“In a transformation, make your good examples in the beginning, where you think you will make a difference.” - Joel Andersson, Process development and digitalization project leader - indirect procurement, IKEA

Building a mature indirect procurement function that’s strategically aligned with the rest of the business is a journey filled with problem-solving, stakeholder relationships, and continuous learning. It requires a ‘thinking-on-your-feet’ approach and a willingness to adapt as the business and its priorities evolve.

For IKEA, this transformation began about five years ago when they moved from a self-organized approach to a centralized, strategic function that drives measurable value beyond just cost savings.

In this episode of Art of Procurement, Philip Ideson speaks with Joel Andersson, Process development and digitalization project leader - indirect procurement at IKEA, about the company’s indirect procurement transformation journey.

Joel shares insights on how his team built credibility through early wins, implemented foundational technology, and is now exploring advanced capabilities including services procurement optimization and generative AI.

Listen in to hear:

• Why establishing visibility through spend analytics was their critical first technology investment before implementing a source-to-pay suite
• How demonstrating value through early "low-hanging fruit" wins created the business case for expanding the procurement function
• The unique challenges of indirect procurement compared to direct, particularly around stakeholder management and services procurement

Links:

• Joel Andersson on LinkedIn
• Subscribe to This Week in Procurement
• Subscribe to Art of Procurement on YouTube