by tough times which molded them into
hard working individuals
Jobs were a privilege for them and they have a great
respect for authority and discipline
Work always comes before pleasure
Changing jobs holds a stigma and they avoid changing
jobs
Believe that no news is good news
Baby Boomers
Are retiring in alarming numbers everyday but many, are
not ready yet
Are optimists raised by the ―greatest generation‖
Committed to their job
Loyal to their employers. They stay with organizations to
avoid getting behind their peers
They live to work
Need performance evaluations and feedback on how
they are doing
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Millennials
Are still a few years from becoming upper management
but will begin to fill more of these positions in the near
future.
Optimistic and full of energy
Techno savvy, they are the plugged-in generation
Want to work in a creative and diverse work environment
Aren’t afraid to ask for whatever they want
Will give up higher paying jobs for a good experience
and the opportunity to have fun at work
They work to live
On an average, they will not only change jobs, but
careers 13 times in their life
They are searching for constant positive feedback and
are shocked when they don’t get it
Generation X
Do not view organizations and institutions as safe places
Are self-directed and a bit cynical about their workplace
Technology savvy and comfortable with change
Unwilling to sacrifice family life in the name of advancing
their career
They often compile a large skill set so they can find
another job anywhere. They will change jobs an average
of 7 times during their career.
They crave constant instantaneous positive feedback, it
doesn’t need to be constructive
The one thing all generations have in common is the need for respect. Contributed by Cathy Moxley, CPPB, DES
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We Don’t Make Widgets
Overcoming the Myths that Keep Government from Radically Improving by Ken Miller debunks the notion that public entities don’t make widgets, don’t have customers, and don’t make profits. Moreover, Ken tells us we look in the wrong places to find ways to improve ourselves or how to measure ourselves. He provides us tools and examples on to establish what we do, what we make, how to identify our customers and how to identify what we need measure. The book is a quick read chocked full of good information that is immediately applicable . We Don't Make Widgets: Radically Improving Government - Ken Miller
Submitted by Mark Little, CPPO, Port of Tacoma
How to make a $1,000 a minute
Should an employer be troubled by a procurement professional who accepts an offer without first engaging in negotiations? Since negotiations is our tradecraft, perhaps so. It’s certainly something to consider in advance of your next performance review or job search. Regardless, I think any committed procurement professional might benefit from reading the "Negotiating your Salary: How to make a $1,000 a minute" by Jack Chapman.
It’s a gem of a book that aptly points out that like contracting, the entire process is often long and arduous but significant long-term cumulative gain may be realized in the moments just prior to the signing of an agreement (e.g. $1,000 a minute). Besides outlining a detailed negotiation strategy, the book also provides invaluable insights into the psychology of negotiations. For example, when a customer (the employer) makes a large purchase (hiring you), without realizing it, they can be persuaded to ascend through three distinct stages: budget, fudgeit, and judgit. In the budget stage they unemotionally stick to their prescribed budget and hire a candidate that fits in that range. In the fudgeit stage, they are willing to fudge their budget a little bit (move things around) in order to hire the right candidate. And in the judgeit stage they are willing to break their budget entirely and hire someone they cannot afford, because they know that they only way they can afford them is by hiring them (they know the new employee will make or save them $x, thus giving them a positive return on investment). Since a skilled and savvy procurement professional will more than pay for their position in the savings and cost efficiencies they contribute to an organization, our profession is ideally positioned to move the employer to the judgeit stage but you’ll first need to read the book. Many consider Jack Chapman’s book the ―Bible‖ for salary negotiations but whatever side of the negotiation table you find yourself on, I think you owe it to yourself to include this short 130 page book in your professional library. Submitted by Steve Krueger, CPPO, DES
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