In today's business landscape, the focus has shifted from whether a company should digitize its processes to how best to implement digitization. By embracing digital solutions, organizations can enhance their efficiency and align more effectively with their established objectives.
The field of procurement is experiencing a profound evolution as businesses adjust to worldwide shifts. Market instability and supply chain uncertainties have rendered digital transformation essential.
Moreover, the growing focus on environmental responsibility has pushed companies to incorporate digital tools into their procurement strategies.
Nonetheless, implementing effective digitalization plans remains a hurdle for many organizations. The intricate nature of procurement workflows, along with the necessity for smooth technology integration, frequently results in unsuccessful implementations. To achieve successful digital evolution, companies must carefully address critical aspects such as data governance, system interoperability, and harmonizing objectives, processes, and responsibilities across departments.
Successfully adopting digital solutions provides substantial advantages for procurement activities. Companies can attain better oversight throughout the supply chain, refine sourcing and procurement operations, automate repetitive tasks, and make data-backed decisions. Through technological advancements, organizations can enhance supplier collaboration, boost cost-effectiveness, reduce risks, and encourage innovation. Advanced analytics and AI empower businesses to uncover insights, predict demand, manage inventory more efficiently, and improve supplier performance. By leveraging these capabilities, companies can proactively adapt to market fluctuations, gain a competitive edge, and establish sustainable procurement practices.
The procurement domain is evolving digitally to respond to global changes and satisfy the requirements of an ever-changing business environment. Efficient digitalization strategies necessitate a comprehensive approach that integrates technology, data stewardship, and teamwork. By embracing digital transformation in procurement, companies can enhance operational effectiveness, strengthen supply chain robustness, promote sustainability initiatives, and ultimately secure a leading position in the market.
PROCUREMENT: LET’S GET REAL!
Smart tools and processes
An overall thoughtfully designed toolset is essential to support procurement in its daily work. To increase efficiency and value, clear processes can be implemented, automized and robotized.
Organizational readiness
Procurement is developing the right capability and know-how to mobilize and train teams on how to work in the future in terms of culture, collaboration, adoption of new technologies and co-working with robots and with and an external innovation ecosystem.
KGM Strategy’s Digital Navigator serves as a valuable enabler for clients as they make critical decisions regarding their digital strategies.
With the guidance of KGM Strategy’s Digital Navigator, clients can navigate the complexities of digital transformation in procurement with confidence. The structured maturity assessment, actionable recommendations, transparent cost estimations, and implementation roadmaps empower clients to make strategic decisions, bridge gaps, and unlock the full potential of digitalization to drive procurement excellence.
Structured maturity assessment and recommendations to close gaps
With a structured maturity assessment, we help to identify gaps in the digital landscape and provide actionable recommendations to bridge those gaps effectively. The process begins with a comprehensive evaluation of the client’s current digital maturity level. Through this assessment, we identify areas requiring immediate attention and match them with appropriate digital tools and solutions. By prioritizing the action list, clients can focus on the most impactful initiatives that align with their business objectives
ROI calculator for digitalization cases ensures transparency in savings and costs
Transparency is a key aspect of KGM Strategy’s Digital Navigator, achieved through the implementation of a return on investment (ROI) calculator. This tool enables clients to estimate potential savings and costs associated with digitalization efforts based on their specific circumstances. By providing customer-specific savings estimations, the ROI calculator empowers clients to make informed decisions regarding their digital transformation investments.
Clear action lists and implementation roadmaps for procurement digitalization
To ensure a smooth implementation process, our team delivers clear action lists and implementation roadmaps. These documents outline the critical milestones and necessary steps for successful procurement digitalization. By identifying milestones and developing resource planning strategies, we help our clients allocate their resources effectively, ensuring a streamlined and efficient implementation process.
