886: The AI Performance Gap: What Procurement Leaders Are Doing Differently W/ Christopher Sawchuk

"It has to start with the business outcomes that we want. This becomes an operating model decision. Technology has to support the operating model that we're designing." - Christopher Sawchuk, Principal and Global Procurement Advisory Practice Leader at The Hackett Group AI adoption is quickly becoming commonplace in procurement, but the biggest performance gap is in how some organizations are using it to rethink the entire way procurement work gets done. For procurement leaders, the next stage of AI maturity may have less to do with finding another use case and more to do with reconsidering how the function should operate when AI is embedded into the work itself. In this episode, Philip Ideson is joined by Christopher Sawchuk, Principal and Global Procurement Advisory Practice Leader at The Hackett Group, to discuss findings from The Hackett Group's AI World Class Procurement research and what they reveal about the next stage of procurement's AI journey. Chris explains why many organizations remain focused on incremental productivity improvements while leading teams are beginning to redesign workflows, operating models, staffing approaches, and performance measures around AI. They also explore what happens to the capacity AI creates, why pilots don't necessarily translate into transformation, and how procurement leaders can prepare their organizations for a future that remains difficult to predict. In this episode, Chris discusses how to: -Move beyond AI experimentation toward work redesign -Turn AI-created capacity into higher-value procurement work -Design an operating model where technology supports the desired way of working -Identify where AI can have the greatest impact across procurement processes   Links: Christopher Sawchuk on LinkedIn: https://www.linkedin.com/in/chris-sawchuk/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

Dear Diary… "I use AI a lot to help scout out things or pose challenges and see where solutions are being marketed along those lines." Jeffrey Ostrander runs a nearly $5 billion business in one of the most dynamic supply markets on the planet. His team has left the starting block on agentic AI. What they are still deciding is how far into the race they want to run. That distinction runs through this whole conversation. Jeffrey talks about pilots that stumble, business cases that change daily, and a supply base of machine parts makers who are not sitting in front of a computer. Jeffrey is Head of North America Basin Supply Chain for SLB, the 100 year old company formerly known as Schlumberger. He returned to the same organization he started with 15 years ago, after time in global business services and other functions around the world. In this episode of The Agentic Procurement Diaries podcast, Philip Ideson and Jeffrey discuss: - Why sourcing and supplier performance sit in mirrored category structures, and how that builds a talent pipeline - The use cases already in play, from tail procurement to freight pay assurance and contract scouring - The "work-work balance" and why AI discovery has to be carved into paid time - Where he will not yet take the human out of the loop, and who is legally responsible when an agent makes the call Links: Jeff Ostrander on LinkedIn: https://www.linkedin.com/in/jeffrey-ostrander/ Zycus on LinkedIn: https://www.linkedin.com/company/zycus/  AOP Provider Directory | Zycus: https://artofprocurement.com/provider-directory/zycusinc  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"Do we have a supply chain that we are building that is going to allow us to navigate and be agile enough, no matter what the world continues to throw at us?" - Frank Mckay, Chief Supply Chain & Procurement Officer, Jabil Procurement and supply chain have traditionally operated as distinct functions, but growing complexity, new technology, and rising expectations around resilience are making that separation increasingly difficult to maintain. In this episode, Philip Ideson welcomes back Frank Mckay, Chief Supply Chain & Procurement Officer at Jabil, to discuss how closer alignment between procurement and supply chain can create a stronger foundation for growth, resilience, and innovation. Frank shares how Jabil has brought the two functions together around technology and a common source of truth, while using AI to enrich roles, anticipate shortages, and create new capabilities. He also explains how procurement's measures of success have expanded beyond cost reduction to include balance sheet health, resilience, and revenue generation. In this episode, Frank discusses how to: -Apply AI to enrich roles and proactively manage risk -Balance AI experimentation with appropriate governance -Measure procurement value beyond cost reduction -Build resilience into procurement and supply chain strategy   Links: Frank Mckay on LinkedIn: https://www.linkedin.com/in/frank-mckay-1297a14/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"AI makes the answers cheaper, so the good questions and good judgment really become the coin of the realm." - Mason Morgan, Managing Director, Managing Director at CrossCountry Consulting focusing on AI and innovation in S2P Procurement technology has come a long way, but simply adding new technology to existing processes doesn't guarantee better results. As AI becomes a bigger part of the procurement operating model, leaders have to think differently about where technology can create value, which processes are worth preserving and not handing over to AI, and how their teams need to evolve alongside it. In this episode of ProcureTech Insider, Philip Ideson speaks with Mason Morgan, Managing Director at CrossCountry Consulting focusing on AI and innovation in S2P and a judge for the 2027 ProcureTech100, about what separates procurement organizations that realize value from technology from those that struggle to get there. They explore why technology investments need to be considered as part of the broader operating model, how AI is changing the skills procurement needs, and what leaders should prioritize as they plan their next wave of transformation. In this episode, Mason covers how to: -Treat technology investments as operating model changes rather than standalone implementations -Focus AI initiatives on measurable business outcomes and build credibility through early wins -Recognize when an existing process should be redesigned instead of automated -Develop the business acumen and judgment procurement professionals will need in an AI-enabled environment -Create better buying experiences that make the right path the easiest path for stakeholders -Use technology to extend procurement's influence without requiring procurement to own every step of the process Links: Mason Morgan on LinkedIn: https://www.linkedin.com/in/mason-morgan-94055a7/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"You don't need an advanced platform to begin. You just need consistent definitions, discipline, to look at the data, and a willingness to move beyond the on-time delivery average to make really good decisions going forward." Traditional supplier scorecards can tell procurement whether a supplier delivered on time, but they may not reveal whether that supplier's commitments are becoming less reliable over time. In this episode, Philip Ideson is joined by Shayan Farshid, a procurement and operations professional, to discuss the Supplier Stability Index, an open-source framework Shayan developed to help procurement teams get a more complete view of supplier performance. Shayan explains how looking beyond traditional on-time delivery metrics can reveal things like commitment drift, unresolved delivery exposure, quality issues, and other signals that may put production schedules at risk. He also shares why he made the framework open source, particularly for small and midsize manufacturers that may not have access to sophisticated supplier risk technology. In this episode, Shayan discusses how to: -Identify supplier risks that traditional scorecards may miss -Measure supplier stability using data teams already have -Prioritize supplier issues based on exposure and criticality -Turn supplier data into more proactive supplier conversations -Build stronger data foundations before applying AI -Start measuring supplier stability without an advanced technology platform   Links: Shayan Farshid on LinkedIn: https://www.linkedin.com/in/sfarshid/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

