There are most likely dozens of benefits that your company can realize from implementing an eSourcing platform.
The nine I will share today eliminate the most common pain points CPOs share with me.
What I find interesting is that the implementation is a sign that the company is moving forward, and then the procurement staff gets excited to have tools to do their job better.
The excitement can grow throughout the company if the purchasing process becomes easier to understand and use.
Here are nine benefits for your consideration:
- Formalizing the process will be a signal to your suppliers that you are focused on controlling spend in all categories
- Creating and increasing competition – the system will help you maintain a consistent and standardized negotiation process – some suppliers who have relied on offline deals will realize that those days are gone
- Demonstrating good faith – one portal for communication means you will have one version of the truth and the reduces or eliminates the likelihood of backroom negotiations
- Enhancing efficiency and process improvement – eliminating redundancy and reinventing the wheel each event
- Strengthening controls – eliminating offline tools including spreadsheets, PDFs, documents and email that are prone to error and nearly impossible to track and maintain
- Improving knowledge capture, transfer, reuse and analysis – people need rapid access to information when they are making decisions
- Cycle time reductions – repetitive tasks automatically handled for example: supplier registration and updating, invitations, reporting, error checking and analysis
- Enhancing data security – protection that is vital today
- Controlling rogue spend – making access to the system for stakeholders and collaborators easy will motivate folks to use procurement more frequently
There is one other benefit that I believe is essential.
For companies and organizations that rely on offline tools and systems especially spreadsheets – when the author of a spreadsheet leaves the knowledge goes with them. When the information is in a centralized system with a history of all past events the next person can be trained and ready to go in days. They won’t have to reinvent the spreadsheet if it is a challenge to figure out. If the spreadsheet has errors, they won’t be made again.
The upside is significant and will give you a decided competitive advantage over your counterparts and prevent you from falling behind if they have already implemented an eSourcing platform.
Action Step: Finding the right system for your needs can seem like a challenging process but it doesn’t have to be. If you are uncertain where to start a procurement professional like myself can provide guidance and expertise to help your organization achieve the results you need.
If you want to go explore this topic in greater detail, please contact me. I invite you to request 30-minute discovery conversation. In my experience the next step will be apparent at the end of the call. I never assume that what I have to offer will be right for everyone, so don’t expect a sales pitch. You can reach me at 973-936-9672.
If you would like to know more ways to reduce costs without changing the way you do business, simply give me a call or send me an email with your contact information and the best time to reach you.
You Won’t Drift to Success©
Think about it and then take the next step.
Until Next Time, I Wish You Great Success in Your Business and in Your Life