Procurement
Focus on finding the right talent and building skilled teams able to drive sustainable cost savings in an uncertain market remains key. Lewis Douglas, director for procurement and supply chain at Investigo, highlights the talent trends for 2024.
Here are the key areas leaders need to prepare for in 2024:
ESG – how smaller organisations are driving change and defining best practice.
Technology – digital agendas and AI advancement will create new opportunities.
Agile thinking – why organisations are looking to secure capable talent.
The financial services market remains buoyant across all subsectors. Demand for talent is significant in response to the expansion and evolution of procurement as an industry.
The ESG and digital agendas continue to drive requirements across the function, with an increased focus on third-party risk management. This expansion is due to the growth of smaller organisations bringing procurement professionals in where they are really valued as a business unit. We’re seeing this across fintech, asset management, hedge funds, the challenger market and insurance.
Similar to the financial services sector, the ESG agenda is creating a huge stimulus and will continue to do so within organisations and their supply chains. The capability in this area is growing by the day and is very much led by experiential learning and the sharing of best practice.
Technology is still very much the number one category, closely followed by professional services and HR. Procurement continues to be invested in as a value-add function from a commercial perspective.
The commerce and industry sector has seen quarter-on-quarter growth since March 2023, initially led by tech procurement. Increased demand seen in professional services, with a significant emphasis on contingent labour, marketing, FM, and estates, has led to these requirements. Commodities will also continue to grow in the next quarter and beyond.
Agility has been the keyword on a number of employers’ minds. Many large organisations have moved to a ‘lift and shift’ category strategy model, applying the same methodologies to multiple categories. The demand for strategic mindsets with strong levels of capability in a variety of areas will continue into 2024.
The second half of 2023 saw increased demand across transformation projects, which stimulated the interim market. This will grow into 2024 based on our forecasted demand.
Procurement, as a function, continues to grow and spread its influence throughout organisations. We are starting to see a more sophisticated approach in businesses outside of the FTSE 100.The supply chain market is in a constant state of growth and finesse in terms of the offering and how automation, AI and technology can be implemented to create efficiencies, leading to great opportunities in the market to build something great.
Procurement will continue to evolve as an industry with continued demand for flexible, skilled staff capable of adapting to the changing industry. AI-driven technology will continue to alter the procurement landscape. Organisations look to ESG to power best practice and drive investment and development of supply chains.
