How Automation of Procurement Operations via Software Makes a Difference
Digital Transformation of Procurement
Businesses of any size rely on procurement functions to create savings and value by controlling spending and cementing supplier relationships. Yes, digital transformation has penetrated the procurement function. Read on to find the benefits it has to offer.
An asset management software reaches its mature stage only upon covering asset procurement and recycling stages. Set the ball rolling by incorporating eProcurement software along with your CMMS software.
What to look for in Procurement software?
An effective procurement management software solution will include, at a minimum:
Storage of physical documents.
Built-in templates for quote requests, purchase orders, etc., for simplifying and speeding up the procurement cycle. Such templates provide the strength to negotiate prices.
Administrative Settings enable CMMS administrators to tailor user-based rights for different team members. Users can limit user access, generate work order templates, and specify search filter settings.
Ability to compare quotes from multiple vendors on the same screen to choose the best deal without strain.
An organized approach for purchase order management to avoid incomplete, missing, or inaccurate purchase order issues.
Quicker vendor response
A quote request or purchase order gets noticed, processed and evokes a response far quicker than manual enquiry.
The current business landscape has pressurized many companies to rethink and reconsider how they manage their procurement process.
Reliable reports on procurement operations
You can improve your Procurement operations by generating reports on the items ordered. These reports are more reliable than any manual report generated.
No invoice delays and duplicate payments
With procurement management software, you can easily track the delays in issuing an invoice, avoid duplicate payments, and check if the pricing and terms on an invoice match those in the purchase order and the goods receipt note(GRN). Such a comparison is much easier when using cloud-based software against local storage through automation.
How does automation help inventory managers?
Reduce the burden of inventory managers with the unwanted obligation to remember the current stock levels of each item. Let the procurement module do that and go further to adding items reaching minimum re-order levels automatically to the purchase list. It simplifies and eliminates delays associated with the approval process for spare and asset purchases.
Authorized purchases only
A single cloud-based procurement software application provides approving authorities a clear picture of who is requesting what and helps trace the genuineness of the purchase request. If every purchase takes place via the centralized software, there is no room for any unauthorized purchases, as every transaction can be tracked from cloud.
Procurement impact on business profitability
Procurement is thus undeniably a key driver in cost savings, contributing to the organization’s wellness and prosperity. With bulk purchases, companies can better negotiate prices, optimizing their procurement expenditure. It is high time teams move away from manual processes that lack the power and control to drive purchase efficiency and savings.