Procurement software vendors increasingly emphasize pricing data as the primary differentiator, claiming workflow automation represents baseline functionality. That framing is backwards. Pricing intelligence without workflow enforcement is a benchmark on a slide deck. It changes nothing about how your organization actually buys. According to Gartner, 79% of procurement functions are prioritizing digital transformation 1 — and the organizations getting it right are investing in process infrastructure first, not data overlays.
Lihi Lutan
Co-Founder and CEO, Opstream
Previously COO of StokeTalent (acq. Fiverr) and VP Operations at Taboola where she helped scale the company from $8M to $1B in revenue.
What Should Buyers Actually Prioritize?
The real question is not “which vendor has the best pricing data?” It is: how much spend in your organization happens outside any system at all? Maverick spend represents 20-40% of total procurement volume in organizations without strong process controls. That is not a data gap. It is a process failure.
Gartner’s research confirms the scale of the problem: 85% of procurement organizations use a combination of different procurement and sourcing applications. 2 When 93% of organizations say increasing the efficiency of procurement processes is their top objective for adopting emerging technologies 2, the answer is not another data layer on top of a fragmented stack. The answer is workflow that unifies the stack.
What Does “Table Stakes” Actually Look Like?
Vendors who call workflow automation “table stakes” are usually the ones who lack competitive depth in it. Advanced workflow capabilities that remain genuinely differentiated:
Dynamic approval routing: Based on spend category, vendor risk, contract value and department policy — not just dollar thresholds.
Real-time compliance enforcement: At request submission, not post-hoc flagging after the purchase is already committed.
Full lifecycle automation: Vendor onboarding, renewal tracking, risk monitoring and offboarding across the complete vendor relationship.
Comprehensive audit trails: Every action and decision captured, not just the final approval stamp.
Real-time policy adaptation: When organizational structures change, subsidiaries are added or compliance requirements shift, the system adapts without IT rebuilds.
Where Does Procurement Value Actually Leak?
| Failure Point | Root Cause | Workflow Solution |
|---|---|---|
| Shadow procurement | Absent intake processes | Structured request workflows |
| Missed renewals | No automated tracking | Lifecycle automation with proactive alerts |
| Compliance gaps | Post-commitment approvals | Pre-commitment policy enforcement |
| Vendor risk exposure | Static post-onboarding monitoring | Continuous vendor risk checks |
| Audit findings | Email/messaging-based decisions | Comprehensive audit trails |
Every row in that table is a workflow problem. Not a pricing data problem.
Should You Buy a Single Suite or Best-of-Breed?
This is the strategic question most buyers skip. Gartner’s research draws a clear line:
“Single-vendor suites are most suitable for organizations with standardized, limited or primarily indirect procurement needs. They offer a unified user experience, a lower total cost, reduced integration complexity, scalability, and a standardized data structure for AI capabilities.”
Source: Gartner, “Digitizing Source to Pay — One Vendor or a Mix of Solutions?” Chaithanya Paradarami, Micky Keck, March 5, 2026. 3
The alternative: “The best-of-breed approach (suite plus specialty solutions) is suitable for organizations with complex, cross-functional or industry-specific requirements; diverse legal obligations; or a focus on innovation and direct procurement.” 3
Most organizations land in between. The procurement stack needs to handle complexity without creating integration debt. This is where the buying decision gets real: does the vendor’s architecture connect to your existing systems, or does it require ripping and replacing them?
How Should AI Factor into Your Buying Decision?
AI is not a checkbox. Gartner’s latest research is direct: “The blend-AI approach on an S2P solution should be the default approach for most procurement organizations as it ideally combines the best of the build and buy approaches.” 4
That means buying a platform with embedded AI that you can extend with your own data and workflows — not bolting on a standalone AI tool or building from scratch. According to Gartner’s Hype Cycle, “most organizations are choosing to adopt GenAI embedded in procurement solutions” rather than generic tools like Microsoft Copilot. 5
When evaluating AI capabilities, demand specifics:
Intake classification: Can the AI automatically route requests based on content, not just category dropdowns?
