Supply chain businesses all have the exact same goal in mind, have as much inventory on hand as possible, but do not get stuck with that inventory for long periods of time. Now everyone will also state that this is much easier said than done, but with supply chains businesses utilizing e-sourcing to develop relationship with their buyers and suppliers, this process is becoming relatively smooth. With the customers RFI, RFQ, RFP and e-procurement process, know when, where and how the items will arrive is becoming a more crucial component to the strategies involved. Analytics and data mining are at the heart of all of this, and the more information that we can get our hands on the better.
E-Procurement is very data driven, but with a few major exceptions. On either end of the spectrum of the supply chain process is the need for the biggest opportunity for a cost reduction. By signaling out the best chance to save on the process via a bid management type software, you can see exactly who can give you the best price and service you deserve. With that being said though, data driven is still the main forefront of the e-sourcing process. Knowing how much the process will cost, when it will arrive, how it will arrive, estimate time to ship and create, along with countless other aspects that are quantifiable are needed to display for the process to run smoothly. This data-driven analysis incorporates even those in finance and business schools to help drive the process faster while keeping it leaner. At the end of the day, cost is still a main driving factor, but in order for everything to run effectively, the data must be there.
Sourcing in general is becoming a large part of the supply chain process. Outside of knowing exactly how the chain will operate, we now are able to incorporate just what the exact process will look like. Through taking in all of the data that we receive, our supply chain can be tweaked from the inside to run smoother and faster all through e-sourcing. With the cost of the supply chain being the main factor, having a way to justify our e-sourcing tactics through data will make our overall process simpler in the long run. Of course, if you need to increase how your e-procurement process is utilized, contact ProRFX for information on their brand new e-sourcing tool. Get the bidding management software you need to continue to compete against any size business.