Companies, government agencies, universities and also school districts make use of the same traditional paper-based process to order items. Unfortunately, these processes aren't much unique of the people created twenty years ago probably. The normal practice of writing up a PO or purchase requisition on a paper form for signature approval is alive and well over the land.

With computer-based financial systems set up even, these organizations still utilize the antiquated paper-based system to order services and goods. This can bring about lengthy ordering processes, cost, and accountability overrun issues.

Please visit Accounts Payable Automation and Budget Management Software for more details.

Having an e-procurement software platform and just a little process revamping, your company can save money time and concentrate on driving down spend and providing an improved system to your stakeholders.

Listed below are the 3 basic areas an e-procurement platform can positively impact your organization:

Contract Compliance - Having less reporting capabilities and tools plague many organizations given that they cannot funnel their constituents in utilizing their sourcing contracts. Many companies are under great pressure to save lots of money and track their spend but don't have the various tools and process set up to adequately manage this.

Process Efficiencies - Moving from Paper to a Procure to cover (P2P) process and application inherently creates a far more efficient group of business rules, control and procedures points. Sometimes the decrease in Requisition to get cycle times could differ from weeks to days...and faster in some instances even.

Spend Analysis - Once your company is transactional and running tracking spend as time passes can be done efficiently with the correct reporting engine. An e-procurement tool can identify spend patterns and discover which vendors are receiving probably the most business. Instituting a practice of ongoing reviews of vendor throughput, allows the purchasing department to return and negotiate to price in line with the spend data.

In conclusion, taking your company from paper to an electric purchasing tool might help establish contract compliance, reduce PO turnaround time and invite for a stronger negotiating position together with your vendors. The 3 items which every continuing business must survive