Why People Are Central to Procurement Technology’s Future
By Aaron McMillan | November 7, 2025
As procurement undergoes rapid transformation driven by technological advancements, the importance of people within this evolving landscape cannot be overstated. While innovations such as artificial intelligence (AI) and digital tools continue to reshape procurement processes, human expertise remains vital in leveraging these technologies to foster strategic growth and resilience.
People at the Core of Procurement Transformation
Procurement technology is undeniably influential in improving efficiency and decision-making. However, it is the workers behind these tools who unlock their full potential — creatively enhancing processes and proactively addressing challenges to improve business outcomes.
Procurement has gained unprecedented prominence amidst global volatility, serving as a critical function for building supply chain resilience and navigating uncertainty. According to The Hackett Group’s 2025 Digital World Class Procurement research, leading organizations are distinguished by their ability to redefine procurement’s role within the enterprise and embrace volatility as an opportunity. Central to this success is the human element driving technology-enabled transformation.
Despite widespread spending freezes aimed at conserving capital, top procurement teams are delivering exceptional results. These leaders achieve 2.6 times higher return on investment (ROI) than their peers, operating effectively with 31% fewer staff and 19% lower costs relative to spend. Their advantage stems from intelligence-led operating models and strategic deployment of cutting-edge tools like generative AI—enabling faster execution and amplifying influence when opportunities emerge.
How AI Agents Are Revolutionizing Procurement
The procurement function’s expanding remit is well illustrated by data from McKinsey, which reports that modern teams manage 50% more spend than five years ago, all while facing greater expectations with fewer resources. To rise to this challenge, organizations are increasingly adopting AI agents to automate routine tasks. These digital coworkers absorb continuous data flows to inform decision-making, plan activities, offer solutions, and autonomously accelerate workflows.
McKinsey highlights that the integration of AI agents fosters a hybrid workforce where humans collaborate seamlessly with technology. This shift is projected to enhance procurement efficiency by 25-40%, freeing professionals from transactional work to focus on strategic, value-add functions. Talent development remains a leading priority for procurement leadership, with many companies separating strategic and transactional responsibilities to boost impact.
A Human-Centered Approach: A.R.M Holding’s Success Story
In the UAE, A.R.M Holding exemplifies how placing people at the heart of procurement strategies drives meaningful progress. As a private investment firm focused on real estate, hospitality, and healthcare, A.R.M Holding embraces a distinctly human-centered mission that transcends business to shape better communities.
Alain Kallas, Chief Development Officer at A.R.M Holding, underscores that their success starts internally, highlighting a team united by shared values and a deep understanding of the people they serve:
"We’ve built a powerhouse of a team that lives and breathes our values. Each person brings a unique strength, and together, we truly understand the people and communities we serve. This isn’t just about business, it’s about shaping a better future, together."
Ahmed Raafat, Associate Director – Supply Chain at A.R.M Holding, brings over 20 years of expertise in procurement, supply chain, and sustainability across UAE infrastructure and real estate sectors. A certified MCIPS, MRICS, and Harvard-trained negotiation expert, Ahmed is recognized as a transformative leader embedding ethics and innovation into procurement excellence. He will be sharing insights at the upcoming Procurement & Supply Chain LIVE: The Middle East Summit panel on the future of procurement technology.
Upcoming Opportunity: Procurement & Supply Chain LIVE Middle East Summit
Mark your calendar for the Procurement & Supply Chain LIVE: The Middle East Summit, taking place virtually on February 3–4, 2026. This event brings together Chief Supply Chain Officers (CSCOs), Chief Procurement Officers (CPOs), and Chief Sustainability Officers (CSOs) to explore key topics such as digital transformation, supplier network optimization, and ESG integration.
With free registration and customizable sessions streamed online, attendees can gain practical insights directly relevant to their roles. To register and learn more, visit: https://next.brella.io/join/SPSCDUBAI.
In Conclusion
The future of procurement technology will be defined by dynamic collaboration between innovative tools and the people who wield them. While automation and AI amplify capabilities and efficiency, human insight, ethics, and strategic thinking remain decisive factors in driving sustainable value and resilience. Organizations embracing this synergy are best positioned to thrive in an increasingly complex global environment.
Tags: Procurement Technology, Digital Transformation, AI in Procurement, Supply Chain Management, Strategic Procurement, A.R.M Holding, Generative AI, Workforce Development, Procurement Innovation, Middle East Business
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