Category Archives: Procurement

ESG Metrics & KPIs: What ESG team Needs to Know

ESG KPIs and metrics

This blog post is geared towards ESG professionals primarily associated with the procurement department in any organization. ESG initiatives are important for organizations to measure their ESG performance. It is of utmost importance to understand ESG KPIs / metrics and how to track ESG metrics. ESGs can help companies improve their operational efficiencies, environmental impact, financial position, governance, transparency, and societal contributions while managing risks. Data analytics can play key role in identifying KPIs, data needed for that KPIs and building dashboards for tracking those KPIs. What is ESG? ESG is an acronym that stands for Environment, Social, and Governance. ESGs encompass issues such as ethics, diversity, social justice, employee …

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Posted in Data analytics, Procurement. Tagged with , .

Procure-to-pay Processes & Machine Learning

procure to pay machine learning use cases

The procure-to-pay (P2P) cycle or process consists of a set of steps that must be taken in order for an organization to procure and pay for goods and services. Procurement is the process by which organizations purchase goods, supplies, equipment, or services from outside sources. The procurement function may also serve as an intermediary between two internal departments or divisions that have overlapping needs. In this blog post, we will discuss how AI / machine learning can be leveraged to automate certain procure-to-pay processes such that procure-to-pay teams can focus on core business goals. What is the procure-to-pay cycle or process? The procure-to-pay (P2P) cycle or process is defined as …

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Posted in AI, Machine Learning, Procurement. Tagged with , , .

Supplier Relationship Management & Machine Learning

supplier relationship management machine learning

Supplier relationship management (SRM) is the process of managing supplier relationships to develop and maintain a strategic procurement partnership. SRM includes focus areas such as supplier selection, procurement strategy development, procurement negotiation, and performance measurement and improvement. SRM has been around for over 20 years but we are now seeing new technologies such as machine learning come into play. What exactly does advanced analytics such as artificial intelligence (AI) / machine learning (ML) have to do with SRM? And how will AI/ML technologies transform procurement? What are some real-world machine learning use cases related to supplier relationships management? What are a few SRM KPIs/metrics which can be tracked by leveraging …

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Posted in Artificial Intelligence, Data Science, Machine Learning, Procurement. Tagged with , , .

Supplier risk management & machine learning techniques

supplier risk management machine learning

Supplier risk management (SRM) is a serious issue for procurement professionals. Suppliers can be unreliable, have poor quality products, or fail to meet specifications. In this blog post we will discuss AI / machine learning algorithms / techniques that you can use to manage supplier risk and make your procurement process more efficient. What is supplier risk management? Supplier Risk Management (SRM) also known as Supplier Risk Optimization (SRO), refers to policies and technology that enables organizations to manage risks related with suppliers. This can be done by analyzing data about past purchases from the supplier, predicting future risks related with purchases from this particular company. It’s crucial for procurement …

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Posted in AI, Deep Learning, Machine Learning, Procurement. Tagged with , , .

Procurement: Key Advanced Analytics Use Cases

procurement analytics use cases

The procurement analytics applications are poised to grow exponentially in the next few years. With so much data available, it’s important to know how procurement analytics can help you make better business decisions. This blog will cover procurement analytics and key use cases of advanced analytics that will be useful for data scientists implementing different use cases using machine learning. It is aimed at procurement professionals and data scientists who would like to use procurement analytics for making better business decisions. With so much data available nowadays it’s important to know how procurement analytics can help you make the best decision possible based on cost, quality, Procurement analytics allows you …

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Posted in Data Science, Machine Learning, Procurement. Tagged with , , .

Spend Analytics – 5 Ws of Spend Analysis

spend analytics

In this post, you will learn about 5 Ws of spend analytics. In case you are a procurement professional looking to understand use cases related to spend analytics, you may find this post to be very useful. In simple words, spend analytics is about extracting insights from spend in different procurement categories.  What are we spending on? First and foremost, it is important to get visibility on what items are we spending on. This can be achieved using a dashboard. This form of analytics is also called descriptive analytics. Analyzing item spends can be termed as Item spend analytics. The items can be related to direct or indirect procurement. Indirect …

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Posted in Analytics, Data Science, Procurement.

Spend Analytics using AI & Data Science

What is spend analytics

In this post, you will learn about the high-level concepts of spend analytics in relation to procurement and how data science / machine learning & AI can be used to extract actionable insights from spend analytics. This will be useful for data analytics or business analytics professionals looking to understand the concepts of spend analytics. The following topics will get covered in this post: What is spend analytics? Why spend analytics? Spend analytics – Descriptive & Predictive  Some popular spend analytics products What is Spend Analytics? Simply speaking, spend analytics is about performing systematic computational analysis to extract actionable insights from spend data. As part of spend analytics, the following are …

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Posted in Data Science, Machine Learning, Procurement. Tagged with , .