Before the advent of e-procurement software, traditional procurement was originally executed through manual processes which relied on fax, email, and phone.
These manual processes were both time-consuming and inefficient due to the demanding nature of hands-on communication and input of data entry, causing crucial team members to waste a majority of their time on low-value, administrative tasks.
Manual entries not only increased the chance of error during input, but also limited data visibility making it difficult to access and audit current and purchase orders (POs) , request for quotes (RFQs), and request for purchases (RFPs).
As the electronics manufacturing industry experiences innovations in technology, the procurement process has become modernized and streamlined with the help of e-procurement software.
From start to finish, e-procurement software automates the procurement process including approving the purchase, placing the order, receiving the order into the supplier system, generating an invoice, and delivering the electronic components.
Benefits of E-Procurement Software
By leveraging e-procurement software, electronics manufacturing organizations can experience many benefits including:
E-procurement reduces internal costs by streamlining processes, reducing manual errors, and eliminating the time associated with manual paperwork. It can also prevent duplicate orders and enable organizations to easily purchase from preferred vendors, allowing them to reduce costs through bundling and quantity discounts, and spot discounts.
Electronics manufacturing organizations are unable to operate at their highest productivity levels when experienced employees must focus on tedious, manual procurement process tasks.
By leveraging e-procurement your organization can improve productivity throughout the procurement cycle.
Your staff no longer needs to focus on low value tasks like manually entering data and managing the procurement process. Instead, they can focus on high-value tasks that directly impact your business like improving supplier relationships. Documents are also easily stored and retrieved and pre-built templates enable suppliers and distributors to fill out essential documents quickly and streamline the RFP, RFQ, and PO Process.
Many organizations don’t have a centralized approval and workflow system throughout the procurement cycle. When various departments are making purchases, data and document management can become challenging and complex, as each may follow their own protocol. E procurement standardizes and centralizes processes and documents within the supply chain and procurement cycle to simplify data management, allowing procurement officers to make data driven business decisions.
Improved Transaction Speed
Through automation, e Procurement enables electronics manufacturing organizations to increase transaction speed. Purchase orders (PO), bill of materials (BOM) and request for quotes (RFQ) can quickly be sent to suppliers and distributors, streamlining the procurement cycle, allowing for quicker payment.
E-procurement software gives electronics manufacturing organizations more transparency into the procurement cycle, allowing them improve cash flow management and capital expenditure to improve business spending and purchasing decisions.
The Orbweaver Platform is an all-in-one integration and automation solution that simplifies procurement for the electronics industry.
Orbweaver simplifies the electronics procurement cycle by integrating our partners directly with their suppliers and customers, thus eliminating common data management challenges such as RFQ intake, Pricebook management, PO issuance, all while saving money and increasing speed to market.
Learn more about Orbweaver and connect with an electronics industry expert for a free consultation today.