Finding The Right Source-To-Pay Solution: A Step-By-Step Guide
Sourcing Module
Having proper payment system in place for its vendor base is critical for any organization. Also known as Source-to-Pay (S2P) solutions, these are comprehensive systems that help organizations manage the entire purchase-to-pay process from one central dashboard. It can be complex undertaking to obtain suitable S2P solution that best satisfies the needs of an organization. To do so, one needs to identify their needs, review available choices, and make an informed selection. To make this easier, here is step-by-step guide for finding the right Source-to-Pay solution.
Step 1: Assess Necessities
For selecting an apt S2P solution, it is primary to assess the needs of the organization. Understand the scale and scope of its vendor base, the level of automation desired, and the various payment options acceptable to the vendor. Also, keep in mind that while selecting price-per-transaction based solution is cost effective, it might leave the procurement process with more manual tasks.
Step 2: Research Available Solutions
Once your organizations desired features and payment requirements are identified, the next step is to research the available S2P solutions. Consider variety of vendors and features of their offerings. After drawing comparisons between the identified options, narrow down the contenders to selection that best fits your requirement. Make sure to evaluate ALL of the platforms? capabilities and read reviews well.
Step 3: Request Demo
It is always prudent to take the time and request demo of the prospective solutions. This allows you to have an in-depth view at how the proposed tools work; what problems they can solve and how they are likely to help the procurement process. Demo also gives you the chance to ask specific questions and assess the functionalities thereof.
Step 4: Reference Check
Before making the final decision, it is imperative to carry out reference check. Many vendors provide the contact information for current customers and willingness to share their opinions about particular solution. References are invaluable for assessing the effectiveness and acceptance of solution among users.
Step 5: Negotiate the Contract
It is common for many vendors to offer additional features which may come at an additional cost. At this stage, smart negotiator understands the needs and negotiates the license agreement to obtain the best features without breaking the bank. This also opens the door for cost-saving opportunities.
Step 6: Train
Once the negotiation is finalized and contract is signed, the last step is to ensure proper implementation and training. It is crucial to have the end-users understand the process and function optimally. Implementing the system along with cross-functional training therefore is pivotal for smooth transition and successful adoption of the S2P solution.
By following these steps, any organization can choose the right Source-to-Pay solution that best satisfies its needs. well selected S2P solution can often result in increased savings, automated process, and improved visibility within the organization. Therefore, taking the necessary time and effort to implement the right S2P solution is necessary and will provide long-term benefits.
