New to shipping procurement or need a refresher? Take some time to review the terms and solutions that will achieve your company goals!
Regardless of what level of experience you have in procurement, there’s always something new and different to learn. Constantly learning and evolving is the key to transforming your company. Let’s dive in!
Firstly, what do you think procurement’s role in supply chain logistics is?
When you work in procurement for a company, you’re finding the best resources from vendors and suppliers. As part of the business process, procurement flows into supply chain. The supply chain management aspect handles the transformation of materials into products and the distribution of the products to customers.
It can be overwhelming to manage it all because of the many moving parts to procurement. Tasks that fall under procurement include financing purchases, managing inventory, and conducting cost-benefit analysis. All these tasks contribute to setting your company up for success!
Procurement and supply chain management goes hand in hand to support the company’s overall shipping process. It’s up to the procurement team to kick start the supply chain process and keep it running!
Every procurement professional should know the following shipping terms to understand the supply process. You may come across these terms on day-to-day procurement documents, like contracts or guidelines, and within conversation with your procurement team.
If you’re new to procurement, some or most of these terms are probably unfamiliar to you. If you’re not, did you know all these listed terms?
In today’s experience economy with plenty of competitors, you need transform your business to reach higher heights. Adopt strategies to best deliver better value for your customers. Strategies that help businesses succeed vary from company to company, but there are some best practices that help push companies to the forefront of their industry.
Shipping solutions and modules are great tools to drive these best practices to the next level. Consider implementing shipping solutions to automate your supply chain processes. With automation, you’ll save valuable time to allocate into other business functions. Let’s dig in!
Knowledge is power, and it’s incredibly important for you to thoroughly understand your spend category to manage it properly and efficiently. Keeping records and being prepared is vital for procurement.
Within the supply chain process, manually conducting freight audits and tracking freight charges take up a lot of time that could be spent on other areas that need more attention. Consider outsourcing freight auditing to a solution like AuditERP that is most capable to meet your business requirements and your projected growth needs. With a freight auditing solution, its analytic capabilities can help identify cost-reducing opportunities.
All companies look for ways to improve their bottom lines and, therefore, they constantly review their inventory and aim to maintain optimal levels. It’s a balancing game between costs of holding inventory and enough inventory for customers. Poor planning can directly cause inventory levels being off balance with business needs.
Ensure optimal inventory levels with a warehouse management solution. With an inventory control solution, your business can perform accurate demand planning and forecasting to minimize shortages and high inventory levels.
A very important aspect of procurement is maintaining great relationships with your company’s suppliers and vendors. The first step to building relationships is ensuring constant and transparent communication. Therefore, it’s integral that the communication flow between you and your suppliers is seamless.
Collaborate on a supplier portal solution to achieve visibility on transaction with suppliers and vendors. A communication platform can streamline the process flow and allows companies to track all shipping events as updated by the supplier. Save time and money with an easy supplier portal!
What solutions are you using to support your company’s procurement strategy?