Digital, technology and AI are shaping and creating a more efficient kind of procurement model.
Some of them, we didn’t know existed until a few years ago – if not months.
Since the pandemic, procurement and supply chain functions have received the recognition they deserve along with an impetus for more investment. With that comes more innovation in new technologies. It also shines the spotlight on more overlooked tiers of the supply chain.
What benefits does AI provide to procurement?
Scouting for the right solutions doesn’t have to be a lonely process. AI helps find the information, data and suppliers you need.
In fact, when paired with data, Sievo highlights that AI helps procurement ‘solve complex problems more efficiently or effectively using smart computer algorithms.’
Using AI can enrich supplier diversity – find smaller suppliers who might even do a much better job than your current ones – quicker and at a fraction of the price
There are concerns that AI will take over procurement. It is likely it will aid most functions, but not take over. Technologies like AI, machine learning, RPA and autonomous procurement exist. They have the potential to be the most powerful asset in your organization when used correctly with data – and employee expertise.
Digital is the way forward for most companies which enhances almost all functions including contract management, supplier diversity and management, sourcing, sustainable procurement, data and analytics, legal, risk management and more.
Leading corporates are using solutions like the ProcureTech100 pioneers. From Sourcing solutions like Archlet, Fairmarkit and Lightyear AI, to Analytics, Data & Intelligence solutions like Altana AI, Craft, Forestreet and Scoutbee, digital solutions are embedding AI.
Meanwhile, BT recently shared that it uses this pioneer to make its procurement processes more effective.
“We’ve already got 11 digital platforms beyond Globality. And what we want is an orchestration layer where we move to a best-of-breed approach. That’s a very different approach to what’s happened in the procurement space for the past 20 years, where people have relied on monolithic applications.”
Cyrill Pourrat, CPO at BT Sourced
The future is full of uncertainty, but procurement’s future is certain: it’s a digital one. And AI is only the beginning.
The ProcureTech100 Yearbook provides an exceptional resource and experts’ perspective for you as you progress on your digital journey.
The digitalisation journey requires purposeful action by procurement and the business and by digital procurement solution providers.
- Adopt a digital-first mindset
- Identify your digital north star
- Explore the ProcureTech100 and beyond
- Obsess your purpose and customers
- Continue to innovate
- Build your team and solution to scale
- Evolve jointly with customers and the ecosystem
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