The last five years has seen increased market volatility, changes in compliance regulations, and more geo-political events - all of which have made the procurement process more complex. With that comes a need for organisations to act in an agile way, as well as making sure there is supply chain resilience. A big part of that has been the rise in collaborative procurement to drive those complex, time consuming projects forward. In this blog, we’re going to explain what collaborative procurement is, and the advantages it can bring to an organisation. We’ll also provide some practical tips on integrating collaboration in your procurement strategy, as well as looking into the benefits of using a Framework or DPS solution to maximise collaboration.
Jump to:
● What is collaborative procurement
● Why internal collaboration matters
● The benefits of collaboration in procurement
● Practical ways to strengthen collaboration
● Why external partnerships are just as important
What is collaborative procurement
Put simply, collaborative procurement means working closely with others to make smarter buying decisions. That could be different teams across your own organisation, or external partners like suppliers, public sector bodies, or framework and DPS providers. It could even be a joint relationship with other purchasing organisations, which allows you to attract better price or terms on a supplier contract.
Instead of working in isolation, collaboration in procurement brings people together to share knowledge, align goals, and make joined-up decisions. This can lead to stronger supplier relationships, better contract outcomes, and real procurement efficiencies, especially on complex or high-value projects.
It’s not just about cutting costs (although that’s often a happy side effect). It’s about combining strengths, avoiding duplication, and building long-term value for everyone involved.
Why internal collaboration matters
When people think of collaboration in procurement, they often jump straight to suppliers or partners. But some of the most important collaboration happens internally.
Your procurement team shouldn’t be working in a silo, with finance, operations, legal, project managers all playing a crucial role in shaping procurement outcomes. Engaging them early helps you:
● Understand the full scope of the project
● Build realistic timelines
● Spot risks before they grow
● Make sure what’s being procured actually fits the need
Not only does that lead to smoother processes, but it helps reduce friction, avoids costly mistakes and ensures everyone is on the same page. It’s important to start with open communication so you can get early buy-in from stakeholders by listening to their needs and involving them in decisions. The more connected your teams are, the more confident and coordinated your procurement will be.
The benefits of collaboration in procurement
The standout benefit of collaborative procurement is its ability to unlock better value, not just in terms of price, but in quality, speed, and service.With a new shared ideology, organisations can create larger bargaining power as it’ll become easier to purchase products in larger quantities for less cost. For those projects that are more complex, it makes sense to team up with other organisations to enhance your bargaining position.
Other benefits of collaboration include:
- More accurate forecasting: Working together helps you better understand demand, reducing waste and improving supply chain resilience.
- Shared expertise: You don’t need to be an expert in everything. By involving colleagues or partners with different skills, you can make smarter decisions and build stronger specifications.
- Stronger supplier relationships: Suppliers value clarity, consistency, and partnership. Collaborative approaches build trust, improve performance, and encourage innovation.
- Standardisation: Where possible, aligning on processes, templates or preferred suppliers can reduce admin, improve compliance, and make things quicker the next time round.
Despite the benefits in collaboration, it’s important to be mindful of potential drawbacks too. at least recognise the potential drawbacks too. If collaboration leads to over-dependence on a single supplier or partner, it could reduce procurement competition. The key is to collaborate with purpose - don’t just work together for the sake of it.
Practical ways to strengthen collaboration
You don’t need a complete overhaul to make collaborative procurement work. Here are a few practical steps you can take to start seeing benefits quickly:
1. Set a shared goal
Get everyone aligned early on, asking key questions about what the project is trying to achieve. Are you purely looking for value for money, or is there a sustainability focus or a lean towards SME growth? Setting a clear, shared goal gives all parties a reason to pull in the same direction.
2. Set up a steering group
For bigger or more complex projects, consider forming a cross-functional group that includes key voices from procurement, finance, operations, legal and even suppliers (where appropriate). This creates a single place for decision-making, speeds things up, and helps keep everyone informed.
3. Communicate regularly
Make sure you check in often, and not just when something goes wrong. Whether it’s weekly catch-ups, shared project boards, or informal updates, regular communication helps build trust and keeps collaboration flowing.
4. Use a procurement framework or DPS
Frameworks and DPS solutions, like those offered by Procurement Hub, are designed to make collaboration easier. They bring together trusted suppliers and pre-approved processes, so teams can get started quicker with confidence. They also help align multiple buyers and give access to shared knowledge.
5. Document lessons learned
After each project, take time to reflect. What went well? What could be improved? This helps you strengthen future collaboration efforts and build a culture of continuous improvement. Using smart procurement KPIs can help with evaluation of performance and benchmark future projects too.
Why external partnerships are just as important
Alongside internal teams, it’s just as important to think about your external relationships, whether that’s suppliers, delivery partners, or procurement specialists.
The best partnerships are built on transparency, mutual respect, and a commitment to shared outcomes. When you treat suppliers as part of the team (rather than just service providers), they’re more likely to go the extra mile, which leads to better performance, reduced risk, and more innovative solutions.
Here at Procurement Hub, we work with our members to understand their needs, connect them with the right suppliers, and support them at every step of the procurement process, so they can focus on delivering outcomes.
Bringing it all together
Collaborative procurement shouldn’t be seen as a buzzword, rather it needs to be thought of as a proven way to improve outcomes, especially on more complex projects. By working closer with other organisations and suppliers, it allows you to cut waste, and strengthen relationships - both inside and outside your organisation.
To make it work, you need buy-in across teams, clear goals, open communication, and the right tools and partners. It’s about creating a culture where working together becomes the norm, not the exception.
At Procurement Hub, we help public sector organisations, housing associations, and businesses across the UK do just that, using our procurement solutions which include frameworks and DPS along with CIPS qualified procurement support designed to. and support designed to make collaboration easier and more effective. For more information on what support we can offer your organisation, get in touch with us today.