Matthias Gutzmann, founder of DPW, explores the future of digital procurement with AI insights from the DPW NYC 2024 Summit. Discover how creativity, personalization, and innovative frameworks are transforming the landscape.
This interactive installation offered an invaluable snapshot of industry sentiment, revealing how professionals see procurement evolving over the next decade.
1. Legacy Procurement Tech is here to stay
One of the first questions posed was “How likely is it that Global 2000 companies will be “turning off” legacy procurement tech within the next three years?”.
The responses leaned heavily towards “very unlikely,” suggesting that while digital transformation is gaining traction, many companies remain cautious about fully transitioning away from established systems. This reflects the challenges of large-scale change, including integration, cost, and risk management.
Nonetheless, a few dots appeared on the “likely” side, indicating that some industry leaders are moving aggressively towards modernization.
2. Optimism for Startups vs Big Tech
Another topic explored respondents’ comfort levels in purchasing procurement solutions from startups as opposed to established “big tech” players. The results showed a spread, with a notable lean towards “high comfort.”
This finding suggests growing openness to the agility and innovation offered by startups.
While big tech continues to offer scale and established solutions, many respondents appear ready to embrace the disruptive potential of smaller, faster-moving companies.
3. Technology Investment Priorities for the Next Five Years
Attendees also voted on where their new technology investments will be targeted over the next five years. Key areas of focus included:
4. More Money for Tech
The final question asked attendees how they expect procurement technology budgets to change compared to labor costs over the next 12 months. Most responses clustered around “increase moderately” or “increase substantially,” suggesting a clear intent to prioritize technology investments as a strategic driver of growth and efficiency.
Embracing Innovation While Managing Risk
Day 1 of DPW Amsterdam 2024 highlighted the complex balance between innovation and stability that procurement leaders must navigate. The responses revealed a willingness to invest in transformative technologies while managing regulatory and operational risks. As procurement continues to evolve, this cautious but forward-thinking approach will be key to creating resilient, high-performing organizations.
