The Impact of Procurement on Driving Organisational Success is Clear – Technology Can Help Businesses Lead the Way
The impact of procurement on the business results of leading organisations within various sectors is steadily rising, highlighting the need to invest in quality procurement solutions that streamline risk management processes and heighten ROI.
A recent report by global management consulting firm A.T. Kearney revealed that in 2019, 90% of CFOs leading the pack in the procurement field agreed that procurement ‘has a regular and active role at the executive table’ – marking a 20% increase from 2016. These companies prioritize strongly defined supplier relationship management (SRM) processes within their procurement teams.
According to the report, such processes have been formed carefully, with the development of formal and structured SRM programs that facilitate the proactive management of suppliers and strategies. According to the Kearney report, this careful management has aided 70% of leading organisations in systematically managing supplier risk. Yet for non-leading organisations looking to streamline their own supplier relationships, the supplier management process remains largely incidental.
Transitioning to an automated SRM solution that heightens accountability for both clients and suppliers is a key step towards a leading, success-driven approach to procurement.
The Open Windows Verified Supplier Network ™ (VSN) provides procurement teams with an SRM starting point that facilitates successful supplier relationship management in a swift, user-friendly manner.
Essentially, the VSN exists within the Open Windows application as a centralised supplier list that is accessible to all Open Windows clients. It verifies the Australian Business and Company numbers (ABN & ACN) of an organisation, as well as its Registered Entity Name (RBN).
Once a supplier is checked and verified, the need to repeat the same verification process for each existing supplier is removed – saving time and streamlining the supplier management process.
The verification process itself is similarly straight-forward. When a new supplier record is entered into the SRM module, it becomes a verification request that is swiftly routed to the Open Windows Verification Team, who verify the supplier entity name(s) and their ABN/ACN against the Australian Business Register.
To ensure the careful, considered management of the supplier relationship, a new enhancement has recently been added to the VSN that essentially re-verifies a supplier’s entity name(s) on a nightly basis. Clients are then notified of any changes to existing verified supplier details.
Once the supplier is in the system, an additional feature also allows insurances and licenses to be tracked and validated against certificates associated certificates of currency, registrations, and information on the supplier’s environmental and sustainable business practices.
With effective procurement quickly emerging as a key characteristic of leading organisations, the benefits of adopting user-friendly software facilitating accountable, deliberate supplier management practices should not be ignored.
Open Windows Verified Supplier Network ™ can ignite the shift to a deliberate, ongoing procurement process – paving the way for a leading, success-driven approach to procurement.
About Open Windows Software
Open Windows Software provides a modular, cloud-based procurement & contract management solution that delivers all the functionality you want, made available as you need.
For 25+ years our team has provided and continually enhanced our flexible, cost-effective software model, allowing you to purchase each module separately or integrate them into other modules. This way you’re only paying for what you need, while ensuring that each module you utilise is serving a specific purpose geared towards improving best-practices for your organisation.
Featured image via Pixabay.