The procurement sector is undergoing significant transformations. The deployment of robust technologies and hyperautomation has raised many doubts, which is only natural when we talk about a change process.
In this post of our blog, we’ll explore some of the key insights brought by executives with regard to the world of Procurement 4.0.
Enjoy the reading!
1. The greater the amount of data, the biggest the challenges to interpret it
We live in an era when the amount of available data is growing more and more. There is a health of benefits in deploying Big Data, AI and other technologies in procurement processes, which help to free professionals from their operational routine.
However, interpreting the information and using it in a smart way is a true challenge, as the greater the amount of data, the greater the complexity to extract relevant insights for the sector and make strategic decisions.
For this reason, data interpretation will soon become a vital skill for buyers, who will have to master the required techniques and tools to analyze, understand and apply the vast universe of data and information at their disposal.
2. Clarify and organize processes before adopting AI techniques
In our era of automation and presence of new technologies, it’s crucial that buyers can clarify and organize their processes, before deciding by any innovation. The knowledge of activities and the understanding of how digital transformation will impact daily procurement practices are key to ensure a successful transition.
Process automation, linked to the knowledge of information provided by new technologies – such as AI – can provide many benefits. In this context of change and uncertainty, procurement professionals must be ready to take advantage of all opportunities brought by hyperautomation, but can’t neglect the importance of a strategic approach.
Therefore, people involved in procurement processes must really understand the department’s routine and the changes that will be needed to increase productivity and improve the company’s competitiveness.
3. Data governance must be a priority when using generative AI
Generative artificial intelligence, such as ChatGPT, is provenly a great ally in a host of different sectors. However, when using tools like this one in daily procurement routines, collecting and processing sensitive company data requires due attention.
With its focus aimed at protecting businesses’ sensitive and strategic data, the procurement area must establish efficient governance processes, in order to regulate the sharing of confidential information.
Prioritizing data governance provides a reliable environment, where generative AI can be used in an ethical way. By taking a safe approach to the use of such tools, businesses can avoid risks and harmful exposure.
4. The procurement area isn’t alone in digital transformation
Digital transformation positively impacts all sectors of a company, including the procurement area. In this sense, process automation becomes essential to boost efficiency and agility in negotiations with suppliers.
In the procurement area, no one does anything alone. To increase the chances of success, it’s important that all areas and professionals involved in procurement processes are engaged and open to an innovation culture. Besides, the engagement of suppliers in the hyperautomation journey is a must too.
5. Continuous learning is required to survive in the era of hyperautomation
The era of hyperautomation has increased the need for a culture of continuous learning. In a world where artificial intelligence and new technologies are redefining Industry 4.0, the survival of businesses depends on the ability to adapt and reinvent themselves.
Lifelong learning is a real need for buyers, not just a distinguishing point. Professionals must be always updated and willing to acquire new knowledge and skills, in order to stay relevant and competitive.
See you next time!😉