Traditionally, procurement organizations have relied on three best practices to improve their effectiveness and efficiency – Regulations, Analytics & Benchmarking. While these practices have served them well to date, it will not suffice in harnessing the abundance offered by a digitized world. As per a Hackett report which surveyed 180 large companies, nearly 85% of them believe that digital transformation will fundamentally change the way they deliver services over the next 3-5 years.
Life for professionals in procurement is changing each day. There is an impending shift from traditional ways to futuristic ways in the procurement industry, which has transformed various challenges to another level.
With a rising list of suppliers, the increased competition has a direct impact on the market dynamics – from contract-based to deal-based. This has resulted in increased price fluctuations, creating challenges for procurement professionals. For example, businesses can procure the required goods from Amazon for Business. Here, there is no contract involved, no fixed pricing, and no preferred vendors. The vendor offering the best quality at the best price wins the deal.
Another challenge that arises is comparing the numerous options and opting for a particular vendor. What terms, delivery timelines, and price should be the benchmark? To harness the abundance of choice in a digital world, it is important to reimagine the role of intelligence in procurement.
A procurement analytics solution powered by Artificial Intelligence and Machine learning can help tackle all these problems. Not only that, but it helps in optimizing spends, saves money, monitors compliance, improves transparency, and most importantly, saves time.
ignio™ Cognitive Procurement is the new age procurement analytics solution for you and your organization to be future-ready. It detects and predicts procurement anomalies in the procure-to-pay function in real-time and empowers people to maintain the right balance of efficiency and agility.
Click here to learn more about how, as a procurement professional, you can tackle this impending shift and manage to implement your best procurement strategies.