Procurement is essential for government, and the last few years have made it clear that agencies should streamline their procurement processes to prevent their day-to-day operations from being disrupted.
The public sector often experiences long delays and inefficiencies when it comes to its procurement process, with some agencies still paper-based. Because of the complexity and redundancy of their purchasing tools and basic procurement capabilities, procurement in the public sector can be seen as an arduous process.
However, recent changes such as restrictions from the pandemic and the push for a digital-driven society have encouraged the public sector to turn towards technology to improve and enhance the resiliency of their procurement.
Technology such as AI and automation can greatly benefit government agencies, such as providing greater transparency in handling taxpayer money for procurement. Since the paper-based process carries a greater risk of human error, using technology can reduce risk and provide the data needed for agencies and suppliers to predict and improve their services.
Aside from this, the use of technology can also help agencies in protecting their data from exploitation by malicious cyber actors.
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Thanks to the transparency and efficiency brought by digitisation, procurement officers can use this to gather information when looking for better contracts and prices for the agency’s necessary resources. As such, they can make more accurate decisions when it comes to choosing their suppliers by analysing the data provided.
But despite the benefits technology can bring, government agencies are still slow to adopt them into their procurement functions. The lack of integration of technologies can cause agencies, particularly at the local level, to fall behind on the Australian Government’s push to digitise public services.
Enhancing a procurement platform through technology can help government agencies adapt to specific challenges caused by supply chain disruptions, allowing them to continue their operations without affecting citizens.
The public sector is at a crossroads with its procurement. And as society continues to digitally evolve, agencies are compelled now more than ever to streamline their procurement in order to continue delivering efficient service to citizens.