The electronics industry is rapidly changing how it conducts business across the supply chain due to the growing benefits e-procurement software.
Customer demand is growing, and the expectation of real time inventory, pricing, and distribution data is rapidly become a burden for stakeholders who’ve traditionally relied on manual processes to cultivate and close business deals.
Supply chain stakeholders are often concerned about adopting automation solutions because they require a shift away from traditional procurement and supply chain processes, which may initially disrupt the day-to-day operations of the business. However, with the latest advances in technology, leaders who don’t jump ahead will eventually be left behind.
For electronics manufacturers, implementing e-procurement software to move from a manual to an automated process may initially be intimidating, but the rewards are priceless. Finding the right e-procurement solution to modernize and optimize workflows can offer your business substantial benefits, including lower costs, fewer errors, and improved productivity and supply chain management.
Top 5 benefits of e-procurement software for electronics manufacturers:
1. Reduced Costs
E-procurement saves companies money by eliminating paperwork and the costs associated with paper processes and physical storage. Errors associated with manual processes are reduced or eliminated, removing the need for the expensive processes like dispute investigation, resolution, and reworking errors.
2. Shortened Business Cycles
Transactions are completed quickly using e-procurement, as automated processes and a reduction in physical paper transfers increases the capacity of completing transactions in near real-time. This efficiency can have a ripple effect throughout the organization and improve speed to market, as other departments are no longer required to wait for manual data entry and approvals processes.
3. Increased Productivity
Another benefit of e-procurement software is improved efficiency, reducing the amount of time required to complete business processes such as ordering, invoicing, approvals and payments.
By automating tasks that had formerly been completed manually, an e-procurement system frees staff from low-value tasks, such as data entry and paper processing and filing. Instead, employees can focus on high-impact activities, improving supplier relationships and strategic sourcing.
4. Transparency and Control
An e-procurement system creates a centralized repository for information, so that requisitions, orders, purchases, and payment information is stored in a centralized location. This can help eliminate duplicate orders and track the procurement cycle, providing accurate and updated inventory, pricing, and availability to all parties.
Tracking improves visibility, providing end-to-end transparency of all transactions in the procurement cycle in the supply chain. Authorizations and contract compliance can be verified, while independent spending is subject to control.
Workflows, forms, and approvals for purchase orders, request for quotes, and request for proposals can all be standardized with e-procurement software, limiting the possibility of wasteful spending and deviation from official purchasing policies and authorizations. Companies can include contract and preferred supplier information in the system as well, so that manual research is not required to be completed with each new order.
Standardization also provides the benefit of integration, so that data can be shared with other departments within the organization; as well as a centralized data repository for insightful data analytics.
Adopting the right e-procurement software, like Orbweaver, allows an organization to take full advantage of these benefits in order to simplify operations and speed up production.
The Orbweaver Platform was built for electronics manufacturers by industry experts and automates the most time-consuming tasks throughout the supply chain, centralizes and standardizes documents, and improves transparency and control throughout the supply chain. Companies who implement the Orbweaver Platform can reap the benefits of e-procurement and increase efficiency, reduce costs, and boost employee productivity.
For more information on how your company can benefit from e-procurement, request a free consultation with an Orbweaver electronics expert today.