The following is a 31-minute video of a 2011 lecture I gave at eWorld. It made me wonder if and how the C-Suite view of procurement has evolved over the past 14 years. Starting with the CFO, then the CIO, CEO, and The Board, here is the outline of changes in how top executives view procurement going forward in 2025.
2011 eWorld Video
THE EVOLUTION OF THE CFO VIEW
Between 2011 and 2024, CFOs’ views of procurement have evolved significantly, reflecting changes in the business environment, technology, and organizational priorities. Here’s a breakdown of the shifts over this period:
2011: Procurement as a Tactical Function
Primary Focus on Cost Savings:
In 2011, CFOs largely viewed procurement as a cost-control function, tasked with negotiating contracts, reducing spend, and maintaining compliance with budgets.
Key metrics were tied to cost reduction and spend under management.
Minimal Strategic Involvement:
Procurement was often siloed, with limited involvement in broader corporate strategies.
Collaboration with finance was transactional rather than strategic.
Technology Adoption in Early Stages:
Adoption of procurement software was growing but not yet widespread, with many organizations relying on manual or semi-automated processes.
Analytics and insights from procurement data were minimal.
CFOs began to recognize procurement’s role in driving long-term value through strategic sourcing, supplier relationships, and risk management.
Emphasis shifted from pure cost savings to total cost of ownership (TCO) and value creation.
Impact of Globalization and Supply Chain Complexity:
The complexity of global supply chains highlighted procurement’s role in managing risks, ensuring continuity, and driving efficiencies.
Digital Transformation Begins:
Increasing adoption of procurement technologies, such as e-sourcing platforms, spend analytics, and contract lifecycle management tools, enhanced procurement’s ability to provide data-driven insights.
Integration with Sustainability Goals:
CFOs began to value procurement’s contributions to corporate social responsibility (CSR), particularly in sourcing ethically and supporting sustainability initiatives.
2020–2024: Procurement as a Strategic Business Partner
Accelerated Evolution During the COVID-19 Pandemic:
The pandemic underscored procurement’s role in ensuring supply chain resilience, managing disruptions, and navigating shortages.
CFOs began to see procurement as critical to business continuity and organizational agility.
Digital Transformation Matures:
Advanced technologies such as AI, machine learning, and automation enabled procurement to provide predictive insights, scenario planning, and real-time decision-making.
CFOs valued procurement’s ability to align financial and operational goals using data analytics.
Focus on ESG and Compliance:
Environmental, Social, and Governance (ESG) initiatives became central to CFOs’ agendas, with procurement playing a key role in achieving sustainability and ethical sourcing targets.
Regulations like the EU’s Corporate Sustainability Reporting Directive (CSRD) made procurement’s compliance efforts critical to financial reporting.
Shift Toward Value Creation:
CFOs increasingly view procurement as a driver of enterprise-wide value, contributing to innovation, supplier collaboration, and strategic goals.
Procurement is no longer judged solely on cost savings but also on metrics like risk mitigation, supplier diversity, and innovation impact.
Key Drivers of Change
Global Events:
The COVID-19 pandemic, trade wars, and geopolitical tensions forced CFOs to prioritize supply chain resilience and risk management.
Technological Advancements:
The adoption of AI-driven procurement tools and cloud-based platforms improved visibility, efficiency, and decision-making.
Sustainability and ESG Trends:
Rising expectations from investors, regulators, and customers pushed CFOs to align procurement with sustainability and ethical sourcing goals.
Focus on Agility and Resilience:
Organizations recognized the importance of procurement in responding quickly to disruptions and maintaining operational continuity.
Comparative View: 2011 vs. 2024
Aspect
2011
2024
Primary Role
Cost-saving and compliance
Strategic partner driving value creation
Technology
Early-stage adoption
Mature use of AI, analytics, and automation
Metrics
Cost reduction, spend under management
Innovation, risk mitigation, ESG alignment
Collaboration with CFO
Transactional
Collaborative and aligned with strategy
Focus Areas
Tactical procurement
Strategic sourcing, sustainability, resilience
Conclusion
Between 2011 and 2024, CFOs shifted their view of procurement from a tactical cost-saving function to a strategic partner critical to resilience, sustainability, and value creation. This evolution reflects broader changes in business priorities, technological advancements, and the increasing complexity of global supply chains. For procurement to maintain and expand its influence, it must continue to align closely with CFOs’ strategic goals and demonstrate measurable outcomes.
