A procurement revolution for most businesses

by House of Control | Dec 3, 2020 1:59:36 PM

All your framework agreements in the same online store, so agreed discounts always apply. Matching purchase order and invoice, which eliminates manual work for the finance department and super-easy administration and operation. Welcome to tomorrow's B2B procurement!

The article continues after these four videos

The basic setup and design:

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System management is this easy:

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How your employees actually shop:

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PunchOut? That's easy, too

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Take me to the product page: Click here to read and watch what Complete Procure can do for your organization - and try our ROI calculator

Businesses in both private and public sectors are built on subcontracting. And the basis for repeat purchasing is usually framework agreements. The larger and more complex the organization, the more framework agreements it will have in place with suppliers.

The work that is covered by each individual framework agreement is both extensive and strategic. The deliveries must of course ensure you receive competitive prices and predictable discounts. A thorough qualification of the subcontractor also involves deep dives into matters such as quality, capacity, production methods, climate footprint, raw material content, certifications, social responsibility, etc.

A subcontract therefore affects not only finances and the bottom line, but also key parameters such as risk, scalability and reputation.

In an ideal scenario, framework agreements mean a simpler everyday life for the CFO and the accounting team: The supplier is registered in the ERP system, there is a purchase order (PO) for each purchase, with an invoice number that matches. Therefore, there will be minimal manual work for the finance department. When these things are in place, the ERP system works properly and becomes exactly the tool for business management it is meant to be.

However, all too often, the following happens: Employees don't find or are unaware of the framework agreement when they make purchases, and they spend time probing prices from random suppliers. The consequence? The discounts lapse. Strategic considerations from the framework agreements are not considered. Unnecessary, manual and time-consuming work for the finance department occurs. And if it's discovered by the purchasing manager, it's often followed by a round of less pleasant reminders of policy violations.

Rewind to "do not find the framework agreement". By the way, the fact that purchases are done without regard to framework agreements may also be due to difficult-to-use interfaces of the existing order solutions. But why is that so?

From the employees’ perspective, purchases look quite different: In our private lives, most of us are experts in online retail. We compare prices and quality, see where the products are available, what the shipping costs are, delivery times, and we often prefer manufacturers who take on a greater responsibility.

Now there is a solution that makes purchasing for the company as easy as for private individuals. It also takes care of the purchasing manager's strategic work and ensures that purchasing takes place through existing framework agreements. It represents a quantum leap for the CFO, by eliminating manual tasks and answering the needs of the ERP system. It’s called Complete Procure.

With Complete Procure, all product catalogues from your approved suppliers are added to the portal and you can search for products as easily as you do in the largest and best online stores you use privately. You can sort results by categories and suppliers, get products photos and clear product descriptions, add items to your cart etc. If you have a framework agreement with suppliers where you have your own login to their online store, you can easily take the shopping cart with you using PunchOut technology.

Complete Procure is the first product created through the acquisition of DinERP which became part of House of Control Group in the summer of 2020. It is a solution that has been developed with support from Innovation Norway.

Click here to watch what Complete Procure can do for your organization - and check out our ROI calculator

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