Today, companies are undergoing a dramatic change in their environment and processes.  Many groups these changes together as “Digital Transformation,” but that industry buzzword fails to describe the essential details associated with this change.  A critical and often underappreciated area is procurement and supply chain management.While these areas are not generally under the bright lights of business, these processes grind the gears of business success.  In building new service procurement processes and virtual supply chains, the Chief ProcurementOfficer must:Identify and adopt a framework for electronic procurement that uses virtual supply chains that incorporate existing state-of-the-art public and private sector electronic procurement and supply chain systems;Financial and acquisition changes designed to minimize capital expenditures while simultaneously maximizing operational expendituresBuild and deploy electronic procurement system that uses virtual supply chains that incorporate multi-media, distributed work-flow management, document handling, and electronic contracting procedures;Educate and train users on new processes and systems associated with virtual supply chains and electronic procurement systems; andBuild, extend and expand supply chain collaboration and electronic data exchange.All this must also address the new and sometimes sweeping legal and regulatory requirements around data sovereignty and privacy.Wedded at the hip with the CPO, the CIO must also find a path through “Digital Transformation.” The operational and deployment challenges faced there include:Prioritizing as-a-service information technology consumption and multi-source procurementTransitioning from data center ownership and physical management toward the virtual management of IT services delivered from third-partydata centers;Dismantling of monolithic software application designs into modern solutions that aggregate internal and externally delivered microservices; andRetraining and transitioning staff away from Agile and Waterfall management models toward fully automated DevOps.Taken together these activities start to describe the many details associated with acquisition and procurement in a virtual business world. Traditional and legacy management systems that comprised of disjointed point solutions cannot provide a holistic picture

View Entire Article on