THE EVOLUTION OF THE CIO VIEW
Between 2011 and 2024, CIOs’ views of procurement have evolved in response to shifts in technology, business priorities, and procurement’s role in enabling enterprise-wide innovation. Here’s a breakdown of how CIOs’ perspectives have changed during this period:
2011: Procurement as a Peripheral Function
Focus on Tactical Support:
CIOs viewed procurement as a back-office function focused primarily on cost savings and contract negotiations for IT equipment, software, and services.
IT procurement decisions were often driven by budget constraints rather than strategic alignment with the CIO’s goals.
Lack of Integration with IT Strategy:
Procurement had minimal involvement in IT strategy development.
CIOs often worked directly with vendors and bypassed procurement to secure critical technology solutions.
Limited Expertise in Technology:
Procurement teams were perceived as lacking the technical expertise needed to evaluate complex IT solutions or negotiate contracts effectively for software, hardware, and cloud services.
2015–2020: Procurement as a Partner in Digital Transformation
Collaboration on Technology Projects:
As digital transformation gained momentum, procurement became a partner in sourcing enterprise technology such as cloud computing, SaaS, and cybersecurity solutions.
CIOs increasingly relied on procurement to streamline vendor management and ensure compliance with contract terms.
Shift to Total Cost of Ownership (TCO):
Procurement began focusing on TCO and value realization, aligning more closely with CIOs’ priorities of delivering long-term value from IT investments.
Rise of Vendor Risk Management:
With the increasing reliance on third-party IT vendors, procurement played a critical role in risk assessment, including data security, compliance, and business continuity.
Emerging Focus on Innovation:
Procurement began to support CIOs in engaging innovative technology suppliers, startups, and niche providers to accelerate digital transformation efforts.
2020–2024: Procurement as a Strategic Enabler for CIOs
Partnership in Strategic Sourcing:
Procurement became an integral partner in technology sourcing strategies, helping CIOs evaluate and negotiate with vendors for AI, IoT, cloud infrastructure, and automation tools.
CIOs recognized procurement’s role in optimizing IT spend and driving efficiency.
Driving Innovation and Agility:
Procurement supported CIOs in adopting agile procurement models, enabling faster vendor onboarding and greater flexibility in technology projects.
CIOs valued procurement’s ability to connect with innovative suppliers, fostering access to emerging technologies.
Emphasis on Risk and Compliance:
Procurement played a crucial role in mitigating risks associated with supply chain disruptions, data privacy regulations, and cybersecurity threats.
CIOs depended on procurement to ensure that IT contracts met rigorous compliance standards and aligned with ESG goals.
Technology-Driven Collaboration:
The adoption of procurement technologies, such as AI-driven spend analytics and e-sourcing platforms, enabled better collaboration between CIOs and procurement teams.
Procurement’s ability to leverage data insights improved decision-making in IT investments.
Key Drivers of Change
Digital Transformation:
The rapid adoption of cloud computing, AI, and SaaS solutions required closer collaboration between CIOs and procurement.
Focus on Cybersecurity:
Rising cyber threats made procurement’s role in vendor vetting and compliance critical to protecting organizational data and systems.
Demand for Agility:
The need for faster procurement cycles to support dynamic IT projects shifted CIOs’ perception of procurement as a potential bottleneck to a strategic enabler.
Cost Optimization under Pressure:
Economic pressures and the need for IT budget optimization highlighted procurement’s ability to drive savings without compromising quality.
Integration of ESG Priorities:
CIOs increasingly collaborated with procurement to source sustainable and ethical technology solutions, aligning with corporate ESG goals.
Comparative View: 2011 vs. 2024
Aspect
2011
2024
Primary Role
Tactical support for IT purchases
Strategic partner in technology sourcing
Technology Expertise
Limited understanding of IT solutions
Deep knowledge of IT procurement and innovation
Focus Area
Cost reduction
Value creation, agility, and risk management
Collaboration with CIO
Minimal and transactional
Strong and strategic
Procurement Approach
Reactive (demand-driven)
Proactive and innovation-focused
Challenges CIOs Face with Procurement
Despite progress, challenges remain:
Procurement Agility: Some CIOs still find procurement processes too slow to keep pace with the rapid demands of IT projects.
