In today's business world, procurement is an essential component of any organisation. Traditionally, procurement involved trial and error to find suppliers who met your day-to-day needs, as well as endless paperwork with the procurement department and vendor. Fast forward to digital India, where procurement has taken a new turn due to emerging technology. Providing alternatives to traditional procurement methods by E-sourcing / E-procurement.
Pain points of Traditional Procurement That Managers Face:
- Every company has a purchasing department where the production and operation activities are directly dependent on the purchasing department completing commitments on time. The commitment being best pricing for the quality, vendor capability to fulfilment & on-time deliveries. As the Result if this traditional method of people relying on the organization’s fulfillment to be able to allocate trustworthy vendors for timely delivery has a negative impact when not met.
- We all know how time consuming it is to match invoices with purchase orders from multiple vendors and keep track of all spending, let alone follow up and compliances with vendors for receipts, purchase orders, invoices, and other items.
- The hassle of finding vendors that match three main aspects: availability, capability, and competitive pricing.
How Technology Has Helped Transform Traditional Procurement ?
- E-Procurement will help you automate and bring online the entire manual process of issuing RFx/Tenders. Not only would eliminating manual work and paperwork save you time and money, but you'd also have a much more transparent process for managing the entire bidding.
- Companies that do not track or track inefficiently the quality of incoming materials are more likely to end up with low-quality materials. Despite the fact that a high-quality vendor can solve half of your procurement problems, finding one is difficult. Eprocurement makes your procurement process transparent.
- Instead of hiring someone to complete important tasks, technology can be used. This frees up time for your procurement team to work on more complex tasks in the procurement process.
- With e-procurement in the light providing software-driven business solutions keeping in mind to bring forward the best categories for office supplies etc shifting the dependency from people to system driven process.
- E-procurement companies like Nxtby.com with software-based processing stores your purchase orders, invoices, management information system reports, etc saving time and paperless processing.
- In E-procurement not only are the processes simplified bringing efficiency within the team with systematic processing , but also brings an improved supply chain system enabling multi delivery for your multiple branches & competitive pricing for quality.
Impact of E-sourcing / E-procurement by Indian Companies:
Sources: hindustan times , research gate - impact of e procurement on indian industries , procurement efficiency -indian company adopting esourscing platform
