How do you boost productivity in procurement with Data-Driven Approval Routing and Workflow?
Automation software has changed how we do business. Integration of this technology in the business environment is resulting in more efficient processes. In return, businesses are achieving higher levels of productivity and profitability.
One such innovation is Data-Driven Approval Routing and Workflow solutions, and how this technology is utilized for business processes such as Procurement.
Procurement procedures are traditionally marred with delays and unending frustration. With a single system, businesses can monitor the entire procurement process from purchase requisition through placing a purchase order, invoicing1, and so forth.
This article investigates the many benefits of Approval Routing and Workflow and how it helps boost productivity in Procurement.
What Are the Benefits of Approval Routing and Workflow?
Efficient purchasing process
Delayed purchase approvals are the leading cause of inefficiency in most procurement departments. Approvers being out of the office, misplaced documents, and rogue purchase requisitions are some of the challenges that haunt businesses’ procurement processes. But with approval routing and workflow, businesses are enjoying quicker and more transparent purchasing processes thereby boosting productivity in procurement.
Once the originator of the requisition routes a purchase for approval, the system automatically sends a detailed communication to the approver for immediate action. Since the solution is web-based, the approver(s) can act on the request even if they’re not in the office2. The system is mobile supported, meaning approvers can log in using their mobile phones from anywhere, at any time, and reviewed, approved, or rejected, via email and/or SMS text alerts which reduces turn-around time from days to hours. .
Issuing of purchase orders to suppliers, processing of invoices, etc., are equally efficient. Buyers and suppliers interact on the system in real-time, thereby cutting down the length and complexities of the purchasing process.
Improved visibility and transparency
The system captures all the information on the orders, from the purchase requisitions, approvals, rejections, orders, deliveries, invoices, payment, etc. Based on configurable security, anyone involved in the process can log in to the system and view purchase details from approvers, date of approval, suppliers, items supplied, the amount paid, etc. This fosters transparency in the procurement process. Similarly, having data consolidated in one place allows business decision-makers to obtain accurate spend analysis.
Adherence to corporate purchasing compliance/regulations
One of the drawbacks of using manual procurement processes is that businesses incur significant losses through fraudulent and unauthorized purchases. With an automated system, the risk is eliminated as the process is controlled from start to finish. Any improper purchase is either stopped or flagged, is visible in the system, and auditors can easily pick that out. This forces users to exercise caution and comply with procurement regulations at every stage of the process.
Enhanced buyer-supplier relationships
Procurement software simplifies ordering and supply in that buyers and suppliers can exchange information in real-time. Each party can easily track the progress by logging into the system. Similarly, automation of the process leads to fewer human errors in order processing. These conveniences minimize friction between buyers and suppliers thereby fostering better relationships3.
Automation eliminates manual order processing. This helps businesses save substantially on time and labor costs as the software integrates processes that traditionally involved many people.
Automation of the purchasing process is a significant breakthrough for procurement functions in businesses. From improving efficiency, business-supplier relationships, visibility, and transparency to reducing costs and ensuring compliance, Data-Driven Approval Routing and Workflow is an essential innovation in the procurement process. With the software, you can improve your procurement team’s overall productivity, make better buying decisions, and ultimately boost your bottom line.
About ISS Group
ISS Group has been providing IT Solutions and Services to the QAD User Community since 1995. Our primary focus is to deliver enhanced solutions exclusively to the QAD User Community which improve the Flow and Control of QAD ERP related Business Processes.
Contact Us today to learn more about our family of QAD enhanced solutions, or to schedule a custom demonstration at your convenience.