Is your company ready to compete in a global economy that is becoming
increasingly reliant on modern digital technologies? If you haven't yet
incorporated digital transformation into your overall business process
management strategy, you may find yourself catching up to—or worse, trailing
behind—your competitors.
One of the most productive and profitable locations to start your
digital transformation journey is digital procurement. If done correctly, using
a digital procurement platform, such as MavenVista, can have a significant and
immediate impact on the financial health and competitive agility of your
company. Educating yourself about the digital procurement system, why it
matters and what to look for in a digital procurement platform will help your
firm get started on the path to genuine digital transformation, ensuring your
ability to compete, innovate and develop today and in the future.
How Can Digital Technologies Assist
Procurement?
The latest generation of procurement technologies makes it easier than
ever to meet and overcome the most prevalent procurement difficulties. Let's
take a closer look at how each of the three key procurement functions is
affected by digital procurement:
Strategic Sourcing
In the age of digital transformation, strategic sourcing, also known
as source-to-contract, relies on complete transparency into—and full control
over—spend data and behaviour, including not just pricing and conditions from
suppliers, but also supplier performance and compliance data.
Strategic sourcing, when optimized through digital procurement,
ensures that your supply chain supports a healthy and streamlined value chain,
as:
· It is proactive, secure
and focused on supply chain resilience and business continuity protection.
· Real-time management
improves decision-making, budgeting and both short- and long-term spending
strategies.
· Advanced analytics are
used to forecast demand and future sourcing opportunities in order to take
advantage of discounts, minimize costs and avoid interruptions.
P2P (Procure-to-Pay)
It is the backbone of your
procurement process, touching every transaction from the purchase order to the
final invoice. eProcurement
services help improve user experience, reduce costly human mistakes and
increase productivity while lowering risk exposure by streamlining every step
of the P2P lifecycle.
P2P is now possible thanks to
digital procurement technologies.
· Process automation
makes things go much faster and more accurately.
· It reduces the
necessity for human intervention and the risk of human mistakes in high-volume,
repetitive tasks.
· Support for automatic reorders based on demand
and spend analysis is more proactive.
Risk and Relationship Management with Suppliers
Managing your supply chain
entails more than just locating raw materials and taking advantage of timely
discounts. Supplier relationships can help you take advantage of possibilities
you wouldn't have otherwise—and give the information you need for supplier risk
management.
Digital procurement enables
collaborative and strategic supplier relationships to be formed, tracked and
managed, making it much easier to compete effectively through strategic
sourcing and identify new opportunities to generate value, save money or form
mutually beneficial partnerships with your best suppliers.
The Digital Procurement Era Has Begun
eProcurement plays a crucial
part in the health and success of your business, from paying the bills to
collaborating strategically with your suppliers to keep your business healthy.
You can ensure procurement is helping you lead the pack in the battle for a
stronger value chain, greater competitive advantage and a genuinely agile and
resilient firm by investing in new technologies and ensuring you have a solid
digital procurement strategy.
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