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Jun 05

The Power of Automation: Unleashing Efficiency with SAP Ariba Commerce Automation

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Businesses today are realizing the urgent need for procurement and spend management innovation. Key decision-makers, particularly those in finance and procurement, seek solutions to streamline processes, boost efficiency, and improve organizational visibility. This is where SAP Ariba Commerce Automation enters the scene. 

 What is SAP Ariba Commerce Automation? 

SAP Ariba Commerce Automation is a solution designed to supercharge your procurement processes through powerful automation. Its primary goal is to enhance operational efficiency and ensure a steady supply chain by improving spend visibility and fostering efficient collaboration with suppliers. 

It’s a solution recognized for its innovation and effectiveness, with SAP being recognized as a leader in the 2022 Gartner Magic Quadrant for Procure-to-Pay (P2P) suites for the seventh consecutive time. 

Key Features: A Deep Dive 

SAP Ariba Commerce Automation comes with a suite of features designed to optimize procurement operations: 

  • Regulatory and Business Process Compliance: The solution ensures digital matching of invoices to POs and contracts, thus enabling compliance with regulatory requirements through e-invoicing. Transactions are validated based on configured business rules, reducing manual intervention and exceptions. 
  • Automated Procurement Workflows: The solution automates manual processes, freeing up workforce capacity, decreasing operating costs, and increasing productivity. It also enables digital delivery of POs to suppliers across a business network. 
  • Supplier Portal: The portal allows suppliers to flip a received PO on the network into an invoice, eliminating data entry and other errors. It also gives suppliers a view into invoice status updates, reducing inquiries. 
  • Invoice Status Portal and Transaction Visibility: This feature provides visibility into orders and invoices with a holistic view of spend. It allows suppliers to configure notifications to receive emails when their invoice status changes, promoting adoption for long-tail suppliers through self-service updates and invoice visibility. 

Impressive Benefits 

The benefits of SAP Ariba Commerce Automation are as significant as its features. These benefits include: 

  • Improved Procurement Compliance: The solution supports business process compliance with highly configurable business rules on the network. 
  • Automation of Spend Management Processes: The solution enhances productivity, lowers operating costs, and frees up people’s capacity by automating paper-based and manual processes. 
  • Increased Transparency of Business Spending: The solution provides a holistic view of organizational spending with greater visibility into orders and invoices in one platform. 

Recent Innovations and Future Outlook 

SAP is not resting on its laurels. Recent innovations and planned updates include: 

  1. Guided Buying: The next evolution in guided buying is here. The new capabilities improve the buying experience and leverage AI, intelligent recommendations, and machine learning. This creates a holistic view of what the buyer is purchasing and how it aligns with their organization’s environmental, social, and governance (ESG) goals. 
  1. SAP Central Procurement: The latest release of SAP Central Procurement addresses the challenges associated with centralizing procurement. It delivers the benefits of a uniform, centralized procurement system across all direct and indirect categories — without reworking individual solutions spread across the organization. 
  1. SAP Category Management: A new category management solution, SAP Category Management, is set to roll out this year. It will provide actionable market intelligence and category insights, empowering category managers and procurement professionals to make strategic category decisions. 

 

Statistics Highlighting the Importance of Procurement Optimization 

To underscore the significance of these advancements, let’s consider some compelling statistics: 

  1. Companies that excel at procurement have 20% lower costs, less supply chain disruption, and up to 55% fewer supplier defects (Source: The Hackett Group).
  2. High-performing procurement organizations operate at up to 21% lower labor costs (Source: The Hackett Group).
  3. According to Gartner, by 2023, organizations that have adopted AI in their supply chain management strategy will reduce errors by up to 50%. 

 

From the rollout of SAP Category Management to the enhanced supplier management and the integration of AI and machine learning, SAP is poised to redefine procurement and supply chain management. 

As procurement professionals, we must stay abreast of these developments, leverage these innovative solutions, and drive strategic value and business outcomes in our organizations. 

May 25

Navigating the Supplier Landscape

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Unleashing the Power of SAP Ariba Solutions for Optimized Procurement and Risk Management

 

Supplier management has become a critical aspect of business operations for procurement and supply chain executives in interdependent businesses and complex supply chains.

In fact, according to a report by Ponemon Institute, 53% of organizations have experienced at least one data breach caused by a third party in the past two years. This statistic alone underscores the urgent need for robust supplier lifecycle and risk management.

Fortunately, innovative solutions are available to help professionals navigate this challenging landscape. For instance, SAP Ariba’s Supplier Lifecycle and Performance solution offers various benefits that help streamline supplier management and optimize procurement processes.

