Oracle bets on agentic AI for its procurement solutions, adding new app to SCM

Oracle launched Design-to-Source Workspace, an AI procurement app that automates supplier sourcing from design files, reducing manual entry by 50-60%. The tool is now available in Oracle SCM for retailers managing product development and sourcing workflows.
Large brands using Oracle for backend operations could see faster product launches and better supplier negotiations through automated RFQ processes. Sellers should monitor if their retail partners adopt this tech, as it could accelerate private label competition and change procurement timelines.
This accelerates the trend of retailers using AI to streamline private label development, potentially increasing competition for marketplace sellers in categories where retailers can quickly source alternatives.
Monitor Oracle-powered retail partners for faster private label rollouts that could compete with your products in similar categories.
Track procurement cycle changes if you're a supplier to major retailers using Oracle SCM systems.
Bottom Line
Oracle's AI procurement tool means faster private label development for major retailers.
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Analyst Intelligence
Research or editorial analysis that adds market context beyond the official announcement.
Impact Level
medium
Oracle's AI procurement tool means faster private label development for major retailers.
Key Stat / Trigger
50-60% reduction in manual procurement entry
Focus on the operational implication, not just the headline.
Full Coverage
Oracle’s latest wave of artificial intelligence (AI)-enabled applications among its “ Fusion Agentic Applications,” in the Oracle Fusion Cloud Applications portfolio, now includes an app specifically geared to bridge engineering and procurement processes.
Dubbed Design-to-Source Workspace for product lifecycle management (PLM), the application is intended to speed up sourcing outcomes based on design decisions. According to Oracle, the AI-powered software achieves these outcomes by processing data related to cost, supply and risk to improve sourcing.
75 retailers in Digital Commerce 360’s Top 2000 Database used Oracle as an ecommerce platform in 2025. Those retailers combined for more than $132 billion in 2025 ecommerce sales. The Top 2000 ranks North America’s largest online retailers by their annual ecommerce sales.
Meanwhile, more than 160 of the Top 2000 online retailers in North America used Oracle NetSuite as a marketing automation platform in 2025. Those retailers combined for more than $20 billion in ecommerce sales that year.
Although Oracle has not confirmed the total number of people it laid off in late March 2026, estimates indicate the cuts will affect 20,000 to 30,000 employees globally. What does Oracle’s new agentic AI solution for procurement do?
“Think of this workspace as a cross-functional partner that speaks both languages: engineering intent and sourcing execution,” explained Lucia Ligamari, who works in product marketing for supply chain at Oracle.
Ligamari wrote in a corporate blog post for Oracle that Design-to-Source encompasses a workspace for users, created to take product specifications and translate them “into qualified supplied options.”
In addition, it offers options to simulate costs and lead-time tradeoffs, as well as execute requests for quotes and coordinate communications between buyers and sellers. She sees a central part of the application’s value stemming from its interruption of manual steps.
Those steps include tasks often required between the engineering design stage and the request for quotes. How Design-to-Source could speed up processes between getting quotes “One of the biggest drains on time is the manual bridge between CAD and sourcing tools,” Ligamari said.
“Designers finish a CAD update, then someone has to re-enter item details, interpret requirements, and stitch together documentation for RFQs.” For Design-to-Source users, Oracle leverages an AI agent to assess uploaded design files. It then automates workflows to create items, identify suppliers, assess risk and proceed with procurement.
Ultimately, the solution is meant to limit handoffs that would otherwise result in delays, errors or missed opportunities. The company estimates that the application could reduce manual entry by 50% to 60%. In doing so, Oracle says it boosts the accuracy of output.
Moreover, it claims the app saves time that users would otherwise spend on tracking, coordination and re-entry. The new features are already enabled within Oracle Supply Chain & Manufacturing (SCM), according to Oracle’s documentation. Design-to-Source is accessible through SCM’s News feed page using the Ask Oracle function.
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Original Source
This briefing is based on reporting from Digital Commerce 360. Use the original post for full primary-source context.
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