STATE OF THE PROCUREMENT PROFESSION SURVEY 2022
Key Insights

STATE OF THE PROCUREMENT PROFESSION SURVEY 2022 Key Insights

A total of 2,701 executives participated in survey and 420 full responses were used to get first hand insights from procurement professionals on the current state of the function and future trends.

Sourcing strategy

The results of our 2022 State of the Procurement Profession Survey indicate that companies, that are in a cost leadership position compared to their main competitor often pursue a single sourcing strategy, while companies that are rather cost laggards often pursue a multi sourcing strategy. This underlines that multi sourcing is a rather expensive risk management strategy.

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Performance roadblocks

All roadblocks to performance are constraining the performance of the procurement organizations more in 2022 than they did in 2021. The biggest roadblocks that need to be overcome to increase performance are data quality and difficulties in finding and hiring qualified employees.

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Digital transformation

Is digital transformation reaching the "Trough of Disillusionment"? The results of our yearly survey show that the perceived importance of digital transformation is declining from year to year when asking the respondents to compare the perceived importance in the current year with that in the previous year. Based on the Gartner Hype Cycle, we assume that digital transformation is about to reach the "Trough of Disillusionment" on its way to the "Plateau of Productivity”.

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Employee satisfaction

The satisfaction of the respondents with their procurement organizations is decreasing compared to last year’s survey. However, employees are more satisfied with their procurement organization when its culture fosters a high level of entrepreneurial orientation that means the procurement organization encourages its employees to be proactive, innovative, and to take risks.

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Sustainability

Cost is still the main in the sourcing process when respondents are asked to distribute percentage points for the relevance of the objectives. Also, companies that position themselves as being sustainable put highest focus on cost and lowest focus on sustainability among the sourcing objectives. Although sustainability issues are increasingly discussed, companies lack sustainability implementation.

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COVID-19

Procurement organizations rely more on inventory and focus on closer relationships with their suppliers after the Covid-19 outbreak then they did before, underlining that supplier relationships are of high importance, especially in case of high uncertainty and risk.

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Summary

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For further insights visit https://www.bwl.uni-mannheim.de/en/bode/research/studies/.?



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Hashtags

#procurement #supplychain #logistics #DigitalTransformation #AI #ML #tech #robotics #automation

Peter Bouvier

Content and copywriting for the healthcare industry

2 年

Many thanks, Dr. Marcell Vollmer! Over the years, this joint study has become an important source for our research but also key to our conversation with practice. We look forward to the next iteration!

Dr. Karsten Machholz

AI-augmented Professor/advisory board member/ CEO - De-carbonizing Supply Chains & fighting climate change

2 年

great insights- looking fwd. to read the full report tx Dr. Marcell Vollmer Christoph Bode and Ruth Schültken for your fantastic piece of work

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