A Procurement Done Right functions of today needs to balance the instituted cost focus with possibilities to leverage the supplier base to add value. A Category Management approach is a proven methodology to use for cross-functional teams to address spend categories with the objective to optimize cost. A more collaborative approach with Supplier Relationship Management is a great way to balance the cost focus with possibilities to drive improvements and encourage innovation.

One of the most important Procurement capabilities is analytics, from spend analysis to savings tracking, it enables the Procurement function to create transparency that ensures value capture and avoid value leakage. Advanced analytics should provide Procurement Done Right professionals with actionable insight and foresight.

Dividing the Procurement organization into a strategic and operational part is very common. However, it is still common to find that the process interface between these two parts has not been considered to the extent it deserves, resulting in two separate processes and disconnected information flow between.

As the maturity of the Procurement organization increases there is a clear move to a more centralized operating model to ensure economies of scale and skill. However, there is a risk that this model increases the distance to the actual business.