Can Telenor and Vodafone Streamline Procurement Together?

Telenor Group and Vodafone Group now operate a joint procurement strategy, linking their procurement arms to maximise savings and create more robust supplier relationships.

The new partnership brings together Telenor Procurement Company (TPC) and Vodafone Procurement Company (VPC), combining expertise, reach and purchasing power to reshape how both telecoms giants handle sourcing.

Together, the two procurement units manage more than €26bn (US$27.6bn) in annual spend, covering 23 countries and reaching over 550 million customers.

The agreement is designed to streamline operations, reduce supplier complexity and align procurement efforts in an increasingly unstable geopolitical landscape.

Both companies make it clear that sustainability remains central, with a shared approach to environmental and social governance (ESG) across all sourcing decisions.

Thomas Skjelbred, Group Chief Procurement Officer and CEO of TPC, comments: "This partnership will further strengthen Telenor’s competitiveness, ultimately increasing value for our internal operations, associated companies, external customers and shareholders.

"Collaborating with Vodafone, we will expand our reach, address common challenges and navigate a reshaped global supplier landscape driven by ongoing geopolitical and technological shifts."

Combining expertise across continents

Vodafone Procurement Company, which operates under Vodafone Procure & Connect, is based in Luxembourg.

It includes Vodafone Roaming Services and provides supply chain and connectivity services worldwide.

Telenor Procurement Company, a wholly owned subsidiary of Telenor Group, leads Global Category Management for Telenor’s business units and joint ventures, managing sourcing processes and global category performance.

By joining forces, the two procurement units align sourcing strategies across Europe, Africa, the Nordics and Asia.

Vodafone brings strength across European and African markets, while Telenor contributes deep market experience in the Nordic region and Asia.

The geographic split opens sourcing opportunities across both mature and emerging markets.

Their combined approach increases access to broader supplier networks, delivers cost efficiencies and helps unlock better value from procurement processes.

The scale of the alliance allows both companies to optimise purchasing in key areas, while also making procurement more accessible and manageable for suppliers.

Ninian Wilson, Vodafone Group’s Supply Chain Management Director and CEO of Vodafone Procure & Connect, says the collaboration makes engagement easier for partners.

“By combining our scale, complementary footprints and competencies, we will drive sustainable efficiencies and greater innovation for our customers,” he adds.

“At the same time, we will simplify engagement for our partners, reducing administrative burden and duplication in an increasingly complex environment, while opening new opportunities to our suppliers and partners.”

Supplier access and simplification

Procurement leaders face mounting complexity, with rising regulatory expectations, digital transformation and increased pressure from suppliers.

The new partnership targets the complexity head-on. By centralising purchasing activities and harmonising procurement categories, Telenor and Vodafone aim to remove duplicate processes, speed up decision-making and build stronger, more efficient relationships with suppliers.

Simplifying supplier engagement is a priority. By creating clearer entry points into both organisations, the joint operation aims to reduce the admin workload on supplier partners and open new opportunities for innovation.

The combined structure gives both companies better visibility across shared supply networks, allowing for consistent performance management and quicker alignment on goals.

Cost control remains a core target, but the partnership also focuses on building long-term resilience into supply chains.

Geopolitical shifts, energy market pressures and technology regulations continue to test supply consistency and both companies view closer collaboration as a way to respond faster and manage disruptions more effectively.

Shared ESG standards and stronger resilience

Alongside procurement savings, the alliance focuses on integrating ESG standards throughout its supplier relationships.

Both Vodafone and Telenor operate sustainability-linked procurement models, applying environmental and social benchmarks to supplier decisions.

Each organisation commits to sourcing responsibly, reducing emissions and promoting fair labour practices.

The partnership makes those targets easier to manage by consolidating processes and setting clearer expectations for suppliers across both companies.

Shared ESG commitments give the alliance a consistent framework for evaluating risk and encouraging suppliers to improve performance in line with those values.

The collaboration strengthens risk mitigation. By pooling knowledge, technology systems and supplier partnerships, both procurement units plan to reduce the effects of future disruptions, maintain supply in critical areas and adapt to change without compromising service delivery.

With a joint annual spend exceeding €26 billion (US$30.5 billion) and operations spread across 23 countries, the combined procurement capabilities of Vodafone and Telenor put them in a strong position to manage cost, simplify sourcing and embed sustainability at the heart of operations.

For suppliers and partners, the message is clear: working with both companies now comes with fewer hurdles and broader reach.