Why use a Business Spend Management (BSM) system?BSMs are digital platforms that support the source-to-pay lifecycle and offer enormous benefits to any organisation who recognises the need to adapt and evolve. They are focused on gathering all the information required to analyse and support decision making for your business spend function. With a BSM, routine finance and accounting tasks are automated, dramatically reducing paper-based and manual activities and freeing up the finance function to focus on more strategic or sophisticated work. A BSM drives operational efficiency into your organisation and delivers savings, helping to fine tune processes and giving you the visibility and oversight of your business expenditure so you can make the right decisions.
Other significant benefits include:
- Procurement: becomes a more agile because processes are streamlined, pre-configured and automated, reducing approvals and improving control. Bringing spend under procurement and finance management also generates significant savings, often 5%+ of external spend.
- AP department: increases efficiency because automated processes reduce unnecessary time and effort spent on manual administration or in tracking down information that relates to specific invoices. Moving to touchless processing delivers savings but also allows the team to focus on other aspects such as working capital management, financing, and discounting.
- Supplier management: lets you get more value out of your suppliers, from establishing preferred supplier contracts, to improved delivery times, payment terms and quality. It will also be easier to optimise early payment discounts if you have a single lens on what is being spent in your organisation.
- Operational expenditure: oversight of past, existing and future financial commitment down to line item level gives you a complete financial picture for you to manage budgets and plan. Reporting: this is made much easier with statistical analysis and AI-powered insight into benchmark performance data. You’ll get full visibility into all your business spend data enabling you to make KPI comparisons and track progress.