Top 5 Reasons You Need Procurement Tracking Software

Top 5 Reasons You Need Procurement Tracking Software

Once upon a time, companies had to manage purchasing departments and procurement management as though it was the Dark Image of a paper pad for an article about the top 5 reasons you need procurement tracking software.Ages. Everything was done by hand—there were no computer software programs to help, there were no emails, and there were no spreadsheets. 

Everything was written and manually filed, and all vendor and supplier contact was performed via phone or face to face, which was a heavy load on a procurement manager and could take a lot of time to perform the simplest of requests. 

Today, the procurement management process doesn’t look like that at all, and you have easy procurement software and procurement tracking software to help you along the way. 

Read on to learn more about software procurement best practices, procurement tracking software, and why you need different procurement software to streamline your process.

Procurement Tracking Software and Management Software: What Is Procurement Software?

 

Procurement software can cover many areas, and not all software is comprehensive, meaning you may want to look for a full suite to meet more of your procurement needs. Or, you may prefer to use several different types of procurement software that offer more robust features and connect them using API’s, instead of a suite option that may provide minimal features for each type. 

Fundamentally, procurement tracking software and other software should integrate seamlessly into your enterprise resource planning (ERP) software, whether using Oracle, SAP, or a different type. You want to look for a procurement software platform that offers basic functions, such as:

 

  • Creation of POs (purchase orders)
  • Verification of POs with your suppliers
  • Submission of POs to in-house staff
    • Automation (procurement automation software) that sends POs to suppliers
  • Inventory maintenance
  • Data collection and analysis, also known as Spend Analysis
  • Sourcing
  • Award Management 
  • Contract Management
  • Supplier Management both on-boarding and performance management
  • Supplier Risk Management

Often separate from standard procurement tracking software and general software is procurement auction software. This can help you with soft (dynamic) or static auctions, reverse auctions, or regular auctions in the procurement process. You may find that auction software may have vendor management features built-in as well. 

 

Procurement Tracking Software: What Does Tracking Do?

 

You’ll find procurement tracking software part of most E-procurement suites or packages. The tracker generates a report of all goods (or services) currently in the procurement process, so you can see their status in real-time. A great feature of software, procurement strategy is much improved when you use the tracker. Looking at tracker reports can eliminate quite a few unnecessary phone calls or emails, or allow you the chance to focus on more strategic activities. Seeing a report in real-time is an integral part of an E-procurement software demo.

 

Procurement Tracking Software: Why Procurement Software Is Beneficial

 

Essentially, there are five reasons (and more) why procurement tracking software and procurement software are essential to procurement management. They are:

  1. Reductions in mistakes and errors. There are far fewer errors than when you perform processes by hand.
  2. Cost-effective. Using procurement software can save money and boost efficiency. 
  3. Reductions in maverick spending. It helps you follow the procurement process to the letter.
  4. Streamlined process. There are no more complicated processes to work through. 
  5. Transparency throughout. This benefits both you and your suppliers provide an ethical workplace, and a mutual benefit is good for everyone. 

To hear more about procurement tracking software, or to request a procurement software demo, contact EC Sourcing Group today by calling 866-353-9737, option 1. We’re here to help you navigate the procurement process.