How to turn the purchasing process into a strategic asset for your company

In the business world, not everything is about having the best or most innovative product or service. If the whole back office process does not work, it is impossible to reach the market. The most illustrative example of this is the management of purchasing processes and the relationship with our suppliers.

In large organizations or in certain sectors, such as production and distribution, for example, optimal management with suppliers is crucial to guarantee stocks, productions, ensure payments, etc … Traditional supplier portals are evolving to be supplier or business networks, turning the purchasing process into a strategic asset for companies.

Now, what is a network of suppliers or business (business network)?

It is a platform that will allow us better communication and interaction with our collaborators and that helps in controlling the supply chain of our company, since it offers us greater visibility. With numerous functions that will simplify the transactions between buyer and supplier, this type of solution is designed for companies seeking to optimize their purchasing processesdigitize the exchange of documents with suppliers and who have the need to integrate all the processes of purchase request, management of the relationship with suppliers and accounts payable, in the same place. It is a centralization tool to be able to carry out all communications and interactions with suppliers in a simpler way, thus being able to invest time in other tasks that are less automatic.

The connections between companies have evolved from one-to-one integrations, to a supplier portal, to the present: business networks with interconnected companies.

Not all business networks are the same, but depending on the sector in which we develop our activity, they will have some functions enabled or others, but what benefits will they bring in general?

  • They allow for easier management of purchases from suppliers, in real time and from a single interface.
  • It integrates all the processes of sourcing, invoicing and accounts payable, making this process a strategic asset.
  • The fact that it offers a unique interface allows providers to receive orders, send invoices, consult orders and request financing through the same platform, facilitating the whole process.
  • It enables efficient monitoring of supplier performance.
  • Thanks to the synergies in supply, invoice reception and optimization of accounts payable, it allows for significant cost savings.
  • Total transparency between the company and the supplier provides suppliers with greater visibility.

It should be noted that more and more organizations, regardless of their size, are connecting to these supplier networks to carry out communication in a more efficient way and to be able to meet their objectives; especially now, as we all know, that we are in the process of digital transformation.

Supplier networks must be adapted to the present needs of each corporation, regardless of who the suppliers are; we must not forget that it is a tool that the company implements to achieve better business relationships, so it must be adjusted to these needs by offering added value to the suppliers themselves.

At Brait, we can help you defining your strategy to implement B2B networks such as Tradeshift, helping your business to turn the accounts payable process and the relationship with your suppliers into an strategic asset for yourcompany. Do get in contact with us, we would be happy to help you!