Why mid-market companies should invest in an eProcurement system?

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There is a real shift in the wider commercial world. We see the media highlight high profile, large-scale project failures from established companies and at the same time we see consumers choosing fresher ways of working, delivered in a more agile way that better reflect their needs.

The shift we have been seeing over the last few years is that larger, commercial organisations are increasingly following the consumer path with greater freedom.

If you thought that only big corporations with high spend numbers are fit for using an eprocurement system, we as Source to Pay implementation specialists beg to differ.

When it comes to procurement transformation, size does not need to be a barrier when you are looking to solve your business challenges.

Until recently, Business Spend Management systems (digital platforms that support the Source to Pay lifecycle) have been designed and targeted at large, often global organisations, requiring lengthy implementations and sizeable investment.

However, through a combination of cloud technology, more agile implementation and significant investment in functionality to support broader business processes, BSM solutions offer enormous benefits to any organisation who recognises the need to adapt and evolve.

 

The benefits of an eprocurement system for mid-market organisations

A Business Spend Management system lowers the cost of each transaction as it guides employees through the purchase request process. The BSM Supplier Portal automates the invoice registration process, capturing invoice data electronically, removing the need of paper. Invoice matching and validation is automatic with discrepancies flagged for troubleshooting. In turn, this leads to a shorter cycle between the receipt of an invoice and authorisation, creating an opportunity to harness any available early payment discounts.

A BSM system gives you fast access to your outstanding, future commitments and provides a full picture of your expenditure. It captures all your purchase commitments and request activities and makes the data available in easy-to-view summary dashboards with drill-down to more detail.

With a BSM system you can define your authorisation policies and ensure compliance. Within a pre-designed framework, it verifies expenditure requests against your policies and automatically sends them through to the right people for approval.

eProcurement solutions are targeted at any organization that recognises the need to adapt and evolve and we believe that to be successful technology must play a part.

 

Want to start your journey to procurement transformation?
Reach out to our procurement consultants procurement@xoomworks.com .