Convincing arguments for pushing digitalization in procurement.
Digital transformation is the talk of the town, or should we say industry. Left and right you read about it, and you hear that if you ignore it your business is inadvertently doomed to fail. Let's look beyond the impending doom and gloom in those statements. It's true that there is no way to avoid digitalization. It has gained full momentum and will continue to do so. And that is, in fact, a good thing. Digitalization is nothing like the looming dark cloud it may sometimes seem like. Small steps are often enough to help companies to create a sound basis for the digital age.
The purchase-to-pay process, with electronic procurement as a core element, is one of the building blocks for such a sound basis. It is always worthwhile to put electronic procurement on top of the list of priorities for digital transformation and to start with looking at the supplier relationships, supply chain digitization, ordering and procurement process automation and timely transparency on spending.
Read on to find out more about six reasons that may make for a convincing business case or project proposal to push digitalization of your procurement processes.
Having worked with various types of companies for years, I have noticed that companies manage their documents in a surprisingly decentralized manner. Different departments have their own ways of processing things, and these practices have often simply developed and become established within the departments, without anyone giving a thought to how they are linked to the company’s other processes.
I’ll admit, I didn’t read the full report but then again, I don’t think it’s meant to be a cover-to-cover read. I’ve been a fan of Bruno’s for a few years now. I’ve enjoyed his reports (I do believe they are the de-facto go-to source for all things e-invoicing) over a period of years. He and I have chatted more than a few times and I’ve been lucky enough to have interviewed him multiple times as well. It probably would come as no surprise to him that I’m a little disappointed. Not with the report, but with the incremental (some might say sluggish) growth of e-invoicing.
In this series of blogs, we have discussed the way in which companies can achieve a highly digital business network. Even when a company has achieved its dream of 100% digitalization, it is unlikely that this situation will remain static, as it is natural for developing companies to change suppliers regularly and acquire new customers.