Buying smart is very important if a company wants to achieve good results. Therefore, the procurement area should be strategy-oriented and well structured. With the arrival of technology, what used to be bureaucratic and time-consuming chores is now simple, fast and organized. And all such improvement is due to e-procurement solutions.
But while such solitions revolutionize the procurement process, many managers are still unaware of all possibilities offered by this type of solution. Is it your case? If so, learn here how it works and all its benefits.
What is e-procurement?
E-procurement (which can be also called electronic delivery) refers to the automation of all required stages to make purchases in B2B markets. Unlike conventional e-commerce, which allows buying and selling on-line only, e-procurement involves everything from prospecting suppliers to closing purchases.
Within e-procurement, you can use e-sourcing, which conducts the search of suppliers, and e-learning, which offers customer education prior to purchase – while ERPs have the function of integrating data from different areas.
How e-procurement impacts the procurement area?
The solution changes the way negotiations and purchases are conducted, and impacts the industry in a direct and positive fashion.
For a long time, B2B purchases had been done in a manual and non-strategic way. With the use of e-procurement, the sector becomes even more important to improve the company’s results, by enhancing and also impacting Procurement Management.
The solution can also standardize the cycle of goods and purchases, avoiding –for instance – the risk of shortages for the company.
What are its key benefits?
Changes caused by e-procurement generate benefits for the whole business. With the most adequate tool and correct use, the key benefits include: cost reduction, process agility, clearness and objectivity for decision-making processes, better customer service and competitive edge.