ARE COMPANIES ABLE TO TAKE ADVANTAGE ?
When we asked about the most exciting and impactful development in the industry , Simon said that AI and blockchain are both going to be “ game-changers , not just for procurement , but for businesses more widely .” Highlighting an example use case of AI , which will be the ability to spot patterns in data to help companies to identify risks and implement appropriate mitigation strategies , whereas blockchain will help give us transparency of the activity in our supply chains like never before .
However , he believes that the biggest potential lies in technology around now , adding : The reality is many businesses aren ’ t mature enough to take advantage of this today . The biggest potential for the majority of procurement functions today remains deploying technology that has been around for 10-15 years to enhance the experience of the users when they want to buy something , e . g . guided buying . The focus should be on creating a system that enables business users to selfserve for all but their most complex needs and have procurement in the background in charge of algorithms and influencing what is being bought , from which suppliers and at what total cost .”
forecast demand , optimise inventory , and automate mundane procurement tasks to free up valuable time for more strategic decision-making . This transformative technology has ushered in a new era of intelligence and strategy .”
Seth Catalli , Chief Revenue Officer at Globality , agrees with Macfarlane ’ s call on AI , as he adds : AI ’ s level of interaction that feels human-level is closer than ever . As a result , AI-based procurement systems can understand and respond to human intent , delivering a more engaging and user-friendly experience .
In the context of procurement and sourcing , for example , AI is already doing
124 May 2024