Deloitte’s new CPO survey reveals that driving operational efficiency, reducing costs and digitization are procurement’s top priorities this year. And guess what? Vroozi can help you achieve every single one. Let’s dive into the findings.
Driving Operational Efficiency
Operational efficiency tops procurement’s agenda in 2021. Amazingly, “driving operational efficiency” knocked off “reducing costs” as procurement’s top priority for the first time in the survey’s 10-year history.
If that seems tactical, consider that there’s a bigger story at play here. Efficiency is important – but it’s an enabler of something greater, and not an end to itself. Today’s procurement leaders are out in front. They are leading and contributing to business-critical initiatives like innovation, digital transformation, sustainability and diversity, supplier risk, and profitability.
There’s a lot on procurement’s plate and no time to waste, which makes efficiency crucial. To be successful, you have to automate and digitize.
Simply put: Manual processes drain efficiency, weigh down operations and slow decision-making. They take valuable time away from the strategic and value-adding initiatives mentioned above. On the other hand, automating the procure-to-pay process eliminates the burdens associated with manual tasks, and increases efficiency, savings and financial control. Automation enables your entire ecosystem to run faster and more productively and frees your team to focus on more strategic and transformational initiatives.
Over 76% of CPOs are prioritizing digital transformation. This represents an astounding 20% increase over 2019.
This leap illustrates the dramatic shift happening across the procurement function. Today, more CPOs than ever recognize the invaluable benefits of digitization, which include efficiency, financial control, cost savings, enhanced productivity, better decision-making, and more. Operationally, digitization is also a key enabler of the work from anywhere and everywhere movement, and mission-critical to effective hybrid work environments.
Analysts have been buzzing about digitization for years. So how do you actually get started? The companies Deloitte considers agility masters focus first on driving outcomes and quick wins (like savings and efficiency gains), “which then act as investments for more strategic and digitally intensive improvement areas.”
We love this approach. Digitizing incrementally is the easiest way to build momentum. Too many companies, especially those in the mid-market, look at digitization as massive, multi-year project that’re too complex to pull off. That couldn’t be further from the truth for procurement and accounts payable. Start by digitizing one process – like invoice-to-pay – and then scale over time. The results will grow exponentially the more you digitize.
Is Agility the New Cost Savings? Register for Our Webinar to Find Out.
Deloitte’s research also talks a lot about the correlation between agility and performance. In fact, the report goes on to say that procurement “agility masters” outperform their peers on all major performance metrics.
Sounds nice… but what the heck does that mean?
Join us for our upcoming webinar with Azul Partners Founder Jason Busch on Wednesday June 9 at 9am PT/noon ET. Jason will debunk the buzz and dive deeper into Deloitte’s research. They’ll discuss what agility and digitization mean for procurement and AP teams today, why it matters, how to get started, and practical takeaways for mid-market businesses.
Register today. Debunking the Buzz: Talking Procurement “Agility” and “Digital