At the forefront of 2020, and to keep the pace of ever-changing markets, corporations and especially Procurement leaders require taking up radical changes not only to transform the company but their products and processes as well, with the purpose in mind to reach sustainable business success.
Procurement executives must start redirecting their responsibilities and roles as a company, to prevent any barrier blocking progress and objectives over the next years. All teams involved in Procurement should have a ‘2020 action plan’ to understand the so-needed-following steps to take to unblocking your pathway to successful outcomes.
Procurement leaders need to change paradigms:
- Value drivers: in 2020, an innovative Procurement commitment should focus on speed of execution alongside business insights. Achieve your goals by the implementation of edge-technology that focuses on bringing awareness into Procurement businesses, suppliers’ operation, and buying behaviour. Transforming its role in cost-savings, suppliers' relationship, and the management of risk mitigation, while changing the vision around expends, suppliers, and markets which leads to recognising the sources of value generation. Procurement will benefit from a centralised-data source that can accelerate execution while Procurement complies with its role of giving your competitive enterprise advantages.
- Procurement role: staff need to avoid company friction that wears away process ownership; how? Through a Sourcing Advisor who will assume the authority and full accountability of supervising the Procurement principles. By 2020 and beyond, their most important focus should be on the low, mid, and highest level of purchasing and selling management.This shift would guarantee that the Procurement group provides higher-value work, while measures will mature procedures, knowledge and talent to educate new individuals.
- Business role: corporate actions are eroding the process ownership, and as a result, limiting Procurement function. To go further, the adoption of a Disciplined Sourcing Agent will be indispensable for the future, and the business associates. It implies better management with more responsibility for making the best sourcing decisions, ownership of aftereffects, and vendors’ relationship. A Disciplined Sourcing Agent will open out and put into operation training capabilities for supporting business partners source better through proper evaluation and monitoring of sourcing.
- Delivery model: currently, businesses policies are separating their functions. A transition to a Procurement Hybrid-Centre of Excellence that focuses on escalating business partnership management, and that implies both, to drive measurement, repeatability, and most excellent practices while enforcing sourcing discipline.
- Resources: it is a mixture of the most creative advisory, and customer-oriented edge-technological tools that are aiming to please the customer above all. It will lead corporations towards investing in their workforce and smart-high technology capable of questioning determining figures from a big-data source and improving customers' buying experience substantially.
Summing up: there is an urgent need to bring aboard human and technology resources that can transform global Procurement businesses in 2020 and beyond. To count on plentiful financial resources, to employ or start training those experts with a top-analytical skilled mind, and to set up a qualified-edging technology supporting your next line of attacks, such as Artificial Intelligence and Machine Learning tools to reach out the future.
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