

Reskilling procurement teams for the age of agentic AI is an Economist Enterprise report, sponsored by GEP, which explores the challenges of adopting artificial intelligence in procurement and supply chain.
The report is based on a survey carried out between January and March 2026 of 404 US or Western Europe-based business leaders in the position of director or above. All survey participants were familiar with their organisation’s supply-chain strategy and operations.
Economist Enterprise is solely responsible for the views expressed in this report and the content does not necessarily reflect the perspectives of the sponsor.
Executive summary
The skills mismatch: procurement needs technically skilled employees with domain knowledge of AI as well as their business unit, not just negotiators
Procurement has long prized commercial instinct and negotiating skill above all else. But procurement employees of the future will also need a grasp of data and the artificial intelligence (AI) software that uses it. That does not necessarily mean the ability to design or build AI tools but an understanding of how they work and how to get the best out of them.
At many firms, this is not the case yet. Almost nine in ten executives (88%) say that AI engineering skills are essential for autonomous supply chains, yet only 11% of firms have them in procurement teams. Human judgment, by contrast, is widely available—two-thirds of firms report it—but ranks low among priorities. At the frontier, firms are creating roles such as AI compliance auditors and system-governance specialists, often hiring from outside. Those that fail to build these skills internally risk being unable to run the systems they are investing in.

Organisational incentives are a hidden obstacle to AI adoption The barriers to the adoption of AI in procurement and supply chain are not only technical. Data suggests that the most intractable challenge of all, in fact, is human. Executives dramatically overestimate how excited their workforces are about embracing the technology: three-quarters believe that their employees are enthusiastic about AI, but only 31% of workers themselves agree1, thanks to a combination of poor user experience, a lack of clear governance guidelines around the usage of tools and an underlying mistrust of AI.2 The gap matters because frontline acceptance—not algorithmic capability—is often the real constraint on implementation. Resistance does not necessarily decline with seniority, nor is it always rational. Middle managers, whose authority is often derived from the headcount or budget of the team they manage, understandably view automation with suspicion because it reduces both. Firms must redesign incentive structures alongside AI systems, rewarding managers and employees alike for outcomes rather than empire.
The entry-level gap: automation removes the training ground for tomorrow's talent Procurement teams traditionally develop future leaders by putting junior staff to work on the fundamentals: tracking purchase orders, processing invoices, categorising spend. But these are precisely the tasks that AI is now absorbing fastest and which are now substantially automated at the majority of firms.3 The move to autonomy risks removing the entry point through which human procurement capability is built. As one executive observed, if senior people spend their days interpreting AI outputs but no juniors ever learn the underlying logic, the talent pipeline will eventually run dry. Of course, firms must redesign the apprenticeship model for an era in which machines handle execution and ensure that their future leaders acquire the technical skills to succeed in this environment. But they must also ensure that new employees gain a thorough understanding of the domain they will work in.

Autonomy concentrates power: algorithms are centralising decision-making, not dispersing it The rhetoric around AI agents tends to emphasise speed, autonomy and decentralisation. The reality is almost the opposite. As firms embed decision logic that enforces spending thresholds into procurement platforms, for example, they are concentrating authority at the centre rather than distributing it to the edge. Local buyers increasingly execute decisions recommended by code rather than exercising judgment; regional discretion is narrowing as algorithmic standardisation expands.
This is not a flaw: it is the point of AI. But it has significant implications for how procurement organisations are structured. Firms should redesign regional and category roles around activities where local knowledge still creates value—supplier relationships or crisis response and innovation, for example—not the routine decision-making that algorithms are absorbing. To benefit from the potential of agentic AI to make centralised, data-driven decisions, firms must also ensure that AI is embedded internally into every step and workflow of procurement activities so that it can steer entire processes.
Beyond efficiency: AI as a discovery engine So far most firms use AI to execute familiar procurement tasks like chasing invoices faster. The most innovative ones, however, are using the technology to do things that were previously impossible: exploring alternative materials or stress-testing supply chains against scenarios that would take humans weeks to model, for example. Used expansively in this way, AI can reposition procurement from a cost saver to a contributor to product strategy and competitive resilience. The firms that limit AI to efficiency will capture incremental gains. Those that use it for discovery may reshape their industries.
References
- 1.Lovich M, Meier S, Taylor C. Leaders Assume Employees Are Excited About AI. They’re Wrong. Harvard Business Review. Nov 26 2025. Available at: : https://protect.checkpoint.com/v2/r02/___https://hbr.org/2025/11/leaders-assume-employees-are-excited-about-ai-theyre-wrong___.YzJlOnRoZWVjb25vbWlzdG5ld3NwYXBlcmdyb3VwOmM6Z29vZ2xlX21haWxfYXR0YWNobWVudDplMjJiOTVlMWUwZWIwNmVjYzdjYjY5OTZhOTg2ZTRlZjo3OjUyZjM6ODIzZjFhOGIwMGIyNmI5ZWE3NzAwOGUwNzlhZWZmMzQwODNjMmYzY2Q3ODU5NGViYjcwMzI1YmI4NjgyYjc5ZjpwOlQ6Rg
- 2.
- 3.See briefing paper one on ‘The Agentic AI Implementation Challenge. Economist Enterprise, 2026.’
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