As you embark on your 2022 planning, it is important to consider procurement in the forefront. Routinely, organizations have invested in deploying new ERP systems and analytics tools, but procurement is routinely stuck making decisions using limited data, with lack of visibility into line-item details or limited knowledge of the contract lifecycle. However, with minimal investment and a renewed focus, that can change, and procurement can be positioned as a value-added function.
According to procurement reports, only 66% of surveyed companies are automating spend analysis by using technology that compiles, classifies, and cleans supplier spend information. Most companies are focused on the transaction and the financial system, but not necessarily enabling procurement users to be successful. A strong platform will need to enable data integrity, which is a central element in achieving transparency and actionable data. Five priorities to consider for system selection and enabling that system for success include: cost, processes, single source of truths, agility and scalability, and training/change management.