Having a well thought out and clear expense policy for your company is an essential tool to boost your bottom line. From sourcing from suppliers, to maintaining control of spending, an expense policy will save your business time and money – as well as make work easier for the AP team. But what is an…
Maverick spend, or the spending that occurs outside of an organization’s official purchasing processes is a silent burden. It can be slow and steady, or seemingly random in occurrence. Usually, when companies suffer from any amount of maverick spend it is spending that isn’t tracked, and the significance of the uncontrolled spending isn’t fully realized. …
Supplier relationship management is the systematic strategy for analyzing suppliers that offer goods, materials, and services to a company, determining each supplier’s contribution to success, and establishing plans to improve their performance. Supplier relationship management helps in determining the value of a supplier and understanding how they contribute to the success of a company. It…
An invoice is an official document issued by the seller to the buyer when requesting payment. It includes an itemized list of everything purchased, including costs and quantities. Almost everyone is familiar with paper or e-mail receipts after purchasing from stores and websites, but the truth is that the invoicing process for businesses is a…
Maintaining efficiency, productivity, and profitability requires enforcing good inventory management standards. Whether that’s internal indirect procurement processes or managing physical goods and supply chains, businesses with purchasing inefficiencies have a more challenging time serving their consumers. With direct procurement, stock management necessitates the use of productive purchase order processes. With indirect procurement, internal purchasing and…
Those unfamiliar with the procurement process may find it difficult to distinguish between purchase orders (POs) and invoices. Even seasoned purchasing teams could misuse the two terms. Failure to familiarize yourself with procurement terms may cause you to overlook critical financial documents, missing important details that could have a negative impact on your company’s expenses….
When it comes to managing company expenses, it may be tempting to over optimize the way your company spends money. But doing so can actually cut into your revenue by making it more difficult for your teams to do their jobs and maintain daily operations. While low costs certainly are a positive in business-grade procurement,…
A procurement strategy is essential to maintain a business’s operational success and properly manage spending. In today’s world, growing companies strive to build successful procurement strategies to help them achieve success and optimize their productivity. In order to stay on track with your company’s objectives, an effective procurement strategy offers a financial plan for managing your…
The purchase order form must be understood by any professional who works in procurement or supplier management. Obtaining the goods and services your business needs to continue operating is a lot more complicated than heading out to the store to purchase supplies. The entire procurement process is full of risk, from the possibility of incorrect shipments,…
It’s no secret that procurement is a complex process for most businesses. Employees must select the right products or services, and vendors, as well as ensure the necessary documentation is created and forwarded to the appropriate internal and external departments. Without the right systems in place, the entire process can become inefficient and waste valuable…
With B2B purchases online rising significantly in the last decade, purchase orders and the significance of the purchase order number is a key component to these transactions. While purchase orders seem like additional paperwork at first, any growing company knows that the details in a PO are critical to managing and completing the purchase. These…
The purchase vs. procurement distinction is a vital yet often poorly understood concept in business. It helps control corporate spending on the goods and services your business needs to maintain internal operations and or manufacture its product output. Inexperienced finance teams usually allow their employees to make purchases at will whenever the need, even if…
