Open Access

Elisabeth Fröhlich, Kristina SteinbißORCiD

• A shift in attitudes to purchasing departments can be perceived. No longer is the chief goal solely to reduce costs; the procurement function is assuming strategic relevance in the business model, leveraging the supplier as a foundation for innovation. The knowledge accumulated by suppliers is accessed over the journey of long-term partnerships to streamline business practice. Businesses are finding themselves in increasingly competitive environments, and thus need to address inefficiencies in supplier management. “Procurement 4.0” is a concept used in discussing digitalisation in business processes, referring to the process of supplier relationship management and optimisation. This model and its application to supplier relationship management will be the focus of this article. Realising the efficiencies to be obtained in buyer-supplier relationships through “Procurement 4.0” will be explored, primarily through an emphasis on digitalisation of the relationship between the procurement department and supplier.