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Case Study:
Procurement
Objectives
Alpha Matica was engaged by a specialised procurement agency to support the digitalisation of the overall end-to-end commercial and procurement processes using Generative AI.
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The primary objective was to streamline processes and reduce manual interventions for every activity of the commercial and procurement life cycle toward scaling and operations, so they in turn could offer improved ways of working and efficiencies to their multiple clients in both the private and public sectors.
Ways of Operating​
​Alpha Matica partnered with the highly specialised team to capture and understand in detail the full procurement process:
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Data Collection: By collaborating with the client's team, a comprehensive data set was gathered. These included procurement policies, tender documents, templates, supplier contracts, and other relevant material.
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Data Analysis: Applying Natural Language Processing (NLP) techniques Alpha Matica analysed this data to identify patterns, extract essential information, and understand the procurement process workflows.
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Activities Prioritisation: To prioritise tasks and identify areas for automation, Alpha Matica categorised tasks based on their suitability for automation:
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Tasks requiring human interaction, judgement and expertise (e.g., contract negotiations).
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Tasks are partially automatable with human oversight (e.g., data entry).
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Repetitive, rule-based tasks were ideal for full automation (e.g., generating standard documents).
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Generative AI Implementation: A suite of Generative AI agents was built for prioritised tasks. These agents leveraged techniques like:
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Large Language Models (LLMs): For generating tailored procurement documents like requests for proposals (RFPs) and purchase orders based on pre-defined templates and extracted data points.
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​Chatbots: To provide 24/7 support to internal stakeholders by answering basic procurement-related questions and guiding them through self-service functionalities.
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Outcome and Benefit​​
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By automating repetitive tasks, Alpha Matica significantly reduced the workload by 20% for agency clients, freeing up their time to focus on strategic initiatives and complex negotiations.
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Generative AI agents minimised errors associated with manual data entry by 10%, ensuring consistency and accuracy in procurement documents.
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Alpha Matica streamlined the procurement process, leading to faster turnaround times by 20% for commercial governance approvals and contract changes.
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The AI-powered system allowed clients within procurement functions to handle increased workloads without additional headcount, leading to efficiency savings where supporting resources had been requested.
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By automating more administrative tasks, the solution empowered procurement teams to focus on strategic activities, driving real value and outcomes in line with business goals, boosting employee morale and satisfaction. When implemented, the function was no longer seen as delivering a set of process steps for stakeholders but a value added, supportive and proactive team.
