HOW DOES AN E-PROCUREMENT SYSTEM WORK? The E-Procurement Process E-procurement refers to B2B ordering, purchasing, and requisitioning of services or goods online. A B2B eCommerce e-procurement system, primarily, streamlines the different parts of the purchasing operation and helps organizations acquire the services or products they want without overspending. E-procurement consists of the following processes: Requisition: You notice a need, identify the particulars of the services or products you need, determine where you can get them, and make a request. Authorization: A personnel or approval department confirms that the services or products you requested are required, that your request does not violate existing contracts or agreements, and if the prices to obtain the services or goods are reasonable. Purchase Order: Once your request is approved, you can make a purchase order from your selected suppliers. Inspection and Receipt: You check the products sent by the chosen supplier, and then reject or accept them accordingly. Payment and Invoice Approval: If you accept the goods, you need to make a payment. Before that, make sure the invoice coincides with the products or services accepted and received and the items on your purchase order. Documentation: Save a record of your purchases for tax information, possible audits, warranty details, and help with future purchases. BENEFITS OF AN E-PROCUREMENT SYSTEM Why You Need a B2B eCommerce E-Procurement Site More and more modern B2B businesses are now leveraging technological progress to stay competitive and fulfill the demands of customers. A B2B eCommerce e-procurement site also called the “procure-to-pay” system,” is used by corporate consumers to place orders. It provides a central workspace and a unified dashboard for the whole purchasing crew, where all relevant records and tasks are stored for easy reporting and retrieval. Some also have a self-service portal for suppliers where they receive quote requests. Some other benefits of an e-procurement system are: Speed and Accuracy Automation engines shine the brightest when it comes to ensuring seamless transitions between tasks. Whenever a step is completed, the next person in the queue is notified in the workflow through a text message, email, or other forms of communication. This ensures no tasks get skipped in between, as an automated system is programmed to move directly from point A to point B. The system makes sure it follows the tasks in the right steps to completion. This ensures nothing gets skipped over or overlooked. Vendor Management Another important highlight of B2B purchasing is vendor-vetting. Things are not as simple as blindly purchasing anything from anyone. It is only logical to want to deal with trustworthy suppliers. Your e-procurement system has got you covered in this regard. It comes with business records tailored to it, such as those from Dun & Bradstreet. This helps B2B buyers and procurement managers decide if they can put their faith in certain buyers or not. Process Visibility Your e-procurement software has a dashboard that you will need to familiarize yourself with; it can be a really valuable asset for collaboration. The dashboard conveniently shows ongoing purchase order updates. It can also keep you posted on other information, such as the products that still need to be acquired by the company. If you are concerned with record security, you can restrict access to pages and information based on the roles of the involved participants. Workflow Automation Picture this, you did not crosscheck an invoice against the items listed on it, and you paid it straight away. This can and will result in the goods being received to meet expected standards. What will follow would be a dispute process with the supplier, involving you attempting to get a refund. This is what makes workflow automation so special. It lets you assemble workflows that can identically represent how your business handles e-procurement. It has the ability to oversee goods inspection to documentation, even requisition to delivering purchase orders. An automated workflow runs consistently in the background. This is how it lessens and even eliminates errors and the financial and time costs associated with them. WHY YOU SHOULD USE E-PROCUREMENT SYSTEMS FOR YOUR B2B BUSINESS Clarity B2B eCommerce Experts The internet has substantiated its place as the current most profitable shopping platform. Buyers are now a click away from fulfilling their needs. This makes it necessary for any B2B business to have an eCommerce solution. This can help with upscaling your B2B business, along with the range of clients you cater to. There has been a continuous increase in the number of B2B companies using eCommerce to aid their purchases. It is not surprising that purchasing managers are now also using e-procurement systems to further streamline the process. If you want to know more about this topic, we would suggest reaching out to our team. Our professionals will be glad to offer any help or answer any technical questions you may have on your mind related to e-procurement and B2B eCommerce solutions. Clarity has a friendly, experienced, and knowledgeable business development and sales team. They will also provide you a complimentary analysis. Get in touch with us today. We look forward to having a discussion with you regarding your upcoming eCommerce project. Clarity B2B eCommerce Resources Additional Features & Capabilities B2B eCommerce Overview Finding the Right B2B Software Solution Benefits of B2B eCommerce Solutions Transitioning from B2C to B2B eCommerce What is a B2B Infomediary Website? What is a B2B Industry Vertical Website? What is a B2B E-Procurement Website? What is a B2B Broker Website?