Tag: e-procurement

procurement technology

The Future of Procurement: What has 2019 Got in Store?

Advancements in technology, business practices, and consumer demands have brought about a wave of changes in procurement. With time, procurement’s role in business is changing. In most organizations, procurement is now considered a strategic contributor to an enterprise’s growth and performance. Furthermore, the rise of new procurement trends has resulted in considerable changes in the procurement functions. There are several revolutionary procurement trends that we see today, but it is also important to recognize, acknowledge, and perhaps even leverage them as we work to improve the entire procurement cycle. According to the industry experts at SpendEdge, here are some of the top procurement trends that all set to take off in 2019:

Procurement trends 2019 

Digitization and blockchain

Blockchain is one of the hottest topics across various industries right now and is soon set to become one of the mProcurement Trendsost sought-after procurement trends. Blockchain technology is believed to play an integral role in shaping the transparency of a supply chain. This technology would make it possible to easily share and transmit information in a safe manner across the supply chain. Furthermore, consequent to blockchain’s increasing influence, there is a predicted rise in digital adoption and use of the cloud.

Talent shortage

One of the procurement trends that companies can expect in 2019 is a shortage of qualified talent. Through 2020, the jobs in procurement and logistics are excepted to shoot up by over 20%. Some of the key factors contributing to this include – changing skill requirement, aging workforce, lack of development, and the common perception that supply chain jobs lack excitement. As the role of procurement is changing in most enterprises, the requirement for additional skills sets such as soft skills, critical thinking, and creativity are also growing.

banner SE (2)

 

Corporate social responsibility (CSR)

Over the last few years, CSR has become a procurement criterion in its own right. The rising popularity of CSR among procurement organizations is expected to make it one of the key procurement trends in 2019. This trend is particularly noticeable in the public sector as public purchasing policies are based on European directives, and in large businesses with more than 5000 employees as their responsibility is scrutinized more closely and their larger workforces allow for it too.request proposal

Cybersecurity

In the past few years, the cyber-attacks have skyrocketed at an alarming rate in the U.S. To make it worse, cyber-attacks are growing in size, sophistication, and cost. So, there is little doubt that such malicious practices will continue to plague organization in 2019. In response to the threat, procurement teams must aggressively identify ways to protect the sensitive personal and financial information belonging both to their own organizations and to their suppliers.


Gain more insights into SpendEdge’s best-in-class procurement solutions for business

Contact US

healthcare procurement

Procurement Consulting Market: All You Need to Know

Is procurement a profit center or a cost center? That’s a debate for another day. However, it is hard to ignore the fact that companies can save millions and millions of dollars in their procurement process. The savings can arise from superior supplier selection, material purchase, risk assessment, and many other factors. These savings are not always evident, and processes such as supplier selection and risk management can get overly complicated. This is where companies need to consult experts in the field of procurement. As a result, they mostly turn towards procurement consultants.

Request Free SampleRegional market

North America and Europe are the most mature markets for procurement consulting services. These regions consist of a number of industry leaders that employ strategic procurement and are moving toward value chain integration. In the APAC region though, buyers are facing intense pressure to improve procurement as it is increasingly becoming an important source of goods and services. Fast-growing operations in countries such as China and India have resulted in the need to improve efficiency in operations.

Pricing outlook

Talent cost, including salaries, training, and development, is a major cost component for procurement consulting firms. While retention of talent is a top priority in mature markets such as North America and Europe, attracting talent is the focus for service providers in MEA, and it is training and development in APAC. Buyers are increasingly considering that their internal team lacks the capabilities to enhance their procurement strategy. This is expected to significantly increase the outsourcing of strategic sourcing and category management functions. This trend is especially evident in the financial services sector.

Cost drivers

Procurement consulting firms have to bear the employee costs including recruiting expenses, employee salary, and benefits which are expected to marginally increase due to inflation and the need to hire skilled professionals. Increasing need for service providers to retain talented consultants are expected to augment the salary costs for service providers. Also, the availability of advanced technology such as ERP software, automation, analytics, and cybersecurity, that enhances end-to-end procurement consulting services has increased service providers’ overall costs.

Negotiation strategies

Companies can save up to 8% of their cost base by adopting a reward-based engagement approach. This way consultants also increase their repeat business and bring innovation in services accessibility. Additionally, category management initiatives such as identification of cost-saving opportunities based on innovation, engagement, and billing can also result in significant cost savings.

Industry best practices

Category managers in this sector are focusing on developing a well-defined strategy to optimize procurement spend. They are identifying cost-saving opportunities such as adopting technologies, collaborating with vendors, and conducting price benchmarking studies to minimize the spend. Additionally, the focus is on developing strategic partnerships, where buyers and suppliers engage in contracts that do not work on incremental costs but are designed flexibly to incorporate prevailing market and pricing trends.


