The Plan-to-Pay (P2P) cycle covers from the planning of purchasing needs to the payment of suppliers. However, in this process it is common to find challenges and errors that result in loss of efficiency, increased costs, among others. In these cases, technology plays a key role in preventing and mitigating these situations.
Common sourcing mistakes
Lack of visibility in the processes
A lack of process visibility can lead to unnecessary costs, non-compliance with regulations and possible disruptions in the supply chain.
The solution: Implementing procurement management software can contribute to complete visibility of processes, from planning to payment. This helps to make informed decisions and maintain control.
Lack of coordination between departments
When departments operate as islands that do not communicate, there is a risk of duplicating efforts, generating rework, having duplicate payments, purchasing goods that exist in stock and increasing costs.
The solution: Implement an integrated management system in a single environment that connects the areas involved and their users in the sourcing process. This will allow for fluid communication, real-time access to information and effective collaboration.
3. Failure to meet deadlines
Delays in requisitions or payments can have a negative impact on the supply chain and supplier relationships.
The solution: Use task automation software to set reminders and notifications, ensuring that each step of the process is completed.
4. Lack of supplier comparison
Hiring the first available supplier instead of comparing options can result in uncompetitive pricing, inferior product quality and non-transparent processes.
The solution: Use a technology platform that allows supplier pre-qualification and filtering to make informed decisions. If this is combined with data analysis tools that compare prices, delivery times and supplier qualifications, processes will be optimized.
5. Having outdated supplier information
Using outdated information on products, prices and suppliers leads to reprocesses, delays and erroneous estimates in the processes.
The solution: Implement a supplier management system that integrates updated and validated information on these potential business partners.
Lack of scalability
Using manual systems or traditional technologies limits the ability to adapt to growth and changing business needs.
The solution: SaaS technology platforms are scalable and adapt as the organization grows, maintaining efficiency and control.
7. Manual processes
Manual data entry increases the risk of human error and delays.
The solutionProcess automation through purchasing management systems reduces errors and streamlines the workflow, from purchase order generation to receipt and payment.
