Big Data in Procurement 4.0

Abstract

Background and Aim: Industry 4.0 concept has spread due to its soundness, the appropriate timing for its innovative concepts, and its data-driven approach. This expansion requires the development of a rigorous approach to add value to the customers and the organization. Procurement 4.0 is the strategic vision for the chief procurement officers in the short- and medium-term future, in connection with the digital transformation and big data management, Findings: This paper defines an exhaustive set of Critical Success Factors (CSF) for procurement 4.0 based on a summary of the actual results and of a survey in organizations undergoing digital transformation. The paper classifies the tools in support of each of the CSF. Research Limitations: The next step should be the full-scale verification in additional organizations. Theoretical Contribution: To the best of the authors’ knowledge, this is the first study of its kind to define a set of exhaustive and complete CSFs for procurement 4.0 and of the tools to be used in each of its components. Practical impact: The results can be beneficial not only for organizations already implementing industry 4.0 or planning to do so but for any organization planning a digital transformation also as a result of the pandemic experience.