Enhancing Supplier Relationships

A strategic procurement process starts with strong supplier relationships. SAP Ariba solutions provide a unified and comprehensive view of supplier information, which helps businesses work effectively with suppliers and withstand disruptions. This increased visibility can drive spend to preferred suppliers, allowing businesses to manage suppliers based on specific parameters and integrate this information with other SAP Ariba solutions.

Maximizing Savings

SAP Ariba’s solutions can also help eliminate savings leakage. With enhanced visibility and control, businesses can ensure employees buy the right products at the right price, allowing negotiated savings to reach the bottom line.

Simplifying Risk Management

Understanding supplier risk is essential in today’s complex business landscape. 2021 data breaches increased by 17% from the previous year, and it’s predicted that supply chain attacks would quadruple in 2021 over the number of 2020 attacks. SAP Ariba’s Supplier Risk solution simplifies supplier risk management by providing actionable insight into high-risk suppliers and focused risk alerts.

Gaining Deeper Insight

With SAP Ariba Supplier Risk, businesses can act fast with insight into the location of at-risk suppliers, the problems they may face, and the orders and shipments impacted by risk. This solution also allows for intelligent control assessments based on suppliers’ inherent risk, enabling businesses to identify suppliers of greatest concern.

Driving Compliance with Embedded Risk Management

Embedding risk management in the procurement process can significantly improve compliance. SAP Ariba Supplier Risk helps reduce the assessment cycle time from months to weeks, improving compliance through third-party risk assessments for each supplier engagement.

Delivering Business, Environmental, and Social Impact

Businesses today are increasingly held accountable for their operations’ social and environmental impact. With SAP Ariba Supplier Risk, companies can find the causes of risk to enable compliance controls that make a difference and provide responsible plans for supplier selection, onboarding, and contracting.

Proactively Mitigating Risks

SAP Ariba Supplier Risk enables businesses to generate and execute issue management and action plans to mitigate risks proactively. This solution also connects to the source-to-pay process to improve compliance.

Receiving Personalized Risk Alerts

The SAP Ariba Supplier Risk solution automatically tracks more than 200 risk incidents, helping businesses proactively monitor financial, operational, environmental, social, regulatory, and legal risks.

In an era where 65% of businesses find it hard to manage cybersecurity risks associated with third parties and 74% believe that third-party vendor selection overlooks potential key risks, SAP Ariba Supplier Risk removes the challenge from supplier risk management. It empowers businesses to work with suppliers that can keep business moving with less risk, monitoring aspects of supplier lifecycle management that may not have been considered before.

The Future of Supplier Management

As businesses continue to evolve, so does the complexity of their supplier networks. An estimated 60% of organizations work with over 1,000 third parties, which is growing as business systems become more complex. Additionally, 71% of businesses expect to become more reliant on third parties in the next two years.

Given these trends, it’s clear that effective supplier lifecycle and risk management are more critical than ever. Advanced solutions like SAP Ariba’s Supplier Lifecycle and Performance and Supplier Risk solutions can help businesses navigate this increasingly complex landscape, enabling them to make better buying decisions, maximize savings, scale compliance, simplify risk management, and more.

With robust supplier management solutions, businesses can turn procurement and supplier management from a challenging task into a strategic advantage. By harnessing the power of SAP Ariba solutions, businesses can mitigate risks and unlock opportunities for growth and innovation. It’s time to reshape the procurement landscape and transform how we manage supplier relationships.

 

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May 16

Unleashing the Power of AP Automation: A Strategic Move Towards Efficiency and Profitability

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In an era where digital transformation drives sustainable business growth, one area that remains ripe for disruption is Accounts Payable (AP). AP automation is no longer just an option – it’s a business necessity that yields considerable strategic advantages, particularly for mid-market companies. This post aims to provide an in-depth understanding of the myriad benefits of AP automation to executives committed to fostering operational excellence, reducing costs, and enhancing cash flow management.

 

The AP Challenge: A Time and Resource Intensive Process

AP processes often contain manual data entry, paper invoices, and lengthy approval cycles. These processes are time-consuming and prone to human error, resulting in late payments, missed discounts, and increased operational costs. The lack of real-time visibility into AP data often leads to suboptimal decision-making, hampering growth and profitability.

The AP Automation Advantage: Transforming the AP Landscape

AP automation technology disrupts this status quo, offering a more innovative, efficient, and cost-effective way to manage AP processes.

