Microsoft announced in early July that it is laying off 9,000 workers. This comes as a third wave of redundancies this year, taking the total number of job cuts to 15,000 positions.
It would be easy to assume that this latest 9,000 job cuts are just about downsizing to maximize profit. And yes, that’s obviously part of it.
However, these cuts signal something much more significant. The real story here is that companies are eliminating roles that don’t align with an AI-first approach to operations.
They’re parting company with employees who lack the skills or mindset to adapt to an AI-first environment. This is the harsh reality of technological progress.
But, ponder this for a moment, and there’s an obvious silver lining.
Nobody has extensive experience working in an AI-first company. Not even people at cutting-edge tech companies. Mass adoption of apps like ChatGPT, which use Large Language Models (LLMs), has only been a thing for around three years.
We’re all learning as we go to some extent – and I’m certainly one of them.
So, this creates a massive opportunity for early movers. Especially when it comes to younger or more open-minded team members. Folks who would otherwise have been stuck waiting for someone to retire before they get a promotion.
The playing field now is much more level. Experience doesn’t matter as much as adaptability.
The Writing’s on the Wall
Microsoft’s move teaches us a critical lesson. Future companies will hire people comfortable using AI tools.
They want employees who integrate AI into their daily activities. Any role, or person, resistant to this shift faces a bleak future.
The robots aren’t coming to take all of our jobs, but AI will dramatically reshape how we work. And also who survives and prospers in the workplace.
Procurement Teams Face Major Disruption
Procurement teams will almost certainly shrink. Look at all the administrative processes done manually today.
We constantly complain that procurement is under-resourced. But AI will soon handle much of the manual, repetitive work.
Procurement teams will feel bloated quite quickly. The manual tasks that justified larger teams will disappear.
AI can process purchase orders. It can analyse supplier performance. It can handle contract reviews.
The mundane tasks that consume procurement professionals’ time are perfect for automation. This isn’t speculation – it’s already happening in companies who are early adopters.
Here’s the reality: we’re going to have considerably fewer traditional procurement roles. Category Managers, Supplier Managers, Contract Managers, Buyers – these roles will shrink dramatically.
The stakes are higher than you think. It’s about taking steps right now, while we’re in this unique position to leverage change.
Failure to adapt will put many people at risk of losing their jobs. We can argue about percentages and numbers, but the direction is clear.
The Best Way to Survive the AI Wave
Here’s the empowering truth: you don’t need to wait for anyone’s permission to future-proof your career.
Becoming AI-native is entirely in your control. You can start learning these tools today. Make your daily work more productive and efficient. This becomes your competitive advantage.
Sure, your employer probably won’t pay for AI training courses. But that’s actually liberating. You’re not dependent on corporate budgets or training schedules. You set the pace.
YouTube has become the world’s biggest free university. The resources are there if you know where to look.
The beautiful thing about our times? Learning is democratised. You have the same access to knowledge as executives at Fortune 500 companies.
Taking your destiny into your own hands means you control the timeline. You choose what to learn and when.
This puts you ahead of colleagues waiting for their company to organise training. While they wait, you’re already building skills.
Take Action Now
What really needs to happen to feel more secure professionally? Carve out time to learn these tools.
I get it – you’re juggling countless other commitments and your job is already stressful enough.
But here’s the thing: investing in AI skills now is investing in your future security. It’s the best insurance policy you can buy.
Consider having that conversation with your boss. Be proactive about expressing interest in AI tools.
Position yourself as someone who’s forward-thinking and solution-oriented. This makes you valuable, not vulnerable.
Your employer might surprise you. They could provide time for learning or even resources you didn’t know existed.
This often happens when you’re the first to speak up. While others stay quiet or focus on protecting their current roles, you’re building tomorrow’s skills.
Being proactive sets you apart. It shows leadership qualities that managers notice and reward.
Team Leaders Will Value AI-Savvy Employees
If you’re a team leader, which employee will you find most attractive? The one who’s proactive and shows willingness to learn.
Even though there’s lots to be concerned about economically right now, opportunity exists. For anyone curious, proactive, and willing to take initiative.
For early movers, this will become one of the most in-demand skill sets. AI proficiency will make you indispensable.
AI Automation is Already Phenomenal
The level of automation possible with AI is extraordinary. Both generic LLM tools and specialised procurement software.
It’s only getting better as time goes on. When you look at the pace of development, predicting the future becomes easy.
You don’t need to be a genius to see where this is heading. The signs are everywhere.
The Procurement Roles That Will Survive
Not all procurement jobs will disappear. But the nature of work will change completely.
Strategic roles will remain. Relationship management will stay important. Complex negotiations need human judgment.
But the army of people processing paperwork? They’re already redundant. They just don’t know it yet.
Companies will need procurement professionals who can work alongside AI. Not people who resist it.
Microsoft isn’t unique. They’re just first to act decisively, and other tech companies will follow. After tech companies will come traditional industries.
The pattern is predictable. Early adopters cut first. Others follow once they see the competitive advantage. You shouldn’t see this as a one-time event. It’s the beginning of a massive restructuring.
As a kid growing up in a coal mining town during the deindustrialisation of the UK in the 1980s, I saw first hand how complacency quickly turned to despair.
The Skill Gap Creates Opportunity
Here’s the paradox: while AI threatens jobs, it also creates opportunity.
Companies desperately need people who can bridge the gap. They need humans who can work with AI effectively.
This skill gap won’t last forever. But right now, it’s massive.
Those who develop AI skills quickly will command premium salaries. They’ll have job security while others struggle.
Learning AI isn’t optional anymore. Ignoring it is a bit like refusing to embrace email and the internet in the mid-1990s.
You might survive for a while. But eventually, you’ll become irrelevant. The transition is happening faster than most people realise, and Microsoft’s cuts are just the beginning.
Companies using AI effectively will dominate their markets. They’ll operate faster, cheaper, and more efficiently. Traditional companies will struggle to compete. They’ll be forced to adopt or die.
This creates a talent war. Companies will fight for AI-skilled workers.
By positioning yourself on the right side of this divide, you’ll be massively in demand. The procurement teams of the future will employ significantly fewer people overall than they do today.
What This Means for Your Career
Your career depends on one decision: will you embrace AI or resist it?
Resisters will find themselves competing for shrinking pools of traditional jobs. Embracers will have their pick of opportunities.
The choice seems obvious.
Microsoft’s 9,000 job cuts represent more than corporate restructuring. They signal the beginning of an AI-driven employment revolution.
For procurement professionals, this moment presents both threat and opportunity. Those who develop AI skills now will lead the transformed industry.
The window for adaptation is open, but it won’t stay that way forever.
