Investing in procurement technology

Get to grips with the key procurement technology trends today

When is the right time to invest?

The pace of procurement is changing fast. New technology developments are shaping the way procurement teams interact with stakeholders and how they deliver results. As we enter the fourth industrial era there are increasing discussions around blockchain, artificial intelligence and robotics and other digital technologies. Now is the right time to get to grips with knowing which procurement systems and supply chain technology should be presented to boards for investment.

Before you look to implement procurement technology within your organisation, it’s important to consider some of the following factors.

Know your business objectives:
With so many different technologies on the market today, it’s important to not get tied up in the wrong system. Identify your objectives and needs and any key challenges that you want the technology to help you overcome.
Do your research:
Procurement technology is becoming increasingly complex, so do your research. Keep up to date with market trends, look at customer reviews and make sure to compare service offerings to get the best deal.

Take your time:
Implementing new technology takes time, training, and agreement from all stakeholders. Start with implementing the basics before moving onto complex technologies.
Understand the current maturity level of your organisation:
Some organisations will quickly adapt to change; some may need support to change the culture and processes. Always be mindful of your current maturity level and where you aspire to be, then plan out the right technologies that can support that development.

Top five procurement technology trends

Procurement technology offers extensive controls to procurement teams, but what are the driving trends in procurement technology today? Take a look at our five trends that are set to make an impact in the procurement profession today.

Integrating a digital transformation strategy:
Digital transformation add values to your business, both in the here and now and in the future. Adopting a digital transformation strategy can help you to attract the young generation to your organisation and paves the ways for staff to think more strategically.
Adopting artificial intelligence systems:
Artificial intelligence is a fast-developing area and can be categorised in two ways.
- Rules-based automation where a machine can be programmed to follow a specific set of rules.
- Intelligent automation which is cognitive technology that can self-learn and analyse historical patterns to make an operational decision.
Cybersecurity systems and protection:
Online security is a real threat to public and private sector organisation. Preventing attack and protecting your data is the key to mitigating this global threat.
Using big data to drive decisions:
Big data is defined as the analysis of information of extreme size, diversity, and complexity. It increases transparency, insight and actional information that can lead to shorter procurement cycle times and a better understanding of behaviours.
Blockchain infrastructure and transactions:
Blockchain is a secure ledger system, which tracks a product from source. A new ledger entry will then be built based on each transaction that takes place with the product or as the product is used as a component to build finished goods. There are potential benefits for blockchain technology. One being that the ledger cannot be altered or changed by individuals, meaning consumers will have full visibility of the product back to source.

Digitalisation

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