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A More Mission-Critical Role for Procurement

A new CPO report from Ardent Partners and Ernst & Young confirms that the procurement function is playing an increasingly important role in business success, particularly in best-in-class organizations. This article tells what the study findings mean for supply management professionals and lays out strategic steps they can take to make their procurement operation truly mission critical.

By ·

In just the past few years, the role of the chief procurement officer (CPO) has changed dramatically. Beginning with the financial crisis in 2008 and 2009, through to the inevitable but volatile recovery that began in 2010, CPOs who have successfully dealt with shifting markets, economic turmoil, and general uncertainty have given their companies a big edge.

Under challenging economic conditions, sharp CPOs and procurement executives played a significant role in cutting costs. But equally important is the role they have played by responding to a rebounding economy. The best CPOs are helping to strategically guide growth in ways that are clearly contributing to the bottom line.

As a result, the CPO has been elevated to a role on equal footing to the rest of the C-suite, and their organizations are increasing their influence on business process owners and key stakeholders. Successful procurement strategies have focused C-suite attention on the overall importance of the function, and have led to more visibility—and influence—for the CPO. The best CPOs now have greater responsibility and control over business operations, including more active roles in crafting business strategy and initiatives.

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Download Article PDF

In just the past few years, the role of the chief procurement officer (CPO) has changed dramatically. Beginning with the financial crisis in 2008 and 2009, through to the inevitable but volatile recovery that began in 2010, CPOs who have successfully dealt with shifting markets, economic turmoil, and general uncertainty have given their companies a big edge.

Under challenging economic conditions, sharp CPOs and procurement executives played a significant role in cutting costs. But equally important is the role they have played by responding to a rebounding economy. The best CPOs are helping to strategically guide growth in ways that are clearly contributing to the bottom line.

As a result, the CPO has been elevated to a role on equal footing to the rest of the C-suite, and their organizations are increasing their influence on business process owners and key stakeholders. Successful procurement strategies have focused C-suite attention on the overall importance of the function, and have led to more visibility—and influence—for the CPO. The best CPOs now have greater responsibility and control over business operations, including more active roles in crafting business strategy and initiatives.

SUBSCRIBERS: Click here to download PDF of the full article.

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Article Topics

May-June 2013 · All Topics
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You’ve got a handle on many of the potential supply chain "disrupters" that can paralyze your business. But the real risk is embedded in areas you may have overlooked.
Download Today!
From the December 2017
This is a comprehensive guide to services, products and educational opportunities targeted specifically to supply chain professionals. As with years past, we’re also featuring several articles we trust will offer food for thought in your supply chain throughout the coming year.
Transportation Trends: The last mile, history repeating
Economic Outlook: A Complex and Uneven Scenario for Global Supply Chains
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