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Procurement in infrastructure faces shared challenges in capacity, visibility, and compliance—here are 7 shaping the decade ahead.
Across major infrastructure programs, the demands on procurement teams are growing faster than their systems can adapt. Whether in transport, utilities, or energy, the same patterns continue to appear: stretched supply markets, fragmented data, and competing expectations between delivery, governance, and local impact.
Here are seven challenges shaping procurement across today’s infrastructure landscape.
Project pipelines continue to expand while supplier and contractor capacity remains tight. Labour shortages, rising material costs, and workforce churn are constraining delivery. Procurement teams are increasingly competing for the same pool of qualified suppliers, driving up cost and reducing flexibility. Building early visibility into supplier capability and regional availability is now a key differentiator.
Procurement frameworks vary across agencies, asset owners, and delivery partners. Different templates, approval processes, and evaluation criteria create inefficiencies that slow mobilisation and increase administrative overhead. Consistency in approach, particularly in supplier onboarding, compliance, and assurance, remains one of the biggest opportunities for improvement across the sector.
Infrastructure projects continue to face material inflation, logistics bottlenecks, and workforce disruption. These pressures flow through to tender pricing, contract variations, and claims management. Procurement strategies that emphasise flexibility, early engagement, and market insight are proving more effective at maintaining delivery performance.
Despite heavy investment in systems, many organisations still operate with fragmented supplier data. Performance metrics, insurance records, and safety or ESG documentation often sit in separate systems. Integrating supplier data into a single view is helping teams detect early warning signals, manage risk proactively, and make better commercial decisions.
Procurement teams must now deliver both global efficiency and local participation. Projects are expected to demonstrate regional employment, supplier inclusion, and sustainability outcomes—while still managing cost and schedule. Achieving this balance requires structured supplier development and transparent reporting frameworks that connect local value creation with broader project goals.
Complex delivery models have extended supply chains deeper than ever. Risks often sit several tiers down, where oversight is limited and accountability unclear. Modern procurement approaches are introducing clearer escalation protocols, data requirements, and risk-sharing mechanisms across all supplier levels to improve visibility and control.
Climate disclosure, modern slavery, and sustainability reporting are now permanent features of procurement. Each new standard introduces new documentation, validation, and data-assurance requirements. Procurement leaders are embedding ESG within evaluation criteria, supplier readiness, and contract governance to strengthen transparency and trust across the supply chain.
Procurement is becoming a more integrated and strategic discipline—linking supplier performance, regulatory assurance, and delivery outcomes. As infrastructure investment grows, teams that align governance, data, and supplier capability will set the pace for stronger, more accountable delivery across the sector.
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