Key Takeaways from EBG Webinar: Tackling Disruption in Procurement
The EBG | Webinar, titled “How Can Procurement Tackle Disruption?”, delivered valuable insights into navigating the complexities of the modern procurement landscape. Hosted by Anna Bjärkerud of EBG | Network, the session featured insights from procurement experts Dr. Mervi Saarikorpi and Elizabeth Maffei from SAP, who explored strategies, technologies and talent development to combat disruptions.
Here are the main takeaways from the event:
1. The Never-Normal Reality
- Context: The modern business environment is marked by constant disruption, described aptly as the “never normal.” From inflation and geopolitical crises to strained supply chains, procurement teams face unprecedented volatility.
- Implications: Organizations need to adapt by reassessing supplier relationships, contract terms and operational models to build resilience.
2. Aligning Strategies with Business Goals
- Framework: Effective category management requires alignment between corporate strategies, procurement goals and category-specific tactics.
- Example: Organizations must cascade corporate goals, such as cost reduction or revenue protection, into actionable procurement objectives. For example, during profitability crises, procurement must centralize management, expand category coverage and explore innovative cost-saving measures.
- Challenge: A poll during the webinar revealed that only 10% of participants felt their category strategies were “very well aligned” with corporate goals, highlighting the need for stronger internal collaboration.
3. Leveraging Technology for Greater Efficiency
- Data & Visibility: Procurement must overcome challenges such as siloed data, lack of visibility beyond Tier 1 suppliers and inefficient collaboration.
- SAP Solutions:
- Category Management Tool: Recently unveiled at Spend Connect in Dallas, the tool provides category managers with a 360-degree view of spend, supplier performance and market intelligence, enabling more informed decision-making.
- Business Network: Facilitates collaboration across procurement, supply chain and finance, ensuring a unified approach to managing disruptions.
- Sustainability and Traceability Tools: Support compliance with evolving legislation and provide actionable insights into supply chain emissions and human rights issues.
4. Addressing Sustainability and Risk
- Sustainability Priorities: As regulations expand to include human rights and emissions, procurement teams must enhance visibility and risk management across the entire supply chain, including beyond Tier 1 suppliers.
- Tools for Compliance: SAP’s solutions enable organizations to integrate external data for comprehensive risk scoring and supplier evaluation.
5. Talent as a Catalyst for Transformation
- Evolving Roles: Procurement professionals must transition from tactical roles to strategic ones, acting as resource orchestrators and innovation drivers.
- Key Skills: Agile decision-making, risk management and familiarity with advanced technologies are critical. The role of data scientists within procurement is becoming more prominent as data-driven insights gain importance.
- External Workforce Management: With 42% of companies’ workforces being external, organizations must align external workforce strategies with broader business objectives while effectively managing service providers.
6. Measuring Impact with KPIs
- Need for Metrics: Many organizations lack KPIs to measure their alignment with new business priorities, such as global volatility, sustainability and operational efficiency.
- SAP Recommendations: The webinar shared a comprehensive KPI framework and maturity model, enabling companies to assess their current state and target improvements systematically.
Watch the On Demand session
Re-watch the live session by clicking the image below
Final Thoughts
The webinar emphasized the importance of adaptability and collaboration in procurement. By leveraging advanced tools, aligning strategies and cultivating talent, procurement teams can transform disruptions into opportunities for innovation and growth. As host Anna Bjärkerud aptly noted, sharing knowledge and evolving together are key to brighter times ahead.
For those who missed the session, the recording and slides offer a deeper dive into these critical topics. As the procurement landscape continues to evolve, staying informed and proactive will be essential for success.
About Mervi
Mervi has both theoretical as well as practical knowledge of strategic purchasing transformation, processes, and best practises through work experience at UPM and doctoral studies at Aalto University, where she got her PhD degree in 2018. After joining SAP, Mervi has worked in sourcing and procurement solution presales, product development as well as research and thought leadership.
About Elisabeth
Elisabeth joined SAP after having previously worked for Procurement Leaders as part of their research team across a range of procurement categories and related topics to add insight, value and intelligence to their members. Prior to that she worked for LOCOG on the London Olympics and has extensive experience in a Procurement and Contract Management across sectors as diverse as events, media, banking and hospitality.
About SAP
SAP Ariba solutions create direct, intelligent connections between your business and your suppliers and targeted solution providers, redefining how you communicate, collaborate, and get work done.
Your organization needs more from procurement. As business moves faster and faster, more spending is happening across more channels using more payment methods than ever before. And your customers are demanding more from the organizations they buy from and work with. They want more speed, better quality, the best experience, and full transparency into the impact you and your suppliers are making on the world.
It’s up to procurement and supply chain managers to continue to control all the costs, manage the risks buried in your transactions, and do it all while making sure process doesn’t slow down progress. Using SAP Ariba solutions and Ariba Network – market leaders in spend management software – you can equip your company to be responsive and responsible, both today and in the future:
-Buyers can manage the entire purchasing process as they control spending, find new sources of savings on both direct and indirect goods, and build healthy, ethical supply chains
-Suppliers can connect with profitable customers and efficiently scale existing relationships, simplifying sales cycles and improving cash control along the way.
Visit ariba.com for more