The Role of Analytics Solutions in Revolutionizing Procurement Efficiency

Abstract

Purpose: A better understanding of the current state of procurement analytics is the goal of this article. This paper seeks to answer three main questions: first, where do we see procurement analytics going from here? Second, how can we incorporate analytical solutions into the procurement process? Third, what new research directions do we see opening because of thinking about where we see procurement analytics going from here? Materials and Methods: Using a qualitative technique, this article compiles data from places: a survey of the relevant literature, and a look at several technological platforms both now and in the future This study's procurement analytics landscape predicts that the sourcing and supply chain tech landscape will see more dramatic changes over the next five years. Data integrity and quality challenges are limiting analytics from making substantial advancements, and sophisticated procurement analytics are presently underutilized. Findings: Findings from this research highlight the importance of companies instituting a unified strategy for gathering and preserving reliable organizational data, drawing on existing resources like expenditure analysis and contract databases. It is also necessary to replace the present haphazard methods of collecting unstructured data with a methodical data governance plan. Managing change and fostering an analytical culture are crucial components of this progression for firms. Many studies and papers that look into the future just predict the technical effects of cognitive analytics and big data in general, without delving into the practical implications, including how they will affect procurement. Implications to Theory, Practice and Policy: The analysis of this study has helped us get a better knowledge of the potential applications of business analytics and cognitive analytics in the procurement process. Additionally, it contributes to the generation of research topics that are pertinent for the future. To contribute to the current corpus of research and industry reports, this study proposes thorough implementation techniques for developing procurement technologies.