Digitalization is the second-most important priority for CPOs in 2019 (source: Procurement Leaders CPO challenger guide 2019) but many procurement chiefs do not know where to start their digital transformation journey and are unable to articulate what success looks like.
Although functions encounter major challenges throughout this transformation, the achievements of mature procurement organisations help demonstrate a path for other teams to follow, namely:
Standardize and document manual processes: All relevant parties should use clearly defined processes and tools consistently before digitalising these.
Digitize manual processes: The function implements digital systems – including improvised, Office-based solutions and sourcing suites – to help staff complete previously manual, paper-based processes.
Automate: By leveraging existing or implementing new software platforms, procurement uses robotic process automation to automate existing processes.
Innovate: Sophisticated technologies such as artificial intelligence (AI) or blockchain offer greater efficiencies and enable new ways of working.
Read Procurement Leaders’ Digital transformation report to leverage the experience of digital procurement leaders and gain insights into:
- Defining success: Recognize the four features that successful digital transformations deliver: performance; large-scale adoption; an improved experience; and value beyond savings.
- Delivering greater returns: The five-step process procurement teams should follow to deliver successful digital transformations that elicit sustainable improvement.
- The digital transformation maturity curve: Understand that digitalisation is a journey and a process of continual improvement.
To find out more, take a look at the Americas Procurement Congress agenda here.