In its Procurement 2025 guide Efficio offers advice on managing digital transformation.
Most businesses know that digitalisation is the way forward, but for many it’s too early to see what digital maturity looks like. But, with expectations that better decisions will come from more accurate and consistent data, it is something worth preparing for.
1) Start with a vision. Consider the big picture of where you’re trying to get to, and why.
2) Establish your key deliverables to the business. Is it agile buying processes, supplier quality, access to new revenue schemes, for example?
3) Build a digital roadmap, carved into manageable chunks, and prioritise – it’s vital to keep on top of things. Plan achievements in the first three to six months, then 18 months, and so on. Be flexible, but be clear on where you’re trying to get to.
4) Small successes build momentum, so focus on little steps that have a high impact, such as using ‘should-cost’ tools that use market intelligence to build up the expected cost of goods. These can influence product costing and profitability discussions.
5) Take care when investing in complex technology suites that can overwhelm users and contain unnecessary functions. And check that you have the right skillset in your organisation to make it work.
6) Use your data and build a platform that enables reuse of your knowledge to drive faster cycle times and better results, such as benchmarking prices. Take prompt action to address supplier risks and formulate strategies.