That’s right, eighty-five years ago today the Lateran Treaty was signed, bringing Vatican City into existence. With only 44 hectares, and 840 citizens and residents, it is the smallest independent state in the world by both area and population with an annual GDP in the magnitude of 20 Million and not Billions or Trillions.
It is more comparable to a mid-size company with 840 employees who live in residence year round and whose every need requires attention in addition to all of the maintenance associated with the business and resident properties, except this company has valued assets over 10 Billion dollars (as that is the estimated foreign investment by the Institute of Religious Works – the Vatican Bank – in the 1990s) and non-valued assets worth billions (upon billions) more on the open market, which include priceless buildings and works of art going back millennia.
The head of Procurement must have one of the most interesting jobs in the world. First of all, that individual would be procuring almost every commercial and consumer item at one point in time or another. Second, deliveries are limited to truck, train, and helicopter. (There is no airport, only one train line, and deliveries can be made to the gates.) Third, while that person would have every pressure to keep costs down for every day items and maintenance, that person would have an almost unlimited budget for works of art and historical artifacts of religious significance desired by the church. Fourth, security would be a concern with every purchase and delivery. And so on.
Relatively speaking, for an average mid-size company, Procurement is fairly straightforward. But how do you effectively management Procurement for the smallest independent city-state in the world?
If you have educated guesses, leave a comment or send the doctor an e-mail!