Summary
This FAQ explains why many AI-powered procurement tools fail to meet expectations. Based on insights from Anders Lillevik, CEO of Focal Point, it outlines the core reasons these tools underperform, what procurement teams actually need, and how AI must be implemented to deliver real value.
1. Why are many AI solutions failing to deliver results in procurement?
Most procurement AI tools are built without input from actual procurement teams. Many solutions are designed by engineers who focus on what the technology can do, not what users need. This leads to tools that look sophisticated but don’t work in real-world procurement environments.
2. What’s the biggest misconception about AI in procurement?
That AI can fix broken processes on its own. AI is often introduced as a shortcut when the underlying workflows and data structures are still manual or fragmented. Without fixing those first, AI adds complexity without solving root problems.
3. Who is often left out when procurement AI tools are developed?
Procurement professionals themselves. As Anders Lillevik notes, most AI solutions are not co-designed with people who have managed intake, supplier workflows, or compliance. This disconnect results in tools that miss the mark in day-to-day usage.
4. What should companies focus on before adopting AI in procurement?
Improve workflow and data consistency first. Companies should streamline intake processes, centralize reporting, and eliminate manual handoffs before layering in AI. Without these foundations, AI cannot be effective or scalable.
5. Why do procurement AI tools often go unused?
Because they don’t match how procurement teams actually work. Tools that require users to adopt new behaviors or systems without clear value often sit unused. AI must reduce friction, not create more of it.
6. What is the ideal role for AI in procurement?
AI should support decision-making, not replace it. The most useful applications of AI help teams identify trends, prioritize tasks, and reduce manual steps. But the judgment and context of procurement professionals are still essential.
7. What makes AI successful in procurement tools?
Tools must be built with procurement teams, not just for them. Success comes when AI is paired with workflow automation, clear visibility, and integrated data. Co-design with domain experts ensures the solution solves the right problems.
Read the Full Article on Supply Chain 24/7: Why Procurement AI Misses the Mark