  

Read more about the market outlook of the procurement consulting market along with procurement insights, pricing models, supply market insights, and market innovations in SpendEdge’s upcoming report on the global procurement consulting market.

CTA view full report


Software License

HOW CAN BETTER SOFTWARE LICENSE MANAGEMENT RESULT IN COST OPTIMIZATION?

London, Apr 18, 2018: Software licensing is complicated in any organization which is why companies usually purchase software entitlements for hundreds of rights. The rights are then distributed to several employees and machines. Software license management helps organizations to track and document an organization’s software portfolio.

SpendEdge’s latest webinar on the software license management offers an in-depth assessment of the crucial factors influencing the supply market, strategic procurement and sourcing decisions, pricing models, and procurement best practices. The webinar also offers detailed insights into the license management best practices, cost optimization, and software license compliance.

“A good software license management tool will ensure compliance with all such issues and maintain business continuity. Leading procurement organizations can optimize their license spend by negotiating with large suppliers.” – procurement expert at SpendEdge.

Tracking software usage and staying compliant helps companies to plan future purchases wisely by knowing the frequently used software and those that are occasionally used. An excellent software license management tool will ensure compliance with software license agreement and maintain business continuity.

Join the webinar

EMEANA

 

This webinar on software license management offers insights on:

  • What is software license management?
  • Why should organizations have software license management in place?
  • How procurement teams can yield cost optimization with better software license management
  • Consequences of non-compliance with software licenses

Get unlimited access to all our procurement reports. Get access to our reports to gain insights, platform ready-to-use procurement research reports, latest supplier news, innovation landscape, markets insights, supplier tracking, and much more at the click of a button. Request a free demo now


Related posts

Procure to Pay Software

Why Should Your Organization Use Procure to Pay Software?

A procure to pay process in a typical organization is lengthy, time-consuming, and laborious. The process starts out with requirement planning, then RFQ, vendor selection, purchase order, goods receipt, order and goods assessment, payment invoice, and reporting. Manually going through all such processes can be hard and laden with errors. Additionally, an organization may be running multiple processes in parallel with numerous vendors, and tracking them might just go out of hand. A traditional procure to pay process involves a lot of checks, authorizations, paperwork, communication, and errors. With a flurry of innovations in this sector, automation has stood out as the clear winner as it helps organizations better understand their spend and increase contract compliance. So why should an organization use procure to pay software?

Benefits of Procure to Pay (P2P) Software

Enhanced spend visibility

Automation eliminates the requirement for a lot of paperwork and enforces manual checks within each stage of the procure to pay process. Automated procure to pay software provides end to end visibility between POs, goods receipts, invoices, and other documents to ensure goods are as per specification before issuing payment. By providing real-time data to both buyers and suppliers, it offers better srequest proposalpend visibility.

Easy access to records

Procure to pay software eliminates all the paperwork and stores all records in the system digitally. As a result, it becomes easier when procurement professionals want to retrieve data on a particular supplier or transaction. They can get the data instantly, rather than having to go through all the files and documents. Also, buyers can easily access the online catalogs from suppliers, and also review and approve purchase orders in electronic formats. Additionally, the cloud-based system can provide selective permissions and encryption to allow multiple levels of access. It can also generate automated reminders to alert users when purchase orders are pending or require approvals.

banner SE (2)

Catalog management

Contracts are an essential document for any organization. Hence, they store such documents regardless of importance or time. However, it’s not the same with catalogs; they only keep catalogs from a selected few suppliers. Procurement professionals cannot access information on suppliers past offerings or offerings from new suppliers as they do not have their catalogs. An automated procure to pay software helps procurement professionals to link the software with the contract management system and store contracts in the absence of catalogs of a supplier. Such software assists procurement professionals to fetch details and historical costs of previous orders from a particular supplier even without a catalog.

Proactive reporting

The automated procure to pay software has the ability to create reports that provide more profound insights into supplier performance. It can detail over supplier spends over various levels, compliance issues, and status of contracts and shipments. Such real-time reports are valuable to businesses as it assists them with strategic spend analysis and controls their maverick spend.


Want to gain better insights into procure to pay cycle and P2P software?

Contact US

Procure to Pay Software

SPENDEDGE WEBINAR ON 25TH AND 26TH APR – How can better software license management result in cost optimization?

