Manufacturing Today Issue - 250 July 2026 | Page 26

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Procurement is no longer just a‘ back office’ function. Today it’ s one of the effective ways manufacturers can identify and achieve cost-saving opportunities.

However, despite strong SME growth in the sector in 2025, a combination of external pressures including volatile supply chains and the rising cost of goods and services is putting additional strain on the manufacturing sector.
As a result, businesses are automating operations at pace in a push to be as agile as possible. But optimizing operations does much more than increase efficiency. It strengthens supply chains, promotes innovation and competitiveness and minimizes risks while meeting regulatory requirements.
At the same time, greater emphasis is being placed on building a diverse supply chain of socially and environmentally responsible suppliers. For manufacturers looking to shape the future of the industrial sector and navigate times of upheaval, modern, digitalized procurement is essential.
Agility as a benchmark of success
Procurement, of course, plays a central role in agile operations, and without reliable suppliers and the right materials, workstreams can quickly grind to a halt. Industry research shows that procurement teams are increasingly relying on data to conduct more detailed analysis and gain deeper insight.
In fact, 65 percent of UK procurement decision-makers believe that generating stronger data and insights will be key to improving operations in the years ahead.
As a result, digital tools are now central to that shift, supporting and streamlining procurement and purchasing processes, enabling effective comparisons between suppliers, and helping teams make more informed and more sustainable purchasing decisions.
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