In the world of corporate procurement, a fundamental distinction often separates two realms: direct procurement and indirect procurement. While the former generally enjoys greater recognition, the latter—often considered less strategic—actually reveals unexpected complexity and richness. This analysis, based on the field experience of a procurement director who has practiced both domains, will shed light on the real stakes of these two approaches.

Versatility: The Master Asset of Indirect Procurement

A Multi-Dimensional Expertise Required

Contrary to popular belief, indirect procurement demands exceptional versatility. As Marie-Laure, an experienced procurement director, points out: “In indirect procurement, you have to be good at a bit of everything and possess true buyer expertise. When you manage multiple categories, you must adapt to each one.”

This reality contrasts strongly with direct procurement, where specialization in a single category allows for deep but narrow expertise. In indirect procurement, you must navigate between:

• IT services and their complex solutions

• Intellectual services and their qualitative evaluation

• General services and their impact on daily operations

• Marketing purchases with their creative challenges

• Financial services and their regulatory constraints

Continuous Learning as a Driving Force

This diversity is a stimulating challenge for procurement professionals. Marie-Laure captures this dynamic perfectly: “I like that moment when I don’t yet understand everything: I’ve been briefed, and I wonder if I’ll manage. Then you have to explore and learn to master the subject.”

This discovery phase, far from being an obstacle, becomes an advantage. It allows you to:

• Develop valuable intellectual agility

• Gain a cross-functional view of the company

• Build expertise adaptable to different contexts

Negotiation Power: The Overlooked Advantage of Indirect Procurement

A Market More Open to Alternatives

One of the most striking paradoxes concerns negotiation power. While direct procurement appears more strategic, it often offers less room for maneuver. Marie-Laure explains: “In indirect procurement, you can replace a supplier and challenge the need itself. In direct procurement, when you buy well-selling brands, you don’t really have negotiation power and you become much more dependent.”

This reality is explained by several factors:

For direct procurement:

• Dependence on brands and market trends

• Strict technical or quality constraints

• Limited number of qualified suppliers

• Little flexibility on specifications

For indirect procurement:

• Abundance of available alternatives

• Possibility to redefine the need

• Flexibility in proposed solutions

• Ability to create competition

Challenging the Need: A Powerful Lever

The most strategic aspect of indirect procurement lies in the ability to challenge expressed needs. This approach allows you to:

• Optimize costs by identifying alternative solutions

• Improve processes by questioning established practices

• Innovate by proposing different approaches

• Create value beyond simple cost reduction

The Collaborative Dimension: Richness and Complexity

A Diverse Stakeholder Ecosystem

Indirect procurement involves collaboration with all departments of the company. This cross-functionality brings:

• A global understanding of business challenges

• Enriching relationships with varied profiles

• Influence across the entire organization

• Greater visibility within the company

Project Management at the Core

Unlike direct procurement, often driven by production cycles, indirect procurement revolves around specific projects. This project-based approach makes it possible to:

• Structure optimization efforts

• Measure tangible results

• Involve stakeholders from the start

• Celebrate successes in a concrete way

Key Skills to Excel in Indirect Procurement

Technical Skills

• Financial analysis to assess proposals

• Project management to lead initiatives

• Advanced negotiation to maximize value

• Market intelligence to identify opportunities

Behavioral Skills

• Adaptability to diverse topics

• Curiosity to understand new fields

• Communication to convince stakeholders

• Creativity to propose innovative solutions

Transforming the Perception of Indirect Procurement

It’s time to recognize the true value of indirect procurement. Far from being a secondary support function, it represents:

• An exceptional learning ground

• A source of substantial savings

• A lever for corporate transformation

• A school of versatility and agility

Indirect procurement professionals develop transferable skills and a strategic vision that make them key contributors to business performance.

Conclusion: Rethinking the Procurement Hierarchy

The traditional opposition between “noble” direct procurement and “secondary” indirect procurement does not withstand close analysis. The complexity, diversity, and opportunities offered by indirect procurement make it a demanding and rewarding field.

For finance and procurement professionals, this new perspective invites you to:

• Give more recognition to indirect procurement teams

• Invest in their development and tools

• Acknowledge their strategic contribution

• Fully leverage the opportunities they offer

Indirect procurement is not simply different from direct procurement—it is often more complex, richer, and offers more opportunities for value creation.

Ready to turn your indirect procurement into a competitive advantage? Discover how Freqens can help you automate your processes, identify savings opportunities, and maximize your negotiation power. Contact us for a personalized demonstration and join the companies that have already revolutionized their approach to indirect procurement.