Hackett Group Report on Procurement Trends: Part I

World-class procurement organizations now deliver services at 17 percent less cost than typical companies while offering improved effectiveness, largely by becoming more “customer-centric.”

According to new research from The Hackett Group, Inc., a key differentiator is the superior ability of world-class procurement organizations to gain a deep understanding of the needs of their business, react more quickly to changing requirements, and drive higher overall value and greater stakeholder satisfaction, the research found.

A public version of this research, entitled “The World-Class Performance Advantage: How Procurement Organizations are Reinventing the Stakeholder Experience,” is available, with registration, at this link: http://bit.ly/1BQOSeJ.

“Our research finds that world-class procurement organizations have made major strides in terms of finding ways to become true client-focused service providers,” said The Hackett Group Global Procurement Advisory Leader Chris Sawchuk. “They have increased the scope of their spend influence, the savings they are able to capture, and the value delivered beyond hard-dollar savings, in part by emphasizing on-demand analytics and market intelligence, and realigning their service portfolio.

“As typical procurement organizations strive towards these same goals, success will hinge on their ability to market themselves in new ways to build awareness. They need to learn how to speak the language of the business, change how they're viewed, build trust, and gain permission to take on higher-value work over time.”

Tomorrow: Procurement Strategies Refined

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