Research from Ivalua, a leading provider of global spend management cloud solutions, has shown that procurement, supply chain and finance professionals are spending almost a third (31%) of their time dealing with inefficient paper-based or manual procurement processes, which is costing UK businesses on average \u00a31.94 million annually and limiting procurement teams\u2019 ability to deliver more strategic value. At the same time, two-thirds (66%) of businesses admitted they were still reliant on such processes as part of their procurement or supplier management function. <\/p>\n\n\n\n
The\nresearch, conducted by Vanson Bourne on behalf of Ivalua, found that 71% of\nrespondents believed the rate of digitisation in procurement is low. Nearly\ntwo-thirds (64%) said this lack of digitisation is holding them back from doing\ntheir jobs. Overall, 85% of respondents view the procurement and supplier\nmanagement function as less digitally mature compared to other departments,\nsuch as marketing, human resources or accounting.<\/p>\n\n\n\n
\u201cAgainst the backdrop of an increasingly dynamic market, featuring Brexit and growing trade friction between the US and China, the role of procurement is becoming increasingly important,\u201d commented Alex Saric, Smart Procurement Expert, Ivalua. \u201cProcurement is perfectly placed to help manage this growing risk landscape, support innovation and create sustainable cost savings. However, the lack of digitisation is holding procurement teams back. While functions such as accounting and marketing have embraced digitisation and made great strides over time, procurement at most organisations has remained a digital laggard, leaving many businesses unprepared to face today\u2019s rapidly shifting business landscape.\u201d<\/p>\n\n\n\n
Technology investment failing to\ndrive digitisation<\/strong><\/p>\n\n\n\n Encouragingly, the majority (97%) of businesses are investing in technology to digitise procurement, with data analytics (67%), cloud-based platforms (62%), Artificial Intelligence (40%) and digital assistants (40%) the areas seeing the most focus. Despite this investment, businesses have so far digitised less than half (45%) of procurement processes. Purchasing (45%), invoicing (41%) and budget management (39%) are the most digitised processes to date. Full Digital Transformation remains a long way off for most procurement and supply chain organisations.<\/p>\n\n\n\n The findings also revealed that the lack of digitisation is\nhaving a wider impact:<\/p>\n\n\n\n \u201cThe lack of digitisation is creating serious problems for UK businesses, preventing teams from focusing efforts on more strategic activities and maximising the value of their spend and supply chains. For businesses serious about creating a competitive advantage and unlocking the strategic benefits procurement holds, much more needs to be done to invest in the right technology to enable digitisation. This will ultimately make procurement smarter and more flexible, something that\u2019s vital to thrive in today\u2019s fierce global market,\u201d said Saric.<\/p>\n","protected":false},"excerpt":{"rendered":" Research from Ivalua, a leading provider of global spend management cloud solutions, has shown that procurement, supply chain and finance professionals are spending almost a third (31%) of their time dealing with inefficient paper-based or manual procurement processes, which is costing UK businesses on average \u00a31.94 million annually and limiting procurement teams\u2019 ability to deliver […]<\/p>\n","protected":false},"author":21,"featured_media":33334,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4,13,6617,93,23,24],"tags":[1005,13306,12378,9316],"class_list":["post-33333","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cloud","category-main-story-newsletter","category-research","category-top-stories","category-united-kingdom","category-used","tag-digitisation","tag-ivalua","tag-procurement","tag-vanson-bourne"],"acf":[],"publishpress_future_workflow_manual_trigger":{"enabledWorkflows":[]},"_links":{"self":[{"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/posts\/33333","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/users\/21"}],"replies":[{"embeddable":true,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/comments?post=33333"}],"version-history":[{"count":3,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/posts\/33333\/revisions"}],"predecessor-version":[{"id":33337,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/posts\/33333\/revisions\/33337"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/media\/33334"}],"wp:attachment":[{"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/media?parent=33333"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/categories?post=33333"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.intelligentcio.com\/eu\/wp-json\/wp\/v2\/tags?post=33333"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}