Focus: Shareholder Value in Supplier Management
Dr. Michel Philippart is one the first sourcing professionals to have developed and promoted the link Procurement and Shareholder Value through the capture of differentiating competitive advantages. He introduced
his "Supplier Contribution Matrix" at a McKinsey conference and in an internal publication in January 2001.
He explains that a CPO must measure his performance not only as financial and operational improvements along a timeline, but also include the impact of collaborative supplier management to deliver superior products or services to the market in a way that delivers sustainable competitive advantages, insulating those privileged relations from competitors.
"It is more important for a CPO to perform better than the direct competitors of its company than to beat historical benchmarks"
His work is the result of his experience at Booz Allen (today Strategy&), the consulting firm he joined after graduating from Kellogg School of Management in 1989, then Frito-Lay International / PepsiCo between 1994 and 2000. He was associate principal at McKinsey & Company between 2000 and 2002, which allowed him to formalize his observations. From 2004 to 2006, he lead Procurement at GSK Vaccine Division managing a spend of more than € 1 billion. He and his team strengthened significantly the relation with suppliers to secure critical resources essential to tripling the business in the coming years.
Today, he focuses on transmitting this experience. After teaching for 8 years at Grenoble Ecole de Management, he has joined EDHEC Business School as Professor Supply Strategy, and Glion IHE before and active retirement
He is member of the scientific committee of Place Escange, the new Think Tank dedicated to intangible risk management.
He has also collaborated occasionnally with Insight to Action in Los Angeles. In 2006 and 2012, he has received the "ACA-Bruel" award for his contribution to the definition of Strategic Purchasing and deployment of collaborative approaches.