Procurement Magazine December 2025 Issue 48 | Page 80

HOW PACTUM AI IS REWIRING PROCUREMENT NEGOTIATIONS

Pactum AI and SAP are bringing autonomous negotiation agents to procurement, helping CPOs unlock savings and take control of direct and indirect spend screens for negotiability and reaches out to suppliers through a human-like chat interface. Dan explains:“ We pull the request, supplier details and attachments, then decide if it is negotiable. If it is, we engage the supplier in a text chat to trade terms like price and payment.
Pactum AI’ s platform automates high-volume negotiations, freeing procurement teams to focus on strategic work. Leading the firm’ s long-standing partnership with SAP is Dan Tunnicliffe, Director of Solution Consulting.
In direct procurement – particularly manufacturing and retail – Dan sees huge opportunity in structured data already sitting in SAP. Organisations often know historic prices, volumes, forecasts and primary cost drivers for thousands of SKUs.
“ All of those are great data points you can use to negotiate better,” he says. Indirect procurement is even more transactional, with decisions made at the point of requisition.
With SAP Ariba, Pactum plugs directly into the approval chain, stepping in where a buyer would usually review and approve. The agent collects request details,
“ We then pass the agreement back into Ariba in integrated form. The whole process is touchless and typically we close deals within a couple of days.”
Doing more with less CPOs are under pressure to bring more spend under management without extra headcount, meaning many Pactum AI clients start in areas that teams rarely touch today.
“ Cost reduction and cost savings will always be in the top three expectations.”
Dan Tunnicliffe, Director of Solution Consulting Pactum AI