In today's rapidly evolving business landscape, procurement leaders are increasingly exploring orchestration as a transformative approach. Orchestration aims to optimize procurement processes by seamlessly connecting systems, enhancing collaboration, and streamlining workflows. As part of the 2024 Mastermind Live event from Art of Procurement, industry leaders Andy Shigo, Head of Global Procurement at Iovance Biotherapeutics, and Shashi Rai Gupta, VP of Strategy at ORO Labs, shared insights on why procurement orchestration is more relevant than ever.

Why orchestration, and why now?

According to Shigo, the time is right for orchestration because traditional, fragmented procurement methods struggle to meet the demands of modern businesses. Legacy systems often isolate procurement functions, creating operational silos that slow down response times and hinder alignment with stakeholders. “The old way of doing hand-to-hand combat is outdated,” he states, emphasizing that orchestration can break down these barriers and improve efficiency.

For Shigo, procurement orchestration isn’t about replacing existing systems but building on them. By creating a unified layer that connects disparate systems, orchestration provides a comprehensive view, allowing procurement teams to respond faster and more effectively to organizational needs. This integration enhances visibility, leading to better decision-making and a more proactive approach to supply chain management.

Key benefits of procurement orchestration

Orchestration not only modernizes procurement processes but also simplifies user experience. Shigo notes, “Usability is essential; if you make it easy, people comply.” By consolidating procurement functions into a single platform, orchestration reduces complexity, making it easier for teams to navigate processes, access information, and stay compliant.

Furthermore, orchestration fosters stakeholder engagement. When systems are interconnected, teams can work more collaboratively, sharing information and insights across departments. This connected approach promotes alignment with organizational goals and ensures that procurement activities are not only efficient but also strategically impactful.

Adapting to existing systems

One of the most compelling aspects of orchestration is its adaptability. Orchestration layers can be implemented over existing infrastructure, enabling organizations to leverage their current investments while enhancing overall capabilities. For organizations starting from scratch, orchestration offers a structured, scalable framework. “It doesn’t matter if you’re using legacy systems or starting from a blank slate; orchestration enables connectivity and usability,” Shigo explains.

Moving from curiosity to readiness

Transitioning from being “orchestration-curious” to “orchestration-ready” involves a shift in mindset. Leaders must recognize orchestration’s value in promoting agile, integrated procurement functions and be willing to invest in the necessary tools and training. As Gupta points out, readiness also means understanding the long-term benefits of orchestration, which include operational efficiency, strategic alignment, and enhanced stakeholder relationships.

For organizations that want to move towards orchestration readiness, the advice is clear: start with an assessment of current systems, identify areas where orchestration could provide the most impact, and build a roadmap for phased implementation. Orchestration is not a one-size-fits-all solution but a flexible framework that can be tailored to meet the unique needs of each organization.

In a world where agility and responsiveness are critical, procurement orchestration offers a pathway for organizations to evolve from traditional, isolated processes to connected, streamlined operations that drive strategic value.