CPO Rising 2023: Procurement’s Top Achievements in Last 25 Years (Part 2) - CPO RISING - THE SITE FOR CHIEF PROCUREMENT OFFICERS & LEADERS IN SUPPLY MANAGEMENT

Today, we feature our ongoing coverage of this year’s 18th-annual CPO-themed report, where my team and I continue our nearly two-decade-long dialogue with chief procurement officers (CPOs) and other procurement leaders.

The report is based on research by Ardent Partners and represents a comprehensive, industry-wide view of what is happening in the world of procurement and captures the experience, performance, perspective, and intentions of 341 CPOs and other procurement executives.

Our post today features part two of the top achievements in the procurement profession over the past 25 years.

Procurement’s Top Achievements over the Last 25 Years (Part 2)

This year, 164 CPOs weighed in with their views on the top achievements of the procurement profession over the past 25 years. What follows is part two of the summation of their ideas.

Digital transformation of work methods and processes. The digital transformation of work methods and processes is a significant achievement for the procurement profession over the past 25 years. The use of digital technologies enables procurement professionals to automate tasks, improve efficiency, and gain greater visibility into their supply chain. This transformation led to the development of new skills and competencies among procurement professionals.

Development and mentoring of the next generation of procurement professionals. Procurement organizations are now investing in the development of their employees, providing training and development programs, as well as mentoring opportunities to help them develop their skills and progress in their careers.

Automation and digitization of procurement processes, including e-procurement and P2P software. The automation and digitization of procurement processes, including e-procurement and P2P software, allows procurement professionals to streamline their processes, reduce costs, and improve efficiency. These technologies provide greater visibility into the supply chain, enabling organizations to make more informed purchasing decisions.

Focus on business partnership and transitioning from a support function to a strategic value-delivering contributor. Procurement organizations are increasingly focused on transitioning from a support function to a strategic value-delivering contributor. This approach involves partnering with other business units to identify opportunities to drive value, improve processes, and reduce costs. By adopting a business partnership approach, procurement professionals can demonstrate their value to the organization and provide a more strategic role. Procurement is now a role that resonates at the C-level.

Improved spend analysis, risk mitigation, and supplier relationship management through the use of data and commodity expertise. Procurement professionals have made significant progress in improving spend analysis, risk mitigation, and supplier relationship management through the use of data and commodity expertise. By leveraging data analytics and commodity expertise, organizations can gain insights into their supply chain, identify risks, and make more informed purchasing decisions. This approach also helps to improve supplier performance and reduce costs.

Successful development and management of supplier diversity programs. The procurement profession has achieved success in developing and managing supplier diversity programs. Organizations recognize the importance of promoting diversity in their supplier base, leading to improved supplier performance and better product quality. Supplier diversity programs also help to enhance social responsibility and reputation.

Next week, we’ll explore the biggest procurement challenges for CPOs and their teams. While the barriers to success in 2023 are not nearly as large as they were during the pandemic, CPOs believe that there are sizable hurdles ahead.