5 Resolutions for Procurement Teams in 2025

The upcoming year is bound to be pivotal for the procurement industry. AI and machine learning are expanding possibilities and increasing efficiency, with 65% of procurement leaders leveraging the technology to optimize processes. Procurement teams are moving from the background to the forefront, playing a vital role in business strategy. Likewise, more organizations are harnessing procurement for value creation rather than focusing on cost-cutting alone.

Still, challenges like talent shortages, geopolitical instability, and resource scarcity will continue to plague procurement teams in 2025, making the new year a vital time for strategic reflection and reevaluation.

For organizations that want to remain competitive, resilient, and efficient in 2025 and beyond, the path is clear: It’s time to move from manual to automated. From gut instinct to data-driven. From disparate, siloed systems to crystal-clear visibility.

Thankfully, predictive procurement provides the tools to tackle the latest procurement challenges head-on and thrive in an increasingly unpredictable landscape. With that in mind, here are five resolutions to help optimize, supercharge, and transform your procurement efforts in 2025.

1. Eliminate Manual Processes

It’s officially time to say goodbye to manual procurement processes. In fact, if you haven’t embraced automation yet, you’re already falling behind. Manual procurement is slow, riddled with errors, and inherently more risky than automated procurement. It wastes your valuable time and resources, resulting in less room for strategic, value-adding work.

Amazingly, many teams still rely on spreadsheets, emails, and outdated systems. But in 2025, these outdated practices won’t be enough to keep up with modern demands.

Nearly 72% of procurement leaders are now prioritizing AI. As worker shortages and slim budgets continue to force companies to do more with less, AI will play a vital role in filling in the gap.

Predictive procurement tools automate repetitive tasks like purchase orders, approvals, and supplier onboarding, allowing teams to reach more areas of spend without increasing headcount. It reduces errors, ensures compliance, and — most importantly — empowers procurement to focus on supplier relationships, innovation, and other initiatives that drive business growth.

2. Embrace Data-Driven Decision-Making

The age of big data is here, meaning procurement decisions can’t be made solely on a hunch. Data-driven strategies allow you to make more strategic moves that drive growth, optimize spending, and increase agility for the future.

Yet many procurement teams have failed to realize the full potential of their data. According to McKinsey, most CPOs say less than 20% of their procurement data is currently being used.

Fortunately, new technology is making it easier than ever for organizations to leverage valuable procurement data. By harnessing predictive analytics, you can get actionable insights based on historical data, market trends, and supplier performance.

Here are a few of the benefits that come from this data-driven approach:

• More accurate demand forecasting
• More cost-saving opportunities
• Better supplier relationships
• Increased alignment with business objectives

3. Prioritize Supplier Collaboration and Transparency

Companies spend 15-27% of total revenue on external suppliers, yet 25-30% of that value is lost over the term of the supplier relationship. This loss is why strong supplier relationships are the backbone of an efficient, resilient supply chain. In an era of supply chain shortages, inflation, and market volatility, these relationships are more critical than ever.

Gartner data reveals that 88% of procurement leaders want to prioritize supplier collaboration. But siloed information and slow communication make the task challenging, and many teams still struggle to foster trust and transparency with suppliers.

Luckily, predictive procurement platforms ease collaboration by providing shared access to real-time data. Suppliers gain visibility into your requirements and expectations, while procurement leaders get deeper insights into supplier capabilities and performance.

Here are the top benefits of increased supplier transparency:

• Improved negotiation outcomes
• Stronger partnerships
• Reduced risk of disruptions

In 2025, aim to build trust and mutual value with suppliers. To help you get there, leverage technology that fosters open communication and collaboration.

4. Mitigate Risk With Predictive Insights

From the COVID-19 pandemic to ongoing geopolitical challenges, the past few years have highlighted the critical importance of risk management in procurement. Black swan events, fluctuating market conditions, and increased cybersecurity concerns mean resilient businesses should expect — and prepare for — the unexpected.

According to a PwC survey, 43% of companies are “very concerned” about supply chain risks, while 75% say they’re struggling to improve risk management.

Predictive procurement helps you overcome these challenges, proactively identifying and mitigating risks before they cause irreparable damage. By analyzing patterns and trends, procurement teams can anticipate potential disruptions, evaluate alternative suppliers, and source critical materials well ahead of the competition.

In 2025, risk mitigation isn’t just about avoiding negative outcomes — it’s about creating a supply chain that’s agile, adaptable, and prepared to seize opportunities even in uncertain times.

5. Enhance Spend Visibility Across Categories

Spend visibility will be a significant competitive advantage for procurement leaders of the future. As lean teams and tighter budgets become the norm, teams with better visibility can reduce costs, make more strategic purchasing decisions, and increase alignment with organizational goals. The ultimate procurement superpower, spend visibility opens up incredible opportunities for enhanced efficiency, streamlined processes, and a more data-driven approach.

So how do you get there? It all starts with data optimization. Predictive procurement software helps you by centralizing procurement data and offering a comprehensive view of spend across all categories.

Here’s how these insights can fast-track your procurement goals:

• Easily identify maverick spending
• Consolidate purchases for better pricing
• Track budget performance in real time

With enhanced spend visibility, you can maximize the value of every dollar and stay on track with financial constraints.

Achieve Your New Year’s Resolutions With Arkestro

Procurement is changing faster than ever before, meaning the tools and strategies we use are evolving just as quickly. By leveraging machine learning, AI, and behavioral science, Arkestro’s predictive procurement platform is the path to a more precise, agile, and data-driven approach in 2025 and beyond.

Arkestro gives you speed with confidence, with suggested offers that shorten cycle times and allow you to run more competitive events. By using Arkestro across all your spend data, you can easily extend your reach without increasing headcount.

Take a look at the results customers achieve with Arkestro:

• 24% average savings per event for a US automotive manufacturer
• $12 million in savings in the first four months for a global engineering solution
• 92% average supplier participation in events for a US construction materials manufacturer

Future-Proof Your Procurement Strategy

This is the year to prioritize automation, data, and supplier relationships. Doing so will help you optimize your time, reduce spend, and mitigate risks, allowing you to unlock the full potential of your procurement spend.

Ready to future-proof your procurement strategy? Get in touch with Arkestro today to make 2025 your most impactful year yet.