Digitisation of B2B procurement processes

Digitalisation in business is an overwhelming concept. So much so that sometimes we don't seem to know where to start. 
The same is true for the purchasing function when faced with the digitisation of its functions.


Digitalización compras B2B Safe
18-05-2021 News B2Bsafe

What is the digitisation of B2B purchasing processes like?

The maximum option for the digitisation of B2B purchasing involves the implementation of a specific purchasing module within a comprehensive implementation of a large ERP.

These specific modules cover everything from the identification of the need to payment, where all the steps are covered: budget control, search for suppliers, request for offers, etc.
However, the reality is that this ideal does not exist. Therefore, it is advisable to start with smaller and more controlled steps. 

In purchasing, there are some resource-intensive activities where we are already using a number of external suppliers and smaller tools.

These provide very useful solutions, such as B2B Safe, which is a step in the digitisation of the purchasing area with a clear contribution of value. 

Digitalisation and productivity in the purchasing area.

As various studies by consultancy firms have shown, the COVID-19 pandemic has boosted digitalisation in companies. It has been empirically demonstrated that there are a variety of benefits. 

But one of the most frequently mentioned, for obvious reasons, is the improvement in productivity. 

For the purchasing area, digitisation also brings transparency and order to the process, which translates into efficiency, lower costs and lead times.

Traceability is increased and information and risk management are improved. 

With B2B Safe, these benefits of digitisation are achieved quickly and easily, as it does not require large implementations, and can be used only in the parts of the process and in the way that is in everyone's interest, at any given time. 

What are the phases of the purchasing process and which are the easiest to digitise?

The phases of the purchasing process that can be digitised are all to a greater or lesser extent. 

These phases of the purchasing process are:

1. Identification of the need
2. Approval flow of the requirement request
3.    Budget control 
4.    Sourcing of suppliers
5.    Approval of suppliers
6.    Negotiation, RFx.
7.    Issuance of purchase order
8.    Confirmation of delivery or receipt of order.
9.    Contract repository.
10.  Receipt and approval of invoices 
11.  Payment

Of these 11 steps, B2B Safe as a tool to help purchasing areas and their digitisation, allows us to increase productivity in the following:

Search for suppliers
Through the tool you will be able to search for suppliers, launching a tender or directly searching among the suppliers registered and previously classified.

Approval of suppliers 
In the case of new suppliers, certain prerequisites may be required in order to be able to start working.

These requirements can be configured in a particular and general way for each tender.

Negotiation, Rfx 
Where, through previous, transparent and comparative consultations, the negotiation of the conditions with the different suppliers will be ordered.

Issuance of purchase orders
Once the conditions of the operation have been agreed, a purchase order will be issued as a contract.

All the necessary information can be documented and with a unique number, which will be used for the internal allocation of the cost centre.

Confirmation of delivery or receipt
The internal person responsible for the receipt of the order shall give full or partial confirmation of the delivery of the order.

This shows when and how much has been received for subsequent reconciliation with the invoice.

Contract repository
In cases where orders are subject to a contract, this may be available and can be managed from the tool. 

Receipt of invoices
Invoices can be received in a mailbox which, with the order number, can be easily identified and allocated to each budget, cost centre, category or accounting account, without the need for another approval flow or with a shorter approval flow as all the information is already justified for payment. 

Once you have confirmed that the invoice matches the goods or service ordered and confirmed receipt of the invoice, you can proceed to payment. 

B2B Safe is your ally to digitise the purchasing area.

The B2B Safe tool has, in addition to the digitisation of the purchasing processes, a clear additional value contribution in the financial information relating to suppliers.

This information provides security in the purchase on credit, as it identifies the actors in the transaction for subsequent payment. 

All this makes B2B Safe a very useful and easy to use marketplace for purchasing areas, as it generates trust between suppliers and buyers with the security of a good service and the best conditions for the buyer and the security of payment for the seller.

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