Maximizing Operational Performance Through Automated Source-To-Pay
Maverick Spend Definition
Organizations seeking to improve operational performance have embraced automated source-to-pay processes. Whether the objective is to improve cost savings, increase efficiency in transactions, or gain transparency and visibility into all financial transactions, the implementation of source-to-pay software is key. As finance executives seek to identify the right solution for their organization, the following outlines the steps to optimize operational performance through automated source-to-pay.
The first step to improving operational performance is clearly defining the purchasing requirements before any initiative begins. For maverick spend, understanding the purchasing categories, when and where they will be necessary and in what frequency is critical part of any Softwareselection process. With the right data and guidance, the identification of the right software platform with the right criteria becomes manageable.
The second step is to identify the right software platform for the needs of the organization. Softwaresolutions tailored to source-to-pay automation indicate tangible benefits such as cost savings, improved supplier management, and improved compliance in purchasing activities. As finance executives consider the options, they should be mindful that automated source-to-pay reduces manual data entry and offers single platform to ingest and manage end-to-end operations across multiple systems, such as ERP, accounting and procurement.
The third and perhaps most important step is selecting the right provider. When selecting source-to-pay provider, executives should look for vendor that can demonstrate expertise in areas such as configuring the software, implementation, and project management, as it will be crucial to the success of implementation and the realization of benefits. The vendor should also be able to offer on-going maintenance and customerservice to ensure optimal use of the software.
Lastly, executives should consider the timeline and return on investment of their chosen Softwaresolution. While implementation of source-to-pay process may take additional setup time, executives can expect to rapidly realize the benefits. In addition to cost reduction, they can expect increased efficiency across processes and decrease in manual errors.
Gaining visibility into all financial transactions and improved compliance in purchasing activities can be achieved by updating current processes and systems with an automated source-to-pay solution. To ensure maximum success, finance executives should define their requirements, select the right software platform and provider, and evaluate the timelines and return on investment. When the considerations above are taken into account, organizations will take the necessary steps to improve their operational performance.
