ProcureAbility 2026 Report Highlights Challenges in AI Governance Collaboration Between Procurement and IT

Understanding the Collaboration Gap in AI Governance

ProcureAbility, a well-known provider of procurement and supply chain solutions, has recently published its 2026 CPO-CIO Report, focused on the critical collaboration between procurement and IT in the realm of AI governance. The report, developed alongside ProcureCon, sheds light on how these two essential departments can better unite efforts to harness AI capabilities effectively.

Key Findings from the 2026 ProcureCon CPO-CIO Report

According to the report, although a staggering 96% of procurement and IT teams collaborate to some extent, a concerning 54% fail to work together specifically on AI governance. This lack of collaboration hinders the overall deployment and adoption of AI technologies within organizations. This is crucial since AI tools rely heavily on enterprise data infrastructure managed by IT, indicating that a symbiotic relationship is essential for success.

Satyen Pathak, Managing Director-India at ProcureAbility, emphasized this point by stating, "AI operates as a potent catalyst for transformation, but without proper governance, it can impose more risks than opportunities." This indicates that organizations must put the correct measures in place to facilitate growth and confidence in using AI tools.

Data Governance: A Major Barrier

Digging deeper into the obstacles facing AI adoption within procurement, the report reveals that 36% of survey respondents identified inadequate data governance policies as the leading challenge. Furthermore, 26% cited a lack of internal skills to manage and analyze procurement data as a significant hindrance.

In response to these challenges, many organizations are actively developing their internal AI capabilities. For instance, 63% of companies are promoting self-directed learning through online courses and certifications, 60% are integrating IT or data specialists into procurement teams, and 54% are collaborating with technology vendors to facilitate practical training.

While self-directed learning offers scalable and cost-effective solutions, it comes with its drawbacks. Pathak pointed out that achieving fluency in AI is akin to mastering a new language—immersion and structured guidance often yield quicker proficiency than self-study alone.

Trends in Collaboration

Despite the challenges, there is a visible positive trend in integrating IT and procurement operations. About 60% of organizations are embedding AI expertise within procurement teams, allowing them to address skills gaps effectively without drawing out lengthy interdepartmental processes.

Survey results indicated that of the 96% of teams engaging in collaboration, 51% work together regularly while 45% do so occasionally. Remarkably, 54% rated their collaboration as either effective or perfectly coordinated. Furthermore, findings reveal that 53% of organizations regard their Chief Procurement Officer (CPO) and Chief Information Officer (CIO) as equal partners in technology procurement, a noteworthy increase compared to previous years.

Darshan Deshmukh, President of ProcureAbility, stated, "For too long, procurement has operated downstream of technology decisions. Current leaders are shifting this paradigm, placing CPOs at the heart of strategic decision-making to enhance enterprise value." As organizations evolve into AI-ready setups, it has become imperative for Procurement and IT to collaborate efficiently to facilitate AI adoption and implementation.

For those seeking further insights from the report or exploring strategies for better synching procurement with technology, the full document is accessible online.

Conclusion

ProcureAbility's report serves as a clarion call for procurement and IT teams to break down silos and collaborate effectively in the face of AI-driven digital transformation. Their findings illuminate the path forward, encouraging leaders to address the pressing challenges of data governance and skill deficiencies while fostering a partnership between procurement and IT that can unlock the full potential of AI technologies within their organizations.

To learn more about ProcureAbility and explore the full 2026 report, please visit ProcureAbility.