How to get internal support for a full Purchasing Software System

We’re positioning the Free-Procurement Project as free “Purchase Order software” for a bunch of reasons that I won’t go into here but the free version of SpendMap actually includes all 12 modules, including requisitioning, receiving, supplier invoice approval, even inventory control and asset management.

If all you want to do is automate your Purchase Orders, that’s fine – just stick with the Purchasing Module.  The functionality is compartmentalized, so you don’t need to use all features/modules if you don’t want to.

But if you’re up for it, you can use SpendMap to automate everything from initial requisition all the way through to the approval of the supplier’s invoice and integration with your Accounts Payable system.  This is commonly referred to as “req-to-check” or “purchase-to-pay” (P2P for short).

If you intend to branch out into these other optional areas, however, you should be prepared to present a business case to decision makers and other departments that will be affected, such as the folks in Accounts Payable, department managers who will be approving orders online, perhaps even end-user staff members (requisitioners).

To help you get started building a business case, here’s a list of how e-procurement software can improve your business results at each step of the procurement process…

(these bullet points were taken from our Virtual Tour movies)

Create Requisition

  • Guide your staff to your pre-approved items and suppliers.
  • Make it easy for staff to complete requisitions with all of the correct information.
  • Control spending at the source by checking budgets weeks before the invoice hits your General Ledger.

Approval Routing Decision

  • Remove human error from the approval decision.
  • Ensure that proper approval levels are enforced for every order, every time.
  • Accelerate the approval process.

Approve Requisition

  • Give managers all the information they need to make an approval decision.
  • Avoid delays when approvers are absent.
  • Stop the phone calls and e-mails by empowering Requisitioners to answer their own questions about order status.

Route to Buyer & Generate PO

  • Easily distribute approved requisitions to the appropriate buyers.
  • Make it easy to review and edit orders if needed.
  • Build the final POs with no duplicate data entry and no errors.

Distribute Order

  • Deliver orders to your suppliers with ease.
  • Replace internal paper copies with on-line PO data for receiving, invoice approval and easy spend analysis.
  • Lower overall prices.

Receiving

  • Reduce the administrative burden of paper files (i.e. managing packing slips).
  • Ensure that goods and services arrive on-time.
  • Create a foundation for streamlined invoice approval.

Approve Invoice

  • Control payments and only pay for what you actually purchased and received.
  • Reduce invoice data entry and processing time.
  • Stop the late payment charges and start taking advantage of early payment discounts.

Consumable Inventory Control

  • Make items available to your staff much faster and at a lower overall cost.
  • Keep inventory levels and associated carrying costs to a minimum.
  • Track inventory with accurate reporting.

Asset Management

  • Improve asset visibility and reporting.
  • Reduce down-time and extend equipment life.
  • Make the most of your asset investment.

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