Over the last decade, Procurement has proven its ability to do more with less and drive savings and efficiencies that have helped their companies weather some tough economic times. As the global recovery takes hold, businesses are beginning to prepare for a return to growth. And they are again looking to Procurement for help.
Out with the Old
In the past, companies could manage their internal operations and trust that their businesses would run themselves. But those days are long gone. In today’s global economy, it’s all about collaboration.
Where companies used to focus on executing a process internally, they must now look across the entire value chain. Where they used to mine their own intelligence, they must now look to knowledge networks that are developed through communities. And while they used to think about doing things faster, they now need to think about doing them better.
In short, companies that want to effectively compete in the future of business commerce must become more connected, efficient and informed;
It is a tall order. And to deliver on it, Procurement is taking a new and innovative approach.
More Forecast for Procurement in 2011:
Pt. 2: Shaking Things Up... Again
Pt. 3: Reaching for the Cloud
Pt. 4: A New Way of Operating
This piece also posted at the Sourcing Interest Group
Kevin Costello is president of Ariba Inc., a leading provider of cloud-based collaborative business commerce solutions.