Bella (our CIO), Jake, (Head of Procurement) and I met recently. We were all concerned by the random process adoption across the company’s global operations, and the risks this exposed us to.
Jake calculated that by flouting processes (and so breaching multiple clauses across hundreds of contracts) the dollar value of the risks ran into the tens of millions. What alarmed Bella and Jake more was that the innumerable versions of the contracts involved made it difficult to pinpoint all the potential breaches.
Going through contracts manually would have been time consuming and prone to error. Bella had already worked with Capgemini on Governance, Risk and Compliance, so when she called them to discuss potential options, her GRC contact referred her to their Contract Compliance and Optimization (CCO) team.
The team suggested a three-pronged approach:
- Proposals for auditing and improving the company’s contract compliance processes
- Demonstrating tools to track and create a visual dashboard of contract breaches
- A proposal for outsourcing these services on an ongoing basis.
These insights showed us that we’d overlooked something crucial: that almost all our process adoption activities involved some form of contract, so this issue was only ever going to get worse.
Thankfully it didn’t.