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Procurement change - trend or watershed?

30 January 2015      Matt Sisson, Projects and Membership Manager

Many of us are aware of the latest procurement trends, but an article by the procurement consultants Proxima suggests that there is a bigger shift going on. Its review of procurement in 2014, and the look ahead to 2015, covers some familiar ground such as the use of technology and big data, but it also highlights some more interesting developments, particularly relating to the paradox that is the drive for both greater regulatory control (and lower risk), and greater flexibility.

On the former, Proxima believes that businesses “want quality assurance to ensure risks are mitigated and that there is a sufficient paper trail, particularly in the regulated sectors of the economy”. It thinks that 2015 will see a number of major stories on ‘supply change risk’ in the news – reputational damage to organisations caused by ethical and environmental compromises made in dispersed supply chains.

On the latter, they think that businesses need “agility, accessibility and the power to apply expert bias in light of increasing complexity”. They see a trend where “value and customer experience stem from flexibility, agility and intimacy - not economies of scale”. This means that “the traditional concept of ‘shared service’ is quickly becoming outdated as progressive companies are now looking for low-cost intelligent delivery centres which can add insight on top of a ‘transaction’”.

You can read the full article here



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