Cost Savings With EProcurement Software Solutions

eprocurement software is a web-based software which allows collecting, purchasing and managing the costs on selected goods and services online. It offers automated and digital tools to support companies, define vendor rules, and provides a higher level of visibility into the supply chain. Companies and people who want to buy products can browse and select the items they wish to buy with the help of an interface provided by the software. The selected items are then sent to their intended owners who pay through credit cards or any other financial transaction facilities provided by the vendors. Once the required items are received, their total cost is displayed and the company makes an investment in them.

With eprocurement software solution, it is possible for a company to reduce the overall expenditure required to run the procurement process. This software solution provides the ideal solution for a number of business activities like product research, contract management, and budget management. It helps the company manage its inventory requirements, track the cost effective buys and sells, identify supplier relationships, and make supplier payments more efficient. It also supports multiple workflows to enable different departments and teams to access and work with the same information at the same time.
Using eprocurement software allows suppliers to submit their quotes faster and saves time for both the supplier and the buyer. The suppliers who use this system can improve their productivity and this improves the bottom line. The time taken by the suppliers to submit their quote to the buyers can be reduced by almost 30%. The time taken by the buyers to compare the prices and suppliers’ quotes can be reduced by almost half as the suppliers’ quotes can be compared from a wide range of suppliers.
Another benefit offered by eprocurement software solutions is that they help improve the strategic control of the procurement functions. Strategic control refers to the ability to accurately forecast the demand for a particular product in the future. A strategic control solution reduces the risk of miss-outs while meeting the strategic objectives. With the help of strategic management, companies are able to efficiently plan for the supply chain investments. They can better align their operations with the desired objectives of the organization.
An eprocurement software package like kissflow delivers real-time insights into all aspects of the purchasing activity. It integrates with other systems such as KVS, BSC, CRM, MRP, and IETM. The resulting information helps users to quickly measure the performance of suppliers and to derive key performance indicators (KPIs). In addition, it also delivers critical data on vendors. This data can help the company to identify vendors who are not performing up to par and can be replaced with better vendors.
The software further helps the purchasing unit to align its future purchases with planned budgets. This enables the purchasing department to more precisely forecast the costs of the upcoming purchases and plan for them efficiently. In a nutshell, eprocurement software offers a comprehensive solution for a company’s entire procurement operations. Not only does it provide direct benefits to the company, it helps it achieve cost savings and improve quality of service.