Navigating Source-To-Pay Software For Executives: A Step-By-Step Guide
Contract Creation And Management
The world of digital transformation is rapidly changing, and contract creation and management is no exception. Source-to-pay software represents pioneering model of business-to-business (B2B) ecommerce, designed to drive purchasing, workflow, and data management efficiencies. As an Executive entrusted with overseeing financial operations and owing to the lofty price tags these technologies so often entail, having an understanding of source-to-pay software is essential.
In this step-by-step guide, we will cover the key factors to consider when navigating the source-to-pay software ecosystem for the C-Suite. From the Softwaresuit is available to the infrastructure required for successful implementation, we will demystify the source-to-pay technology model, enabling Executives to determine the ideal solution for their organization.
1. Understand the objectives and motivations for your source-to-pay solution.
The objectives and motivations for any source-to-pay implementation will be determined by the quality and breadth of desired outcomes. Taking holistic approach to source-to-pay, review ledger and administrative tasks, as well as request-based supply chains, to gain thorough understanding of what the technology can and will achieve. Be sure to take the existing socio-technical context into account, such as levels of existing digital capability and legacy investments.
2. Assess your system architecture.
A key factor to consider amongst the source-to-pay suitors is their respective levels of integration capability. This includes assessing both in-house and cloud-based options, as well as how existing applications and systems may need to modify existing architecture. To enable smooth launch, ask both the vendor and external consultants to review the architecture, verifying it meets the required system standards.
3. Identify implementation requirements.
An exhaustive list of implementation requirements should be established before any new solution is rolled out. This is particularly pertinent for source-to-pay, as the technology can often be highly sophisticated in operation. Business processes, user adoption and training requirements, as well as aspects such as security and regulatory compliance must be accounted for in order for source-to-pay to operate at its optimal level.
4. Gain stakeholder buy-in.
Given the complexity of source-to-pay, stakeholder alignment becomes especially important throughout the procurement and deployment process. Strategize with management teams to determine any benefits, such as operational savings, expected from the source-to-pay solution. Also consider cost implications, the terms of outcomes, and execution timelines alongside the business’ ambitions and goals.
5. Analyze vendor portfolios.
Once the objectives, architecture, and requirements are clear, the procurement process can begin. In the buyer?s market, the solution portfolio is vast, comprising selection of vendors who offer varying levels of services, such as those vendors who focus solely on spend management, versus those who offer more comprehensive spectrum of services. When evaluating potential vendors, factors such as experience, portfolio capability and scalability, pricing models, as well as aftercare and support should be taken into consideration.
6. Secure the deal.
With the vetting process complete, Executives can progress to the contracting phase. At this stage, it may be beneficial to solicit the services of an external legal professional, who can review the contract to ensure it is fit for purpose, enforceable, and designed to align with the objectives established in Step 1. Doing so minimizes the risk of any legal implications occurring post procurement.
7. Deployment and activation.
Once the vendor is selected, the deployment and activation process can commence. Be cognizant of the architecture established in Step 2, as any vendor should be free to modify and troubleshoot as necessary. Following successful deployment, the vendor should provide appropriate training, enabling both formal and informal instruction to account for user capabilities.
Source-to-pay software represents an exciting ecommerce advancement, providing sophisticated infrastructure that integrates many business-to-business procurement components. For Executives, negotiating the source-to-pay vendor world can be daunting prospect. Nonetheless, drafting procurement objectives, assessing system architecture, evaluating platform suitability, and devising an action plan to outline the requirements of source-to-pay Softwaresolution, should be the first steps taken when navigating the source-to-pay software ecosystem for the C-Suite.
