In this episode of Smarter Sourcing, John speaks with Heleen Du Toit, VP of Procurement, Rigid Packaging at PepsiCo. Heleen shares her perspective on the vital role of balancing experience and skills for career growth. She touches on the importance of tactical empathy in negotiation, drawing from Chris Voss’s book Never Split the Difference.

Heleen also discusses the future of sourcing and procurement, emphasizing a shift from cost to value through the use of market intelligence and artificial intelligence. She offers valuable insights on leadership, negotiation, and adapting to the evolving landscape of the industry, along with practical advice and forward-thinking strategies.

Topics discussed:

• The importance of balancing hands-on experience with a strong skill set for continued career growth and adaptability in the industry.
• Insights on negotiation strategies, emphasizing the concept of tactical empathy.
• Developing strong operational skills and the ability to solve complex problems as key components for success in procurement.
• The shift from focusing purely on cost to emphasizing value and leveraging market intelligence and artificial intelligence in procurement.
• Investing in diverse, highly talented teams and matching the right people to the right roles to drive business success.
• How the pandemic has changed the strategic role of procurement and sourcing within companies, emphasizing agility and responsiveness.
• The importance of ongoing education, mentoring, and adapting to new business strategies and technological advancements.
• The necessity of a strong understanding of how actions drive business growth and margin, integrating cost models and macroeconomics.

Guest Quotes: 

“I think as procurement professionals we solve a lot of problems daily when the macroeconomic situation is quite volatile, and I think that makes it tough. I think we’ve been through a tough couple of years as both supply chain and procurement professionals where we went through a lot of supply disruptions, inflation, and so there was a lot of focus on procurement. And so that was challenging but exciting at the same time.”

“I think the one that’s hardest to teach is most likely the strategic mindset because that develops over time. You really need a good understanding of your commercial and financials. You need strong, intuitive negotiation skills, and you need to have gone through a process of strong operational and solving big problems before you can really understand the strategy. And it also takes a connect to the business.”

“Without a doubt, you will not believe how much authenticity actually works in a negotiation. And so I think that’s what you’re alluding to is really when you’re perceived as truly authentic and having the best intentions, people are far more willing to partner and open up and share information. And so as long as you use that tactically, with intent, it can make you a really good negotiator without anybody realizing that you’re negotiating.”

“I think AI has brought a host of opportunities that will revolutionize procurement, but the test will be how we remain in the driver’s seat to make it work, specifically to the result that we’re trying to drive.”

Get in touch with Heleen Du Toit:

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Get in touch with your host, John Pavia: 

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