ENHANCING PROCUREMENT AND SUPPLY CHAIN MANAGEMENT FOR SUSTAINABLE DEVELOPMENT THROUGH DIGITAL TRANSFORMATION

Abstract

In an era characterized by rapid technological advancement and an increasing focus on sustainability, the imperative to integrate digital transformation into procurement and supply chain management practices has become paramount. This research paper explores the pivotal role of digital transformation in revolutionizing traditional procurement and supply chain operations, with specific emphasis on its potential to drive sustainable development. The paper commences by framing the contemporary context, emphasizing the global commitment to sustainable development goals that encompass environmental responsibility, ethical sourcing, and economic viability. It highlights the growing demand from consumers, stakeholders, and regulatory bodies for businesses to align their supply chain strategies with these sustainability imperatives. Moving forward, the study delves into the multifaceted impact of digital transformation on procurement and supply chain management. It elucidates the transformative potential of key digital tools and technologies, including data analytics, Internet of Things (IoT), blockchain, and Artificial Intelligence (AI). Drawing on empirical research, case studies, and industry insights, this paper underscores how these digital enablers empower organizations to foster transparency, optimize processes, and reduce their ecological footprint. Nevertheless, the adoption of digital transformation in supply chains is not without its challenges. This research identifies and analyzes the impediments commonly encountered, such as integration complexities, data privacy concerns, internal resistance to change and the evolving landscape of sustainability regulations. The paper concludes by offering a set of actionable recommendations and best practices. It advocates for strategic leadership, data-driven decision-making and cross-sector collaboration to maximize the positive impact of digital transformation on sustainable procurement and supply chain management. Additionally, it underscores the critical role of policymakers in creating an enabling environment that incentivizes and supports responsible digital transformation for the greater goal of sustainable development especially in developing economy like Nigeria.