What does your procurement department look like?
Just a few staff? Only you? Or maybe it’s just one of the many revolving you carry. Whatever the case, it’s no secret that many procurement teams at small-to-enterprise sized businesses are quite small, underdeveloped, and far too busy.
The Best Procurement Teams Are Shrinking
A 2018 study by The Hackett Group shows world-class procurement organizations operating with 21% fewer labor costs and 29% fewer staff when compared to peers. Effective use of data will be one of the most significant factors going forward. To maximize efficiency and produce the best results, organizations must take advantage of the wealth of data they continually generate.
This is likely to lead to some major disruptions with organizations feeling the need to become ever more efficient and competitive. Today, the best procurement teams are lean as ever, but armed with an arsenal of tools that put them ahead of their competition.
This is what they’re doing to get big results:
Procurement Software & Technology
Small procurement teams rarely have specialized technology, and that’s a big problem. Most ERPs aren’t built for procurement. Procurement functions included in major software suites tend to be unintuitive and woefully inadequate for many needs.
A mess of unconnected data scattered over several systems means teams spend their time piecing together data and manually producing reports. That’s a real drag on productivity. And it’s a certain way for organizations to begin lagging behind competitors who embrace new technology.
Time is such an incredibly valuable resource. It won’t matter how brilliant any one person or team might be if their time is wasted on mind-numbing manual reporting tasks. For small teams, advanced procurement software can dramatically increase productivity and help the organization to compete more effectively.
Advanced AI & Machine Learning In Procurement
Once your small team has acquired good software to help organize and normalize your data, the next step is to start benefiting from the data. Are your contracts optimal and compliant? Are suppliers ideal? Are there any suspicious or anomalous transactions? Even with well-organized data, it can be hard to answer every question with regularity.
The most advanced procurement software can make this process simple.
Background AI and machine-learning technologies turn raw data into consistent and meaningful analysis and opportunity detection. This can save hundreds of precious hours and skyrocket your team’s productivity.
Get Back The Human Touch
With 2 tech-based resources for small teams, our last advantage is “the human touch.” Don’t discount this ability. Often smaller teams have a real advantage in personality. They can work more closely with suppliers, developing unique relationships that produce advantages for both sides.
Though, for many teams, this function isn’t possible because of time restraints. Let the machines handle it! Using advanced software allows small teams to embrace value-adding opportunities that make a big difference in how their organizations operate.
Suplari Gives Small Teams Big Advantages
With customizable AI-driven Insights, a simple and easy-to-use interface, and the ability to gain 100% spend visibility – Suplari is the perfect solution for small teams with big goals. Contact us today for a demo!