What’s Next for Procurement? Five Priorities from UT’s Research

May 30, 2025
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Written by Dan Pellathy

In April, the University of Tennessee Global Supply Chain Institute publishedFuture-Ready Procurement: Foundational Capabilities and Leading Practices,” by Dan Pellathy and Jadé Johnston. The white paper summarizes research by the Advanced Supply Chain Collaborative, a think tank partnering faculty experts with industry professionals to enhance business performance, enrich teaching, and cultivate supply chain excellence.

To start this series, I wrote about the current state of procurement and how emphasizing capabilities in customer value management, talent pipeline management, and cross-functional integration can drive results.

In my second post, I detailed five major opportunity areas to enable the success of procurement teams, from organizational design and Environmental, Social, and Governance (ESG) to redefining risks that have emerged since the global disruption brought on by the COVID-19 pandemic.  

Wrapping it all together, my research colleagues with the Advanced Supply Chain Collaborative believe that to shape their future, procurement teams must position themselves as strategic partners that drive customer value and contribute to the organization’s overall success.

So I’ll close this series by briefly looking at five priority areas for procurement leaders.

#1 Developing a customer-centric approach

Shift the focus from cost savings to customer value. Implement processes to understand customer needs, engage directly with customers, and map value creation across the supply chain. Encourage procurement teams to lead with ideas that enhance customer outcomes and drive growth.

#2 Investing in talent development

Define and measure procurement core competencies, proactively engage in recruitment, and provide continuous development opportunities. Establish partnerships with universities, create high-impact internships, and prioritize rotational programs to build a robust talent pipeline.

#3 Enhancing cross-functional collaboration

Develop performance metrics that reflect supply chain excellence and incorporate other functional areas into procurement decision-making. Establish strong partnerships with new product development and align with areas outside the traditional supply chain, such as HR, IT, and finance.

#4 Optimizing organizational design

Adapt the organizational structure to support procurement’s strategic role. Establish centers of excellence, adopt flatter structures to speed decision-making, and create cross-functional liaison roles. Ensure that procurement is integrated into decision-making processes early to maximize its impact.

#5 Leveraging technology and data

Invest in technologies that automate routine tasks, enhance process accuracy, and elevate the strategic contribution of procurement teams. Focus on integrating knowledge sharing and organizational learning to transform individual expertise into collective insights.


The first step for many of you may be to take advantage of the resources available at UT and join the inaugural cohort of our Future-Ready Procurement Academy. This virtual, 8-week program will provide managers, directors, and high-potential employees with a foundation in end-to-end procurement.

The course runs from September 15 to November 16.

Across eight modules, we’ll cover more of the foundational procurement capabilities detailed in this blog series, how to drive digital transformation, aligning capabilities to business strategy and financial impact (beyond cost reduction), emerging trends, and more.

Like its sister academies in leadership, finance, and planning, the Future-Ready Procurement Academy draws from UT’s interactive and No. 1-ranked graduate curriculum while providing plentiful opportunities for networking with peers and expert faculty.

This three-post series comprises less than half of the material we shared in our free white paper, which includes tables, figures, and demographic information on the senior leaders and corporations that participated in our research.

To learn more about how your company can partner with us to explore advanced concepts in supply chain management, visit ASCC.


Download the white paper using the form below to read more about developing the next generation of supply chain planning talent.