Within the eProcurement cycle, how engaged are you with your suppliers?

The worry is that your answer will be “not very engaged at all!” and your follow-up question would be “And why should I be?”.

When managing eProcurement many organisations look at their suppliers as the enemy – they want to get the highest price for the goods and services that they supply and you want to get the lowest price.

Best business practice is actually to effectively connect with your suppliers to reduce risk and deliver efficiency gains.

Well-managed engagement with your suppliers is essential to building and leveraging a strong supplier base. Supplier engagement is no small job; it involves interacting from initial registration, qualification and on-boarding; through sourcing events, periodic reviews and information updates; to daily purchase and payment activity.

The challenge is to put in place a Supplier Engagement strategy that allows you to do it well, while at the same time enabling you to streamline processes, remove duplication, and eliminate errors.

Benefits for the CEO:

• Improved profitability through reduced costs
•  Improved competitive position through a stronger supply chain
• Reduced risk

Benefits for Finance:

• Reduced capital employed in the business
• Reduced operational cost in AP, Procurement, and across the enterprise
• Reduced cost of purchased goods & services
• Improved cash management

Benefits for Procurement:

• Stronger supplier relationships
• Better value; lower risk
• More time for strategic sourcing and supplier development activities

PROACTIS have taken a holistic view of supplier engagement and developed a solutions that supports the full range of supplier interaction, leverages PROACTIS expertise and technologies to automate processes and ensure collaborative and efficient supplier relationships and enables organisations like yours to start where the impact is most immediate and then expand incrementally over time driven by your business priorities and procurement/spend control practices.

View the PROACTIS Supplier Engagement white paper >>