Summary In the contemporary business environment, digital procurement is becoming increasingly popular and sought after by businesses around the world. The relationships …
The role of an e-procurement platform in improving digital maturity
An electronic procurement platform can elevate your organisation's response to advancements in technology. By digitalising processes, you can gain a competitive edge and focus on adding strategic value.
The importance of digital maturity
Businesses are forced to adjust to advances in technology. Digital maturity is the ability of a particular business to adapt to these changes and create value. industries across the board are getting on board with digital maturity and adapting to technological advancements in this day and age.
Being digitally mature shows the readiness of companies to serve rapidly evolving consumer demands and industry needs. It puts them ahead of being impacted by market saturation and the inefficiencies of non-digital processes.
In the long run, a company’s digital maturity defines its position in the industry and outlines its competitive edge. Implementing digital measures is likely to pave the way for cost-effective processes, better standards of quality, and effective objective achievement.
In this context, e-procurement and platforms that enable its usage can be vital.
What does a business gain from using e-procurement platforms?
Using digitalisation is going to provide several benefits in the long run because it focuses on creating value through centralisation and enabling speed and efficiency along the procurement process.
This is what businesses gain from adopting these platforms and strategies:
Prioritise cost containment
An e-procurement platform assists in containing costs and maximising financial performance. These systems offer better lines of communication and synchronisation within the organisation, which reduces the costs of miscommunication.
Focus quality controls
Businesses can maintain quality controls effectively and focus on USPs with the improved focus facilitated by e-procurement systems for controlling cost and cash flow. This way quality is sustained—improving stakeholder reception.
Support unity and integration
This prompts better lines of communication—increasing transparency and accountability, and reducing the risk of mismanaging resources and time. It also enables visibility and builds trust throughout all groups of stakeholders.
Simplify internal hierarchy
Shortening the hierarchy increases the speed at which products and services meet the final customer. This avoids discrepancies and misunderstandings with stakeholders, reduces overall costs, and pushes efficiency throughout processes.
How an e-procurement platform enables digital maturity
Businesses need to gain a competitive advantage to be outstanding amongst other competitors in today’s highly saturated markets.
Advancement is taking the upper hand in markets with growing consumer demands, transportation improvements, the ease of globalisation, and the pace at which innovation is being implemented and introduced. Thus, a business must consider its nature, target markets, objectives, and goals when implementing platforms for e-procurement to achieve digital maturity.
Since e-procurement platforms enable organisations to prioritise cost containment, focus quality controls, support unity and integration, and simplify organisational hierarchy, they in turn facilitate the achievement of digital maturity objectives like improved ROI, enhanced agility and adaptability, and persistent compliance.
Get assistance from Kronos Group to align and enhance your procurement operations
Kronos Group provides services for procurement digital transformation and e-procurement system implementation across Europe and beyond.
Our procurement consultants have experience in analysing, monitoring, assisting, implementing proven-to-work strategies, and recommending technologies to achieve your procurement objectives.
An e-procurement platform is likely to bring out your business’s hidden potential with its benefits and solutions to repetition and monotony. Get in touch with us today to assess your digital maturity, and explore a collaboration to improve your business processes.
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FAQ
e-Procurement is the digitalisation of the procurement process using the internet and software to track buying and selling. Digital procurement processes make use of cloud-based networks and web interfaces for supply chain procedures.
An e-procurement software synchronises and coordinates each stage of the procurement process. It can aid in product purchasing and sourcing, spend management, navigating through risk mitigation, building better stakeholder relationships, and coordinating and communicating across the organisational hierarchy.
There are four types of e-procurement technology. These are:
- Catalogue management: The creation of online catalogues—defining products, prices, and specialities.
- Supplier exchange: Branches the collaboration of suppliers in online practices to take part in negotiation and purchase order management.
- e-Sourcing: The strategic sourcing process of linking suppliers to ensure streamlined operations and improved workflows.
- e-Procurement marketplace: The access to a widened range of suppliers and products, which allows comparisons and collations to be made for sourcing.
