Traditional versus digitized freight procurement

15.03.2017

Traditional procurement is signified by a “trust me on this” attitude as validation and transparency of the result is next to impossible for the Stakeholders. The process of manual/ Excel based procurement takes a lot of time and effort. It can lead to inaccuracies or even forced assumptions, slowing down other tasks and for sure a lot of frustration to interpret Supplier bids.
Nowadays, an online tender performed through a top-notch cloud-based solution is not only easy to use but also provide you with facts to focus your negotiations as well as powerful negotiation tools. You can analyse proposed adjustments with only a few clicks in your scenario engine. Tools like this help you and it empowers your organization to do the right thing.

We have listed the main pros of innovative procurement using the right tool:

Reduces manual work on low value tasks
Increase time and possibilities to analyze and value the Supplier propositions
Ensures transparency and compliance throughout the process
Reduce Supplier errors and enforces the rules of the RFQ
Data is stored and ready to be used for simulations and future RFQs with a click
Dependency on individuals in the organization is reduced as data and processes are in the cloud. Accessible to a wider range of stakeholders.
Powerful feedback features to encourage Suppliers to improve where it matters
Speed to implementation is increased as data is clean and aligned.

All of these in short are equivalent to time and cost saved! Not to mention the fact that Suppliers appreciate to be evaluated based on a correct interpretation of their proposal. It will elevate and promote Suppliers of high quality that understands your business and your terms in detail. Already from the start.

The traditional way can be exclusive, unique and have a reasonable value in the short perspective. It is surely not sustainable for Company that intends to be in the forefront of Logistics procurement in 2017 and on.