The Impact of Artificial Intelligence on Procurement

-

 

The convergence of Procurement with Artificial Intelligence is changing both procurement and the world itself. Here's how.

Notice that, from the dawn of civilization, procurement has become more effective in-step with technological development. 

AI is the capstone of technological development, and with it, procurement takes its next leap.

Achieving Extreme Efficiency

Since the ancient Egyptians used scribes to manage the supply of materials when building the pyramids as far back as 3,000BC, procurement aimed to be efficient.

But human error and lack of data meant errors and waste.

AI translates into extreme efficiencies that stone, papyrus and rolodex don’t allow for.

Identifying New Fiscal Opportunities

Do you remember the invisible gorilla test? Participants were asked to watch a video of a basketball game and count the number of passes.

Most of them missed the huge dancing gorilla that did a jig on the court.

AI has the power to solve this human ‘inattentional blindness’ by casting a wider cognitive net, creating revenue and savings opportunities.

Automating Manual Skills

Let’s be honest, procurement is full of so many mundane and time-consuming tasks such as monthly process detailing, performance reporting and yawn-a-yawn-yawning.

AI can automate most of these processes so that teams can preserve their zest for more engaging tasks, putting their skills to better use.

Capturing and Applying Scarce Knowledge

Knowledge is power. Or, in this case, data.

Artificial intelligence can boost procurement organizations' effectiveness by allowing them to capture relevant new sources of data, discerning patterns in already-existing or incoming data – or even scrawling the internet.

As big-data nodes build, so does the opportunity to connect the dots.

Optimizing Supplier Relationships

You have 500 suppliers for 50 different categories and they’re always fluctuating – as is the market.

Effective supplier relationship management relies on effective data, and AI as the processor of that data can allow for stronger and more optimized supplier relationships, from compliance to competitive pricing. 

Improving Processes

You hear much about silos and disconnected aspects of procurement – and one of the fundamental goals of transformational projects is to connect and synthesize these aspects – whether they be inter or intra-departmental.

AI has the potential to streamline and align internal procurement operations, as well as connect entire organizations to external units or even geographic locations.

#AI #Procurement #future #improvement 

Reference: https://procurementmag.com/articles/how-ai-will-impact-the-procurement-of-the-future?utm_content=165691619&utm_medium=social&utm_source=linkedin&hss_channel=lcp-1135410

AH






Comments

Post a Comment

Popular posts from this blog

The Hidden Lag Killing Your SIEM Efficiency

-
Image
  If your security tools feel slower than they should, you’re not imagining it. Many IT teams blame their sluggish SIEM performance on query complexity or alert volume. But sometimes the real issue is much simpler: oversized input files quietly dragging your system down. Think about the last time you had to sift through a bloated PDF or an unoptimised log dump. Every unnecessary megabyte adds strain. Every redundant line eats up cycles. Your SIEM doesn’t just react to threats—it processes all incoming data, relevant or not. When it starts lagging, detection gets delayed, triage slows, and in the high-stakes world of threat response, even seconds count. We often focus on analytics and rule tuning, but upstream efficiency—what you feed into your system—deserves just as much attention. This article looks at how optimising your inputs unlocks downstream performance. Why Oversized Files Clog the Pipeline As data volumes grow, organisations face esca lating  data storage costs ,...
Read more

Critical Vulnerability in Veeam Backup & Replication Exposes Enterprises to Remote Code Execution

-
Image
Critical Vulnerability in Veeam Backup & Replication Exposes Enterprises to Remote Code Execution By : Rei Ibraima A newly discovered critical vulnerability in Veeam’s Backup & Replication software, designated as CVE-2025-23120, poses a significant security risk to enterprise environments. The flaw allows authenticated domain users to execute arbitrary code remotely, potentially leading to full compromise of backup infrastructures. About CVE-2025-23120 The vulnerability arises from an insecure deserialization issue within Veeam Backup & Replication components—particularly in the .NET classes Veeam.Backup.EsxManager.xmlFrameworkDs and Veeam.Backup.Core.BackupSummary. Improper input validation in these components allows attackers to inject malicious serialized objects that are executed on the server side, resulting in Remote Code Execution (RCE). This issue affects systems where Veeam Backup & Replication is deployed in a domain-joined configuration, which—while common—is...
Read more

Lotus Panda Hacks SE Asian Governments With Browser Stealers and Sideloaded Malware

-
Image
The China-linked cyber espionage group tracked as Lotus Panda has been attributed to a campaign that compromised multiple organizations in an unnamed Southeast Asian country between August 2024 and February 2025. "Targets included a government ministry, an air traffic control organization, a telecoms operator, and a construction company," the Symantec Threat Hunter Team said in a new report shared with The Hacker News. "The attacks involved the use of multiple new custom tools, including loaders, credential stealers, and a reverse SSH tool." The intrusion set is also said to have targeted a news agency located in another country in Southeast Asia and an air freight organization located in another neighboring country. The threat cluster, per Broadcom's cybersecurity division, is assessed to be a continuation of a campaign that was disclosed by the company in December 2024 as a high-profile organization in Southeast Asia since at least October 2023. ...
Read more