The impact of digitalization on the future of the PSM function managing purchasing and innovation in new product development – Evidence from a Delphi study

• Published in: Journal of purchasing and supply management Vol. 28; no. 2; p. 100732
• Main Authors: Wehrle, Manuel, Birkel, Hendrik, von der Gracht, Heiko A., Hartmann, Evi
• Format: Journal Article
• Language: English
• Published: Elsevier Ltd 01.03.2022
• Subjects: Cross-impact analysis; Delphi study; Digitalization; Foresight; Judgmental forecasting; New product development; Purchasing and supply management; Digitalization; Cross-impact analysis; Purchasing and supply management; Judgmental forecasting; Delphi study; New product development; Foresight
• ISSN: 1478-4092
• DOI: 10.1016/j.pursup.2021.100732

Bringing innovative products to markets is essential for companies, especially in competitive environments. One of the driving forces for successful new product development (NPD) is the inclusion of the functions that form part of the process such as purchasing and supply management (PSM). While extensive research has been conducted on the role of procurement in promoting innovation, insufficient research on the future of the PSM function in NPD has been conducted. This study addresses this gap, considering increasing digitalization and its effect on the future PSM function managing purchasing and innovation. To explore the future of PSM in NPD, a Delphi survey with 91 experts from industry, academia, and politics or associations was performed. The results reveal that digitalization will influence the PSM function in NPD across different time horizons and forms depending on the subject area. While in many areas, an interplay between digital technologies and human PSM professionals is expected, in certain domains the PSM function is likely to lose added value compared to digital technologies. Furthermore, digitalization is expected to be a potential enabler of a stronger key innovation role for PSM in NPD but to also introduce new requirements such as data science capabilities. •Provides insights to how digital technologies impact the future PSM function in new product development.•Presents the potentials but also the risks of digitalization for the PSM function in new product development.•Provides insights into new PSM capabilities that will be needed for future new product development.•Offers reference opportunities for future-oriented research thinking in the area of PSM.