Tuesday, May 8, 2018

Procurement in a Virtual Business World

Today, companies are undergoing a dramatic change in their environment and processes.  Many groups these changes together as “Digital Transformation,” but that industry buzzword fails to describe the essential details associated with this change.  A critical and often underappreciated area is procurement and supply chain management.

While these areas are not generally under the bright lights of business, these processes grind the gears of business success.  In building new service procurement processes and virtual supply chains, the Chief ProcurementOfficer must:
  • Identify and adopt a framework for electronic procurement that uses virtual supply chains that incorporate existing state-of-the-art public and private sector electronic procurement and supply chain systems;
  • Financial and acquisition changes designed to minimize capital expenditures while simultaneously maximizing operational expenditures
  • Build and deploy electronic procurement system that uses virtual supply chains that incorporate multi-media, distributed work-flow management, document handling, and electronic contracting procedures;
  • Educate and train users on new processes and systems associated with virtual supply chains and electronic procurement systems; and
  • Build, extend and expand supply chain collaboration and electronic data exchange.

All this must also address the new and sometimes sweeping legal and regulatory requirements around data sovereignty and privacy.

Wedded at the hip with the CPO, the CIO must also find a path through “Digital Transformation.” The operational and deployment challenges faced there include:
  • Prioritizing as-a-service information technology consumption and multi-source procurement
  • Transitioning from data center ownership and physical management toward the virtual management of IT services delivered from third-party data centers;
  • Dismantling of monolithic software application designs into modern solutions that aggregate internal and externally delivered microservices; and
  • Retraining and transitioning staff away from Agile and Waterfall management models toward fully automated DevOps.
Taken together these activities start to describe the many details associated with acquisition and procurement in a virtual business world. Traditional and legacy management systems that comprised of disjointed point solutions cannot provide a holistic picture of the modern virtual supply chain and hybrid IT ecosystem. CIOs looking to blend legacy data centers with multi-vendor cloud solutions and CPOs striving to create higher value for the business by harnessing new and disruptive digital technologies must join together. This new age relationship must focus on delivering to the enterprise:
  • A unified source-to-pay platform that can provide seamless information, process, and workflows; easy integration; improved data visibility and integrity; and increased compliance, utilization, and collaboration;
  • The ability to leverage technologies like artificial intelligence, the blockchain, and robotic process automation (RPA) that can remove humans from repetitive or mundane tasks such as managing contracts, tracking expenditures, and assessing supplier performance; and
  • An open, cloud-based procurement platform that enables rapid innovation while actively supporting the shift from cost control and spend management to value creation and enterprise growth.

When building such a relationship, digital procurement transformation tools provide the pathway to effective and efficient procurement in today’s virtual business world. Unified source-to-pay Platforms like SMART by GEP® feature AI-based analytics and automation suitable for complex enterprise supply chains. These advanced systems also work with enterprise resource planning systems such as SAP or Oracle.

Unified Source-to-Pay Platform to Enable and Accelerate Digital Procurement Transformation.

This post is brought to you by GEP and IDG. The views and opinions expressed herein are those of the author and do not necessarily represent the views and opinions of GEP.

Cloud Musings
( Thank you. If you enjoyed this article, get free updates by email or RSS - © Copyright Kevin L. Jackson 2016-2018)


Anonymous said...

Very nice topic. Knowing that today's world everything can be made virtually. In businesses, procurement process is made easy and accessible.

Oracle NetSuite Philippines

revu said...

I have to voice my passion for your kindness giving support to those people that should have guidance on this important matter.Surya Informatics

Kavi Priya said...

Great post! I am actually getting ready to across this information, It's very helpful for this blog.Also great with all of the valuable information you have Keep up the good work you are doing well.
Procurement Management Software
Purchase Management Software
e Procurement Management Software

Bala Vignesh said...

This article is mind blowing I read it and enjoyed. I always find this type of article to learn and gather knowledge.
Procurement Management Software
Procurement Management Software India
Procurement Management System
e Procurement Management Software

Ramya Balan said...

Thanks for sharing this awesome guide. I’m happy that I came across with your site this article is on point,thanks again and have a great day.
Procurement Management Software
Purchase Management Software
e Procurement Management Software
Procurement Management System

Alex ken said...

ou’ll need a “strong understanding of regulatory and reporting requirements as well as plenty of experience in forecasting, budgeting and financial analysis combined with understanding of key performance indicators,” according to Robert Half Technology.

Best mentor in the UK

Rapid Safe Transcripts said...

Nice article, Thanks for sharing

Transcript Services in Bangalore-Rapid safe Transcripts
Mobile :9606082489 Email: rapidsafetranscripts@gmail.com

FACTS Transcripts and Verification Inc. said...

Great article!
Thank you for sharing :D

FACTS Transcripts and Verification Inc. has mounted its flag as a pioneer in the business of procuring and delivering confidential documents for the last 12 years.

Our customer feedback and satisfaction is a testament to our brand values and services.

We strive to always uphold the highest standards when it comes to advocating transcripts, attestation, verification and acquiring original source documentation for Indian education qualifications.

We are headquartered in Bengaluru, also known as the Silicon Valley of India, with a global network and dedicated team that help facilitate document procurement from 9000+ institutions in India and around the globe.

FACTS Transcripts provides its services to a large number of Canadian lawyers, Immigration Consultants, Multinational & National companies worldwide with 2,00,000+ happy, satisfied and returning customers!

We are India's largest and first Transcript and Verification organization with an ISO 9001:2008 & ISO 27001:2013 certification issued for quality assurance in information security.

We are a professional premier provider of genuine transcripts and authorize stringent verification for our customers.

We were also featured in the Times of India and South China Morning Post.

We continue to empower Indian students and professionals by offering free tools and resources. Through FACTS Advisor, we publish blogs on a wide range of topics about working and studying overseas.

While you focus on your immigration, studies, or work, we take care of your documents in India.

We’ve got you!

Website: www.factstranscript.com
Social Media: @factstranscript
Email ID: mytranscript@factstranscript.com
Contact: 8088880630

dipanshu sharma said...

Thank you for helping people get the information they need. Great stuff as usual. Keep up the great work.
Real Estate Lawyer in Brampton