Vendor Complexity: Managing the complexity of IT vendor ecosystems requires continuous alignment between procurement and IT teams.
Balancing Cost and Innovation: Aligning procurement’s cost focus with CIOs’ need for innovation can be challenging.
Conclusion
From 2011 to 2024, CIOs have shifted their view of procurement from a tactical, cost-saving function to a strategic enabler of IT transformation. Procurement’s role in managing vendor relationships, optimizing IT investments, mitigating risks, and driving innovation has elevated its importance to CIOs. This partnership will continue to deepen as organizations prioritize digital transformation, agility, and sustainability.
THE EVOLUTION OF THE CEO VIEW
Between 2011 and 2024, CEOs’ views of procurement have undergone a significant transformation, shifting from a narrow focus on cost control to recognizing procurement as a strategic enabler of organizational goals. This change reflects broader trends in business strategy, global market dynamics, and technological advancements. Here’s a detailed look at how this evolution occurred:
2011: Procurement as a Cost-Saving Function
Procurement’s Perceived Role:
CEOs primarily saw procurement as a cost-saving department, focused on negotiating better prices and reducing operational expenses.
It was often considered a support function rather than a driver of strategic value.
Focus on Efficiency:
The emphasis was on increasing spend under management and driving compliance with budgets and policies.
Success was measured by cost reductions and adherence to procurement policies.
Minimal Involvement in Strategy:
Procurement was rarely involved in high-level decision-making or corporate strategy development.
CEOs were unlikely to view procurement as a source of innovation or competitive advantage.
2015–2020: Procurement as a Contributor to Strategic Goals
Recognition of Broader Value:
CEOs began to see procurement as a lever for achieving strategic objectives, such as improving supply chain efficiency, supporting growth initiatives, and managing risks.
There was greater emphasis on total cost of ownership (TCO) rather than just initial price savings.
Globalization and Risk Management:
Increased complexity in global supply chains highlighted procurement’s role in mitigating risks related to supplier reliability, geopolitical issues, and trade regulations.
Procurement became a key player in ensuring supply chain continuity.
Sustainability and Corporate Social Responsibility (CSR):
CEOs began tasking procurement with achieving sustainability goals and ensuring ethical sourcing to meet stakeholder and consumer expectations.
Digital Transformation Begins:
As companies invested in digital transformation, CEOs started expecting procurement to adopt new technologies like spend analytics, e-procurement platforms, and supplier management tools to drive efficiencies and improve decision-making.
2020–2024: Procurement as a Strategic Business Partner
Elevated Role During the COVID-19 Pandemic:
The pandemic demonstrated procurement’s importance in ensuring business continuity, managing supply disruptions, and adapting to volatile market conditions.
CEOs recognized procurement as critical to organizational resilience and agility.
Value Beyond Cost Savings:
CEOs increasingly viewed procurement as a driver of value creation, contributing to innovation, ESG goals, and risk management.
Metrics for evaluating procurement shifted from cost savings to sustainability impact, supply chain resilience, and supplier innovation.
Partnership in Digital Transformation:
Procurement’s use of advanced technologies, such as AI, machine learning, and blockchain, enabled better decision-making and transparency.
CEOs expected procurement to lead initiatives that improved efficiency, reduced waste, and enhanced supplier collaboration.
Alignment with ESG Priorities:
With ESG becoming a board-level priority, procurement’s role in sourcing sustainable materials, reducing carbon footprints, and ensuring ethical supply chains became a top agenda item for CEOs.
Focus on Agility and Innovation:
CEOs saw procurement as a key enabler of agility, helping organizations respond to market changes faster by engaging with innovative suppliers and implementing flexible sourcing strategies.
Key Drivers of Change
Global Disruptions:
Events such as the COVID-19 pandemic, trade wars, and geopolitical tensions elevated procurement’s importance in ensuring supply chain stability.
Technological Advancements:
The adoption of procurement technologies allowed CEOs to see procurement’s potential for improving organizational efficiency and delivering strategic insights.
Sustainability and Stakeholder Expectations:
Growing focus on sustainability and corporate responsibility made procurement a central player in achieving ESG goals.
