Talent & Organization

Procurement training ROI: the 2.6x return most CPOs leave on the table

Top procurement teams get 2.6x higher ROI than peers by doubling training hours. Most CPOs still underfund development despite clear data. The evidence is not the problem — the business case they present to finance is.

2.6x

Higher ROI for Digital World Class teams vs. peers

Like earning $2.60 for every $1 spent on training, instead of $1

Training hours per employee in top teams vs. peer organizations

Top teams literally invest twice as much time developing their people

70%

CPOs who struggled to attract talent in the last year

7 out of 10 procurement leaders can't hire the people they need

2.6x

The ROI gap between the best procurement teams and everyone else is bigger than it sounds. It means the average team leaves more than half its potential value on the table — not because they can't find savings, but because they haven't trained their people to find them.

The Business Case Problem

Cost-Based

"We need $150K for training this year." Finance sees an expense with no promised return. Approval takes two budget cycles — if it comes at all.

Budget denied or delayed

Return-Based

"A $150K investment in training yields $390K in savings within 12 months, based on the 2.6x ROI observed in top-quartile teams." Finance approves in one meeting.

$390K return within 12 months

Three Steps This Quarter

Build the return-based business case before the next budget cycle. Use the 2.6x benchmark, adjusted for your organization's spend volume and team size.

Redirect 28% of transactional time toward strategic work. Automate the repetitive tasks. Free your team to do the work that generates the 2.6x return.

Double training hours and measure the result. Track the metric that top teams track. If you can't measure it, you can't improve it — and you definitely can't fund it next year.

Jargon Decoder

ROI Return on Investment — how much money you get back for every dollar you put in. 2.6x means $2.60 back for every $1 spent.

CPO Chief Procurement Officer — the most senior procurement leader in a company.

EBITDA Earnings Before Interest, Taxes, Depreciation, and Amortization — a measure of company profit that shows how much cash the core business generates.

COE Center of Excellence — a central team that owns strategy, tools, and best practices. Like a central training academy for procurement.

Digital World Class A Hackett Group benchmark for the top-performing procurement teams globally — the top 25% on efficiency and effectiveness.

Business Case A document that explains why an investment is worth making — how much it costs and what results it will produce.

Sources: The Hackett Group (2025), Deloitte (2023, 2025 Global CPO Survey), McKinsey & Company

Rzzro

Procurement, quantified.