What Is Procurement KPI?
Procurement KPIs (Key Performance Indicators) are measurable metrics that organizations use to track and evaluate the performance of their procurement function. These KPIs help organizations to assess the effectiveness and efficiency of their procurement activities, identify areas for improvement, and track progress towards strategic goals.
Procurement KPIs have emerged as an essential tool for business leadership as optimization of procurement processes has profound implications beyond cost reduction. They also help optimize organizational functions by enabling data-based and informed purchase decisions. These metrics are essential for creating a comprehensive procurement strategy that supports easy monitoring and assessment.