Let’s delve into the specific benefits:

  • Time Savings: AP automation drastically reduces the time to process an invoice, leading to faster approvals and payments. This increased efficiency frees up valuable staff time that can be better utilized for strategic tasks, such as analyzing spending data or improving supplier relationships.
  • Reduced Operational Costs: Automating AP processes reduces the need for manual intervention, thereby minimizing the scope for human errors and the costs associated with rectifying them. Moreover, it can also decrease storage and postage costs associated with paper invoices. Calculate your potential savings here using SAP’s Buying and Invoicing Value Calculator.
  • Enhanced Cash Flow Management: With real-time visibility into outstanding invoices and payment dates, AP automation allows companies to optimize their cash flow. Companies can take advantage of early payment discounts and avoid late payment penalties, thereby improving their bottom line.
  • Decreased Rogue Spend: AP automation controls maverick spending by enforcing corporate policies and approval workflows. It also improves spend visibility, enabling companies to identify and mitigate rogue expenditures more effectively.
  • Improved Supplier Relationships: Timely payments and transparent communication foster healthier supplier relationships. This enhances supply chain efficiency and opens up opportunities for negotiation and collaboration.

The Powerhouse Duo: SAP Ariba Buying and Invoicing and Premikati

While the benefits of AP automation are clear, the choice of software and its implementation process is crucial.

SAP Ariba Buying and Invoicing is a robust solution offering comprehensive AP automation capabilities. It streamlines end-to-end procure-to-pay processes, enhances visibility into company-wide spending, and drives compliance and control across the invoice management process.

Yet, the success of any AP automation initiative is about more than just the software. It’s about how effectively the software is implemented and integrated with your existing systems and processes. This is where Premikati offers rapid implementation and deployment services that ensure a smooth and efficient transition to automated AP processes.

Premikati’s expertise in SAP Ariba implementation reduces the time-to-value, allowing companies to experience the benefits of AP automation sooner rather than later. Their robust training and support ensure that your team is equipped to leverage the software’s full potential.

AP automation is a transformative strategy that can significantly improve your business’s operational efficiency, financial health, and competitive edge. With SAP Ariba Buying and Invoicing and Premikati’s deployment services, your business is well-positioned to navigate the AP automation journey successfully.

Connect with us today to talk to our team.

Feb 16
Supply Chain Management SAP Ariba Premikati

Tips for Successful Supply Chain Management

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Sourcing and supply chain management go hand in hand.

Successful supply chain management is the backbone behind most successful businesses. If we had any doubt, the last three years made it clear.

Here are four pointers to help you ensure the success of your supply chain and how you can manage your relationships for success:

1. Leverage New Technologies

Today’s supply chain industry is brimming with new technologies and it has never been easier to get the most out of your supply chain using tools such as:

I. Artificial intelligence and predictive analytics to aid in inventory forecasting.

II. Procurement applications such as SAP Ariba SLP.  This aids in quality control, supplier scorecards, supplier management and cost savings during procurement.

III. Digital supply chain twins, which improve transparency and decision-making in the supply chain.

2. Constant Evaluation of Sourcing Strategies and Suppliers

The focal point of any supply chain management is sourcing. If done incorrectly, it could spell the end of many supply chains.

Take, for example, this Gartner study.

74% of companies that constantly reviewed and developed their sourcing strategies increased their productivity and savings significantly.

It really is a no-brainer.

To get the most out of your sourcing, figure out which strategies work best for your supply chain and focus on them. You should concentrate on the suppliers’ credibility, capacity, and shared goals.

3. Employee Development

Employees, like other aspects of the business, make significant contributions to supply chain management. In a nutshell, they are the foundation of any organization.

It only makes sense to invest in their advancement. Especially if you want your supply chain management to succeed.

When it comes to training their employees, most businesses are afraid. They are concerned that they will leave and join their competitors. It’s understandable.

But wouldn’t it be more dangerous not to train them? And then watch them wreak havoc on the supply chain and overall business objectives?

Employee competencies are improved through training and development.

4. Enjoy the Competition

Competition is the backbone of any thriving industry. To see success in your supply chain, you must learn to enjoy the competition. 

 Why? The simple answer is competition breeds innovation. And innovation is the secret weapon of any successful business. 

 With competition, you can isolate a competitive edge, allowing you to better cater to your customer’s needs.  

 It also has benefits like improved customer service and constant business development.  

 

What are the key issues you encounter in your supply chain organization?

 

For procurement and supply chain management consultations from the global leaders in Ariba solutions please visit us at www.premikati.com.

