Procurement in an uncertain economic and political environment
In a special report published by The Times, three experts from procurement consultancy Efficio, discuss the challenges and opportunities for procurement in a fast-changing world.
Supply chains must be kept under constant review and CPOs must be more agile, ready to switch to new suppliers, or adapt their procedures to sudden developments in technology or changes in the political and economic situation.
Talent is often cited as one of the biggest barriers to success for CPOs. As procurement develops a more strategic role in the organization, the training and development of softer skills including stakeholder management, change management and driving innovative solutions to business problems will be key to success.
Technology and data
New technology and big data provide a huge opportunity for procurement teams to drive down costs and become more responsive to customer needs. Procurement teams need to develop the ability to use this technology if they are to go beyond simple transactional activities and look at some of the big strategic issues around uncertainty, risk and cost reduction. Teams need to have the ability to not only collect data but to also analyse and use it effectively to generate a competitive advantage.
Savings and efficiencies
Continuing to drive cost savings and efficiencies while maintaining flexibility over contractual arrangements and putting in place contingency plans at a time when protectionism and terrorism are key in this uncertain global environment.
As originally seen in 'Future-proofing Procurement' published by Raconteur Media on 25 July in The Times.