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Maverick Spend in the Future of Work: Top Gun’s Lesson

MAVERICK SPEND. A term that is as synonymous with irresponsible procurement practices as it is with managing your last-minute spend like a pro. Whatever your take on the maverick spend, it shares the conflict over how much of a good idea it is with another Maverick:

The term ‘maverick spend’ implies almost exactly what Tom Cruise as Maverick embodies in Top Gun:

Tom Cruise as Maverick in Top Gun

High potential, coupled with an ‘up-yours’ attitude, that ultimately ends in a sticky situation. The issues are resolved, in Top Gun, by bringing some discipline to the Maverick’s methods, and creating this:

Fighter from Top Gun Taking Off

Out of this:

Fighter jet explosion

Maverick Spend: purchases made without the involvement of procurement, and typically without complying with contracts or existing processes.

Procurement, Maverick Spend, and the Crash-and-Burn Risks.

Managing your spend, your engagement with suppliers, and your project costs effectively, and avoiding the urge to blow your budget on the nearest good-looking option (not Kelly McGillis, in this case), gives you a much cleaner and rational approach to your project- and business-management. It also makes your processes more likely to be compliant on a global scale.

What are the real implications of an uncontrolled ‘Maverick’ Spend?

  1. Higher rates for goods and services

  2. Lower economic value in return

  3. Increased risk of non-compliance in any business sector.

Getting your very own Tom Cruise to toe the line in your business will help you to manage these issues, wherever you’re operating.

The Maverick-Spend: Specifics in the Gig Economy

We spend a great deal of time discussing the implications of non-compliance in global business, in terms of employment regulations, tax rates and structures, and business set-up ideals. The maverick spend makes it tough to regulate your business structures and comply with employment laws since it operates on a last-minute-panic basis.

Ardent Partners’ Contingent Workforce Weekly Podcast shares a great deal on procurement in the gig economy, and gives this advice to businesses using contingent workers:

  1. Procurement spend management saves your business money. The more you invest in spend management, the better your control, the higher the return in savings on maverick spend and non-compliance legal issues.mig 29 explosion
  1. Procurement is a facilitator of the next great form of collaboration – and the maverick spend is the lone wolf who needs to learn some teamwork skills.

val kilmer top gun

  1. Managing your talent and your workforce is key: These are the resources you need to succeed in the gig economy, and managing them correctly from the outset is critical.

plane taking off

  1. Managing the company bottom-line is a job best performed by procurement – and the percentage of on-contract spend is the primary metric followed. Mavericks are not good for business, so ensure you’re on-contract, on top of compliance, and on-point with your procurement procedures.

Tom Cruise as Maverick in Top Gun

To get an update on your compliance procedures, or request assistance with your global talent management in the gig economy, contact CXC Global / CXC Corporate Services.

 

Words by Alison Krumm

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