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Paying more for a regional supplier is a judgment no model can make.

The Sourcing Paradox series · Week 3: The human barriers
October 23, 2026 by
Nathan Holman

From The Sourcing Paradox series · Week 3: The human barriers · First shared on LinkedIn, October 23, 2026

Graphic: Paying more for a regional supplier is a judgment no model can make. What the price doesn't show, in Procademai's view: resilience (shorter, more reliable supply when routes break), ESG (emissions, labor and reporting obligations) and relationships (access and priority when supply is tight). A model can price the trade-off. Someone still has to own the decision.

A model can price the trade-off. It can show you the unit cost gap, the freight difference and the lead-time difference. What it can't do is decide what that premium is worth to your business.

In my view, three things rarely show up in the price:

Resilience. A shorter, more reliable supply line when routes break.

ESG. Emissions, labour standards and the reporting obligations that come with them.

Relationships. Access and priority when supply is tight.

Weighing those takes judgment about your strategy, your risk appetite and your customers. That's a leadership call, and it's the kind of work that keeps procurement strategic as AI takes on the analysis.

It's also the idea at the centre of The Sourcing Paradox: AI makes the analysis faster, and that makes human judgment more valuable, not less. The report sets out five structural barriers to replacing procurement outright, and what leaders can do to build on them.

Have you paid a premium for a regional supplier and been glad you did?

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This post draws on The Sourcing Paradox, a free Procademai™ report for procurement leaders and professionals (section 3.4).

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Prepared with the assistance of AI; errors are possible. Views are Procademai™'s unless a source is cited. Organization names belong to their owners; mention does not imply endorsement.
© 2026 Procademai / Holman & Holman LLC. Procademai™ and Holman Group AZ are affiliated brands of Holman & Holman LLC. Other affiliated business interests exist and apply where used.

Nathan Holman October 23, 2026
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