Dear Diary… "I believe we are in the midst of a revolution — and I think in a revolution, we as a vendor also want to invest a lot in educating the community on what's really changing and how it's changing." This episode kicks off a new Art of Procurement podcast series, produced in partnership with Zycus. I sit down with the person who made the series possible to talk about why it exists and where agentic AI is really heading. Aatish Dedhia is the Founder and CEO of Zycus, a company that entered procurement in the early 2000s and has lived through every wave of its digitization since. He traces procurement's last 20 years from digitization to machine learning to generative AI, then makes a bold claim: this is a once-in-a-few-centuries change, closer to the Industrial Revolution than to mobile or cloud. In this episode of The Agentic Procurement Diaries podcast, Philip Ideson and Aatish discuss: - Why a point agent is not agentic, and why agent sprawl is causing companies to miss the real ROI of AI - The three layers of guardrails that keep agents in check: the system of record, the agentic policy layer, and the human in the loop - What procurement leaders overestimate and underestimate, starting with the truth that you cannot put AI on a broken process - The three segments Zycus sees today: AI hungry, AI curious, and AI resistant   Links: Aatish takes this conversation further at PLAN 2026 on November 18 Zycus on LinkedIn AOP Provider Directory | Zycus Subscribe to the AOP Newsletter Subscribe to Art of Procurement on YouTube

