A $263bn market: The impact of digital security on digital procurement
- Lizzie Black
- February 16, 2023
Creating a more digital supply chain means having tighter control of your data.
With that comes elevated vendor risk management programs and a whole lot more data to deal with.
The cybersecurity market is predicted to be worth $174 billion by the end of 2023, before growing at a CAGR of 10.9%, reaching $263 billion by 2027.
As technology becomes more intelligent, so, unfortunately, do cybercriminals. It’s no wonder demand for cyber security is set to flourish towards the end of the decade. This means companies need to equip themselves, protect their data and have a more robust vendor risk management program.
As companies increasingly use digital solutions to onboard suppliers, the mitigation of risk needs to be central to their strategic plan. Digital transformation is undoubtedly a positive move, despite the elevated risk of the amount of data and information at stake, as there are digital cybersecurity tools which can help manage and prevent cyber-attacks. They don’t need to be expensive either.
Spend Money to Save Money
‘It has become apparent that many businesses just do not understand the depth of detail or information required in the procurement process.’
Any type of insurance policy is a risk, including cyber-security. Even though cyber security may be seen as an additional cost, companies know the benefits outweigh everything, from saving their data to money and their reputation. Integrated digital tools make for a more seamless transition into current organisational processes, where they can help support cross-departmental needs.
What next for the CISO?
Whether CIO or CISO, security is now a fundamental part of the role. ProcureTech previously looked at the role of the CIO, which in just 2 years, has already significantly changed with technology demands.
ProcureTech100 intelligence partner SecurityScorecard suggests that companies need to have tools and systems in place:
- Collaborate
- Assess risk
- Engage in due diligence
- Ensure data encryption
Above all, train your team! It’s all well and good implementing a digital tool, but the end user needs to be able to know how it works and how to use it.
Wherever technology is involved, it’s a constant evolution of re-assessing and evaluating the next steps to commit to a robust supply chain. As the future of procurement becomes more digital, processes need to be refreshed and teams’ expertise shouldn’t be underestimated.
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