Perhaps the biggest benefit of Purchase Order Automation for supply chain executives is that it helps to free them from repetitive manual processes — such as purchase order creation — so they can focus on more important tasks. A recent article posted on LinkedIn offered up five New Year’s Resolutions for Supply Chain Executives.
Some of the resolutions offered focused on areas such as risk management and improved collaboration with colleagues. A supply chain executive who can delegate much of the repetitive manual labor associated with purchase orders, will be able to take a closer look at risk management, an often overlooked facet of supply chain management and will have more time for relationship building with both customers and suppliers. Here are some of the benefits that purchase order automation software can offer to a busy supply chain executive:
Benefit Number One: Improves Efficiency
Efficiency is a business buzzword that is used so often that it is easy to forget its meaning. The truth is in today’s competitive business environment; efficiency wins the day. A manufacturing supply chain system can automate routine tasks and automate business rules, ensuring a smooth and efficient purchase order execution process.
Benefit Number Two: Document Management
All the data is on the cloud, accessible anytime from anywhere. Rather than spending time combing through manila folders among rows of filing cabinets, electronic document management allows supply chain executives to find a supplier’s transaction history within a few clicks. Executives can review purchase records and communications quickly and easily.
Benefit Number Three: Reduce Error Rates
There are many ways in which humans — so far — continue to stay ahead of computers. Humans are the creators, the innovators and the communicators. However, there are some things that computers excel at that humans do not. Principally, repetitive tasks that require accuracy. For example; humans are quite error-prone when it comes to entering purchase orders containing identical or near-identical information. An automated system can generate error-free purchase orders in a fraction of the time — freeing the humans up to do what they do best.
Benefit Number Four: Improves Delivery Times
As technology accelerates, businesses must be able to respond more quickly to changes in the economic and business environment. Supply chain systems allow executives to make continuous improvements to their purchasing processes in response to an ever-changing business climate.
Benefit Number Five: Streamlines Inventory Management
Gone are the days of warehouses filled from top to bottom with products or materials. Today’s efficient companies must master the art of inventory management. Anticipating the market’s need and ordering only what is required to do business. Streamlining inventory management helps businesses to keep their overheads low and their profit margins high.
Benefit Number Six: Enhances Decision-Making Capabilities
Data is the cornerstone of sound business decision-making. A supply chain system can deliver mission-critical information in real-time to improve decision making and avoid costly mistakes. To learn more about how a cloud-based supply chain system can help you improve your business processes contact us at any time.