World-class procurement organizations now deliver services at 17 percent less cost than typical companies while offering improved effectiveness, largely by becoming more customer-centric, according to research from The Hackett Group Inc.
There's been a great myth sweeping across the world of procurement. It's come about as procurement technology has grown widespread and companies are vying for customers to sign onto their solutions. The myth takes the form of an eraser, scrubbing away the lines between direct and indirect procurement.
Globalization and evolving social, economic and regulatory trends have elevated corporate competition to a new level altogether. For procurement departments in particular, cutting costs, doing more with less, and running agile operations are the new standards for success.
With their operating budget expected to grow by just 2.7 percent this year, procurement leaders are focusing their transformation efforts on cultivating procurement's role as a trusted advisor, investing in next-generation training and development, and harnessing big data.
The Chartered Institute of Procurement & Supply (CIPS) is partnering with Procurious, an online business network for procurement and supply-chain professionals, to form a social media knowledge initiative.