An ever-growing trend in the business world is the source-to-pay process. Because of the magnitude of this phenomenon, there are now high-quality s2p consultants that have the ability to guide businesses from a poorly designed procurement plan to a highly efficient source-to-pay machine. It is not a secret that companies live, breathe, and thrive based on the functionality of their procurement processes. However, it might be a secret that many of these companies could use a procurement makeover so they can take back a lot of that money that they are wasting.
Refining The Sources
Obtaining high-quality sources for the goods and services that a company needs in order to thrive is an art. If it is not done properly, the company could be losing out on thousands of dollars per procurement cycle. Most of the time these losses can be gained right back when somebody that knows what to look for goes into the sourcing phase of the process and makes changes. An S2P consultant that has experience in the procurement world will be able to step in and look the whole process over then make adjustments when necessary. These adjustments might be ones that pull a company from just making it, to highly successful in a manner of minutes.
Streamlining Contract Management
Many times when a vendor and a company come to an agreement about pricing and quantities, the deal that they strike will not be openly available when it comes time to order. It happens all of the time where a particular price is agreed upon in a contract, but when it comes time to pay for it, the price is wrong. In most cases when a deal is made, only the people that agreed to the deal are aware of it and it has not been recorded on a default order form. Sometimes things like this happen and go unnoticed for long periods of time. A consultant will show you how to double-check that your contracts are being met and that you are paying the prices that you agreed to. The savings alone on this can add up to be large amounts of money.
SaaS, also known as software as a service, is a service that developers provide to businesses that require a specialized type of software that is big and strong enough to take on all of the needs of the company. In most cases, a typical business owner will not know anything about this kind of software application. However, they should. In fact, every business owner in the world should learn about the source-to-pay software that is available to them. This is where a great consultant can come in and introduce an application that can change the business is done on a grand scale. For example, we discussed the sourcing phase of the process above. One of the key elements of this software is that it has the ability to seek out and discover sources using AI. This software can actually match up a business with the best candidates using algorithms that determine the highest possible benefits to each vendor based on a collection of verified data.
Resources in the business world are also translated as money. The time that it takes for an employee to complete a task costs money. Expenditures such as paper, pens, clips, and whatnot all add up to costs. With a consultant that has experience in the procurement industry, you can learn ways to cut back on valuable resources and put money right back in the bank. Instead of paying employees to do source-to-pay tasks, a consultant can show you how to redirect the employee’s skills into other facets of the business and streamline the efficiency of the whole company.
Although it may seem like an extra expense to hire a consultant to come in and help, in the long run, it could be an expense that will save you a lot more money than you spend on the consultant. Why not get a professional opinion and see where the flaws are in your own system?