Find out more about Procurement Software
What is Procurement Software?
Procurement software is a set of solutions that help to automate the purchasing work of companies. You can utilize it to raise and approve purchase orders, pick and order the product or service, receive and match the invoice and order, and pay the bill online. Your company’s procurement unit can make sure nothing can be ordered without proper approvals. Plus, they can get good value by combining multiple orders for the same types of goods and by getting discounted offers from suppliers for the contract.
Large companies and multinational enterprises usually use a shared procurement system to gain from economies of scale and to reduce the purchase costs. Nowadays, eProcurement software applications are also designed for small and medium-sized companies.
Most Popular Procurement Software
Best Procurement Software
How To Choose The Best Procurement Software
Procurement software is used by companies to automate procurement tasks and to get the best rates from vendors for their tender. Thus, it has become an essential tool for companies that need to procure large amounts of goods. But it is a difficult task to select the best procurement software for your needs given the scores of quality apps available. We have prepared this buyer’s guide to give you a good grounding on the list of things to consider in your search for the best procurement software for small business or large organizations.
Get to know each product with free trial
The ideal way to start your search is by checking out the features and benefits of top procurement apps. You can do this by signing up for their free trials. This will help you to learn each system’s strengths and weaknesses and understand if it is a good fit for your needs. Start by finding out whether the following leading procurement software products offer a free trial: Promena e-Sourcing, Officewise, Deltek Costpoint, Precoro, and Panacea.
- Small private firms and medium-sized companies can use procurement software for their needs.
- This type of software can also be used by big enterprises and multinational corporations.
- Governments, NGOs, and large public companies are also known users of procurement software.
Examples of Procurement Software
- Promena e-Sourcing: Promena e-Sourcing is a cloud-based sourcing and procurement system. It supports strategic solutions such as request for information (RFI), request for proposal (RFP), and request for quotation (RFQ) as well as e-auction services.
- Officewise: A web-based solution that allows you to easily manage purchase orders, invoices, inventory, expenses, and bills. No install required.
- Deltek Costpoint: Deltek’s Costpoint offers project accounting, project manufacturing, human resources, corporate financials, and reporting and compliance features. It provides visibility and financial control to help you better manage project costs.
- Precoro: A cloud-based spend management software solution designed to help companies control spending and achieve goals. Precoro is a customizable and simple spend and supplier relationship management software which provides purchase-to-pay and spend analytics for SMBs.
- Panacea: Panacea offers flexible and smart solutions to streamline your account management, project management, procurement, and reporting. It enhances customer service delivery and eliminates time- consuming tasks so you can focus on important work.
Types of Procurement Software
The following types of procurement software are popularly used:
- Spend analysis
- Supplier discovery
- Supplier information management
- Contract management
- Supplier management
- Combination solutions
- Complete suites
Key Features of Procurement Software
Shortlist apps that offer the following important procurement features:
Selection and ordering – Procurement software use a simple format to organize and display product information which makes it simple to compare various products. This is especially useful for selecting commodities as they do not have any variations in quality or features.
Purchase order approval and delivery – The software organizes data in one place which makes it simple to track purchase order approvals. This ensures that goods are ordered only with the knowledge and approval of the concerned managers. The system then delivers the purchase orders to vendors using their preferred method of delivery.
Billing – Billing functionality matches invoices to orders, and enables easy electronic bill payments.
Spend data analysis – Procurement software also offer business intelligence tools to help you analyze purchasing trends and evaluate vendors. You can identify areas that can be improved to benefit from economies of scale and to enhance your negotiation position with vendors.
Benefits of Procurement Software
The main benefits of using this system are:
- You can collaborate and share internally
- Collaborate and share with suppliers on a single platform
- You can standardize procurement processes within your organization
- Track events and get alerts – this feature is useful for risk management
- Analyze the business intelligence data to gain insight into the procurement process so that you can forecast and plan accordingly.
Cloud is improving procurement
Cloud software is helping procurement in multiple ways including helping companies to collaborate with suppliers. Cloud software enables users to streamline orders, improves visibility across the supply chain, and helps them to make changes easily even when products are being transported. With cloud procurement software, you can access insightful data, collaborate with partners, create orders, and place contracts with vendors, all in real time.
Enhanced eProcurement is needed
Experts indicate that eProcurement and spend management systems need improvement. These solutions can use better technology that makes purchasing faster and provides an individual online shopping experience. Vendors are focusing on improvements in technology and software that help you to get the job done easily and reduce policy breaches and maverick spending.
Millennials need to be pampered
Companies need to understand that millennials have great expectations when it comes to using technology for procurement and supply chain tasks. Firms need to meet these high expectations and provide the connectivity and technology millennials require to do their job effectively and with satisfaction. If you don’t cater to their wishes, they will go to a company that provides the latest software they are happy with.
Beware of the following challenges faced in procurement that can impact your use of the software:
If you order the wrong item or quantity, you should immediately contact the supplier and get it rectified. The main question, however, is how to prevent wrong ordering. You can do this by establishing proper checks and balances in your supply chain. Make sure orders need approval from more than one manager to prevent accidental orders and other mistakes.
Most vendors will accommodate your requests to gain your business. You can thus bargain with the vendors to get the best rates and terms of service. However, some vendors may insist that surcharges be included in the cost and they may not be willing to offer discounts. To tackle a rigid supplier, ask questions such as whether they will pay for shipping costs, whether they will provide discounts for large bulk orders, etc. Use your bargaining skills to find the best value proposition even from inflexible vendors.
You may be exceeding your budget because of needs and not due to extravagant spending. Over-spending may also occur if there are communication and coordination gaps in your company’s procurement process. To resolve this issue, you should provide regular budgetary updates to inform all users about the latest financial status so that spending is kept in control and within allotted limits.
List of Procurement Software Companies
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Our Score Read More
Our platform employs our special SmartScore™ method to analyze all the solutions in the Procurement Software category in orded to help you decide on the best possible software. It pays attention to the following factors: individual modules, collaboration elements, custom elements, integration, how easy a software is to use and learn, help & support, security, support for mobile devices, media rating. As of now, TradeGecko is the leader in this category and is recommended by our experts. After thorough research and analysis it received the best results among its competitors and our experts strongly suggest that you consider it as one of the alternatives for your needs.
User Satisfaction Read More
A summary of general user satisfaction with the services in our Procurement Software category calculated using our unique algorythm that collects user reviews, comments and opinions across a broad range of social media sites in order to help you make an educated purchase decision.
Pricing Read More
Every vendor in the Procurement Software category will have a different group of pricing packages for its product and every package will include a unique set of features. Below we list the overal pricing for the cheapest package provided for each service. Please note that advanced features may cost extra.
Devices Supported Read More
An overview of what kind of devices and operating systems are supported by all B2B tools in the Procurement Software category, including mobile platforms and web-based solutions.
Laguages Supported Read More
Check what languages and geographies are served by the top B2B services in the Procurement Software category, including apps intended for international markets and prepared for multi-cultural teams of employees.
Pricing Model Read More
Examine what pricing packages are provided by the vendors in the Procurement Software category to see which one fits your business requirements and expenses best. Be aware that some services can support free or freemium accounts for you to try out first.
Customer Types Read More
An overview of which types of customers a specific B2B solution in the Procurement Software category is designed for, from small businesses and non-profits to big enterprises.
Deployment Read More
An overview of what kinds of product deployement are provided by each B2B vendor in the Procurement Software category. While the majority of modern SaaS services are cloud-hosted some solutions might offer an on-site deployment model as well.