Digitalization has revolutionized the way businesses function today and procurement is not left untouched. With the help of self-learning capabilities, cloud-based procurement solutions have unlocked the lucrative opportunities for business expansion with optimum efficiency.
E-procurement management software provides cloud-based procurement solutions with transparency and efficiency at every step of requisitioning, procuring, sourcing, handling, payment of services, and maintaining them sustainably. E-procurement ensures an organized system to keep the business costs under control; enforce compliance; select the right suppliers; and track supplier risks.
Many procurement management softwares are already being deployed in the market by various companies. A report by Astute Analytica foresees revenue growth in the global procurement software market from $6,115.4 Mn in 2021 to $9,654.8 Mn in 2026. But, selecting the right e-procurement management software for your company is also a time-consuming and strategic exercise.
Here, you will learn the features to look for the best e-procurement management software suitable for your business.
1. Considerable Cost Savings
With e-procurement management software, you can track spending on purchase v/s budget in a streamlined manner. The insightful data provided by the procurement solution empowers you to make reasonable purchase decisions based on comparisons between the respective suppliers and vendors, and historical spending data.
2. Policy Compliant System
With the software solution for procurement, you don’t need to worry about updating tax and policy compliances every time as its real-time reporting capabilities ensure updated compliances across the procurement management system. Also, you get real-time insights of suppliers performance in compliance with your standards, which makes it easier to select the right suppliers for your business.
3. Smooth Integration With Existing System
Good e-procurement management softwares are more versatile and attract greater ROI (rate of investment) than ERP-based systems and are designed to integrate with your existing ERP or accounts-payable system easily. With this, you can incorporate data, like business structures, employee workflows, hierarchies, supplier contracts, catalogs, etc., into your e-procurement system.
4. Mobile App Integration
Your e-procurement management software should also have a mobile app integration which increases operational efficiency, eliminates hardware costs, and ensures smooth supplier collaboration. Even in a mobile application, you must look for seamless working on the app, security of data on employees personal devices, and user-friendliness while reporting.
5. Supplier Network
The type of supplier network is the prime deciding factor for any e-procurement management software. The vendors should gauge the suppliers’ network of the procurement software and evaluate if it aligns with their existing network to create a powerful supplier network for their business. Along with analyzing your present network’s size and market presence, you must also compare the procurement platform’s network against your own supplier’s network base to maintain alignment.
6. Package Of features
You should also evaluate whether you need a flexible or an all-inclusive P2P suite. Businesses may need a complete suite, with all the features, from requisition proposals and approvals to reconciliations and invoice management, or a powerful requisition and purchase order management system to integrate smoothly with their existing procurement system.
To compete in today’s evolving markets you cannot play without digital technology. Even with your existing outdated databases and excel spreadsheets, you’re limited to your scale and would face unwanted issues with the same.
With an e-procurement management software in place, your procurement operations are bound to become efficient and flexible to avert supplier risks. You also have the option of testing your procurement solution before purchasing its additional features.