What Does ISM's New Board Composition Mean?
The Institute for Supply Management (ISM) quietly released their new Board for 2007. Theresa Metty, who formerly chaired ISM, has stepped down (Lisa Martin has stepped up in her place). But to me, the more interesting tidbit of news to come out of the announcement is that only a minority of Board members are practitioners this time around (consultants and investors don't count, in my book). Not that this is necessarily a negative, but it's something to ponder, given the important role that ISM plays in setting training, learning and certification standards for practitioners. Given the importance of ISM's Board in providing general oversight and direction, I wonder if the group might be better served by having more members whose actual procurement teams are the ones who are in theory deriving benefit and using the organization's services (versus expert outsiders or consultants with possible ambitions of profiting off of relations with ISM's members). Am I off base here? What do you think?
- Jason Busch
TweetBacks
I don't think it's a big deal for there to be a mix of not just practitioners, but also academics and pseudo-retired execs who're going to milk their personal brands for all they can until they retire. It's part of the cozy elk lodge and secret handshakes that is unfortunately ISM.
However, the continued presence of AT Kearney on the board, and even worse, the Center for Strategic Supply Leadership (cssl.ws) is just too much. It just smells really bad when ISM does a joint venture with ATK for form a 'think tank' (aka sitting around the day after golf with a bunch of ATK consultants with flip charts capturing prospective clients requirements). Don't think me bitter - I remember when Tom Slaight was cooking up this idea a few years ago. If you want some good board members, how about Tim Laseter? How about Dave McCormick, Under Secretary of Commerce for Industry and Security. For god's sakes, pull Peter Krajlic (ex-McKinsey consultant who penned his famous 2x2 in HBR in 1983!) and give that man a permanent board seat! I dunno, I just wonder whether this crony-ism is just part of the old guard that'll die soon, or whether it's something systemic that'll fester. I hope the former, especially since Supply Management is about harvesting the power of supply markets, not catering to stale incumbants who are chummy with the top brass. ISM should do a little benchmarking on itself and look at a group like Supply Chain Council (you know, the other "source" in sourcing) or maybe even collaborate with them instead of just being happy with renaming Procurement "supply chain". The SCC is now on Version 8 of the SCOR supply chain process model and it cultivates a rich and equitable ecosystem of practitioners, academics, and consultants alike (perhaps to the chagrin of PRTM who wanted a similar lock-in that ATK seems to command with ISM). When I look for innovation in supply management these days, it's more likely to come from technology vendors and niche consultants than the flip charts from the last elk lodge session in Boca Raton. The changing of the guard can not come soon enough, especially given the importance of ISM should really be about.
No Jason, I don't think you're off base here at all.
The "good ol' days" were not as golden as they are being recalled. The NAPM organization may be fondly remembered but, it likely had its share of warts and skeletons.
The second thought. Are there any professional organizations thriving today? The availablity of information and educational materials online has made relics out of many such organizations.
Think macro.
Think knowledge management.
Think communities of practice.
New models for professional collaboration and networking are forming as we wile the time away.
Great points. So much knowledge is being shared through online tools and communities in order domains. Procurement people are a secretive lot, so I wonder if/how they will get past this reluctance.
As far as traditional professional associations, I think Sourcing Interests Group is thriving. The conferences are well organized. They facilitate true networking and sharing (the vendor "no selling" policy really works, and I'm a vendor!). And they attract innovators. My all-time favorite by a mile.
Here are the facts that may explain the Board composition detailed in ISM’s February 13 news release:
ISM bylaws stipulate a 15 member board of directors:
2 – non-voting (secretary/treasurer)
1 – ISM CEO
1 – Senior Executive, supply management is one of the functions that is under his/her direction
1 – Consultant with an expertise in supply management
1 – Dean of a business school that has one of the leading supply management programs in the world
9 – Who either are currently or recently were senior supply management executives in major firms
(For 2007, seven of those nine Board Members are currently senior supply management executives in major firms. Two of those remaining nine Board Members recently were senior supply management executives in major firms.)
Each Board Member has a term of office, that, when that term is completed, the individual rotates off the Board.
Jean McHale
ISM Public Relations
www.ism.ws
Thanks for the comment and explanation.
Cheers, Jason