Disruptive technology innovations, market volatility, and increased competition are creating major challenges for purchase-to-pay groups today. To respond to these challenges, purchase-to-pay organizations must balance the traditional focus on cost with a new emphasis on agility. Top performers in our research database have responded by mastering three core capabilities: meeting the needs of stakeholders (as opposed to just operating at the lowest possible cost); making decisions based on data, not just intuition or history; and leveraging technology to eliminate paper and manual work wherever possible.
Although not historically considered a strategic function, purchase-to-pay has a critical role in overall business agility today. Top performers treat purchase-to-pay as an end-to-end process and consider it essential to effective sourcing and supplier management practices.
Key takeaways from the report:
• Top performers in purchase-to-pay use e-invoices at a rate that is 3.7 times higher than the peer group.
• Top performers are two times more likely to resolve accounts payable inquiries through self-service.
• Top performers order 43% of indirect line items through e-catalog versus only 20% of peers.
Related Reads
- Procurement automation: How can it help in procurement transformation?
- Understanding Blockchain in Procurement
- Change Management in Procurement and How to Handle It
- Procurement Best Practices– Top 10 Tips to Follow in 2023
- White Paper – 5 Half-Truths Your Procurement Technology Provider Told You
- Procurement Process– Definition, Meaning, Steps and Functioning
- Direct Procurement vs. Indirect Procurement : Key Differences Explained
