📢 2024: A Year That Changed Procurement Forever - My Personal Reflection
What a year! 🎯 As we wrap up 2024, I want to share some insights that shaped our procurement world:
AI Revolution in Procurement: Hand on heart - who would have thought that AI would become such a game-changer? From analyzing RFx responses to automated demand forecasting, AI has transformed how we work. But remember what I always say - AI won't replace procurement professionals; it will empower us to focus on what truly matters: strategic decisions and relationship building.
We have also entered the testing phase. The motto is: do more, talk less! Of course, you can constantly debate whether AI is taking our jobs or whether we are already dealing with AGI... I am more down-to-earth here and tend to swing my capacities into the area of "doing". I test the capacities and capabilities of the available LLMs to see what they can really do. And yes, it doesn't look bad. Soon, at the beginning of 2025, I will introduce you to a few simple AI agents that can certainly simplify our work. If anyone is interested in testing this in a pilot, please let me know. I can still accommodate a few interested parties.
The Evolving Face of Procurement: This year marked a decisive shift from "just savings" to true value creation. We've seen procurement teams stepping up as innovation scouts, sustainability champions, and strategic partners. The days of procurement being seen as pure cost-cutters are finally behind us! What we need to do is teach our organizations what procurement can really deliver. To do this, we need to build a good offering ourselves. It doesn't happen by itself.
The Human Element - The Foundation of Success: 2024 reinforced what I've been emphasizing all along - procurement excellence isn't just about processes and tools. The real magic happens in stakeholder management, supplier relationships, and cross-functional collaboration.
Without a strong, well-coordinated team that can communicate effectively, negotiate strategically, and build lasting partnerships, even the best procurement strategy remains just a document that isn't lived. And yes, even with all our AI capabilities, these fundamental human skills became even more crucial for driving value and innovation.
Looking ahead to 2025, I see procurement continuing its transformation. We'll need to be more adaptable, tech-savvy, and strategically minded than ever before.
What was your biggest learning in 2024?
What skills do you think will be crucial for procurement professionals in 2025?