**London**: As global markets evolve, procurement transforms from an administrative role to a vital supply chain component, enabling organisations to optimise costs, enhance supplier reliability and build resilience. Expert Ashish Dhongde highlights the importance of data-driven strategies for operational success in this changing landscape.
Procurement has transitioned from a primarily administrative function to a pivotal component of modern supply chains, reflecting the evolving landscape of global markets. As businesses confront increasing disruptions, rising costs, and fluctuating demands, the adoption of data-driven procurement strategies has emerged as a critical differentiator, enhancing organisational efficiency, agility, and resilience. A recent report from McKinsey & Company highlights how organisations optimising their procurement processes can achieve a reduction in supply chain costs by up to 20%, improve supplier reliability by 30%, and enhance overall operational performance.
Ashish Dhongde, a leading expert in procurement and supply chain strategy, exemplifies this transformative shift. Renowned for his work in optimising supplier relations, streamlining procurement processes, and spearheading cost-saving initiatives, Dhongde has significantly impacted the industry. He is a Senior Member of the Institute of Electrical and Electronics Engineers (IEEE) and a thought leader in procurement transformation, having assisted various organisations in achieving substantial savings through innovative sourcing, analytics, and supplier management. Additionally, he serves on the International Advisory Committee for the Atal Ranking of Institutions on Innovation Achievements (ARIIA) 2024 at the Manipal Institute of Technology, where he shares best practices in procurement with industry professionals.
“Procurement is no longer just about cost-cutting,” Dhongde stated, sharing insights on the evolution of the field. “It’s about building a data-driven supply chain that is proactive, resilient, and adaptable to change.”
The role of procurement within supply chain management is crucial, ensuring that materials and services are acquired efficiently to fulfil operational requirements. Yet, many organisations continue to grapple with challenges like inefficient sourcing, supplier risks, inaccurate demand forecasting, and cost overruns, all of which can lead to supply disruptions and financial difficulties. Without a structured approach to procurement, the alignment of sourcing with production, logistics, and inventory management becomes increasingly challenging.
Dhonde’s initiatives in procurement transformation have enabled numerous organisations to refine their supplier selection processes, enhance demand forecasting, and more effectively integrate procurement with broader supply chain goals. By incorporating data analytics and automation into procurement workflows, he has facilitated improvements in supplier performance and overall supply chain resilience.
Traditional procurement paradigms often depended on manual processes and reactive decision-making, but the landscape is changing with the integration of data analytics, artificial intelligence (AI), and automation. Dhongde’s adeptness at harnessing real-time data has empowered companies to shift from reactive strategies to proactive, predictive models, leading to significant cost savings and operational efficiencies.
Through the use of AI-driven analytics, procurement teams can identify supplier risks, anticipate demand fluctuations, and optimise sourcing strategies. These advancements assist organisations in preventing supply shortages, minimising excess inventory, and ensuring that procurement decisions are aligned with overarching business objectives. “Effective procurement isn’t just about getting the lowest cost,” Dhongde remarked, “It’s about making informed, strategic decisions that enhance flexibility, strengthen supplier partnerships, and ensure long-term supply chain resilience.”
The foundation of a successful supply chain lies in a well-executed procurement strategy. Dhongde has shown through his work that when procurement aligns with business objectives and integrates cohesively with supply chain functions, it can facilitate operational success and contribute to long-term financial stability. He advises that companies looking to boost procurement efficiency should engage in in-depth spend analysis, negotiate strategic supplier contracts, and employ digital procurement tools to enhance sourcing, contract management, and order processing.
Utilising automated procurement workflows and AI analytics helps businesses shorten procurement cycles, improve risk management, and enhance supplier accountability. This integration enables procurement teams to react swiftly to market changes, thereby maintaining supply chain stability, even during periods of disruption.
Dhongde, who has been recognised with a Globee Award for his contributions to business, asserts that modern procurement must be deeply interwoven with logistics, production, and inventory management. “Procurement doesn’t work in isolation,” he explained. “It needs to be interconnected with logistics, production, and inventory management to ensure seamless supply chain operations.”
As complexities within global supply chains increase, companies are progressively adopting AI-driven insights, real-time data sharing, and comprehensive visibility across the supply chain. Dhongde envisions a future where organisations employ cloud-based procurement platforms, collaborative supplier networks, and predictive analytics to optimise sourcing, decrease waste, and implement just-in-time inventory strategies.
The businesses that engage in digital procurement transformations today are likely to lead their respective industries tomorrow. By adopting interconnected platforms, AI-driven analytics, and automated solutions, procurement teams can bolster operational efficiency, diminish costs, and improve supply chain agility.
According to Dhongde, companies that embrace these progressive procurement principles will enhance their efficiency, fortify supplier relationships, and secure long-term profitability in an increasingly volatile business environment. “As global markets evolve,” he concluded, “businesses that integrate procurement into a data-driven, resilient supply chain will not just survive but thrive.”
Source: Noah Wire Services
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