Businesses risk falling behind in the race for innovation and competitive advantage due to outdated procurement processes, according to new research from Vertice, a SaaS and cloud spend optimisation platform.
Vertice’s survey of 300 global procurement leaders found a direct link between the maturity of an organisation’s procurement processes and its overall commercial performance. Just 18% of businesses have optimised their systems – incorporating customisation, transparency, automation, and intelligence. These firms are reaping the benefits, with a 32% greater ability to implement new initiatives and a 29% faster turnaround in launching products and services.
In contrast, the remaining 82% of businesses, which still rely on decentralised, reactive, and manual methods, are lagging behind.
The report reveals that the issue is particularly pronounced in the United States, where 44% of companies fall within the lowest procurement maturity levels. This compares to the UK, where 67% of businesses are more advanced, with many using automation, artificial intelligence, and integrated systems to streamline processes.
Despite the clear advantages of optimising procurement, many organisations are failing to prioritise it. Some 37% of respondents said it is not considered a strategic priority in their business, while 35% reported that their organisation is unwilling to invest in the skills needed to address the problem.
In response, Vertice has introduced ‘Intelligent Workflows’, a procurement orchestration tool designed to accelerate procurement processes and reduce the manual workload on procurement teams.
The tool aims to simplify procurement through smart, pre-emptive decision-making, including automated pre-approvals, routing, and compliance, while providing granular control and visibility over every purchase, renewal, and intake.
Eldar Tuvey, CEO and founder of Vertice, said: “Procurement teams today face increasingly broad and complex roles. In fast-growing or rapidly-changing companies, procurement processes can struggle to keep up, leaving teams to fill the gaps manually. This holds businesses back at a time when they need to be moving forward.
“Intelligent Workflows gives procurement teams the boost they need. By automating approval routing, anticipating bottlenecks, and easing the daily workload, the tool improves both control and speed of outcomes.”
