PROACTIS Blog

Spend Control: Four Keys to Success

Charlotte Sutton
Charlotte Sutton,
PROACTIS
Spend Control is a business process that involves virtually everyone in your organisation as well as your suppliers. Therefore, the underlying eProcurement system is very much a people-oriented system. With such a system, the keys to success are:
  1. Employee adoption: Employee adoption is critical to gaining a high level of ‘spend under management’. The key to success here is very simple – your eProcurement system needs to make it as easy or easier for an employee to find and buy what they need within the system in accordance with organisational policies than it is to buy something outside the system. The ultimate goal is to make the experience people have with your eProcurement system as close as possible to the type of experience they have with online websites they use in their personal life. Content obtained from supplier catalogues and website punch-outs will be as important to adoption as the system itself.
  2. Supplier adoption: Similarly, your eProcurement system needs to make it easy for suppliers to interact with your company in a self-service manner. That’s how you reduce the administrative load in Procurement and Accounts Payable, and free up more time for value-added activities that lead to lower prices and greater value. Done right, your suppliers will like it too.
  3. A proven, complete framework: Because truly effective Spend Control is only gained from the close interaction of the Source-to-Contract process and the Purchase-to-Pay process, it is important that the eProcurement framework you put in place covers that full scope – even if you move into it one phase at a time.
  4. A partner with experience: Deployment of an eProcurement system to enable Spend Control is quite different from deployment of, say, an ERP system. In many ways, it is easier and much more incremental. But it involves more people both inside and outside your organisation. You will want a partner that is a specialist in Spend Control, and who brings tools and experience for non-technical activities – like supplier recruiting, onboarding and enablement – as well as for technical software implementation.
To learn how Spend Control and eProcurement solutions can deliver greater bottom-line value visit proactis.com