At the end of Q1 2020, there was little confidence in supplier data from procurement leaders. With the onset of the COVID pandemic, these concerns turned into serious issues. The Tealbook report found that throughout the pandemic, 82% of procurement leaders felt that their supplier data was sub-standard.
Read how Post-COVID, it is clear that organizations need to reconfigure their functions to better cater to risk management and have the agility to respond quickly with intelligent and innovative solutions.
At the end of Q1 2020, there was little confidence in supplier data from procurement leaders. With the onset of the COVID pandemic, these concerns turned into serious issues. The Tealbook report found that throughout the pandemic, 82% of procurement leaders felt that their supplier data was sub-standard.
This critical issue of supplier data was instrumental in making the hard job of managing procurement during a pandemic even harder. The report states that 96% of procurement leaders now feel that the agility of their function is more critical than cost savings in the long run. Savings can quickly dissipate if a function cannot effectively respond to crisis.
Post-COVID, it is clear that organizations need to reconfigure their functions to better cater to risk management and have the agility to respond quickly with intelligent and innovative solutions. This change is not only beneficial in the short-term to dodge issues, but in the long-term development of profitability and innovation for the organisation. Procurement leaders also must realise the importance of data and orient themselves in such as way that they can embrace it within their workflow and have it drive their procurement strategy.
Key facts
- 82% of procurement leaders discovered that their supplier data was less than completely adequate during the pandemic.
- 96% of procurement leaders agree that being agile is more important than cost savings for their companies’ bottom line in the long run.
- Concerns add up despite the cost of the data: the average cost of a single supplier record is estimated to be $2,431—and perhaps more alarmingly, a third of procurement leaders (33%) admit they have no way of knowing how much a supplier record costs.
- 57% of procurement leaders rely on manual entry of this already costly data, compounding the time and resources going in.
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