Jan 12
Premikati SAP Ariba 2023 Procurement Trends

2023 Procurement Trends

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Procurement in 2023 

The procurement landscape is constantly changing, and the strategies that organizations employ to ensure their success in the future must evolve to meet the needs of the modern market. As we look at 2023 and beyond, it’s important to consider the trends that will shape the way companies manage their procurement operations. 

Technology and Automation  

The first trend is the increasing use of technology in procurement. Automation and artificial intelligence are becoming more prevalent in procurement processes, allowing companies to reduce costs, improve efficiency, and increase accuracy. Automation and AI will also help companies to better manage their supply chains and make smarter decisions when it comes to sourcing and purchasing materials.  

Sustainability 

Another trend is the increasing focus on sustainability. Companies will be looking for more sustainable suppliers and will be using the latest technologies to measure and optimize their sustainability efforts. Organizations will also need to pay more attention to their supplier relationships, as well as their own internal practices, to ensure that their procurement strategies are as sustainable as possible. 

AI Implementation 

One of the most significant procurement trends for 2023 will be the increased use of artificial intelligence (AI). AI will allow businesses to automate many of the mundane tasks involved in procurement, such as data entry, document management and order processing. This will free up valuable resources and allow companies to focus on more strategic activities. AI will also enable companies to better understand their customers’ needs, allowing them to make informed procurement decisions that are tailored to their customers.  

Procurement Digitization 

Another key trend will be the move towards digital procurement. This involves the use of online platforms to purchase goods and services, as well as manage supply chains and contracts. By taking advantage of digital tools, businesses will be able to streamline their procurement processes and reduce costs. In addition, digital procurement will enable businesses to better manage their supply chains and track their suppliers. This will allow them to identify opportunities for cost savings and ensure that their suppliers are meeting their expectations. 

Change in 2023 

As businesses become more competitive and the economy continues to change, companies must find new ways to stay ahead of the competition. One of the most effective ways to do this is through effective procurement strategies. By understanding the needs of the company, the market, and the competition, businesses can create a procurement strategy that will help them get the most out of their purchases.  

 

Jul 12

Contract Cubes for Private Equity

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Contract Cubes For Private Equity Firms

 

Contract Cubes Offer Powerful Advantages For Private Equity Firms

Successful private equity firms know that time is something you want to have on your side. When you’re looking at supplier contracts across multiple portfolio companies, then all of your procurement and contract management habits—whether time efficient or not—become greatly magnified.

PE firms that are able to compound on good contract management skills (and good software) have a massive competitive advantage over private equity firms that are still stuck in data siloes, spreadsheets, or, worse, completely analog procurement records.
SAP’s “contract cubes” are a game changer for data-centric PE firms because of their straightforward approach to accessing contract data near-instantaneously. Here are just a few of the powerful features of contract cubes that PEs can harness to supercharge the combined power of procurement across all of their portfolio companies: 

Use Keywords To Make Better Choices Spanning Your Entire Portfolio

Even disparate portfolio companies often have areas in which they can join forces to negotiate better deals with suppliers or, in some ideal scenarios, offer sourcing amongst themselves. It becomes exponentially easier to get discounts for quantity by combining orders or to find hidden gems amongst suppliers if your database of contracts is centralized and readily searchable. Find the things portcos are buying separately through a simple search and then turn that data into cost savings or even revenue generation while other firms are still flipping through file cabinets. 

Get All of The Numbers On The Table

Data transparency and visibility go a long way toward making better choices in both the short and long term. It’s impossible to capitalize on things that you don’t know are happening. With contract cube functions, you can get all of the numbers you need via simple commands. That can include time left until contract renewals, numbers of orders, financial ratios and other history and stats which can be transformed into even greater savings, revenue gen, and better supplier relationships.

The ability to know who your best-value suppliers are is priceless. Contract cubes can help you determine this based on your own metrics of value (and across a variety of metrics). Prioritize these suppliers during contract renewals, bring them additional business, set up data sharing, and make generally better choices that are data-led. 

Additionally, use data easily pulled via contract cubes to gain insight into long-term financial trends, even as portcos come and go, so you have a big-picture view that can lead big vision (and big money) moves while competitors are still taking a myopic and segregated approach to procurement, leaving you with a clear advantage. 

Handling procurement for a private equity firm is among the most difficult scenarios for even the most seasoned procurement expert who has been working with individual companies. That’s why we at Premikati offer BPO with managed services in procurement catering expressly to private equity firms. We understand how to navigate the complexities of cross-portfolio sourcing and we have the tools and expertise to fully manage this process to the great advantage of the firms who choose to outsource to us. Our specialized knowledge and toolsets bring value to the table that would go entirely unrealized by teams with less pointed expertise.

