AI has the potential to help procurement teams thrive in an increasingly complex business environment where they are often required to do more with less. With AI, procurement departments can automate routine tasks, improve their productivity, and perform faster (and better) analysis. As a result, freed-up resources can be reassigned to strategic opportunities.
Many organizations recognize the potential of AI to improve how procurement operates. In its Generative AI 2024 Planning Survey, Gartner notes that procurement teams expect a 21.7% increase in productivity and 12.5% cost savings over 12 to 18 months by implementing GenAI applications. This means for every 5 FTE in your team, AI adds 1 on top. Have a look at our AI agent overview to see where you might want to add the new colleague.
If you are currently considering implementing AI in procurement, this article clarifies the critical aspects teams must ensure for the initiative to deliver measurable value. Read on for the eight key steps to successfully implementing AI in procurement.
Critical considerations before implementing AI tools
While AI adoption can bring about many benefits for procurement, organizations must consider various critical aspects before implementation to ensure that their organization is ready for AI and that it delivers measurable value.
In a 2025 article titled “Build AI Literacy to Drive Successful AI Initiatives in Procurement,” Gartner notes that AI literacy is critical for successful AI implementation. Gartner notes that AI literacy goes beyond simply understanding how a system works and what it can do. It incorporates aspects such as how the system was trained and how it “learns,” as well as how it can integrate with other procurement technologies.
In addition to building AI literacy, Gartner also recommends asking the following critical questions before adopting an AI initiative:
- What is the problem we are trying to solve with AI? Clearly defining the core issue and opportunity ensures the AI initiative is focused and impactful.
- Who is the primary consumer/user of the AI initiative? Understanding the end user helps tailor AI solutions for better adoption and effectiveness.
- What business process will host the initiative? Identifying where the AI will be implemented ensures smooth integration with minimal disruption.
- How will the impact of the AI initiative be measured? Defining metrics (KPIs) and how success will be measured is crucial to evaluate the AI initiative’s effectiveness and justify the investment.
- How will we maintain long-term value? Regular performance reviews and updates help AI initiatives maintain value over the long term.
- Which subject matter experts (Procurement, business function, IT) should be involved? Involving experts ensures the AI initiative is grounded in practical knowledge and addresses real-world challenges, which improves accuracy and acceptance.
At Procure Ai we believe that there are two more key questions to ask:
- How will the AI application protect the organization’s data, and what measures will be in place to ensure data security? Evaluating the AI solution’s compliance with security standards, data encryption, and access controls is critical to safeguarding sensitive information and maintaining trust.
- Can the AI solution support adjacent or different use cases beyond its standard capabilities? While many AI solutions enhance their core functions incrementally, organizations must assess whether they can adapt to broader or evolving business needs.
8 steps to implement AI in procurement
Once you have answered the questions above, you can start working towards implementation, keeping in mind that successfully implementing AI requires a strategic approach. We recommend the following 8-step process to ensure your AI implementation aligns with your business objectives and delivers measurable impact:
- Identify use cases: Assess your challenges (the problems you have identified through the questions above) and identify areas where AI can potentially deliver immediate value. The aim of this step is to build a portfolio of impactful, measurable, and quickly solvable AI use cases. We suggest looking at aspects like data cleansing and harmonization, autonomous sourcing and negotiations, intake management, or supplier discovery and onboarding to start.
- Assemble the implementation team: Identify the key skills needed to effectively implement AI to solve your problems and assemble your team. Include procurement and technology experts, as well as the end-user (primary consumer).
- Gather the necessary data: Gather all necessary data for your AI implementation (including current and historical data) and ensure the system will be able to access all the real-time information it needs. This does not contradict starting with ‘improve data quality’ as the first use case; it rather highlights why starting there makes sense.
- Choose the right partner: Select AI tools designed for procurement-specific applications that are relevant to the use cases you want to address. While many procurement AI tools focus on a specific use case, choosing a platform solution that can deliver on multiple of your identified use cases makes it easier and more cost-effective to implement and scale your AI initiative.
- Train your team: Ensure procurement professionals understand how to collaborate with AI systems effectively.
- Pilot your solution: Implement a targeted pilot project focused on a specific use case, monitor performance, and document your learnings. Defining objectives, success criteria, and timelines upfront is key for determining ‘success’.
- Enable your organization: Once you have a proof of concept, ensure your organization is set up to leverage AI. This may include setting up a project or governance framework for specific AI use cases and building targeted teams.
- Scale up your AI ambition: Start working on implementing AI to address more of your procurement challenges. For maximum impact, consider implementing AI for multiple use cases in parallel.
From insight to implementation: Your AI journey starts here
By ensuring key questions are answered upfront and following a structured implementation plan, procurement teams can unlock the full potential of AI to automate routine tasks, enhance productivity, and get more from their data.
Procure Ai provides a connected and secure Procurement Automation Platform that turns fragmented data into insights and actions across multiple use cases along the end-to-end procurement process. With Procure Ai, businesses can flexibly scale their AI ambitions without relying on solution-specific AI enhancements and focus on the opportunities most relevant to their business.
Contact us to find out how we can help you get ready for AI in procurement. Today and tomorrow.