The Deloitte Global CPO Survey 2014
Procurement: Time to move through the gears?
The Deloitte Global CPO Survey report presents the findings from our 2014 survey. Conducted in association with Odgers Berndtson, the 2014 survey reflects the views of 239 chief procurement officers and company directors from 25 countries around the world.
The CPO survey results focus on key procurement topics including market outlook, business engagement, talent, risk, and technology:
- Market outlook: the growth that we identified 12 months ago continues, particularly in the US and UK, bringing with it positive sentiment and a renewed focus on corporate expansion.
- Business engagement: procurement has now largely awoken to the importance of business partnering, yet 68 percent of respondents describe their internal influence as “mixed,” suggesting they have yet to create sufficient demand for their services or are focusing on the wrong agenda.
- Talent: 57 percent of this year’s respondents state their teams do not have the right skills to execute the CPO’s vision.
- Risk: the perception of risk is rising; however, the survey results show just half of CPOs play an active role in the wider risk management process, and their level of investment in risk technologies and processes remains low.
- Technology: CPOs are keen to invest in technology but are often restrained by challenges of integration, and in particular the enterprise resource planning (ERP) landscape.
In the report, we also make a case for steps to broaden capabilities and transform the procurement function into a multi-speed gear box that must be:
- Innovative: bringing insight to the business driven by analysis and input by suppliers
- Rapid: focused on delivering results to the business as they are needed
- Efficient: investing in the right number of the appropriately skilled people