Document extraction: Can it read uploaded contracts and auto-populate fields with human review?
Proactive monitoring: Does it detect spend anomalies, risk changes and renewal deadlines autonomously?
Adaptability: When connected systems change (new ERP fields, updated APIs), does the AI adapt without IT rebuilds?
How Should You Evaluate Vendors?
Demand demonstrations addressing four areas. If a vendor cannot show these in a live environment, move on:
1. Full lifecycle request management: From intake through approval, purchase and renewal — not just one stage.
2. Proactive compliance enforcement: Pre-commitment, not reactive. Policy should be enforced before spend is committed.
3. Operational data capture: Analytics across the procurement lifecycle, not just spend dashboards.
4. System adaptation: How the platform handles policy changes, org structure changes and regulatory updates without IT dependency.
Key Takeaways
79% of procurement functions are prioritizing digital transformation — workflow infrastructure should come first
85% of procurement organizations use a combination of different applications, creating integration complexity
Gartner recommends the “blend AI” approach as the default for most procurement organizations
Process failures (shadow spend, missed renewals, compliance gaps) generate greater losses than pricing gaps
Evaluate vendors on full lifecycle coverage, proactive compliance, operational data and system adaptability
Frequently Asked Questions
Is pricing data important when evaluating procurement software?
Pricing benchmarks support negotiation but lack value without workflow infrastructure supporting spend capture, policy enforcement and vendor lifecycle management. Process comes first; data optimization comes second.
What does “workflow automation” mean in procurement?
System-driven handling of routing, approvals, compliance checks, vendor onboarding, renewals and audit trails with intelligent dynamic adaptation — not basic linear approval chains.
Should I buy a single S2P suite or best-of-breed?
According to Gartner, single-vendor suites work for standardized, primarily indirect procurement needs. Best-of-breed suits organizations with complex, cross-functional or industry-specific requirements. 3 Most organizations benefit from a platform that connects to existing systems without requiring full replacement.
How should AI factor into my procurement software decision?
Gartner recommends the blend approach as the default: buy a platform with embedded AI and extend it with your own data and workflows. 4 Avoid standalone AI tools that sit outside your procurement processes.
What is maverick spend?
Purchases made outside approved procurement channels, estimated at 20-40% of volume in organizations without strong process controls. Structured intake workflows and pre-commitment compliance enforcement are the primary countermeasures.
Sources
1. Gartner, “Digitizing Source to Pay — One Vendor or a Mix of Solutions?” Chaithanya Paradarami, Micky Keck, March 5, 2026.
2. Gartner, “Innovation Insight: Procurement Orchestration Platforms,” Magnus Bergfors, Chaithanya Paradarami, Sept. 11, 2025.
3. Gartner, “Digitizing Source to Pay — One Vendor or a Mix of Solutions?” Chaithanya Paradarami, Micky Keck, March 5, 2026.
4. Gartner, “When to Buy, Build or Blend AI for Procurement,” Magnus Bergfors, April 23, 2026.
5. Gartner, “Hype Cycle for Procurement and Sourcing Solutions, 2025,” Kaitlynn Sommers et al., June 30, 2025.
About the Author
Lihi Lutan is the Co-Founder and CEO of Opstream, changing the way companies buy. Throughout her career, Lihi built and scaled business operations at startups and large corporations. Early in her career, Lihi was with Cyota (acq. RSA Security) as a team leader and project manager before moving to Thomson Reuters and Fundtech to manage global projects. Later, Lihi joined Taboola (NSDQ: TBLA) as employee 15, as VP Professional Services and Operations, leading the department as the company scaled from $8M to $1B in revenue. Transitioning from Taboola to StokeTalent (acq. Fiverr), Lihi served as the company’s COO. Lihi holds an LLB of Law and BSc of Computer Science from Tel Aviv University.
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