Artificial Intelligence (AI) has evolved from a futuristic buzzword into a present-day force in procurement. Its promise of enhanced decision-making, faster cycles, and strategic agility is clear. Yet, the reality on the ground? Most procurement organizations are still stuck at the start line—facing significant AI barriers in procurement that hinder full-scale adoption and transformation.
According to the Ardent Partners’ CPO Rising 2025 report, only 8% of enterprises have fully embedded AI into their Source-to-Pay (S2P) platforms—even though 73% of CPOs believe AI will have a significant or transformational impact in the next 2–3 years.
So, what’s holding the rest back?
The answer lies not in the tech itself, but in internal barriers—skills, data, and change management.
Why AI Adoption in Procurement Is Lagging
Despite widespread enthusiasm, the Ardent report reveals that adoption is stalled for most procurement teams:
- AI use is limited to narrow functions like RFP creation or supplier analysis
- Enterprise-wide AI integration remains rare
- Best-in-Class organizations are far more likely to embed AI than the rest
The report attributes this gap to a mix of technical, organizational, and human limitations, the very barriers we address below.
Barrier 1: The Procurement AI Skills Gap
AI technologies are powerful—but they’re also complex. Ardent Partners notes that many procurement organizations lack in-house capabilities to deploy and scale AI solutions. CPOs cite AI readiness as one of the top internal challenges in transforming the procurement function.
How to Overcome It:
1. Upskill Your Team
- Offer focused training on AI fundamentals, data literacy, and emerging use cases in procurement.
- Encourage certification through programs aligned with your AI platform.
2. Choose Human-Centric Tools
- Select platforms with intuitive user interfaces, natural language processing, and embedded guidance.
How Zycus Helps:
The Merlin Agentic AI Platform provides ready-to-use AI agents that automate tasks like intake management, bid scoring, and contract redlining—without needing a data science background.
Pair with: Merlin Intake Management
Explore Hacket’s report on AI Agents in Procurement: The Next Wave of Digital Transformation
Barrier 2: Poor Data Quality and Siloed Information
AI needs clean, structured, and contextualized data to function properly. Yet, Ardent Partners notes that even top procurement teams often struggle with disparate systems, inconsistent taxonomies, and legacy data sources. These issues delay AI value realization and block automation.
How to Overcome It:
1. Centralize Procurement Data
- Integrate contract, supplier, and spend systems into a unified Source-to-Pay platform.
2. Automate Data Cleansing
- Use AI to continuously enrich, classify, and validate procurement data.
How Zycus Helps:
Zycus Spend Analysis uses AI to classify and cleanse 100% of enterprise spend across categories, business units, and geographies—building a high-fidelity foundation for AI applications.
Add-on: Zycus Contract Management for clause-level metadata and risk scoring.
Barrier 3: Organizational Resistance and Change Fatigue
Even with great tools and data, change management remains a major barrier. The CPO Rising 2025 report emphasizes that many teams face internal resistance, particularly from:
- Stakeholders uncomfortable with new tech
- Procurement staff fearing job loss or workflow disruptions
- Executives wary of ROI uncertainty
How to Overcome It:
1. Socialize the Value of AI
- Focus communication on how AI enhances—not replaces—human intelligence.
- Use pilot wins to build trust and momentum.
2. Enable Cross-Functional Champions
- Involve key business users early to co-design AI workflows.
3. Use Proven Frameworks
- Follow established methodologies for process redesign, governance, and user onboarding.
How Zycus Helps:
Zycus offers structured implementation services and change management support, backed by playbooks, templates, and in-platform tutorials. Merlin’s conversational interfaces also reduce training time and drive rapid adoption.
Read more: Driving P2P Adoption Through Change Management
What Best-in-Class Procurement Teams Do Differently
The CPO Rising 2025 report makes one thing crystal clear: Best-in-Class procurement organizations are ahead because they solve for these barriers early. Compared to others, they:
- Are 2x more likely to embed AI into core workflows
- Have tighter integration between sourcing, contract, and finance teams
- Use AI for risk management, spend forecasting, and autonomous sourcing
They treat AI not as a side project— but as a strategic capability.
See how: Zycus Source-to-Pay Suite
Thus, AI is not the future of procurement. It’s the present—and the next competitive frontier.
If your team is still navigating internal barriers around skills, data, or change management, you’re not alone. But the path forward is clear:
- Upskill your workforce
- Clean and integrate your data
- Embed AI in ways that amplify—not replace—human decision-making
With the right tools and strategy, AI can become the engine that powers strategic sourcing, proactive risk mitigation, and next-gen procurement maturity.
Ready to benchmark your readiness or build your AI roadmap?
Start with the Ardent Partners’ research, sponsored by Zycus: Download the CPO Rising 2025 Report
Related Reads:
- Impact of Artificial Intelligence in Procurement
- The Future of Negotiations with AI and Machine Learning
- How AI Is Reshaping Procurement: From Automation to Agentic Intelligence
- Navigating Tariffs and Trade Volatility: What Procurement Leaders Must Know
- Procurement’s AI Adoption Curve: Why Most Are Still in the Early Stages
- CPO Priorities for 2025: Balancing Cost, Risk, and Digital Transformation
- Benchmarking Procurement Performance: Where Do You Stand in 2025?
- The Best-in-Class Procurement Playbook: What the Top 20% Do Differently