Frequently asked questions (FAQ) about Cloud Procurement Software

Procurement Software provides your procurement function with technological innovation that is both convenient and affordable. Companies and organizations are getting more interested to streamline their business through automation and looking for an implementation of better cloud ERP platforms. The field of procurement has commonly faced difficulties of getting up to time with technology and organizational issues. The frequently asked questions in gaining knowledge of acquiring right cloud Procurement Software. 

What is Procurement? Why it’s So Important in Business

In general the process of agreeing to terms, acquiring goods via competitive bid or tendering process. It includes identifying requirements, authorizing and approving purchase request, supplier identification, make inquiries and require quotations by negotiating terms, vendor selection, creating PO, creating good receipt, purchase order generation, shipping, invoicing and finally making payments.

For better understanding, the process is very vital to get visibility and control over the complete company procurement process. Because an organization may spend up well more than revenue on goods and services. While lack of strategy may sink organizations financially. If organizations can’t control the process, can’t see the visibility on money spending and how to reduce the cost. 

What is Procurement Software or e-procurement Software?

E-procurement or procurement software is also identified as a platform or service for B2B, B2C, and B2G by ERP providers focusing on vendors. In simple words the process of obtaining goods and services through the internet. 

Traditional procurement involves physical paper-based tracking on daily operations. 

An E-Procurement platform that helps streamline the business process by eliminating the manual paperwork, saving time and resources and better control over spending.

What is the major difference between manual Bookkeeping accounting vs. E-Procurement?

The manual Bookkeeping accounting process will be done by filling out requisitions to payments collections manually, the time frame to deliver roughly 5 to 7 working days.

The E-Procurement solutions come with the streamlined process and reducing the transaction time. Automation helps in real-time communication to buyers the availability of quantities and makes an instant decision for an activity. Wide range of solutions can be used with ease to manage the finance, taxes, shipping regulations and global operations. 

E-Procurement software can give the first steps towards productiveness and allow greater scalability to grow for sellers and buyers act a single unified system. Hence business grows exponentially as per today market. 

What are the benefits of moving from traditional accounting to cloud procurement software?

The latest trend in accounting is Cloud Technology; however, the transition isn’t easy to move from traditional accounting (On-premise) software to Procurement Cloud. But organizations should take big opportunity to step up to move and it involves a change in culture and attitude. Traditional accounting software comes with infrastructure costs as well as maintenance costs. On the other hand, license fees or upfront costs needed at large.

The SaaS software model (Cloud) offers the flexibility and collaboration synonymous with the cloud. To access financial data from anywhere at any time and make an invoice, payment approvals or important approvals can be done by simply login to your account from desktop, smartphone or a laptop.

Cloud technologies are expected to make accounting applications easily accessible, less expensive and time-saving. Organizations can leverage the cloud to enable a new segment of business insight to understand the change need their business’ performance.

Moreover, cloud technology gives the benefit of the administrative process and human dependency which gives them the edge over the new level of a highly satisfactory level of service.

According to the Microsoft survey, some of the main benefits of deploying cloud computing in the organization were discovered to be improved productivity and cost-efficiency.

Difference between Traditional vs. Cloud, Which you should choose?

Traditional Procurement Software comes with initial infrastructure costs as well as maintenance costs of on-site software and hardware. 

Today’s world, Cloud has become an essential business technology services. There is no similarity with on-premise software. Cloud Procurement software is hosted and maintained on secured servers accessed via the internet from a web browser anytime anywhere.

Traditional software, users are limited by a big upfront fee. Another hand, Cloud software is free of upfront costs, big cloud companies offer pay as you use model.

Cloud Procurement software seamlessly integrated with accounting core features such as project budgeting, complete automation of manual functions, Important Real-Time updates, financial forecasting, Reports and financial insights, Management of Cash flow, Accounts payment & receivable and business intelligence.

Cloud solutions come with flexibility. Financial teams can use cloud procurement to retrieve real-time data to ensure efficient organizational tool for your company

Cloud solutions are typically cost-effective models and boast security advantages as every solution provides its security solutions such as authentication and encryption.

What to look out in Best Cloud ERP Software?

As we all know by now “The cloud is the future”. 

Choosing a one right cloud ERP software provider for your business there are some key elements to assess:

• Software Reliability: Make sure, your data is backing up time to time and able to access from any location and any device.
• Simplicity: Able to analyze the effect of the accounting numbers, to make business financial decisions that benefit your organization. 
• Security: The financial information requires extreme protections and it is exclusively private. 

Above all, the seamlessness and productivity of the cloud compared to traditional software which impossible to deny.

How Plug and Play Cloud ERP Transformed Procurement system?

Companies utilise the procurement platform to both sell and buy the goods around the world are changing from Large Complex ERP solutions to in favor of User-ready platforms such as Plug and Play ERP solutions and far efficient that the Complex ERP solutions.

As business advance continue to evolve, The Plug and Play Cloud ERP solutions play an essential role in advanced automation, cost-effective solutions, a business will spend less on complex systems, access to more options to improve communication in the supply chain.

Let’s take a closer look at key benefits of Plug and Play Cloud ERP Solutions  

• The latest trend of new developments is app-driven with simple interfaces
• Business owners need not worry about the budget and it requires little to no maintenance 
• The end to end implementation will be done in days not months 
• Seamlessly integrated between different systems 
• The Plug and Play built-in features are a worry-free nowadays to manage the Spend Analysis. RFQ. Reverse Auction, PO, Invoice Automation. Contract Management with a single unified system 

Hence, Different types of procurement systems to communicate more efficiently using Plug and Play cloud connectivity and increase, sharing, data visibility and compliance.

What are the future insights of cloud computing and their advancements?

According to finding and insights from  Logic Monitors Survey, 83% of enterprise workloads in the cloud by the end of 2020. 

The survey also highlights the breakdown by end of 2020,  

• 41% of enterprises run on public cloud platforms (Google Cloud, Amazon AWS, IBM clod, Microsft Azure and others)
• 20% are forecast to be in the private cloud
• 22% running on hybrid cloud platforms 
• On-premised forecast to shrink 10% by end of 2020 

With the increase in demand for superior cloud solutions, the need to shift from the traditional to modern business approach is the pivot of the digital business world. Digital transformation is a pioneering way to meet the needs of current customers and to bring in a digital revolution in the company. More technologies are being developed to advance and make cloud solutions cheaper.

The journey is necessary, there’s no disagreeing that technology has brought ground-breaking changes in this era but who would have thought about moving to the clouds.

"Streamlining advance Innovation through the Cloud"

Be it an e-commerce industry or the health sector; The cloud computing innovation is providing better ways to deliver better services to the customers, The cutting-edge technology and advanced solutions in the public cloud market is rapidly growing and shifting the way of quicker interconnect and low-cost software.

We have also written a blog on Procurement to Pay Software for Today's Business Leaders, which you will find it useful.