Your expert for questions
Dr Jacek Drozak
Director at PwC Germany
Phone: +49 89 5790-7072
Digitalisation, increasing competition, global supply chains and sustainability – the challenges for procurement functions are greater today than ever before. At the same time, the role of procurement is evolving. Competitive prices are the bare minimum requirement, while collaboration – both internal and external – is becoming ever more complex.
“There can only be a sustained increase in what procurement contributes to the business if companies learn to cope with the many different requirements in procurement, master agile methods and streamline their processes.”
We’re here to support companies in transforming procurement for the future. Starting with a suitable operating model, our work covers all aspects of procurement – from digitalising internal processes and improving exchange with suppliers, right up to challenges around sustainability and due diligence. Our focus: easy-to-implement concepts, designed to keep you competitive in the long term.
Procurement organisations can only make sustained improvements to their performance if they carry out targeted work on their core skills. We at PwC provide the support that companies need to assess their current position in procurement, based on tried-and-tested frameworks. We then use this information to work out an overall strategy for maximum success in implementing individual measures and projects. Our services cover two main areas:
PwC Germany is acquiring Drozak Consulting, expanding PwC’s expertise in procurement and supply chains. This will enable us to offer procurement departments even better strategic, implementation-oriented skills in systems and technology to help reduce costs and increase efficiency.
Clients ask many questions during our assessments. Typical examples include: how does my procurement organisation compare to my competitors? Where do I need to take action? What potential is there to increase digitalisation in procurement? What’s the mood like among procurement staff?
With the help of our maturity model and our established digital assessment tool, we at PwC can help you draw up a roadmap for your procurement function in the shortest possible time.
Where have you come from and where do you want to go? Helping you to answer these questions and develop a solution is a vital part of an operating model. Operating models involve five key elements: strategy, organisation, processes, governance and technology. These determine which collaboration model is right for your company, as well as having a major influence on your procurement department’s self-image.
Depending on your company’s maturity level, transformation can either be carried out holistically across all elements or one step at a time. But whichever stage your company has reached, we’re here to help you find the right approach and to support you during the entire transformation, right up to implementation.
Process automation, digital transformation and the agile collaboration associated with these developments are key areas of focus for many of our clients. In most cases, this also involves selecting and implementing e-procurement systems. To support clients with this challenge, we’ve developed digital process maturity workshops, which give you the chance to review and discuss your current processes and your target processes. We provide suitable examples and best practice for each step in the process to help develop the right target vision – and to show how this vision can be implemented.
Which aspects do you want to change, and which measures will help you to achieve that change? We offer customised, end-to-end solutions for optimising procurement, covering every stage in the process: from deciding which aspects to focus on (e.g. optimising costs/processes, agile procurement), choosing the right value levers (e.g. workshops, pooling demand) and selecting tenders, right up to achieving the best possible results when negotiating on the procurement market.
Sourcing excellence covers all direct and indirect topics and commodity groups, each one supported by our negotiation experts.
Purchasing, supplier management, contract or claim management: whichever aspect of procurement you want to outsource, our managed services team is here to help. This includes negotiations with suppliers – and considers strategic, operational and tactical issues.
Why are PwC’s managed services the ideal foundation for a successful project? Because you benefit directly from our services: higher quality thanks to transparency on supplier evaluations and supplier performance, efficient end-to-end processes for optimised lead times and an optimal sourcing strategy for increased budget security. You also get the benefits of demand-driven, scalable and agile resource deployment for maximum flexibility, along with improved compliance and custom risk management services.
Spend transparency is vital for CFOs, CPOs, procurement managers and category managers. Sustainably guiding the company, optimising supply chain management and leveraging potential can only be achieved if managers have in-depth transparency on their spending.
PwC’s digital spend analytics tools are based on the latest big data technologies and are designed to create transparency – however complex the underlying systems might be. They can also identify duplicates and inconsistencies, and help you select appropriate measures to deal with these issues.
Procurement organisations of the future will only be able to meet their goals if their core processes are digitised and standardised on a global level – and this is where e-procurement platforms come into the picture. Our e-procurement experts are here to actively support you in selecting the right solution, designing the underlying processes, as well as implementing the solution and carrying out all the necessary change management activities. Once your tool is in operation, we work with you to further develop and refine it. And alongside developing the solution, you can also rely on us for planning, implementation and communication of the necessary changes. All of this has one goal: to provide you with the best possible e-procurement solution.
As well as a standard e-procurement solution, it’s also worth taking a look at our various complementary apps. These can be integrated quickly and economically into your systems, and they address specific problems: for example, automated compliance checks or assessing the sustainability of your supply chain. And these integrated solutions ultimately mean that you can respond flexibly to any additional requirements that might arise.
PwC was recognised as a leader in procurement operations consulting by ALM Intelligence. ALM Intelligence evaluates consulting firms in defined markets, based on the breadth and depth of their services and their ability to meet highly complex client needs.
The report states:
“As the gatekeeper for two-thirds of corporate costs, procurement is one of the most powerful levers of transformation, and the formula for sustained improvements in procurement performance is well known.”
The draft due diligence law published in Germany poses challenges for many companies – so it’s high time to proactively address the issue, put global value chains to the test and ensure greater transparency.
In order to further advance digitalisation in procurement, companies need to invest and train their workforces now.