As the role of the CPO continues to evolve, there are common challenges each face, regardless of what industry they may be a part of and in many cases, their scale. Being the chief spend management officer for a company can be daunting unless there is an acknowledgment of the strategic value of the Procurement/Sourcing function AND a corresponding investment in its resources.
Today’s spend management technology solutions enable CPO’s and their organizations to leverage best practices to rationalize spend, manage suppliers efficiently and carry out source to pay tasks in a streamlined manner. While it starts with spend analytics as a foundation, associated technology has improved dramatically in recent years with e-Sourcing, Contract Management, Supplier Lifecycle Management & Risk, Guided/Spot buying, savings tracking & reporting, budget management, dynamic payment solutions, etc.
CPOs recognizing that technology should be applied holistically will improve their chances for success and maximize returns on investments. Connecting their business to the supplier marketplace in a way that optimizes the sourcing process but also creates an environment where the business users can buy and leverage suppliers in a self-service Amazon-like fashion is a formula for success. Such intuitive experiences are now possible and can help enhance compliance to procurement buying guardrails
Other emerging technologies such as machine learning, artificial intelligence, 3D printing and blockchain also pose a significant challenge for CPOs who wish to stay informed and ensure that their organizations do not miss out on potentially revolutionary advancements.
The largest challenge can be in convincing C-Suite executives that a substantial ROI exists and investment should be made.
Considering an advisory partner to help define your business requirements and helping to develop a sound business case can be an important first step in becoming a World Class Procurement & Sourcing organization.
At ExceleratedS2P, we help companies like yours to choose the right P2P solutions, implement them rapidly and ensure your entire team experiences the full potential of your investment.
Our experience includes high street banks, major car manufacturers and leading fashion houses, and our locations in New York, London and Melbourne enable us to support global organizations with the most challenging procurement environments.
If you want to know how technology can transform your procurement operation, or how your existing software can work harder, then contact our consultants today.