Technology Changes to Supply Chains Demand Good Leadership
Hidden Costs of Outsourcing and Offshoring for Financial Services...
Procurement Transformation - Be Careful What You Wish For
Cloud Computing Benefits Procurement in Two Ways
Balancing Customization and Business Process Change in an...
Benjamin Ho, Deputy Procurement Officer, City of Chicago Department of Procurement Services
High Performing SRM Cultures Require Technology
Ryan Nied, Executive Consultant, State of Flux
Partnering with Procurement to Increase Automation
Aaron G. Thum, Executive Director, Procurement and Vendor Management, GardaWorld Cash Services
Aligning Procurement Teams with Data
Jeff Stites, CIO, Diamond Foods
Thank you for Subscribing to CIO Applications Weekly Brief
Interesting Advantages of Procurement Technology Tools
E-procurement structures spend across providers and centralize tracking, allowing the buyer to leverage volume and reduce costs. This enables businesses to continuously track cost reductions and identify and address any gaps.
Fremont, CA: A wide range of industries are embracing technology to automate supply processes, resulting in significant bottom-line benefits for businesses through increased productivity, visibility, and cost-efficiency. At a high level, e-procurement allows firms to increase efficiencies in business transactions while also increasing their bargaining power. One of the key metrics used by benchmarking firms to assess the maturity of procurement organizations is the use of technology. As a result, it is critical to find the right tool and reap the benefits.
Some of the benefits of going the e-purchasing route include:
Improved Spend Visibility and Reduced Costs
E-procurement structures spend across providers and centralize tracking, allowing the buyer to leverage volume and reduce costs. This enables businesses to continuously track cost reductions and identify and address any gaps. It also aids in contract compliance, tracking vendor SLAs, and implementing scorecards, resulting in higher savings and increased supplier productivity.
Electronic catalogs make supplier product offerings available electronically and provide buyers with more product and price information. With the increased popularity of these catalogs, suppliers are moving toward offering a more standardized product, allowing buyers to more easily compare offers from different suppliers.
E-procurement aids in the automation of internal procurement processes such as purchase order tracking, RFX events, as well as supplier evaluation, resulting in increased operational efficiency. Because these activities can be completed without human intervention, the transaction time is reduced, and downstream processes are sped up.