We have progressed far from the days where software was packaged as a product and sold in CDs. Today, with the rising popularity of Sanyacloud-based platform offerings, suppliers are more inclined to provide their product in a subscription-based model. More precisely, they provide access to their software in the form of license. Since software licensing cost takes up a majority of the cost base within an organization, procurement teams should always be on their toes to explore various licensing models and choose the right fit for their organization needs. Software licensing is complex in any organization. Companies usually purchase software entitlements for hundreds of rights, which are then distributed to several employees and machines. Software license management helps organizations to document and track an organization’s software portfolio.

Why do organizations need software license management?

YatheeshSoftware license management ensures compliance with a given software’s End-User License Agreement (EULA). EULA typically specifies how a software product can be used and how many users are permitted and penalties in the case of violation. In case the organization is being audited, procurement teams will have to spend a lot of time and resources to inventory all software usage and prove compliance. In case the organization is found to be out of compliance, they have to true-up their licenses where they buy the software at its book price. Additionally, they may also incur some fees or penalties. The company not only lose out on the financial front, but their reputation also takes a blow. Customers and clients of the company may lose faith in them, and their business would suffer. A good software license management tool will ensure compliance with all such issues and maintain business continuity.

 

How can better software license management yield cost optimization?

Leading procurement organizations can optimize their license spend by negotiating with large suppliers. Also, the teams should assess the role of third-party software asset management companies and the value benefits they offer. Tracking software usage and staying compliant helps procurement teams to plan future purchases wisely by knowing the software that is frequently, rarely, or occasionally used.

Conducted by SpendEdge’s procurement experts, this webinar on the 25th & 26th of Apr would deal with the following key considerations:

  • What is software license management?
  • Why should organizations have software license management in place?
  • How procurement teams can yield cost optimization with better software license management
  • Consequences of non-compliance with software licenses

    EMEANA

Increasing Health Awareness Amongst Consumers Driving Demand in the Global Cardamom Oil Market

Cardamom Oil Market - Procurement Market Intelligence Report InfographicsLondon, Apr 04, 2018: Increased demand from end-use industries such as food and beverage and cosmetics is driving the global market growth as cardamom oil is widely used as a raw material in these industries. Additionally, is also used in ayurvedic rehabilitation centers for aromatherapy due to its antimicrobial and antioxidant properties.

SpendEdge’s latest procurement research report on the global cardamom oil market offers an in-depth assessment of the crucial factors influencing the supply market, strategic procurement and sourcing decisions, pricing models, and procurement best practices. The report, a part of the agro commodities and raw materials, also offers detailed insights into the supply chain management, key market developments, and demand-supply shifts to help sourcing and procurement experts make smart procurement decisions.

“Consumers in the food and beverage industry prefer healthy diet to overcome diseases such as diabetes, cardiovascular related diseases, digestive problems, and respiratory disorders. Consumers are demanding cardamom oil as it is a healthy substitute for regular oil” – Tridib Bora, Agro commodities and raw materials expert at SpendEdge.

There is lack of transparency in the supply chain of cardamom oil suppliers. Cardamom seeds/pods used to produce cardamom oil are brought from small farmers that are opaque about their farming practices, leading to decreased visibility in terms of cardamoms’ quality used in the production process. As a result, buyers are facing procurement challenges regarding the supply chain traceability of the cardamom oil.

Need more insights on this report?

Request Free SampleThis procurement report on the cardamom oil market offers insights on:

  • Supply markets, growth drivers, trends, and imminent restraints
  • Key suppliers and assessment of their capabilities
  • Procurement best practices
  • Negotiation strategies and cost-saving opportunities
  • Pricing models and category innovations
  • For a comprehensive, detailed list, view our full report

Get unlimited access to all our reports. Get access to our reports to gain insights, platform ready-to-use procurement research reports, latest supplier news, innovation landscape, markets insights, supplier tracking, and much more at the click of a button. Request a free demo now


Related posts 

Rapeseed Oil

Factors Hindering the Growth of the Global Rapeseed Oil Market

In 2015, the Telegraph UK came up with an article on rapeseed oil headlined, “Goodbye, olive oil: why we’ve all fallen in love with rapeseed.” Even today, the headline perfectly outlines the growing popularity of rapeseed oil as a healthier home-grown option. Consequently, it is also the third-largest source of vegetable oil in the world after palm oil and soybean oil. The oil is extracted from the seeds of the Brassicaceae flower, which is a common crop in Europe. Rapeseed oil is commonly used in culinary applications such as sautéing, frying, and baking. It is preferred over other oils due to its higher smoke point compared with other vegetable oils. This oil has higher essential fatty acid contents and has the lowest saturated fat levels compared to any other oil. Owing to such health benefits, the demand for rapeseed oil is on the rise in emerging economies such as China, India, and Brazil. The procurement market intelligence report from SpendEdge estimates the market to grow at a CAGR of 4.64%. Although the market faces a healthy growth prospect, suppliers in this market have to overcome a few challenges to take advantage of the market’s growth.

