Procurement Experts Also Make Other Bold Predictions
RALEIGH, N.C., March 21, 2023 /PRNewswire/ -- ProcureAbility, the leading provider of procurement services, reveals its Bold Procurement Predictions for 2030, providing insight into the new practices that are likely to become prevalent within this decade. The procurement industry is rapidly evolving with technological solutions to streamline organizational processes. To guide clients through these changes, ProcureAbility collaborated with a team of experts, including Chief Procurement Officers (CPO), in the supply chain industry to gain insights and recommendations. Together, five emerging trends were identified that can assist CPOs in staying ahead of the curve in this transformative era.
"We are in the midst of a perfect storm of business disruption. Technology, economic fluctuations, and cultural transformations are all spurring fresh approaches to manage a successful supply chain. Our findings provide a realistic outlook for the direction of procurement," stated Conrad Snover, CEO of ProcureAbility. "Change can be challenging, but by scrutinizing your existing practices and making provisions for the future, you can be at the forefront of the modern procurement movement in 2030."
Five Bold Procurement Predictions for 2030 include:
1. Advanced Crowdsourcing
Technology advancements have made advanced crowdsourcing more feasible, and the procurement industry is adopting best practices accordingly. By 2030, at least half of all procurement activity will occur within the crowdsource domain and participation of smaller companies will increase by 70 percent. Crowdsourcing's increased visibility will feed competitive pressures and is expected to drive prices down.
2. Procurement Technology Acceleration
Artificial intelligence, machine learning, and predictive analytics will replace human efforts for administrative tasks, significantly impacting procurement teams. These seismic shifts in procurement technology stack will have a significant impact on how teams conduct business. Emerging technologies expected to gain mainstream acceptance by 2030 include Interactive RFx and Purchasing, 3D Prototype Printing, Wearables and Intelligent Assistants, Machine-Learning Contracting Process, and Automated Negotiation Systems.
3. Cognitive Computing
By 2030, thanks to cognitive computing, strategic sourcing is expected to take no more than two weeks. Machine learning and RPA will be utilized in nearly every aspect of sourcing, from event setup to contract execution. Cognitive computing will automate most administrative tasks in strategic sourcing, resulting in efficiency gains. Procurement teams will need to pivot to more strategic skill sets such as relationship development.
4. Hyper Cybersecurity
As cybersecurity monitoring becomes more prominent, procurement is expected to assume additional responsibilities for company data security. By 2030, ProcureAbility forecasts a 30 percent increase in cybersecurity spending and predicts that firms will consolidate supplier pools. A growing number of businesses are expected to bundle products or services and work with fewer suppliers.
5. Virtual Organizational Design
By 2030, there will be a significant transformation in procurement practices, with a predominant shift towards center-led procurement. Although several leading procurement organizations have already adopted this model, it is expected to reach a whole new level of advancement by the end of this decade. In this new model, procurement organizations will feature a centralized business unit, with a core business unit and 90 percent of operational sourcing roles automated or outsourced.
ProcureAbility formed a team of experts from various industries and specialties to offer insights and perspectives. The team examined the current state of the procurement field and emerging trends to develop hypotheses on what the future of procurement might look like in the next decade. To test and validate these hypotheses, qualitative, and quantitative data was collected and analyzed to conclusions that formed the basis of the bold predictions. Input from additional Chief Procurement Officers further validated and ranked the predictions based on their degree of boldness.
To learn more about ProcureAbility's Five Bold Procurement Predictions of 2030, visit: https://procureability.com/bold-procurement-predictions-for-2030/.
ProcureAbility is the leading provider of procurement services, offering advisory, managed services, digital, staffing, and recruiting solutions. For more than 25 years, we have focused exclusively on helping clients elevate their procurement function.
We combine leading-edge methodologies, analytics, market intelligence, and industry benchmarks with our uniquely flexible and customizable service delivery model. The Fortune 1000 trusts ProcureAbility to transform their procurement operations, drive growth, and reimagine what's possible.
For more information, please visit www.ProcureAbility.com.
Kathleen M. Pomento, Senior Marketing Director, ProcureAbility
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