The Role of Data:
Procurement’s ability to leverage data for insights on spend, suppliers, and risks helped CEOs make more informed strategic decisions.
Comparative View: 2011 vs. 2024
Aspect
2011
2024
Primary Role
Cost-saving function
Strategic enabler of organizational goals
Focus Areas
Cost reductions, compliance
Innovation, sustainability, resilience
Involvement in Strategy
Limited
Active contributor to corporate strategy
Technology Adoption
Early-stage, manual processes
Advanced use of AI, analytics, and automation
CEO Expectations
Reduce costs, adhere to budgets
Drive value creation, agility, and ESG impact
Challenges CEOs Still See in Procurement
Demonstrating Intangible Value: Procurement still faces challenges in quantifying its contributions to innovation and ESG.
Adapting to Rapid Changes: Some CEOs believe procurement can be too slow to adapt to fast-changing business needs.
Balancing Cost and Value: Ensuring procurement aligns with broader organizational goals while maintaining cost efficiency is a persistent challenge.
Conclusion
From 2011 to 2024, CEOs’ views of procurement have shifted from seeing it as a tactical cost-saving function to recognizing it as a strategic business partner. Today, procurement is valued for its role in driving innovation, achieving sustainability goals, managing risks, and enabling resilience. To maintain this elevated status, procurement must continue demonstrating its ability to align with and advance CEOs’ strategic priorities.
THE EVOLUTION OF THE BOARDROOM’S VIEW
Between 2011 and 2024, corporate boards’ views of procurement have shifted significantly, driven by evolving market dynamics, global disruptions, and the growing importance of sustainability, risk management, and digital transformation. This evolution reflects procurement’s expanded role in enabling business resilience and strategic value creation. Below is an overview of this progression:
2011: Procurement as an Operational Necessity
Focus on Cost Control:
Boards viewed procurement primarily as a cost-control function, tasked with negotiating prices and managing expenses.
Procurement’s success was measured through metrics like cost savings, budget compliance, and spend under management.
Limited Strategic Involvement:
Procurement had minimal visibility at the board level and was rarely included in discussions about corporate strategy.
Boards did not see procurement as a driver of innovation or long-term competitive advantage.
Supply Chain Viewed as Stable:
Procurement’s role in supply chain management was often taken for granted, as global supply chains were relatively stable at the time.
Risk management was not a primary focus, and procurement was not seen as critical in addressing disruptions.
2015–2020: Procurement as a Contributor to Risk Management and Sustainability
Increased Visibility Post-Financial Crisis:
The 2008 financial crisis raised awareness of the importance of financial resilience, leading boards to pay more attention to procurement’s ability to control costs and manage supplier risks.
Focus on Sustainability:
Sustainability and corporate social responsibility (CSR) became board-level priorities, and procurement was tasked with ensuring ethical sourcing and supplier compliance with environmental standards.
Boards began expecting procurement to align with ESG (environmental, social, governance) goals.
Globalization and Supply Chain Risks:
Growing globalization and exposure to geopolitical risks led boards to recognize procurement’s role in mitigating supply chain vulnerabilities.
Procurement started gaining recognition for its ability to manage supplier diversity and regulatory compliance.
Technology Adoption Begins:
Boards became aware of the need for digital transformation in procurement, including the adoption of tools for spend analysis, e-procurement, and contract management.
2020–2024: Procurement as a Strategic Business Enabler
Pandemic Shifts Procurement to the Spotlight:
The COVID-19 pandemic highlighted procurement’s role in business continuity and resilience, as organizations faced supply chain disruptions and shortages.
Boards recognized procurement as critical to adapting to market volatility and ensuring the availability of essential resources.
Procurement as a Driver of ESG:
Boards increasingly held procurement accountable for achieving sustainability goals, such as reducing carbon emissions, sourcing responsibly, and ensuring ethical labor practices.
Procurement became a central player in delivering ESG initiatives that aligned with shareholder and consumer expectations.
Focus on Risk Management:
Boards emphasized procurement’s role in identifying and mitigating risks, including supplier insolvencies, cybersecurity threats, and geopolitical disruptions.
Procurement gained recognition for its ability to provide data-driven insights into supplier risks and opportunities.
Technology and Innovation:
Boards began expecting procurement to leverage AI, machine learning, and other advanced technologies to enhance decision-making, drive efficiency, and foster innovation.
