Businesses are realising the untapped potential of strategic sourcing to uncover new revenue streams and maximise return on investment. But the intended results elude many enterprises due to inefficient workflows and tools such as email chains, spreadsheets and legacy software. The lack of visibility and transparency within the organisation and across the supply chain also prevents strategic sourcing from achieving the desired outcomes.

The Harvard Business Review published a study entitled “High-Performance Sourcing and Procurement Driving Value Through Collaboration” that explains how enterprises can unlock the untapped potential of strategic sourcing using advanced cloud-based technology built around these four key pillars:

  • Collaboration: User-friendly software engages internal stakeholders and external suppliers through a single collaborative interface, closes operational loopholes and creates new efficiencies.
  • Visibility: Comprehensive views into all purchasing activities create a transparent experience for both teams and suppliers. Access to the right data also enables accurate reporting and measurement of sourcing’s bottom line impact.
  • Risk Management: One centralised database simplifies the effective management of compliance and risk mitigation, supplier performance, regulatory demands, audits and more.
  • Simplicity: eSourcing software must be easy to use and support existing workflows and provide automation to save time by freeing procurement teams from routine, time-consuming tasks.

Unfortunately, many of even the largest enterprises still execute sourcing and procurement activities using a combination of legacy systems, spreadsheets, email, and manual processes. The study surveyed 376 senior executives and found that organisations are not taking advantage of advanced digital technologies for noncustomer-facing operating activities like sourcing and procurement.

The good news is that there is no shortage of digital solutions to choose from that will help drive high performance sourcing. Software like eSource Wizard can be implemented quickly and requires little to no training. The benefits include:

  • Improve operational efficiencies by automating workflows
  • Easily manage tasks from one centralised platform
  • Provide seamless collaboration and communication between teams and suppliers
  • Access and analyse data in seconds to make quick, informed decisions
  • Encourage competition and negotiate better deals in less time
  • Reduce errors and minimise non-compliance

If you’re ready to make an impact with high performance sourcing, schedule a demo to see why your procurement team needs eSource Wizard.