Getting Past ‘No’: A Procurement Guide to Budget Approval

This isn’t anything new. If you have worked in procurement for a while, you have already seen this. You walk into a budget meeting prepared with data, logic, and a solid plan to build a resilient supply chain. But ten minutes later, the head of sales walks out with a big check for a flashy new CRM tool, while you’re left fighting for scraps.

We have all seen this. Among internal teams, business leaders often listen to the demands of sales and marketing for capital funding. Why? Because they promise new clients, new deals and new sources of revenue.

In this process, leaders often overlook procurement and supply chain teams. They don’t think these teams can make much impact with digital transformation. Also, it is infinitely harder to get them excited about subjective metrics like lowering potential risks.

The result isn’t surprising. Despite playing a more strategic role and doing more with less resources on the team, procurement teams do not get budget approval. Their staff keeps waiting for the announcement of budget. And when it’s finally announced, it’s the same old story and they have to leave disappointed.

Here’s some data that supports this state of operations. 53% of CPOs say budget constraints are the biggest obstacle to deploying AI solutions, according to an Ardent Partners report.

The question now is: What should procurement teams do to get the leadership’s approval?

How can they get the capital they need so badly to digitally transform operations?

You Need to Yell Louder

This may sound obvious. Procurement professionals need to speak it out and be more persuasive. They have to advocate forcefully for their digital priorities. In doing so, they need to speak the language that the boardroom understands.

For too long, CPOs and CSCOs have relied on the technical elegance of their solutions to do the talking. They assume that if they show the efficiency data, the funding will follow. However, this rarely works.

The most successful leaders in procurement and supply chain are realizing that persuasion is a strategic capability. They are learning to "yell louder"—not by raising their voice, but by changing their vocabulary.

When they present an AI initiative, they shouldn’t just be talking about "process automation" and "sophisticated features." They should focus more on return on invested capital (ROIC), margin stability, and capital efficiency.

The former gets a polite nod from the leadership. The latter gets their signature.

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Three Tactics to Change the Conversation

Here are some key tactics that can help procurement get the leadership’s approval, according to the GEP Outlook Report 2026:

Build your AI roadmap

Procurement and supply chain professionals need to have a clear vision and roadmap for AI deployment. They can no longer rely on IT team to provide them with a roadmap. Instead, they need to take ownership of the project and build a plan that addresses their specific friction points. As they know the problems better than IT, they should own the solution.

Work closely with finance

Procurement must team up with finance early. Build the AI narrative in the language that finance understands. Don’t just show them the costs. Show them how AI can impact the income statement or balance sheet. This narrative can be far more compelling than sophisticated features of the solution. When you tell the AI story the "Finance Way," you aren't really asking for money. You're offering an investment opportunity.

Sell the outcomes

We love our pilots and our proofs-of-concept. But business leaders do not care about the experiment; they care about the result. Do not therefore think of AI deployment as an experiment with technology. Instead, place more stress on the outcomes of AI deployment. Identify and focus on the potential improvements in financial metrics. Will this reduce inventory holding costs? Will it secure margin against commodity volatility? Articulate the destination, not the journey.

Present a Strong Case

Procurement and supply chain teams must learn to yell louder. This does not mean they need to shout. They just need to present their story more skillfully.

When asking for more budget, teams need to back their demands with financial, quantifiable metrics.

By telling your story in the language of finance, you will most likely be heard because, finally, you are speaking the same language as the people who decide where the money flows.
So, for your next budget request, leave the technical jargon at your desk. Bring the P&L instead.