IN-HOUSE PROCUREMENT OR PARTNERSHIP PROCUREMENT

Procurement in the construction industry is currently in a state of transition, and change is coming, whether we want it or not. Small and medium-sized construction companies must operate more innovatively and agilely to keep up with developments in the construction industry. What is the solution to this? How can small and medium-sized construction companies achieve better results? Resources are limited, and savings need to be made to increase profitability.

Focusing on procurement is one effective solution to this challenge. Procurement is a significant expense for construction companies, and by improving procurement processes, a company can see substantial savings in the near future. Investing in procurement can quickly enhance a company's ability to perform better in competitive bidding.

If this is so simple, why isn't everyone doing it already? The problem lies in the resources needed to hire or train skilled personnel within the company. Building and developing procurement capabilities internally is a laborious process and involves financial risks.

A good solution for small and medium-sized construction companies is to implement procurement and its development in collaboration with an external expert partner! By doing so, you reduce the financial risks of the company and can focus your limited resources on the core activities and their development. In the construction sector, outsourcing or partnership thinking has long been a trend. Workers are hired from elsewhere, and management and project process control are handled internally. It must be admitted that the use of expert services in construction companies is not as common as, for example, the use of construction contracting services. Why isn't expertise procured as a service in the construction industry, where there is already a strong culture of outsourcing and partnership operations?

It is important to recognize that although services are outsourced, this does not automatically mean an external and detached service. Kospro Oy's services are always tailored to the customer, and we invariably work together with the customer. The customer's success is our shared success. For this reason, we do not see our operations as outsourcing procurement but as implementing and developing procurement together with a partner.

Simply put, the need for procurement development has been identified and acknowledged in the construction industry. Implementing procurement through expert services is a way to meet this need. In the end, it requires the courage of companies to take a step towards a new mindset and the opportunities it brings.