Procurement’s ability to engage with innovative suppliers and startups positioned it as a driver of competitive advantage.
Elevated Strategic Role:
Boards increasingly involved procurement leaders in strategic decision-making, particularly regarding supply chain design, vendor partnerships, and long-term resilience planning.
Procurement was seen as a key enabler of organizational agility, helping companies adapt to rapid market changes.
Key Drivers of Change
Global Supply Chain Disruptions:
Events like the COVID-19 pandemic, geopolitical conflicts, and natural disasters forced boards to prioritize supply chain resilience.
Rising ESG Expectations:
Growing demand for sustainable practices and ethical sourcing elevated procurement’s role in achieving corporate ESG goals.
Technological Advancements:
The adoption of digital procurement tools enabled procurement to provide actionable insights, enhancing its value to boards.
Stakeholder Pressure:
Shareholders, customers, and regulators placed increasing pressure on boards to ensure procurement contributed to long-term value creation.
Focus on Resilience:
Boards recognized procurement’s ability to mitigate risks, foster innovation, and ensure agility in a rapidly changing environment.
Comparative View: 2011 vs. 2024
Aspect
2011
2024
Primary Role
Cost-saving and operational function
Strategic enabler of business resilience
Board Visibility
Limited
High
Focus Areas
Cost control, efficiency
ESG, innovation, risk management
Technology Adoption
Minimal
Advanced use of AI and analytics
Strategic Involvement
Reactive and tactical
Proactive and integrated into strategy
Procurement Metrics
Cost reductions, spend under management
Sustainability impact, resilience, agility
Challenges Boards Still See in Procurement
Agility vs. Compliance:
Balancing procurement’s agility with adherence to compliance and governance standards.
Demonstrating Strategic Value:
Communicating procurement’s contributions to innovation and ESG in quantifiable terms.
Supply Chain Complexity:
Managing the increasing complexity of global supply chains remains a concern for boards.
Conclusion
Between 2011 and 2024, boards have shifted their view of procurement from a cost-focused operational function to a strategic enabler of resilience, innovation, and sustainability. Today, procurement is seen as integral to achieving organizational goals, mitigating risks, and driving long-term value. This elevated role reflects procurement’s growing importance in addressing modern business challenges and supporting corporate strategy at the highest levels.
THE EVOLUTION OF PROCUREMENT’S VIEW OF PROCUREMENT
Between 2011 and 2024, procurement professionals’ views of procurement have evolved significantly as the field has transitioned from a transactional, cost-focused function to a strategic, technology-driven, and value-creating discipline. This transformation has been influenced by global challenges, technological advancements, and shifting business priorities. Here’s a detailed look at how procurement professionals’ perspectives have changed:
2011: Procurement as a Tactical Function
Primary Focus:
Procurement professionals viewed their role as largely tactical, centered on cost savings, supplier negotiations, and contract management.
The emphasis was on driving down costs and ensuring compliance with organizational budgets and policies.
Limited Strategic Involvement:
Most procurement professionals operated in a supporting role within organizations, with little involvement in high-level strategic planning.
Their success was measured by metrics like cost savings and spend under management.
Manual Processes:
Procurement relied heavily on manual, paper-based processes, which were time-consuming and prone to errors.
Tools like Excel were commonly used for spend analysis, with limited access to automation or advanced analytics.
Minimal Focus on Innovation:
The role was primarily about sourcing and supplier management, with little focus on fostering supplier innovation or creating long-term value.
2015–2020: Procurement as a Strategic Partner
Recognition of Broader Responsibilities:
Procurement professionals began to see their role as more than cost-cutting, focusing on value creation, risk management, and sustainability.
There was a shift toward total cost of ownership (TCO) and supplier relationship management (SRM).
Globalization and Risk Awareness:
The complexity of global supply chains and increased exposure to geopolitical risks made procurement’s role in risk management more critical.
Professionals became more involved in ensuring supply chain resilience and continuity.
Digital Transformation:
Adoption of e-procurement platforms, spend analytics, and supplier management tools began to change how procurement professionals approached their work.
Technology enabled better insights, process efficiency, and data-driven decision-making.
Sustainability and CSR:
Procurement professionals increasingly embraced their role in achieving corporate social responsibility (CSR) goals, such as ethical sourcing and environmental sustainability.