Reach out to us today to see how we can help you advance your procurement strategy.

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Jun 13

Managed Services for Private Equity

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Sourcing Via Managed Services In Procurement Is A Game Changer For Private Equity Firms

Managed services providers (MSPs) bring with them a suite of finely-tuned skillsets, knowledge, and tools to the companies they serve. In an arena such as procurement, this can mean massive savings and opportunities to scale that are not readily realized using non-specialist teams and archaic, clumsy processes that allow for valuable data to slip through the cracks.

Many PE firms are now taking a closer look at existing supply contracts—on valuation, it is clear the direct link that exists between exceptional procurement capabilities and competitive advantage. 

Aided by seasoned experts, the procurement process in private equity firms can move away from limiting goals like capturing low-hanging opportunities in favor of more strategic and impactful approaches to value creation so that rapid sizing and added risk mitigation and transparency, the impacts of which will clearly converge on the bottom line.

These are some of the major benefits to managed services in procurement for private equity firms:

Sophisticated Procurement Functions Provide An Edge Over Clunky, Outdated Approaches

Procurement has matured from cost-reduction into value creation.

Procurement has been on oft-overlooked space that’s brimming with value potential. In order to get ahead, companies must leave behind old ideas about ruthlessly slashing costs and simple cost-saving actions like asking suppliers for deals. Rather, today’s procurement—when handled well, ideally via experts from an MSP—is more transformative and comprehensive.

Procurement today involves advanced spend analytics, process automations, predictive technology such as machine learning for demand planning, and a host of other intensive processes that were once reserved for Fortune 500 companies. Now, PE firms can use advanced technology and expertise to look beyond easy wins into all categories of spend to extract value that is far and beyond what could otherwise be achieved. 

Sustainable, Scalable Approach

Utilizing more sophisticated procurement strategies results in a more sustainable, scalable approach. With supply shortages hitting many industries, sustainability is a concern for all companies both in terms of classic factors like environmental sustainability, but also sustainability among suppliers. Will companies be able to get the goods they need when they need them? Is there too much reliance on one or two suppliers? 

Similarly, if a company achieves unprecedented growth, will current suppliers be able to scale accordingly or will they prove to be a bottleneck? 

Managed procurement services help PE firms navigate these types of questions—plus, they are able to see portfolios as a whole unit to achieve even deeper (and verifiable) scalability and sustainability than looking at each portfolio company’s supply strategy from within a vacuum. 

Risk Mitigation

To step back a moment to the question of whether or not a company relies too much on a small pool of suppliers for some critical product, it’s much easier to spot these sorts of risks while doing the deeper work provided by MSPs in procurement than it would be using a more scattered approach which can leave considerable risks entirely unknown.

Private equity firms are latching on to the value that mitigating supply risks provides over simply cutting costs. MSPs are also more likely to see ways to mitigate risk from amongst portfolio companies before having to turn externally.

Digitization, Transparency, and Value Optimization

Digitization is a major driver in the managed procurement renaissance. Technologies once reserved for only topmost companies are now readily available at SMB sizes. Digital systems that are nimble, agile, and simple to implement while retaining robust, enterprise-grade features—systems that come par for the course with a good MSP in procurement—are a staple of effective procurement strategies within private equity firms.

Using digital tools, managed services providers are able to aggregate data from all sources both within individual portfolio companies and across the entire portfolio and then clean and categorize this data to create a single source of truth that is free from the confines of data silos.

Then, using advanced spend analytics, machine learning, demand planning, and similar techniques, MSPs can quickly capture value for private equity firms. Electronic sourcing in particular is one arena of procurement that offers considerable benefits in terms of saving time and money.

Having the combination of transparent data and digital tools leads to value optimization that goes far deeper than what procurement pros could have expected to achieve in times past. 

Cross-Portfolio Collaboration

All of the benefits listed above become magnified multi-fold when considered from a cross-portfolio collaboration perspective. MSPs in procurement are more readily able to take on the task of cross-portfolio procurement strategies which can be among the most complex sourcing work a firm ever encounters.

MSPs can consolidate spend, look for strategic cross-portfolio opportunities to either supply each other or collaborate on sourcing and achieve economies of scale which can be achieved only through transparent data and accurate spend analytics. This collaborative approach offers unique challenges but can work to mitigate risk as well as spur exponential growth among symbiotic portfolio companies. 

Long-Game View

Rather than get bogged down in the details of any one new portfolio company, MSPs in procurement are able to help capture value in the long game by surfacing longer-term overall spend trends and executing long-term procurement strategies that can span multiple years and multiple portfolio companies. 

