All companies regularly deal with procurement, but not on the same level. A large international business needs to manage global purchases, meaning its procurement budget and strategy are tailored to meet that need. But, a mid-market company doesn’t need the same level of service provision to the customer.
That’s why e-procurement has become such a popular tool among large corporations, but many mid-level businesses remain doubtful of its benefits. To help clarify the matter, we’ve decided to briefly explore the connection between mid-market companies and e-procurement.
Mid-size companies usually don’t have the infrastructure or resources to produce top-quality, catalog content, preventing them from getting proper visibility. E-procurement solutions solve this problem by providing pre-made and localized catalogs cost-effectively, moreover helping them focus on scaling and acquiring an edge over their competitors.
A reliable e-procurement solution often comes with thousands of suppliers for several product categories in every industry. This allows mid-market businesses to swiftly access these categories and avoid the lengthy process of finding and onboarding suppliers.
Mid-market size companies often don’t have a CPO or a CEO that can laser focus on procurement. With all the daily operations they have to manage, they simply don’t have adequate time to make the purchasing experience cost-efficient.
E-procurement solutions can help bridge this gap by streamlining the buying process and making products easy to search for. Hence, instead of utilizing resources on hiring and training labor to handle purchasing, they can spend their hard-earned cash on areas that matter more. Plus, automation allows the staff to focus on the core aspects of the business that’ll generate revenue.
Many mid-sized companies don’t have sophisticated supplier management tools found in large corporations. Utilizing a reliable e-procurement solution, they can fill this data management gap and interact with the procurement organization without needing systems like ERP.
Furthermore, they can manage profiles, catalogs, purchase orders, and invoices in a single system sufficient to meet their mid-size needs. Too often, companies spend substantial sums on complicated, extensive ERP solutions, while a much simpler e-procurement system could easily do the trick.
When it comes to mid-market companies and e-procurement, executives need to carefully consider their needs and challenges and find reliable, fitting solutions. Too often, mid-level organizations lack the resources for sophisticated systems, but at the same time, they sorely need a way to fill the gaps in their operations.
This is where a reliable e-procurement solution like Penny’s can lift the burden off a company’s shoulders, allowing them to solely focus on generating profits. To find out more about our various solutions, please contact us.