How Deep Is Your AI? Procurement's New Reality Check Framework

The gap between AI ambition and actual execution in procurement has never been wider. Companies claim they’re “doing AI,” but most are just using it for dashboards and reports. Zycus recognized this credibility problem and built something to measure what actually matters: the AI Adoption Index for Procurement — a framework that looks at real operational integration rather than just counting AI tools deployed.

The Problem Nobody Talks About

Procurement teams are drowning in AI hype. They’ve launched pilots, hired consultants, and thrown budgets at AI-powered platforms. Yet when you dig deeper, most organizations still run procurement the old way — with AI bolted on rather than woven in.

According to Zycus’ research, the industry faces a fundamental challenge: how to distinguish between experimenting with AI and actually embedding it into your procurement workflow. Traditional benchmarks measure tool adoption. The new index measures something harder: whether AI has fundamentally changed how procurement decisions get made, orchestrated, and executed.

Aatish Dedhia, Founder & CEO of Zycus, put it plainly: “Agentic AI isn’t aspirational — it’s operational. Procurement is now poised to lead enterprise transformation through intelligent orchestration and deep data integration.”

What Actually Matters: Five Dimensions of AI Maturity

Rather than asking “how many AI tools do you use?”, the index examines:

• How AI integrates across the entire Source-to-Pay cycle — from intake to analytics
• Orchestration versus isolated automation — whether AI coordinates end-to-end workflows or just handles individual tasks
• Autonomous decision-making capabilities — can your system make real decisions, or just recommendations?
• Data foundations — governance, trust, and readiness for AI-driven insights
• Measurable business outcomes — not just efficiency gains, but quantifiable value creation

The framework essentially maps procurement’s AI journey from experimentation to operational excellence.

The Adoption Gap Is Real

Early data reveals something uncomfortable: AI awareness is high, but real operationalization is rare. Most organizations are still using AI primarily for reporting and analytics. Few have extended it into autonomous workflows or guided decision-making across the complete Source-to-Pay process.

There’s also a clear pattern: organizations with structured intake processes and standardized operations adopt AI more successfully. You can’t shortcut operational maturity — it’s the foundation everything else builds on.

From Measurement to Action

Zycus paired the index with an AI Readiness Assessment that gives procurement teams a personalized benchmark. It evaluates your organization across technology, data, processes, and governance — then provides specific recommendations to move from intent to actual impact.

This isn’t just another scoring system. It’s designed as an ongoing industry pulse, allowing CFOs and transformation teams to see where procurement AI adoption is really heading and where their organization stands relative to the broader market.

Why This Matters Now

As artificial intelligence becomes central to modern procurement strategy, the industry needed a common language and measurement framework. The index gives organizations a way to compare progress, identify specific capability gaps, and make informed investment decisions — rather than chasing whatever trend dominates the conference circuit.

Procurement teams can now answer the question that matters most: “Are we actually building competitive advantage through AI, or just collecting expensive tools?”