Managed services in procurement today is much more than outsourcing. It isn’t a replacement so much as an expansion of your team, working closely alongside the firm to understand, prioritize, and execute the most suitable strategies capture value, capture opportunity, and support rapid sizing with reduced risks, increased transparency, and far, far fewer headaches. 

See what Premikati’s managed services in procurement can do for your private equity firm. We will help you quickly see ROI through our white-glove expert team of procurement pros, advanced and agile toolsets, as well as a state-of-the-art (but simple to use!) procure-to-pay marketplace with bespoke options to onboard current favorite suppliers that are already adding value to your portfolio.

Reach out to us today to see how we can help you advance your procurement strategy.

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Dec 07
premikati marketplace

2 Things Your Business Needs To Do ASAP

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Do you need to take a serious assessment of your business right now?

For months, we’ve seen how COVID-19 has affected our personal lives, businesses, and the way our society functions in general. And if you haven’t taken the time to really dive into how your business is functioning from the ground up, I challenge you to make this your top priority.

The impact that COVID-19 has had on business is emphasizing what has always been true: The future is filled with unforeseen circumstances, and the world is changing fast. Businesses need to be smart, agile, and innovative, but it’s hard to do this if you don’t have a solid foundation in place.

Many businesses are experiencing budget cuts and a reduced workforce. Now is the time to become more strategic with your game plan and fix or improve current processes.

Plain and simple, if you haven’t already, you need to:

1. Cut costs.
2. Make sure time is used efficiently as possible.

Of course, while this may be simple, it is frequently not easy. Here are ways you can approach making these essential assessments:

You Need to Dial In Your Spending.
We want our businesses to not just survive—we want them to thrive. However, especially in the last several months, many companies have shifted into survival mode.

Companies in many industries are having to take a hard look at their expenses, and there have been significant cuts across the board. It’s essential to stay lean and mean, and you need to be bold, proactive, and smart when evaluating where you can cut back.

Part of successfully cutting costs begins with asking the right questions. I encourage businesses to consider:

  • What do you actually NEED for your business to operate right now? Are you actually accumulating things you don’t need? How have your needs changed with more employees working from home?
  • How are purchases approved? Who is in charge of approving purchases? Are they able to review and approve in a timely manner? Are inefficient processes causing your business to miss out on important opportunities that could have been? Who is spending money on what, and how can you find out this information?
  • Are you actually buying from the BEST supplier for your specific needs? Are you getting the very best deals on items you truly need? Are the products you’re using high quality? Does your supplier provide a top-notch shopping experience so you don’t waste time? Does your supplier provide excellent customer service?

Not only do you need to simplify your procurement process, but you need to make sure you’re also getting the most out of it.

Is Valuable Time Being Wasted?

While working from home can have its perks, there is an added layer of complexity due to the unique challenges of COVID-19. People are not simply “working from home”; they are doing everything from home. And with budget cuts, employees may be working harder and longer hours than ever.

Your goal here is to let your employees spend time on the things that really sustain and grow your business. Again, identifying how to fix and improve processes begins with asking the right questions:

  • Are your employees wasting valuable hours on easy-to-solve procurement issues? For example, how many hours do they spend manually reconciling purchase orders with invoices? (How many hours or days does this add up to each year?)
  • How long do employees spend researching the suppliers with the lowest costs? After investing in hours researching suppliers, have you ended up actually saving money? Are the suppliers reputable? Do they offer white glove customer support where you can talk to a real person right away?
  • How much time does it take to get set up with each new supplier? Is it worth the investment? How long until you’ll need to find a new supplier to grow with your business? How long will it take you to figure out if it’s the best fit for your needs?

Don’t waste time doing things that have simple, elegant solutions already available.

***

No matter what your unique challenges may be during this time, every business can benefit from taking a hard look at how time and money are being used.

If you read this and felt slightly panicked or overwhelmed, you’re not alone. This stuff is hard. It can be time-consuming to figure out, and sometimes it can feel easier to let things get done the way they always have, instead of making the investment in a potential solution that may or may not work out. You need to figure out a way to make big changes… without wasting even more money and time.

Premikati Marketplace has you covered. How can you know for sure? We know from experience exactly what businesses (like yours!) struggle with the most.

Premikati Marketplace helps your business:

  • Cut costs. Companies that use Premikati Marketplace save up to 35% due to pre-negotiated pricing on millions of items, efficiencies, and spend visibility.
  • Use time efficiently. Set up Premikati Marketplace in less than 24 hours. You don’t need any IT or technical admin support, either.

