The Robots are coming
Preview: Breaking down AI trends and risks for 2025
Hey PROCUREMENT LEGEND,
Today, let’s talk about:
The top AI trends for procurement and supply chain leaders.
Automation and Robots
AI Agents
Knowledge Management and AI for Procurement
Let’s dive in.
If you’re navigating the complexities of AI adoption while managing supply chain vulnerabilities, this breakdown will equip you with the insights to succeed.
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4 AI Trends for 2025 You Need to Know
In order to stay ahead, you need to understand where AI is headed and how it’ll impact procurement. Here are the key trends:
1. Enterprise AI Adoption (70% Forecast by Forrester)
Procurement and supply chain leaders are rapidly adopting AI technologies, with Forrester predicting 70% adoption by 2025. This means AI will no longer be a “nice-to-have” but a standard business practice.
Why it matters: Organisations leveraging AI tools will gain a competitive edge through predictive analytics, demand forecasting, and supplier performance optimisation.
Action Step: Assess your current AI adoption roadmap and identify gaps…actually, you might want to determine what your approach to tech/AI in procurement will look like. I know many of you won’t have this mapped out yet.
2. Automation of Business Processes
AI-powered robotics and dynamic software models are set to replace some manual and technical roles, streamlining processes across the board. No doubt new roles will come about but we shouldn’t be sticking our head in the sands with what’s coming.
Seriously, we’ve got robots on the way.
Before it was mainly Boston Dynamics but we have Optimus and others on the horizon.
Why it matters: This shift reduces costs and minimises human error while speeding up workflows, from contract management, to sourcing, to invoice processing.
Action Step: Prioritise automation opportunities in repetitive, time-intensive tasks. Then buy robots.
3. AI-Powered Knowledge Management
AI will enable real-time knowledge management at the enterprise level, turning unstructured data into actionable insights.
Why it matters: As procurement becomes more data-driven, having centralised, AI-enhanced knowledge systems will ensure better decision-making and faster response times.
PS. Check out my articles on Knowledge Management here:
Action Step: Explore AI platforms that integrate with your procurement ecosystem.
4. AI Agents for Workflow Management
The rise of multi-agent AI networks means vertical-specific agents will manage workflows autonomously.
Why it matters: AI agents will optimise procurement activities, from supplier onboarding to compliance monitoring, allowing teams to focus on strategic priorities.
Action Step: Invest in pilot programs to evaluate AI agent capabilities.
What’s Next?
Today, you learned about:
How AI adoption will transform procurement.
Why automation and AI agents are critical to efficiency.
The importance of integrating AI into knowledge management.
Here’s the challenge: Start small but think big. Focus on incremental steps to embed AI in your processes while keeping an eye on cybersecurity and third-party risks.
Hit reply and share your thoughts on today’s email. Let us know how AI is shaping your strategy.
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See you soon,
Daniel