Driven by the health crisis–-and the urgent need for an efficient supply chain–-the University of Luxembourg and the ministry of economy have created a chair in digital procurement. "I am delighted with the creation of this new chair at the university. Procurement and technology are among the most important areas,” said Claude Meisch (DP), minister of higher education and research. 

Organised by the centre for logistics and supply chain management (LCL) of the faculty of law, economics and finance, the project will be funded for a period of five years by the ministries of economy and higher education. A total of €215m will be allocated to this project starting in 2021.

The creation of the chair in digital procurement is supported by the CPO Club, an organisation made up of major players in the region, such as ArcelorMittal, Ferrero, Amazon, and Vodafone, companies that operate their purchases from Luxembourg.

Lessons learned during the health crisis

From this academic year, the master’s degree already existing and dedicated to logistics and supply chain management will be equipped with a digital procurement module. Then, in September 2021, it will become a full specialisation of the master’s, with a focus on student-business partnerships, the impact of technology and machine learning in procurement.

"By training qualified experts in a specific field, the new chair strengthens the dynamism and positive development of Luxembourg as a hub for logistics and supply. With digitalisation and new technologies, purchasing operations are indeed considered strategic for the management of a company’s supply chain," explained economy minister Franz Fayot (LSAP). 

The global covid-19 health crisis weighed heavily on the decision to create this new chair. "Very large players in Luxembourg are at the centre of this demand. Efficient procurement is essential within companies, and the pandemic has highlighted this aspect. Luxembourg is less vulnerable than other countries in the event of a crisis," the minister added.

This could be a strategic choice, given that nearly 295,000 m2 of logistics space have been built in Luxembourg since 2013, and that 700 companies--employing 13,000 people--are involved.

This article was originally published in French on Paperjam.lu and translated and edited for Delano.