Whether it’s a simple spend analytics and contract management tool or a robust Source to Pay platform, eProcurement tools can help Procurement professionals tackle their jobs effectively and efficiently when properly invested in. At their worst, however, eProcurement solutions can simply act as a Band-Aid for deeper rooted issues with Procurement processes and policies – never being used to their full potential or even be successfully adopted by the entire team.
While the idea of rolling our eProcurement tools sounds enticing to companies looking to maximize the efficiency of their Procurement team and cut costs, jumping into the wrong toolset can prove costly. To maximize the full potential of eProcurement, organizations should avoid these three simple mistakes:
Mistake One: Failing to Conduct Due Diligence
Due diligence means organizations must apply market intelligence and assess the eProcurement landscape before selecting a tool that matches their needs. This process may entail creating a scorecard for benchmarking eProcurement capabilities, along with scoring feature compatibility with their corporate culture in comparison to the available services on the market.
Mistake Two: Failing to Optimize Tools & Spend
These evaluations are paramount for supply chain firms, because without them, organizations may purchase an eProcurement tool that does not satiate their expectations. Even worse, firms may purchase an eProcurement tool that meets their requirements, yet comes with elaborate bells and whistles that they do not use. While added features may be a plus for firms looking to expand their core service offerings or eProcurement implementation, it can easily be a negative for boutique organizations looking to consolidate tool implementation and optimize their spend.
Mistake Three: Failing to Account for User Adoption
User adoption is another aspect pivotal in the eProcurement selection process. Services that lack user-friendliness mean employees will be unlikely to utilize the service in their day-to-day operations since it can cost them time, incite frustration, and ultimately convolute simple processes. Firms should therefore consider solutions that concurrently optimize spend and drive value for employees frequenting the tool.
If organizations can effectively navigate these three eProcurement mistakes, success will materialize in no time. Need help finding the tool right for your Procurement needs? Contact Source One’s Procurement Technology Advisory experts.