Highlighting the on-going impact of constant uncertainty, 61 percent of procurement leaders anticipate global conflicts to further impact supply chains, with 81 percent expecting another “black swan” event.
A new report from Ivalua and Procurious also reveals more than half (55 percent) predict US tariffs will force a rethink of supplier strategies, while 50 percent believe Donald Trump’s presidency will shift the global regulatory landscape.
The ‘Next Level Procurement: Embracing GenAI and Whatever Comes Next’ paper gathered data from 137 procurement leaders, highlighting the urgent need for adaptability, strategic focus and technological integration.
Alex Saric, Chief Marketing Officer at Ivalua, said procurement has changed dramatically in the last several years.
“It’s a constant juggling act these days, dealing with everything from global disruptions to skyrocketing costs to uncertain trade policies,” he said.
“Next-level procurement means empowering teams to quickly and effectively adapt spend and supplier strategies as conditions evolve. Embracing AI and other advanced technologies can be a real game changer.”
With 2025 well underway, just over half (51 percent) said cost reduction remains their top priority, while 77 percent expect procurement to place a greater emphasis on strategic decision-making and value creation.
Sustainability and ethical sourcing is front of mind for 54 percent, as is collaborating with suppliers which 50 percent expect to do more of this year.
Unsurprisingly, inflation is the most pressing concern for procurement professionals (75 percent), followed by sustainability regulations (63 percent) and talent shortages (58 percent). In an attempt to combat these issues, 74 percent of procurement leaders say they have revamped their strategies.
Leveraging technology to navigate complexity is also gaining importance, with over half of procurement teams (52 percent) predicting significant automation through technology.
Attitudes towards technology are generally positive, with 63 percent saying GenAI will boost efficiency and productivity, while 46 percent believe technology will guide their decision-making.
Almost half (45 percent) have already deployed GenAI to enhance a number of areas, including spend analysis, sourcing and contract management.
“A growing number of teams are turning to generative AI to automate routine tasks, improve decision-making and enhance productivity. Rapid advances in agentic AI will supercharge the quality and scope of its business impact in the near future,” adds Saric.
