03 Jul 2020
A purchase order is a legally binding document between a buyer and a supplier. It details the products the buyer agrees to purchase at a specific price point within a specified period.
In our recent survey of manufacturers, we discovered that many, even those with modern ERP systems, are still using emails and phone calls to manage their purchase orders. When buyers issue blanket orders, they can span several months or even years. In most cases, priorities and business cases will change over time, and the purchase orders need to be continuously revised to match the current projections. Companies that are not using a sophisticated purchase order management system have to monitor and update these changes manually by digging through hundreds or thousands of emails per day.
To increase efficiency and reduce human errors, automation of the PO process is an absolute necessity. This ensures real end-to-end visibility within the supply chain and enables better control over inbound shipments.
Whether you are using an ERP system or not, the key is to manage each purchase order as a project by tying respective communications to specific PO numbers seamlessly. The result is being able to retrieve a purchase order timeline on a single click - saving time, and increasing accountability.
Cloudsyte’s comprehensive procurement management system has everything you need to manage your purchase order process with confidence. Our platform helps structure the workflow by setting employee permissions, and replacing all of your manual, siloed workflows with automated ones.
Cloudsyte’s intuitive procurement system allows you to monitor the progress of every purchase order in real-time easily. Buyers can follow through supplier approvals, production delays, shipping timelines, and they can even manage shipping documents in one place. These features will help streamline purchase order management processes and avoid issues and bottlenecks that have the potential to cause disruptions to business operations.
Our platform offers a world-class PO management system that can make a real difference to your procurement workflow. This is a real game-changer as it ensures your team spends less time on the administrative burden of purchase order management and more time on value-adding tasks. The system’s built-in processes can be perfectly tailored to your organization’s existing procedures, improving both speed and visibility.
From our discussion with manufacturing companies, businesses with vendor compliance and communication concerns will find value in this kind of PO Management System, as the application also offers dashboards and reports to monitor desired KPIs for each vendor.