**London**: Jonathan O’Brien predicts profound changes in procurement by 2030, driven by technology, sustainability, and agile practices. As businesses face new economic and environmental pressures, they must adapt their strategies and skills to remain competitive amid transformative supply chain dynamics.
Procurement is set to undergo profound transformations by 2030, dramatically altering the way organisations approach their supply chains and sourcing strategies. Jonathan O’Brien, a leading procurement expert, and Managing Director at procurement firm Positive Purchasing, provides a comprehensive overview of what to expect in the coming years, highlighting the necessity for agility, technology adoption, and a focus on sustainability.
O’Brien revisited his earlier predictions about procurement in 2030 in an updated article, stating that the world of procurement is on the cusp of changes that far exceed current understanding. With only a few years remaining until the target date, it’s imperative for procurement professionals to begin envisioning the future landscape. He noted that the changes will not necessarily be automatic; success will depend largely on the organisations capable of foreseeing these trends and actively pursuing the opportunities they present.
The current climate is one of increasing political uncertainty, economic instability, and environmental challenges, all of which have reshaped the global supply chain. O’Brien pointed out that the previously expansive global marketplace has contracted, with companies relying more heavily on localisation, onshoring, or right-shoring strategies, particularly in response to supply chain fragility exposed during recent global events. He predicts that these strategies will redefine world trade, moving towards a model that emphasises risk management and sustainability, especially as pressures mount to meet net-zero targets.
Procurement professionals will be required to possess new skill sets, developing agility to navigate a rapidly evolving business landscape. They will need to adapt quickly to real-time changes, ensuring that their organisations stay ahead of emerging challenges. O’Brien remarks, “The only Procurement functions that will survive into 2030 and beyond… will be the ones that quickly learn how to be agile.”
As the relationship between organisations and suppliers begins to evolve, O’Brien envisions a two-pronged approach. On one side, companies will see the rise of agile, decentralized suppliers operating from various global locations, enabling a more flexible and interconnected network. Conversely, he warns of the emergence of “supersized” corporations that will wield significant power and influence. The dynamics of these relationships will necessitate a profound understanding of risk and a commitment to managing partnerships that align with broader organisational sustainability objectives.
Turning to technology, O’Brien asserts that although artificial intelligence (AI) will play a central role in procurement by 2030, it will not completely replace the need for human oversight. He expresses concern that the narrative around futurist visions of procurement can often be misleading. “It is easy to think that none of this matters because new Agentic AI systems will replace the need for procurement and supply chain management as we know it,” he said. Conversely, O’Brien emphasises that while the technology landscape will continue to evolve, many organisations may struggle to fully integrate new systems effectively.
By 2030, O’Brien posits that the reliance on data will be paramount, with procurement teams expected to pivot towards data-driven operating models. The role of technology will be less about individual applications working in silos and more about integrated solutions that leverage real-time data at every level of decision-making.
Routine procurement tasks, such as the traditional Request for Proposal (RFP) processes, are expected to become increasingly automated, with AI systems managing non-complex and non-differentiated purchases autonomously. This shift places greater emphasis on strategic procurement, where negotiations will involve human expertise complemented by AI capabilities. Effective procurement by 2030 will hinge on agility and adaptability, as professionals will focus on managing supplier relationships and navigating complex market dynamics.
O’Brien concludes by asserting that sustainability will once again take centre stage in corporate agendas, driven by necessity rather than option. Emerging legislation, consumer expectations, and resource scarcity pressures are set to shape procurement practices in new ways. He anticipates advancements in technology that will facilitate comprehensive supply chain transparency, enabling organisations to monitor sustainability compliance, CO2 emissions, and other essential metrics in real-time.
As O’Brien encapsulates the future of procurement, he encourages readers to prepare for an era marked by exciting opportunities driven by technology, ethics, and innovation. He asserts that organisations must adapt their talent development strategies to attract the skills necessary to navigate this evolving landscape. Thus, as the procurement sector approaches 2030, an expansive transformation beckons, promising to redefine its role within organisations and across global supply chains.
Source: Noah Wire Services
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