Fine Tuning the Procurement Symphony with Source-to-Pay Automation – Part 1; Smart Data, Visibility and more..
In our previous blog we spoke about the how source-to-pay automation is slowly catching attention or should we say, trending.
As said, starting out with the first three reasons justifying why source-to-pay automation is good.
- Smart data
One of the key issues highlighted in the Enterprise Key Issues Study 2013 by The Hackett Group is “Obtaining insights, intelligence and actionable strategies from data generated by procurement activities.” Procurement activities generate a lot of data, are it about suppliers, categories, buyers, organization-wide spend, etc. This data cannot be used for strategic purposes unless it is turned into “smart” data.
Therefore, it is important to have a source-to-pay solution suite that processes data at every level, be it supplier selection, sourcing activity, or the overall spend classification, and analyzes and presents it in ways that help procurement executives make critical decisions.
- Seamless flow of information
Modern source-to-pay technology integrates smoothly with the other technology platforms/ERP, facilitating a structured process. Procurement solutions can leverage existing web service technology or other available options to manage integration with ERP systems.
Having an integrated source-to-pay automation ensures seamless flow of information at various stages in the procurement process, as highlighted in the graphic. It’s a key to view information from different phases of procurement at a single place.
- Better visibility
The CPO / procurement executives have better visibility into the organization’s spend patterns and the utilization of contract terms, or track the performance of incumbent suppliers – all just a few clicks away.
Stay tuned as we talk about the next 3 reasons in the coming blog.
For further reading, click the download button below to access the e-book- “9 Reasons Why Source-to-Pay Automation is Good for your Company”