Elevated Skills Expectations:
The role required a more diverse skill set, including negotiation, relationship management, data analysis, and strategic thinking.
2020–2024: Procurement as a Value Creator and Innovator
Pandemic-Driven Realizations:
The COVID-19 pandemic highlighted procurement’s critical role in business continuity and agility, elevating its importance within organizations.
Procurement professionals took on a central role in navigating supply chain disruptions and ensuring the availability of essential resources.
Focus on ESG and Innovation:
Procurement professionals increasingly prioritized sustainability, carbon reduction, and ethical sourcing in alignment with organizational ESG goals.
They saw themselves as enablers of innovation, collaborating with suppliers to develop new solutions and products.
Technology as a Game-Changer:
Advanced technologies like AI, machine learning, and blockchain transformed procurement from a process-driven function to a data-driven discipline.
Automation freed professionals from repetitive tasks, allowing them to focus on strategic activities like supplier innovation and market analysis.
Shift Toward Collaboration and Influence:
Procurement professionals viewed their role as facilitators of cross-functional collaboration, working closely with finance, operations, and sustainability teams.
They recognized their growing influence in corporate decision-making and sought to position procurement as a trusted advisor within the organization.
New Success Metrics:
Metrics shifted from cost savings to value creation, including supplier innovation, sustainability impact, and risk mitigation.
Key Drivers of Change
Global Challenges:
Disruptions like the COVID-19 pandemic, geopolitical tensions, and natural disasters emphasized procurement’s role in risk management and resilience.
Technological Advancements:
The adoption of digital tools and automation empowered professionals to achieve greater efficiency and strategic insight.
Sustainability Priorities:
The growing emphasis on ESG goals and ethical sourcing reshaped procurement’s responsibilities and objectives.
Evolving Business Expectations:
Organizations demanded that procurement drive innovation, enable agility, and contribute to competitive advantage.
Comparative View: 2011 vs. 2024
Aspect
2011
2024
Primary Role
Tactical, cost-focused
Strategic, value-creating
Technology Adoption
Manual processes
Advanced use of AI, analytics, and automation
Focus Areas
Cost savings, compliance
ESG, innovation, resilience, collaboration
Strategic Involvement
Limited
Central to organizational strategy
Skill Set
Negotiation and sourcing
Data analysis, strategic thinking, collaboration
Success Metrics
Cost reductions
Value creation, sustainability, risk mitigation
Challenges Procurement Professionals Still Face
Balancing Cost and Value:
Ensuring cost efficiency while driving sustainability and innovation remains a key challenge.
Demonstrating Strategic Impact:
Communicating procurement’s broader contributions to organizational goals can be difficult.
Adapting to Rapid Change:
Procurement professionals must continuously adapt to evolving technologies, market dynamics, and stakeholder expectations.
Conclusion
Between 2011 and 2024, procurement professionals’ views of their field evolved from seeing it as a cost-focused operational role to embracing it as a strategic, value-driven discipline. Today, procurement is recognized for its ability to drive innovation, achieve sustainability goals, and ensure organizational resilience. This transformation has positioned procurement professionals as key contributors to their organizations’ success in a rapidly changing business landscape.
Procurement Insights 
2011 To 2025: The Evolution Of How The C-Suite And Boardroom Views Procurement
Posted on January 3, 2025
0
The following is a 31-minute video of a 2011 lecture I gave at eWorld. It made me wonder if and how the C-Suite view of procurement has evolved over the past 14 years. Starting with the CFO, then the CIO, CEO, and The Board, here is the outline of changes in how top executives view procurement going forward in 2025.
2011 eWorld Video
THE EVOLUTION OF THE CFO VIEW
Between 2011 and 2024, CFOs’ views of procurement have evolved significantly, reflecting changes in the business environment, technology, and organizational priorities. Here’s a breakdown of the shifts over this period:
2011: Procurement as a Tactical Function
2015–2020: Procurement Gains Strategic Recognition
2020–2024: Procurement as a Strategic Business Partner
Key Drivers of Change
Comparative View: 2011 vs. 2024
Conclusion
Between 2011 and 2024, CFOs shifted their view of procurement from a tactical cost-saving function to a strategic partner critical to resilience, sustainability, and value creation. This evolution reflects broader changes in business priorities, technological advancements, and the increasing complexity of global supply chains. For procurement to maintain and expand its influence, it must continue to align closely with CFOs’ strategic goals and demonstrate measurable outcomes.
