Gartner Research

Using Value Metrics to Demonstrate Procurement’s Value

Published: 07 January 2019

ID: G00387733

Analyst(s): Procurement Research Team

Summary

This analysis enables procurement leaders to demonstrate the true value of their capability by reporting advanced metrics to the business and changing business partner perception of the function as slow, bureaucratic and savings-oriented.

Table Of Contents

Introduction

Secure Future Interest of Procurement by Demonstrating Value Now

Story Until Now: Savings-Oriented Metrics

Solution: Embed Nonsavings Value Metrics in Procurement’s Performance Report

Table 1: Procurement Nontraditional Metrics

Business Partner Satisfaction

Risk

Execution Speed

Supplier Innovation

Impact to the Organization’s Top Line

Obstacles to Reporting Nonsavings Value Metrics

Overcoming Obstacles With Tested Best Practices in Implementing Nonsavings Metrics

Conclusion

About This Research

Endnotes

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