Procurement 4.0 – Next Level Procurement
Digitization might be enabler and driver of Procurement 4.0, but it is far too short-sighted seeing Procurement 4.0 as just a digitized function. Even though the 4.0-echo within the Procurement community is excitingly high, no clear vision has been developed yet describing meaning and impact of Procurement 4.0.
Dynamic and interconnected value chains are a key factor of sustainable success – managed and steered by strategic purchasers in their new role as value chain managers. This evolved environment will be influenced by drivers of digitization, e.g. Industry 4.0 & Internet of Things, Smart Data & Clouds, Enterprise 2.0 & Social Media or Mobile Computing.
In order to identify related opportunities and challenges, h&z developed a Procurement 4.0 framework. It integrates all aspects of the procurement function that will be relevant in future and addresses intra-company as well as inter-company relationships and global connectivity along value chains.
A survival guide in a digital, disruptive world
Our book “Procurement 4.0 – A survival guide in a digital, disruptive world” provides insights and guidance on how to best face the current and upcoming challenges for procurement organizations. Although digitization might be considered a driving factor behind Procurement 4.0 it is far too shortsighted to limit Procurement 4.0 solely on apps and automation.
To gain a clearer picture of future procurement, the authors conducted interviews with leading procurement heads of global corporates such as BMW, Lufthansa, Maersk, BP and Allianz. These industry examples combined with various other cases offer a practical view to shed light on this still rather theoretical construct.
The four dimensions of the h&z Procurement 4.0 framework are further explored to address and react to business needs of the future. Besides industry examples, each chapter contains “survival tips” as impulses for procurement managers to lift their teams to the next level.