PROCUREMENT TECHNOLOGY
Source-to-Pay ( S2P ), the all encompassing terminology for the Source-to-Contract ( S2C ) and the Procure-to-Pay ( P2P ) processes . S2P covers the end-to-end process for an organisation to ensure the smooth running of its purchases and supplier management .
S2P platforms harness the data collected during the demand preparation , sourcing , bidding , decision making , payments , and billing , to help organisations cleanse , validate and classify their spend data to identify opportunities and provide end-toend visibility . Other benefits of S2P platforms include : cost savings , stronger procedural ; regulatory ; and contractual compliance , increased collaboration , better price negotiations and cost reductions .
So how does Generative AI fit into this ? And what does it mean for the future of S2P platforms ? Gaining significant traction in 2023 , investments in Generative AI ( Gen AI ) have soared due to its simplicity and ability to quickly create high-quality content . Gen AI can produce various types of content including text , images , audio , video and synthetic data .
The entrant of ChatGPT and other similar programs have made the technology much more accessible and adaptable to wider applications , including procurement . In a recent study by Deloitte , the consultant found that three out of four Walmart suppliers preferred to negotiate with AI over a human , “ this strongly indicates that the ecosystem is ready to embrace this disruption ,” noted the report .
Coupled with the rise in disruption over the last 12 months – with high inflation pressures ranking as the number one risk putting added pressure on the function
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