If most business owners´ relationship status with their purchase order (PO) process was categorized like we describe our situationships on Facebook, it’s safe to say they’d firmly land in the “It’s Complicated” category.
It’s a little bit of a cheeky comparison, but one that is absolutely founded on a basis of truth. Just like our human relationships are complicated, so too is the purchase order process — which makes the need for purchase order automation paramount to keeping things status quo. Because let’s face it: The last thing you want is to be broken up — especially when it comes to your purchase order process flow.
So, why is purchase order automation such a hot topic? Think of all the moving parts involved in the purchase order process: tracking all items you need to purchase in the first place, creating the actual orders for your suppliers, ensuring the items you order actually get to you (when you requested and in full).
It’s a lot, and requires constant attention every step of the way in order to ensure everything doesn’t fly off the rails, leaving you sorting through the rubble with tears in your eyes, wondering where it all went wrong (again, the similarity to human relationships here is uncanny).
Red Flag Alert: The Time for Purchase Order Automation Is Now
And just like with relationships, there are always red flags. In the purchasing process, these red flags are your signals that it’s past time to pull no punches and prioritize purchase order automation before it’s too late. Red flags forecasting a crash collision ahead if you stubbornly stick to your old ways include, undue stress (asking yourself constantly “Will the item(s) actually arrive?”), limited visibility (wondering where those purchase orders are at any given moment), and zapped energy (following up again, and again, on every little thing).
Talk about a high-maintenance relationship! For many business owners, it’s enough to make you want to throw your hands up in the air and give up and maybe even swear off this entire relationship thing altogether.
Luckily, purchase order automation solutions exist that can solve all angst and stress. SourceDay solutions are an excellent example of this, and this blog will highlight several ways we can provide value — and keep you from breaking up — with purchase order automation.
SourceDay: The Tools You Need to Stay in Sync
Imagine SourceDay as your relationship counselor, coming in and providing you with the tools you need to take your current stressful and outdated (maybe even flailing) purchase order workflow and completely revamp it, providing it with the support and attention it needs to begin—and continue to—thrive.
So, if you are ready to say goodbye to the drama and roller coaster highs and lows for good in your purchase order process, let’s explore how SourceDay can step in and support you in changing your relationship status with purchase order automation from “It’s complicated” to “Taken” (as in, “taken” it all the way to the bank with profits and bottom line boosts).
Take Out That Fine-Toothed Comb
One simple step you can easily take as you get started on your purchase order optimization journey in your business is to take a fine-toothed comb to your current purchase order processes and identify the most problematic pain points in your workflow. Here is where you see what is working, and weed out what is not. By pinpointing exactly where you are having issues and experiencing the most upheaval, you can best utilize your energies to focus on the areas that need the most TLC.
Purchase Order Collaboration
For example, you may find that purchase orders are getting lost in the shuffle, or other unforeseen snafus are arising somewhere along the line of suppliers from Point A to B. Collaboration, and proper communication, is key to keeping things running smoothly. Here is a specific area where SourceDay´s unique solutions can help you create a data interface with your suppliers to simplify purchase order collaboration in particular.
Imagine being able to stop chasing purchase order updates from suppliers. SourceDay helps facilitate this by giving you access to real-time information on your POs. And with SourceDay, managing your PO data is also fast and easy, providing you with quick access to past and current information.
And speaking of having quick access to information, as we mentioned before, purchase order automation is the most proactive step you can take in your purchase order optimization journey. It will bring invaluable benefits to your business operations. After all, we are fast becoming an automation nation, and for good reason.
So, why exactly should you consider going digital and opt for purchase order automation in your operations? It’s simple. Statistics show that it pays to do so, literally.
Case in point: A 2022 PwC survey reported that 82% of companies that are highly digitalized manage to create value (be it sustainability, visibility, efficiency, and more) thanks to access to a new wealth and abundance of data they have acquired access to through automation.
The fiscal positives of adopting automation for your operations, including for the purpose of purchase order automation, are also nothing to sniff at.
Let’s take a look at the numbers. One expert predicted that automated solutions could significantly reduce the average cost of processing a single purchase order by an impressive $75 (from $107 for businesses without automation to $32 for businesses that utilize automation).
Making the Leap to Purchase Order Automation
Suffice to say: We have come a long way from the olden days, when spreadsheets and manual input and calculations were the order of the day. These now outdated modes of operation may have been sufficient in the beginning, but as your company—and consumer demand—grows, and the world’s way of commerce becomes increasingly complex, the need for purchase order automation also increases.
Making the leap from a manual purchase order process to automation and a completely digitized system is the pinnacle of power moves when it comes to achieving optimal results.
SourceDay + Your ERP
Your ERP is a powerful tool—doing away with a lot of manual work and making the creation of POs easier for your team—but it is not a solve-all solution. There are still gaps to fill between your ERP and your supplier network to realize the most effective direct material PO lifecycle management and achieve optimal purchase order automation and maximum optimization.
SourceDay integrates with any ERP and closes those gaps and paves the way for purchase order automation by letting you fully manage direct material POs from delivery to receipt, and enabling better collaboration with your suppliers.
Seamless from Point A to B
It cannot be overstated: Having an efficient purchase order process is pivotal to your success. Purchase order optimization not only helps you keep tabs on what exactly is happening in your workflow, but it also makes your life easier by introducing automation to help with supplier collaboration, accountability, visibility, and overall efficiency.
Next Step: Set It Up
We have highlighted just a few important steps you can take to move forward and make big leaps in your purchase order optimization journey, including how the SourceDay solution can support you in facilitating each.
If you would like to learn even more about how SourceDay’s solutions can jumpstart your purchase order automation journey, and take you even further down the road to success, reach out to us here to set up a talk to speak with one of our PO automation experts.. Let’s get started!