Pit Advisory Information

A Changing World with Renewed Procurement Focus The world of procurement is evolving, and several trends are shaping its future. Organisations are faced with the challenge of reviewing their ability to meet these new challenges which include: 1. Multipolar World: As global value chains face challenges due to geopolitical tensions and supply chain disruptions, organisations are shifting focus from cost improvement alone to resiliency and adaptability. 2. AI and Machine Learning: Advances in AI and machine learning allow procurement to extract deep insights from previously unstructured data. Enhancing spend transparency and capitalizing on supply market movements are crucial contributions. 3. Demographic Shifts: Shrinking workforces and rising skill gaps intensify competition for digital talent. Procurement departments require the analytical skills to unlock value from agile ways of working and digital operating models. 4. Low-Carbon Transition: Procurement can take the lead in minimizing value chain emissions, securing green materials, and managing capital expenditure to achieve net-zero energy. 5. Compliance: Procurement’s role in complying with legislative requirements such as Modern Slavery and ensuring risk is managed across the supply chain through thorough due diligence so that suppliers and contractors are selected who align and support organisational objectives. These trends are essential for organisations to stay competitive and create value across their supply chains and Pit Advisory can support this by “Piecing it Together”.