Procurement 4.0 Consulting
Your Procurement – A Success Factor in Digital Transformation
Those who are interested in the topic of Procurement 4.0 will be quick to recognise that digital networking not only optimizes production processes, but can also reveal further opportunities in procurement and marketing. This is also reflected by the results of our study on industry 4.0. The greatest value is generated by a more precise prediction of customer demand and intelligent integration of suppliers.
Procurement has a profound impact on critical processes in your organization and oversees the entire supply chain. The tasks and challenges of procurement become progressively more complex as a result of increasing digital networking. The way that procurement reacts to these challenges and masters them will represent a critical success factor for businesses.
Through our expertise from 15 years of consulting in procurement and with our cross-industry proficiency, we will help you optimize your procurement and transform it into a real procurement 4.0.
Create competitive advantages: Develop your procurement as a strong value-added partner within the scope of digitization and profit from optimized digital processes and efficient workflows in an interconnected business world.
Why is procurement so important – and what can you do to drive its development?
1. Optimization of the procurement organization
Why procurement plays a key role in the digital age
Procurement is a vital cog in your organizational machine. It is responsible for nurturing important relationships with your suppliers, which is crucial for the long-term success of your company, in terms of both innovation and risk management. With the transition to increasingly digitized processes, your procurement department will play an even more important role. Leveraging its strong connections with both internal departments and external networks, it is ideally placed to become a real value creator for your company.
Here at INVERTO, we help companies to optimize their procurement department to achieve just that. We analyse the maturity of your current procurement structure and scrutinise each of its touch points. We then use industry best practices as a benchmark to create new efficient and digital processes – both within your company and when cooperating with external partners.
2. Process analysis & optimization for digital workflows
Entering the digital world: process analysis and optimization for digital workflows
You need to lay the foundations for efficient, digital processes that include all of the departments in your organization – and procurement is the best place to start. After all, procurement is your “mission control”, involved in planning activities, managing demand, ensuring flexible, interconnected production and intelligent product lifecycle management, to name but a few tasks. Optimizing networks and processes is the key to a successful transition to digitization.
We offer a detailed analysis of your existing processes, which will serve as a starting point for your strategic realignment towards procurement 4.0. The result? Optimized and efficient digital workflows that will enable more accurate forecasting and smarter supplier integration.
3. Getting to grips with procurement 4.0: Workshops & On-the-job Training
On-the-job training for your staff
While procurement tasks are becoming increasingly complex and strategic in nature, at the same time this is a real opportunity for your procurement department to create value for your company. We offer tailor-made training for your staff to teach key competencies for procurement 4.0 and train them on new digital processes.
4. Integration of innovative tools
Innovative tools for fast and efficient data processing
One of the prerequisites for digitizing your procurement is the use of e-procurement software. We are specialists in optimizing existing systems and managing the entire process of implementing e-procurement from scratch. We start by analysing your requirements to define a target profile in line with the new processes. We then evaluate suitable service providers for a tender and lead the negotiations for you so that you get the best tool for your needs.
Once a service provider has been selected, we provide you with comprehensive support for both the conceptual and technical implementation. There are now also big data tools available which can be leveraged for tasks like procurement market analysis, price development forecasts on raw material markets, predictions of the impact of exchange rate fluctuations, and many more. We will be there for you along the way to help you get the most out of these tools.
5. Supplier Relationship Management and Supplier Integration
Focusing on your suppliers: optimizing the value creation process
In procurement 4.0, connecting with your suppliers digitally is the first step towards a systematic supplier integration. This allows your procurement department to cooperate closely with suppliers and secure innovations for your business, thereby resulting in significant competitive advantages. For example, it could bring together product development and suppliers, and so stimulate innovative product ideas.
With our help, you can set up a fully optimized supplier relationship management structure, making you a strong and attractive partner for your suppliers. Nurturing close and co-operative relationships with your external partners could potentially lead to exclusive access to suppliers and is a fundamental aspect of procurement 4.0.
6. Data-based supplier risk management
Data-backed supplier and risk management
Risk management is becoming ever-more important in view of the increasing technical complexity of products and the fragmentation of supply chains. Active risk management allows you to plan ahead and respond to market changes early.
The crucial value drivers here are not in technology, but in the correct interpretation of the data generated along the value chain.
We design and implement a custom supplier risk management system for you that ensures regular supplier assessments and provides early warning mechanisms. You can then take proactive steps in your procurement to mitigate risks and avoid high downtime costs. Supplier risk management – based on real data – puts you in the best position for the future of digitization.
Would you like to receive further information on our services regarding Procurement 4.0?
Philipp Mall, Head of the Procurement Management Competence Centre, will be pleased to answer your questions!