"It's all about building that momentum, creating the value, testing the hypothesis, and then continuing to challenge us to take it to that next level." Darshan Deshmukh, President at ProcureAbility AI adoption in procurement is accelerating, but experimentation alone does not equal transformation. With organizations launching pilots, testing new platforms, and exploring agentic capabilities, procurement leaders need to keep a clear connection between the technology they adopt and the business outcomes they are trying to create. In this episode, Kelly Barner is joined by Darshan Deshmukh, President at ProcureAbility, for a CPO-level discussion about moving from AI experimentation to meaningful procurement transformation. Darshan shares what he is seeing across procurement organizations as AI maturity increases, including why so many teams remain focused on efficiency and productivity and what separates those efforts from more intentional transformation. He and Kelly also discuss the importance of starting with a business problem rather than a technology or use case, as well as the evolving role of agentic AI, data quality, human judgment, and organizational culture. Listen to this episode, to hear Darshan discuss how to: -Move beyond isolated AI pilots, and toward intentional transformation -Start AI initiatives with the business problem and desired outcome -Use AI to identify risk signals and accelerate decision-making -Build trust through stronger data, transparency, and measurable results -Expand procurement's contribution beyond cost and risk -Create a culture where experimentation and learning can happen without fear of failure Links: Darshan Deshmukh on LinkedIn: https://www.linkedin.com/in/darshan-deshmukh/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"The earlier you can catch risk, the cheaper it is to solve." - Matthew Spencer, Founder of FlockScore Procurement teams have access to plenty of information when evaluating a new supplier, from certifications and financials to technical capabilities. What they often lack is visibility into a more practical question: How does this supplier actually perform? In this episode of Art of Procurement's Startup of the Week, we talk with Matthew Spencer, Co-Founder and CEO of FlockScore, a platform building a collective intelligence layer for supplier decisions by bringing together anonymized, real-world supplier performance data. Matthew shares the experience that led him to start FlockScore, why he believes external supplier performance data can help procurement make faster and more confident decisions, and how the platform is designed to complement the supplier data companies already have. Listen to this episode to hear: -Why internal supplier scorecards only provide part of the performance picture -How peer performance data can help procurement evaluate new and alternative suppliers -Why supply chain volatility is increasing the need for faster supplier qualification -How FlockScore combines anonymized peer data with AI-generated supplier signals -How earlier visibility into issues such as supplier capacity can help teams respond before disruption reaches their own operations Links: Matthew Spencer on LinkedIn: https://www.linkedin.com/in/matthewjspencer1?originalSubdomain=be  Visit FlockScore's Profile in the AOP Provider Directory: https://artofprocurement.com/provider-directory/flockscore  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"If you want a seat at the table, you've got to pull up the chair." - Polly DeSouza, APAC Transformation Leader Procurement teams have spent years talking about the need to move away from tactical and transactional work and create more time for strategic priorities. As AI begins to take on more of that work, the opportunity to finally make the shift is growing. The question is whether procurement teams are ready to take advantage of it. In this episode, Philip Ideson is joined by Polly DeSouza, an APAC transformation leader whose career spans finance, procurement, consulting, and operational transformation. Polly shares lessons from working across more than 20 transformation projects and explains why successful transformation requires procurement to think beyond processes and technology. They discuss what procurement can learn from finance, why teams need to understand the language of the business, and how strong stakeholder relationships can help procurement earn earlier involvement in business decisions. Polly also explains why she sees procurement as a "guardian of resilience," responsible for creating supplier ecosystems capable of supporting the business through continued uncertainty. In this episode, Polly discusses how to: -Connect procurement priorities more directly to financial and business value -Earn earlier involvement by becoming a trusted partner to stakeholders -Strengthen procurement's role in organizational resilience -Use AI-created capacity to tackle higher-value priorities -Help teams move beyond familiar ways of working -Build transformation around clear business problems and desired outcomes -Develop the skills and mindset needed for procurement's next chapter   Links: Polly Desouza on LinkedIn: https://www.linkedin.com/in/pollyana-desouza-52304a85/  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement   

"It's more the translation of visibility. It's not so much visibility. Visibility is there, but it's what do you do with that?" - Mike Prorock, CEO, Tradeverifyd Supply chain risk has become both more complex and harder to anticipate. Geopolitical shifts, regulatory changes, multi-tier supplier dependencies, and an overwhelming volume of data are forcing procurement teams to look further into their supply chains and make decisions faster when something changes. In this episode of the ProcureTech Insider, Jim Cahalan speaks with Mike Prorock, CEO of Tradeverifyd, for a Provider of the Week discussion about turning supply chain visibility into timely, actionable decisions. Drawing on Tradeverifyd's roots in machine learning, global risk intelligence, and cross-border trade data, Mike explains why simply seeing risk isn't enough. Procurement teams need to understand what a disruption actually means to their business, determine what requires action, and focus their attention on the handful of decisions that matter most. In this episode, Mike also covers how to: -Look deeper into multi-tier supply chains to uncover hidden dependencies and potential bottlenecks -Combine external intelligence, internal business data, and emerging signals while protecting sensitive company information -Translate supply chain visibility into prioritized actions rather than overwhelming teams with alerts -Use AI agents to analyze changing conditions, explore potential responses, and reduce the manual work required to chase down data   Links: Mike Prorock on LinkedIn: https://www.linkedin.com/in/mprorock/  Visit the Tradeverifyd profile in the AOP Provider Directory: https://artofprocurement.com/provider-directory/tradeverifyd  Subscribe to the AOP Newsletter: https://resources.artofprocurement.com/art-of-procurement-podcast-subscribe  Subscribe to Art of Procurement on YouTube: https://www.youtube.com/@ArtofProcurement