Click here to learn more about the Premikati Marketplace

Jul 12
Premikati Marketplace best Procurement Software for SMBs

Don’t Let These 8 Things Happen To Your Procurement Team

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Is your purchasing software pulling its weight? Poorly executed purchasing platforms not only cost you time and money, they put your company at legal and reputational risk. If any of the following sound like you, it might be time to kick your lazy procurement software to the curb and trade up for a real man—uh, business marketplace. We meant business marketplace. 

Spending 19 hours reconciling invoices

PO recon—while it sounds like some cool Navy SEAL mission, the reality is far less glamorous. In 2020, there is literally no reason to manually reconcile purchase orders with invoices or your accounts. Process automation here saves time and prevents costly mistakes, so you can focus on what really matters in your business instead of putting out fires or wasting time using outdated methods. Automated reconciliation ensures that everything matches up all of the time, without you ever needing to think about it. 

Buying from the wrong supplier

Your purchase order is a legally binding contract—so what happens when you buy from the wrong supplier? Not only might you have to adjust the purchase to show the correct supplier (which is going to be a real doozy if you’re manually reconciling invoices and it’s already been reconciled) to keep a proper audit trail, you may also face legal repercussions. 

Alternatively, you may be buying from a supplier that’s wrong for you. Perhaps you could reduce costs by using a supplier for multiple types of purchases in order to facilitate a loyal working relationship. Or, maybe you just picked the supplier that costs way more than the rest. The Premikati Marketplace can help you cut costs by offering new sources of savings via a list of high quality, trusted suppliers—many of which offer up to 35% discounts on frequently purchased products. The right supplier is waiting for you at Premikati Marketplace. Already have a couple of the right suppliers? We can add your own suppliers too!

… Or a supplier you don’t even have a contract with

Maybe your contract has expired. Maybe it was never a valid contract at all because its still sitting in a pile on someone’s desk, waiting to be signed and faxed and filed. Do you know which contracts are active and valid? 

Don’t subject yourself to the legal risks that come with doing business without valid contracts. 

“On average, 94% of tail spend comes from uncontracted suppliers.” —Premikati Marketplace

With Premikati Marketplace, you can automate old, analog systems and see which suppliers you’re working with—with the click of a button—in order to gain both efficiency and visibility.

Buying a mountain of stuff you don’t need

Would your warehouse and office closet make Marie Kondo giggle with maniacal glee? Space is a precious commodity especially as consumers and other businesses expect faster and more personalized experiences with every passing day. Every dollar spent on useless things that you don’t need is a dollar you can’t invest in moving forward with your business or keeping an edge on your competitors. 

With good B2B procurement software, you can easily see what you’ve already bought so you don’t double (or triple!) up on what you need.

Buying things that are probably illegal

You want a supply chain that is socially responsible and legal at every link. The Premikati Marketplace is underpinned by SAP, a world-renowned company that is a leader in sustainability.

Shipping your orders to your house

There’s nothing else to say about this. You know who you are. Prevent it with a good procurement platform like Premikati Marketplace. 

Tight budget with no approvals

Especially if you’re a startup or you’re maximizing growth or perhaps if you’re using a zero-based budget, money can be tight. Competition can be stiff. And sometimes, to make the move that will really help your revenue, differentiate you from a competitor, or skyrocket your growth, you have to make swift decisions. If your purchasing processes are bogged down by archaic methods and you’re waiting by the telegraph—err, email—for your PO approval, guess what? Your opportunity may have already passed. If you were making hand sanitizer in January 2020, you better bet you needed to scale and scale fast before the supplies were gone. 

With a good procurement platform, you can control your spend to the cent but also implement automated purchase approvals. Stop leaky spend and without slowing progress… that’s the dream, eh? 

Multiple logins

How many users and passwords do you really need to fulfill your procurement needs? Stop sacrificing security because Lilly is keeping her password taped to the bottom of her keyboard because she has too many to remember. Free up your tech support from endless verifications and password changes. Keep your purchasing processes safe and efficient by reducing the number of accounts you need for purchases.  With the Premikati Marketplace, each member of your procurement team will only need one login total, not one login for EACH supplier portal.  One and done – quite a nightmare saver for your tech support team.

About Premikati

Get what you really want from your purchasing software. The Premikati Marketplace offers procurement that is as intuitive as online shopping with the robust data of Fortune 100 companies and extensive customization options, all with no IT required and no commitment. 

You can order what you want—where, when, and how you want it. Diversity filtering? Sure thing. Support local? Absolutely. We even support custom catalogs and customer-specific vendors.

