IoT has become the buzzword in procurement industry. IoT empowers businesses to gain
visibility into spend analysis and identifies buyers behavioral pattern. The supply chain data is
monitored continuously and analyzed for behavioral patterns to make informed decisions.
Gaining a better understanding of supply and equipment usage will help the procurement team
improve catalog and spend management as they know what is being used and what exactly is
needed. The ability to predict these trends will improve budget and contract management as
Another area where procurement can benefit from IoT is the tracking and monitoring of the
goods within supply chains. Sensors deployed within the IoT- enabled device can quickly
identify equipment faults, stoppages and leakages in the real-time allowing maintenance teams
to respond to the issues promptly.
Quick decision making based on market, stock and demand
Decreased procurement lead time
Reduced costs due to quantity optimization
Improved profitability due to better supplier negotiations
All in all, IoT will become paramount to your business by making processes actionable and
drives value throughout the procurement process.