These past years have seen multiple big changes in the way organisations meet their business objectives. Digital transformation on its own has brought with it extraordinary levels of increased efficiency, highly personalised services and process automation.
P2P has also been evolving at a rapid pace, there are a lot of factors now, new and old, involved in the success of a P2P project: automation, optimisation, AI, blockchain, Big Data, the Internet of Things, RPA, RFID and many more. So where do we go next for efficiency gains?
The benefits of implementing an e-procurement solution go far beyond just increasing process efficiency, procurement teams can now play a strategic role in accelerating innovation within the business, in turn helping to achieve the wider business goals.
Procurement departments are increasingly investing in mainstream technologies that make the transition to digitalisation possible. Expanding the procurement departments role within the business, as a digital enabler, is vital for every company who wishes to keep their finger on the pulse.
One of the main, and most important, opportunities gained via digitising the procurement function is the reduction of the procurement cost function. When you properly implement digital technology, you minimise the ‘manual’ activities needed, in turn allowing additional time to be created for your teams to focus on more value-added activities.
Another big opportunity for procurement is the efficiency in the ongoing production of category plans through automation and data modelling.
Whenever considering implementing a digital transformation plan, it is vital for companies to consider, and measure, multiple aspects such as: standardisation, accuracy, consistency and efficiency.
Going digital effectively also directly contributes to the quality of data which can help your company in the longer term by providing stronger analytics, which makes decision making easier.
When we speak about consistency we mean the need for your procurement software to integrate with your ERP. This holds a key role regarding the whole process. Also, the cost of your chosen solution should be consistent with the performance and the size of your company.
Even though the opportunities are huge and having an e-procurement system in place can bring great value to the business, the adoption rate is still a concern among companies. In a recent article we discussed the matter in more detail.
Change needs to happen gradually, with a plan in place and clear processes. Suppliers and buyers need to work together and usually this is where the most time, effort and resources are needed to make things effective.
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