Over the years, e-Sourcing has become a key procurement tool allowing organizations to connect, filter and shortlist suppliers, irrespective of whether they are present at the same location or at the same time – often allowing category managers to secure better outcomes than from traditional negotiations. Overall increasing cost control and maximizing supplier competition, as well as creating a repository of sourcing information.
Sourcing repositories for the larger organization is extremely important as it provides a benchmark on historical award price fictions, thus allowing procurement professionals to institutionalize and manage their knowledge of the sourcing category in one place.
E-sourcing involves inviting potential suppliers to tender, collecting supplier information, running tender processes and holding e-Auctions, evaluation, and finally awarding contracts.
Source-to-pay solutions also can be integrated with ERP and finance systems that can help procurement departments improve visibility overspend. Thus, giving the procurement team flexibility to monitor their progress and track the compliance to company policy. Want to know more about sourcing? contact us.