The Path from Traditional Procurement to a Connected Value Partner
Procurement in German SMEs is at a turning point: It must evolve from a purely operational function to a strategic, well-connected value partner. In a world shaped by technological upheavals, geopolitical uncertainties, and rising sustainability demands, it is no longer enough to simply control costs. The modern procurement function acts as a driver of innovation, resilience, and value creation—closely linked with both internal and external stakeholders.
But how can this transformation succeed? The following seven priorities define the 2025 agenda and illustrate how procurement organizations can take the step into the future.
1. Digitalization and Automation as a Foundation for Excellence
Digital technologies are key to making procurement more efficient, transparent, and agile. Artificial intelligence (AI), automated data analytics, and end-to-end procurement solutions allow for the elimination of repetitive tasks and enable data-driven decisions in real time. Companies that consistently adopt these technologies will not only become more efficient but will have the opportunity to position themselves as innovation leaders in their industries.
2. Sustainability as a Strategic Imperative
Sustainability is no longer a “nice-to-have”—it is a critical competitive factor. Procurement plays a pivotal role in achieving ESG (Environmental, Social, Governance) goals and meeting regulatory requirements such as the Supply Chain Due Diligence Act (LkSG). But sustainability offers far more than compliance: It opens up new business opportunities and strengthens the resilience of the supply chain.
3. Resilience through Proactive Risk Management
Recent years have shown how fragile global supply chains can be. A forward-looking procurement strategy focuses on supplier diversification, regional sourcing, and the use of predictive analytics. This allows companies to identify risks early and ensure supply security—even in times of crisis.
4. Strategic Supplier Management as an Innovation Driver
Supplier relationships are no longer just transactions. Procurement must build strategic partnerships to drive innovation together with suppliers. Tools for performance measurement and professional category management form the basis for collaboration at eye level.
5. Rethinking Cost Management
In times of inflation and rising raw material prices, cost control remains a central theme—but traditional approaches often fall short. Data-driven negotiation strategies, precise spend analysis, and automated processes help not only identify cost-saving potential but also secure long-term value creation.
6. Addressing the Skills Shortage with Attractive Perspectives
The competition for talent extends to procurement as well. To attract and retain the best minds, companies must offer attractive development programs and promote digital skills. At the same time, procurement offers exciting career prospects for young talents—potential that many organizations have not yet fully utilized.
7. Integrating New Technologies as Game Changers
Blockchain for supply chain transparency? IoT for data-driven demand planning? Big Data to optimize procurement strategies? The possibilities of new technologies are immense—but they require a willingness to change and a clear roadmap for integration into existing processes.
Conclusion: Procurement as a Driver of Transformation
Modern procurement is far more than a cost center—it is a strategic partner for innovation and resilience. Companies in the German SME sector now have the opportunity to realign their procurement organizations, thereby making a decisive contribution to the future viability of their business.
However, implementing this agenda requires foresight, expertise, and a clear strategy—because only those who actively shape the transformation will be successful in the long term.
Author: Frank Wischnewski, Head of Transformation Kloepfel Consulting
Frank Wischnewski, Head of Transformation Kloepfel Consulting
Contact:
Kloepfel Group
Damir Berberovic
Tel.: +49 211 941 984 33 | Email: rendite@kloepfel-consulting.com