Key Features That Must Be Considered While Choosing Procurement Software

25 - August - 2022
 
 

Introduction

Choosing eProcurement software is crucial as it serves as a driving force in your business procurement cycle and supply chain management.

In today’s blog, we are going to discuss every aspect that you should know before selecting an eProcurement software for your company.

 

What is eProcurement Software?

eProcurement software is a cloud-based solution for your business that facilitates you through each stage of the eProcurement process.

It provides automated ways to carry out the goods or services purchasing, invoicing, delivering, and supplier management processes using centralized software.

 

What are the features of eProcurement software?

Centralized hub – it serves as a unified platform for all the procurement processes

Supplier Management – Easy to manage suppliers, order details, and all the details associated with suppliers

Spend Insight – it should give you a clear vision and details of your spending based on department, categories, areas, or others that you set the criteria on.

Reports – You can get automated generated reports based on your requirement. A wide range of options are available to cater to your need and you can select the options accordingly.

Cloud-based model – since it is a cloud-based model, therefore, is no need of worrying about physical storage, and can be accessed from anywhere

Customization – different customization options are available based on your business requirements, so you can mold the process flow as per your business outline

User-Friendly Interface – It should be easy to use and have a clean interface that provides the user the ease to use the system without any difficulty or ambiguity

Communication Channels – the software should have a smooth communication channel to communicate within an organization with concerned personnel and external suppliers as well

Efficient and Transparent workflow - All the processes, the purchase requests, the order status, approvals; everything is efficient enough to save time and allows the smart workflow. Thus, every person who is involved in these processes remains updated and can track the process

 

What factors are important for eProcurement?

Few factors are decisive for eProcurement, and if catered properly, then surely, you’re going to get the eProcurement implementation successfully.

Let’s take a look:

 

eProcurement Processes

One should have streamlined procurement processes in your organization and the process flow of each step is well-defined and clear. So, if you are clear with your process requirement, the eProcurement software will do the right job for you.

 

System & Technology

Here comes the most integral parts: technology and system. These both go hand-in-hand. To implement and use the eProcurement systems, you need to have the updated and upgraded systems at your place and must be having the best technology solutions to experience the seamless process and functionalities provided by this software.

 

Adaptability to new eProcurement Practices

It is very pivotal that your organization and all the working personnel must willingly accept this new positive change in the traditional working environment. All the staff must be educated and should have been provided adequate training sessions to bring this eProcurement software into functioning and make the most of it.

 

What are the advantages of implementing eProcurement?

As we have discussed the features an eProcurement software must possess, are the factors it must have.

Now let’s take a look at the advantages of implementing eProcurement in your organization:

✔ Independency from the data storage devices

✔ Lessen procurement risks

✔ Minimize invoice delays, redundancy of data or requests

✔ Track of delivery and payments

✔ Transparency among different process workflows

✔ Automated purchase order and invoicing details

✔ Track record of all the previous purchasing orders, requests, invoices, and deliveries

✔ Inventory management control of the goods

✔ Supplier management and performance tracking

✔ Eliminates dark purchasing

✔ Removes approval bottlenecks

✔ Strengthen supplier relationships

 

How will you determine the success of eProcurement implementation?

Measuring the success of an eProcurement software implementation is based on various factors. All the performance measures must be clearly stated on the grounds they are determining the success ratio.

Also, KPI (key performance indicators) must be linked to the major expected benefits from eProcurement. The key factors that help you to indicate the success of eProcurement system include:

☘ Number of e-transactions to date

☘ The potential of recorded savings as eProcurement solutions gives you leverage to negotiate a price with suppliers

☘ Number of end-users who have adopted the use of automated software solution

☘ Improvement in supplier relationship management in terms of communication, frequency of orders, payment, and on-time delivery

☘ Improved accounting processes

☘ Supplier financial scorecard results which show the spending details for each supplier over a definite period

☘ Enhanced MIS (Management Information System) gives you a better picture of the decision-making, analysis, and information visualization in terms of charts and reports

☘ Credibility in payment terms and agreed terms and conditions fulfillment

 

Final Words

Hopefully, we have answered all the basic queries you must be looking for while getting the eProcurement software solution for your business.

It is not just about getting any XYZ eProcurement solution, but the features it must possess, and the constructive results that you are getting out of it.

We emphasize you try out BusinessBid eProcurement Software Solution. You can book a Free Demo as well. It covers all the major benefits an eProcurement system must possess. So try this, and you will thank us later!

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