eCatalogs – Your Punchout to Compliance

 

At the heart of every procurement system is a catalog. Even in an environment lacking automation, requisitioners consult a hard copy or customer service reps use a catalog at the other end of a phone line. So it stands to reason that getting everyone to use the correct catalog from a preferred vendor at the contracted price will ensure that negotiated savings from sourcing and contracting activities are actually realized.

 

Turn Identified Savings In To Realized Savings — Prevent Spend Leakage

 

Does your company have an eProcurement system?

If not, thoroughly investigate the significant savings that such a system can deliver. Most vendors are happy to provide you with an ROI analysis of your spend free of charge. This should be of particular interest if you have already invested heavily in strategic sourcing so you can capture all of the negotiated savings and avoid leakage.

  • Decide whether it continues to make sense to dedicate resources to a function that may be better executed by outsourcing.
  • Seriously explore the options around eCatalog management solutions. With a small investment (especially compared to your ERP investment) and in only weeks you can unlock the value of your ERP eProcurement.

If you have an eProcurement system and you are happy with its capabilities and performance:

  • Enable more catalogs.  Work towards at least 80 percent of your spend. (Don’t forget services.)
  • Work with suppliers to improve the quality of the content.
  • For large catalogs, encourage suppliers to support Level 2 PunchOut.

 

Tip of the Week:  eCatalogs -- Turn Identified Savings into Realized Savings Part II
Tip of the Week:  eCatalogs -- Turn Identified Savings into Realized Savings Part III

 

 

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