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It also requires a focus on procurement-supplier relationships, and striving to be the customer of choice for your suppliers. Balancing New Priorities Makes Procurement More Valuable. Yet today’s Procurement organizations are plagued with inefficient processes, poor supplier stakeholder collaboration and data silos.
As the lynchpin to suppliers, they play a pivotal role in combatting the effects of inflation, ensuring supply continuity, complying with regulatory requirements, improving sustainability and other top business priorities. The biggest gains in sustainability typically come from working with suppliers rather than finding new ones.
Not only does this help manage demand for energy and balance the grid but also helps incentivize electric car take-up with cars becoming energy assets. Innovate UK recently completed a V2G trial across the UK with the energy supplier Octopus and is now moving towards product commercialization.
For procurement professionals, this development presents new challenges in cost management, supplier relationships, and regulatory compliance. For example, UK manufacturers importing components from the US for use in automotive or technology products may see their profit margins squeezed.
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