In order to stay ahead of the game today and prepare for the challenges of tomorrow, organizations must engage in strategic collaboration around Procurement.
The Procurement function has evolved tremendously over the past four decades. From fulfilling a simple “buyer” function in the 1980s, to now playing a key strategic role in today’s leading organizations.
In any given organization, the Procurement function will typically go through a series of transformations after its initial “genesis.” These intermediate stages of development take place before Procurement reaches the “agility” phase: the point when it becomes a strategic function, one that drives a competitive advantage and delivers significant benefits in the long term.
Exhibit: Evolution of Procurement ROI with function maturity
Read the full Point of View for a step-by-step examination of the maturation process to understand how an organization can arrive at this destination.