Procurement digitalisation often seen as ‘ poor relation ’
Procurement digitalisation often seen as ‘ poor relation ’
According to Paltron , the digitalisation of procurement is often treated as a poor relation – omnipresent areas such as sales , marketing or IT security draw all the attention .
“ Although the primary focus on these areas is justified at the beginning , procurement is another crucial component that holds a real treasure for companies : a large set of existing data as well as additional connections to many internal and external departments and areas ,” the company says . “ In particular , the connection to suppliers and stakeholders as well as the entire supply chain .”
The barriers to IT procurement digitalisation As part of its study , Probrand asked IT buyers what their biggest obstacles to digitalisation are . Almost two-thirds listed ‘ budget ’ as a problem , while other issues included dealing with ‘ legacy systems ’ and ‘ winning the support of management ’.
“ Interestingly ,” Nethercot adds , “ more than one in ten ( 12 %) listed being ‘ unsure how to write a business case for digitalisation ’ as a challenge . Given that digital transformation in procurement shouldn ’ t incur major costs and typically delivers a significant return on investment ( ROI ), this is an issue that needs addressing .
“ What was clear from the research , however , was that there is a desire among procurement professionals to achieve digitalisation – with 74 % saying they are
58 June 2023