Risk Of Not Using Source-To-Pay Software
E PURCHASING SOFTWARE
For finance executives searching for software solution, there is both an opportunity cost and risk of not investing in source-to-pay technology. It is critical to understand the dangers of not leveraging cutting-edge technology, as the decision to do so may subject organizations to far worse long-term issues.
Making the wrong decision related to e-purchasing technology can become costly issue. From duplicated efforts caused by juggling multiple systems, to manual data re-entry in order to reconcile records, failure to invest in the right platform can result in inefficient workflows, costly errors, and inaccuracy in reporting.
One of the primary reasons organizations do not capitalize on source-to-pay software tools is inertia people simply do not want to change. However, not considering an upgrade can be costly. Investing in such solutions can actually save money in the long run, as paper-based processes, even if caught up by an army of staff, are expensive endeavors.
Automated solutions provide invaluable insights into an organizations total spend; its successes and areas for improvement. It can provide detailed purchase data and spot payment trends to ensure suppliers are paid promptly, which could theoretically improve relationships with vendors. In addition, as the entire process is automated, productivity gains can be realized, freeing up personnel to focus on higher value activities.
Many source-to-pay solutions are highly modular, enabling finance executives to pick and choose the features that best align with their needs and budget. They can also identify any problem areas in their process, as well as areas of high risk and make necessary changes.
In terms of cost savings, it is possible to reduce manual activities, identify errors, streamline processes, and increase both efficiency and compliance. Long-term savings extends beyond just cost, however; it can also mean reduced stress, improved collaboration, and more visibility of data.
In short, if the right source-to-pay software is employed, then the data can be securely managed, while any discrepancies can be resolved quickly and efficiently. Moreover, organizations can benefit from improved visibility, increased cost management control, as well as workflow efficiencies. Ultimately, such solutions have been proven to reduce both process time and cost.
Taking the plunge and investing in source-to-pay solutions takes careful consideration. Nevertheless, it is important for finance executives to consider all their options to determine the most beneficial solution for their particular organization. Investing in source-to-pay platform can offer far more benefits in the long run than the risk of not doing so.
