Open Innovation

How can procurement contribute effectively?

Open innovation is a hot topic for Procurement today. CPOs have heard the word many times and often talk about it, but without always knowing how powerful of a tool it can be or what transformation it entails for the Procurement function. Harnessing the power of Open Innovation elevates and gives visibility to Procurement within the organization. By offering CPOs a way to contribute to growth, Open Innovation initiatives extend the functions’ influence on their organizations’ key strategic topics.

Procurement plays an increasingly important role in helping R&D collaborators set up the right ecosystems and the right partnerships, that will allow us to generate future innovations

SVP of a Pharmaceutical Company

In order for Procurement to leverage Open Innovation efficiently, CPOs must rethink the function’s Operating Model. Five key dimensions of the function must be examined: its strategy, organization, processes, people, and culture.

Key Steps To Rethinking The Procurement Operating Model

Over time, Procurement will develop into an innovation and serendipity pole, core to the company’s development strategy. This Open Innovation mindset must become embedded in the organizations’ DNA to the point where every employee starts thinking to themselves, “We are all innovators”.

Read our full report on how in today's market, Open Innovation is becoming a growing necessity for CPOs in tackling current Procurement challenges and in better meeting CEOs’ expectations of tomorrow.