Merge that with full spend control and visibility, real-time reporting and analytics, custom approval flows and automation, and you’ll find a best-in-class software that’s tailor-made for small- and medium-sized enterprise businesses. 

Premikati scales seamlessly with your business with no impact to end-users and no additional training required. We have prices to fit every budget, and we can have you up and running in hours. 

All of this with white-glove customer service included at no charge, so you can always trust you can talk to a real person when you need them. 

Don’t settle for anything less. Contact us today!

 

Jun 18
outsourcing

All You Need to Know About Impact Sourcing

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There isn’t any question that inclusive corporate practices and business shared values have been highlighted in recent years as customers increase their search for companies who induce rich social impact throughout their supply chain and workflows. In fact, contemporary organizations risk falling behind the curve if they don’t adopt impact sourcing in their processes.

For several years, companies looked at deploying “social good” policies as a type of afterthought or even icing on the cake. The main focus was profit. Now, things are changing. Many millennials, and gen Z’ers, actively search for businesses who have long-term strategies around social impact.

Today, embracing and embedding social impact into business processes is no longer an option – it is mandatory. Even prospective employees only want to work for companies that have infused social good practices into their overarching policies.

Not to mention, in an increasingly competitive marketplace, consumers have countless options right at their fingertips. In the end, they will choose to patronize a business with values that align with theirs. Now, let’s talk a bit more about impact sourcing.

What is impact sourcing?

Many industries are in the position to improve their business practices. Impact sourcing simply means employing individuals who come from a disadvantaged background, and providing them with opportunities they might not have otherwise received. 

There are billions of people who just can’t access professional business opportunities because they also don’t have access to higher education. For instance, Africa may have the largest workforce on this planet, but they certainly don’t have enough jobs for their populations. Impact sourcing offers employment to people who live in locations with persistently high rates of unemployment. 

Further, these are people who may live in rural areas, or even slums, and don’t have access to secondary education. So then, as these types of people receive better career opportunities – and higher wages – they can actually go to college and be better able to help their family members who are in need.

Impact sourcing is gaining traction

Led by organizations such as the Rockefeller Foundation and Business for Social Responsibility (BSR), impact sourcing is also proving advantageous for companies who adopt this particular business practice. According to BSR, “Impact sourcing is not philanthropy; it is a business practice that seeks to maximize societal and business outcomes.” There are also some practical applications you can implement within your company. 

  • Focus on the people 

A successful impact sourcing program should not be about the numbers, or even the algorithm, it should be about the people. These are not automated robots, but every employee has unique gifts and talents they can bring to your organization. And, through their tenure with your business, they can spread the benefits throughout their communities. Not to mention, you are accessing a talent pool inundated with motivated individuals. Moreover, you don’t have to change your organization’s values simply because you are hiring in another country or working with a supplier in a disadvantaged area.

  • Business improves through long-term relationships

It always helps to remember that, when it comes to business, the bottom line is still critical. You certainly want to be known as a company who prioritizes social impact. Yet, that shouldn’t be the end all and be all. Your business should still ensure your customers get the quality they’re accustomed to along with the right price and the right customer experience.

Invariably, happy employees are much more productive and they are much more loyal to a company. As a result, they have the potential to become more skilled at their roles which leads to getting a larger amount of work done in less time. The best way to improve happiness and motivation is to offer an opportunity to someone who – under normal circumstances – would not have received such an offer.

Turn your company into a force for good

There is still limited understanding about the various populations – throughout the world – who need more help. In this regard, it takes time and research to determine where your impact sourcing program can make the most impact.

Participate in conversations with people from disadvantaged communities to gain a better understanding of their experiences and challenges. Partner with organizations such as the Global Impact Sourcing Coalition (GISC). Currently, the GISC is challenging its member companies to start hiring at least 100,000 workers before the end of 2020. The GISC also offers toolkits for download which include case studies and best practices. Now, you can design your impact sourcing strategy. 

Next, host job fairs in disadvantaged areas. If your company can’t be there physically, then partner with local organizations. Other ways to help include offering guest lectures, online training, and mentorships. Change people’s lives with training and education.

Remember that disadvantaged communities aren’t only found in developing countries. There are disadvantaged individuals in developed countries, as well. 

Final thought

There is no greater feeling than knowing your company can help disadvantaged individuals out of poverty all around the globe. Impact sourcing can provide some stability in war-torn regions when opportunities for career, education, and training increase. When a person feels secure, they also gain a feeling of peace. Just take a look at the change in formerly war-torn regions of southeastern Europe where many citizens now work remotely for companies all over the world. As the global skills gap continues to grow, it’s time to consider the talent outside of the traditional pools.

 

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