Purchasing performance

Digitalization: Procurement at the heart of transformation

Published By
Jeremy Ferrer
Tags
Purchasing profession

The UX procurement survey highlights the importance of change the uses to combine risk management and overall efficiency.
With a growth of around 10% per year, the digitization of procurement or “augmented purchases” is plunging The procurement function in a new era.

1 Dysfunctions detected during the crisis

Despite the health crisis, a 2020 survey by Média dell'Arte in partnership with CNA shows us strong signals towards digital tools. 91% of respondents consider it essential to use digital tools.use of digital tools. However, only 40% of this same panel actually use these tools, yet 90% of them evolve into ETI or Large Groups.

2 Supply chains in the starting blocks for big changes 


The relationships around the various ranks of suppliers are now in turmoil. It is therefore necessary to be able to pilot and visualize not only tier 1 suppliers (often well integrated) but also tier 2 and 3 suppliers who should not be left behind. In addition, more and more companies care about their supplier risks, digital tools could be seen as a solution to these problems.

3 Shared information, the key to success

In the current highly decentralized and global context, it is essential to be able to detect weak signals linked to a geographical area or to financial health from a specific supplier. Solutions that allow internal and external information to be directly linked seem to be of particular interest in this case.
NB: Do not neglect the security associated with your data.

4 Towards the integration of deep technologies

Artificial intelligence, robotization, predictive technology or even Big Data are technologies that are still very poorly implemented in uses (79% of decision-makers describe this implementation as null or weak).
The forecasts are also at the heart of the debates, we are talking here about algorithms that make it possible to establish correlations between numerous factors in order to create complementary negotiation possibilities.
The Block Chain is also often mentioned when talking about technology in procurement. Properly implemented, it would reduce supplier risks through better traceability.

5 Procurement is changing

From a cost center to a profile center, the purchasing function has evolved a lot in recent years.
However, adherence to digital tools implies significant human support in order toInvolving the end user in the transformation project.

Source: File page 54/58 — Purchasing Decision — No. 219 — September 2020

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