THE EVOLUTION OF THE CIO VIEW
Between 2011 and 2024, CIOs’ views of procurement have evolved in response to shifts in technology, business priorities, and procurement’s role in enabling enterprise-wide innovation. Here’s a breakdown of how CIOs’ perspectives have changed during this period:
2011: Procurement as a Peripheral Function
2015–2020: Procurement as a Partner in Digital Transformation
2020–2024: Procurement as a Strategic Enabler for CIOs
Key Drivers of Change
Comparative View: 2011 vs. 2024
Challenges CIOs Face with Procurement
Despite progress, challenges remain:
Conclusion
From 2011 to 2024, CIOs have shifted their view of procurement from a tactical, cost-saving function to a strategic enabler of IT transformation. Procurement’s role in managing vendor relationships, optimizing IT investments, mitigating risks, and driving innovation has elevated its importance to CIOs. This partnership will continue to deepen as organizations prioritize digital transformation, agility, and sustainability.
THE EVOLUTION OF THE CEO VIEW
Between 2011 and 2024, CEOs’ views of procurement have undergone a significant transformation, shifting from a narrow focus on cost control to recognizing procurement as a strategic enabler of organizational goals. This change reflects broader trends in business strategy, global market dynamics, and technological advancements. Here’s a detailed look at how this evolution occurred:
2011: Procurement as a Cost-Saving Function
2015–2020: Procurement as a Contributor to Strategic Goals
2020–2024: Procurement as a Strategic Business Partner
Key Drivers of Change
Comparative View: 2011 vs. 2024
Challenges CEOs Still See in Procurement
Conclusion
From 2011 to 2024, CEOs’ views of procurement have shifted from seeing it as a tactical cost-saving function to recognizing it as a strategic business partner. Today, procurement is valued for its role in driving innovation, achieving sustainability goals, managing risks, and enabling resilience. To maintain this elevated status, procurement must continue demonstrating its ability to align with and advance CEOs’ strategic priorities.
THE EVOLUTION OF THE BOARDROOM’S VIEW
Between 2011 and 2024, corporate boards’ views of procurement have shifted significantly, driven by evolving market dynamics, global disruptions, and the growing importance of sustainability, risk management, and digital transformation. This evolution reflects procurement’s expanded role in enabling business resilience and strategic value creation. Below is an overview of this progression:
2011: Procurement as an Operational Necessity
2015–2020: Procurement as a Contributor to Risk Management and Sustainability
2020–2024: Procurement as a Strategic Business Enabler
Key Drivers of Change
Comparative View: 2011 vs. 2024
Challenges Boards Still See in Procurement
Conclusion
Between 2011 and 2024, boards have shifted their view of procurement from a cost-focused operational function to a strategic enabler of resilience, innovation, and sustainability. Today, procurement is seen as integral to achieving organizational goals, mitigating risks, and driving long-term value. This elevated role reflects procurement’s growing importance in addressing modern business challenges and supporting corporate strategy at the highest levels.
THE EVOLUTION OF PROCUREMENT’S VIEW OF PROCUREMENT
Between 2011 and 2024, procurement professionals’ views of procurement have evolved significantly as the field has transitioned from a transactional, cost-focused function to a strategic, technology-driven, and value-creating discipline. This transformation has been influenced by global challenges, technological advancements, and shifting business priorities. Here’s a detailed look at how procurement professionals’ perspectives have changed:
2011: Procurement as a Tactical Function
2015–2020: Procurement as a Strategic Partner
2020–2024: Procurement as a Value Creator and Innovator
Key Drivers of Change
Comparative View: 2011 vs. 2024
Challenges Procurement Professionals Still Face
Conclusion
Between 2011 and 2024, procurement professionals’ views of their field evolved from seeing it as a cost-focused operational role to embracing it as a strategic, value-driven discipline. Today, procurement is recognized for its ability to drive innovation, achieve sustainability goals, and ensure organizational resilience. This transformation has positioned procurement professionals as key contributors to their organizations’ success in a rapidly changing business landscape.
30
Share this:
Related