This month, in his exclusive PASA column ‘Gordon’s Window’, Gordon Donovan, VP of Global Procurement Research at SAP, provides a handy expert summary of June’s global procurement research. Save your own time reading research when you can get the key takeaways in one place!
This month’s reports highlight how artificial intelligence (AI) is revolutionising procurement, especially in automating source-to-pay and contract management for greater efficiency and cost savings.
Reports from WorldCC and McKinsey emphasise blending AI with strong governance and change management, while CAPS shares key procurement performance metrics.
We also explore how organisations are managing rising tariffs, optimising costs and using scenario planning to build supply chain resilience.
Insights from Gartner, BCG, and KPMG address the challenges of complexity, cognitive overload, and the need for upskilling as AI adoption accelerates.
Key Points
- AI is significantly enhancing procurement efficiency and cost savings, particularly in source-to-pay and contract management.
- WorldCC and McKinsey stress the importance of governance and strategic integration of AI in procurement processes.
- Organisations face challenges from rising tariffs, leading to scenario planning and cost optimisation strategies.
- CAPS highlights key performance metrics for assessing procurement effectiveness and justifying headcount.
- Cognitive overload is a significant concern as procurement evolves rapidly; organisations must adapt to manage this complexity effectively.
Why should I read this?
If you’re into procurement or just curious about how AI is shaking things up, this article is a must-read! Gordon packs a lot of invaluable insights into one neat summary, saving you from sifting through endless reports. Stay ahead of the game – the future of procurement is here, and it’s powered by AI!