Request Free SampleChallenges in the Rapeseed Oil Market

Threat from disease and crop infection

The rapeseed plant can be affected by series of infection which affects various parts of the plant across its lifecycle. For instance, fungal diseases such as Sclerotinia stem rot is caused by the fungus Sclerotinia Sclerotiorum, and the fungus Leptosphaeria Maculan causes blackleg. Such infections are further complicated by rainfall, as it drives up the infection rates. For instance, in Australia, a prolonged period of rainfall resulted in yield losses of about 25% in 2016. A severe reduction in the crushing volume increases the prices for rapeseed oil. To tackle such problems, regulatory bodies across regions have created guidelines for cultivators to manage aspects such as field selection, use of fertilizers, weed control, and harvest cycles for rapeseed.

Wide range of available substitute

The vegetable oil market has a wide range of substitute products available. Be it in the field of food applications or non-food applications, the number of oils available is enormous. For instance, people across the world use either sunflower, safflower, coconut, olive, soybean, or peanut oil for culinary applications. Also, rapeseed oil can be substituted by soybean, kernel, or palm oil in non-food applications. Dietary revolution is a major factor in determining the preference for a particular kind of oil. Over the last few years, people are increasingly using extra virgin olive oil due to its light and fruity flavor and other health benefits. According to industry estimates, the consumption of olive oil increased by 250% and 1,400% in the US and Japan, respectively, in the last 25 years.

Adulteration and contamination

Suppliers in the vegetable oil market are adulterating edible oils with inexpensive oils such as bran and cottonseed oil to save costs. Such cases are prominent in emerging economies where the supply chains are not structured. Such adulteration and contamination can have serious health issues as well. For instance, in the spring of 1981, adulterated rapeseed oil created toxic syndrome that affected about 25,000 people. Also, the mixture of mustard oil with inexpensive argemone oil causes dropsy disease, which causes oxidative stress and the death of RBCs. It is possible to use brassicasterol to detect adulteration of rapeseed oil.

Health and safety issues

Although rapeseed oil is considered to be more healthier than other oils, its high content of omega-3 fatty acid can make it rancid and foul when exposed to oxygen and high temperatures. Additionally, some reports link consumption of canola oil with kidney and liver diseases, hypertension and stroke, and retarded growth among infants. The availability of such reports could affect the sales and consumption of canola oil.

Read more about the challenges in the rapeseed oil market along with supply market insights, procurement best practices, sourcing models, and key suppliers in SpendEdge’s upcoming report on the global rapeseed oil market.

CTA view full report


Related posts

methylene chloride

Use of Methylene Chloride as an Extraction Solvent in Food Industry driving the demand in the methylene chloride market

Procurement of Methylene ChlorideLondon, Mar 14, 2018: Increase in use of methylene chloride as a solvent in end-use applications such as in the production of pharmaceutical products, fine chemicals, and polymers, and as an extraction solvent in the food and beverage industry is driving the growth in the global methylene chloride market.

SpendEdge’s latest procurement research report on the global methylene chloride market offers an in-depth assessment of the crucial factors influencing the supply market, strategic procurement and sourcing decisions, pricing models, and procurement best practices. The report, a part of the chemicals portfolio, also offers detailed insights into the supply chain management, key market developments, and demand-supply shifts to help sourcing and procurement experts make smart procurement decisions.

“The demand for methylene chloride in APAC is high due to economic growth in countries such as China and India, which has led to increase in infrastructural development. This is leading to rise in demand for methylene chloride among end-user industries such as paints and coatings and adhesives.” – Tridib Bora, chemicals procurement research specialist at SpendEdge.

The prices of methylene chloride are highly volatile as it depends on factors such as demand and supply of methylene chloride and the prices of raw materials. As a result, buyers in this market are facing procurement challenges to estimate the prices of methylene chloride for a contract period and in estimating the overall procurement budgets.

Need more insights on this report?

Request Free SampleThis procurement report on the methylene chloride market offers insights on:

  • Supply markets, growth drivers, trends, and imminent restraints
  • Key suppliers and assessment of their capabilities
  • Procurement best practices
  • Negotiation strategies and cost-saving opportunities
  • Pricing models and category innovations
  • For a comprehensive, detailed list, view our full report

Get unlimited access to all our reports. Get access to our reports to gain insights, platform ready-to-use procurement research reports, latest supplier news, innovation landscape, markets insights, supplier tracking, and much more at the click of a button. Request a free demo now


Related posts

Request free proposal