Procurement Solution: When is it time to find a better one?
Procurement Best Practices
Excel is a powerful tool that can manage massive data.
For many small companies like your corner Mom & Pop diner, Excel offers a low-cost, simple solution to procurement. For Mom & Pop alone, a cloud procurement software does not make sense. Yet as companies grow, so do their procurement needs.
As Mom & Pop Shop becomes Mom & Pop chain, they will quickly find that Excel cannot keep up with their procurement needs.
When is it time to make the leap from Excel to procurement software?
When the time required to use Excel costs more than upgrading to procurement software.
In procurement, as with all things – free comes with a cost. While Excel can handle a lot of data, spreadsheets are very sensitive to user- error.
If the whole Mom & Pop team tries to simultaneously update the Excel spreadsheet, they leave themselves open to potential mishaps. Information not updated, information duplicated or deleted, and bad formulas that throw off the whole spreadsheet leave procurement in chaos.
Excel can be fragile, but cloud procurement is robust to errors and can even find errors for you. Tools like PO, Goods Receipt, and Invoice 3-Way Match help you find possible issues.
Complex data is easy to manage in a procurement platform like Vroozi. Managing purchases, suppliers, catalogs, and everything else is simple and automatic. What is only possible in Excel is streamlined automatically in cloud procurement.
When spend is not in control.
If Mom & Pop Shop has one buyer, then they know what and from whom they purchase. As Mom & Pop’s empire grows, they may have many buyers at different levels. Mom & Pop will need to be able to see their spend and they need to see it now.
A key benefit of a procurement software platform is real-time spend visibility.
Now, Mom & Pop can see exactly what their spend has been right up to this minute.
Cloud procurement gives easy access to Mom, Pop, purchasers, approvers, and the financial department, wherever they are. Even if you’re not a global corporation, connectivity is important.
Using paper approvals and Excel for tracking procurement will hold your business back from getting what it needs, when it needs it.
When Excel is slowing down the purchasing process.
Even small businesses quickly put in place approval processes for purchases. In an Excel-run procurement system, this may include templates, paper requests, and signatures.
This convoluted process with Excel could take only a few seconds with procurement software. Mom & Pop only need to open an e-mail and click approve. Now, purchase requests are automatically routed to their e-mail and can be approved in one click.
Using paper approvals and Excel for tracking procurement will hold your procurement system back from getting what it needs, when it needs it. Cloud procurement offers a custom approval system so approving purchases is quick and easy.
Are you ready to make the leap from Excel to cloud procurement?