According to the Small Business Administration, a small business has a 5-year survival rate. Within 5 years, around 80% of them would have shut down and/or declared bankruptcy.
Anyone who enters into business should understand that there are no guarantees. Rather, it’s filled with so many risks and that it’s likely you would have to try a couple of times more before you can truly succeed. However, there are ways to make calculated risks and increase the possibility of going beyond 5 years, make what you have grow, and create a legacy.
By using the right tools such as procurement management software, you can run a small business like a pro.
Common Challenges in Purchasing Cycle
Almost all businesses have a purchasing cycle, no matter how short it is. After all, for you to run it properly, you require certain supplies. It’s more pronounced, though, in those that are engaged in retail and manufacturing since they would need more items to buy. They also keep inventory.
Purchasing management has its own struggles. Ernst & Young once conducted a survey among 257 senior executives all around the globe, asking them the biggest challenges in the procurement process. More than 30% believed the biggest challenge is compelling suppliers to keep their prices down in order to sell the goods at a more competitive rate. Around 28% believed that they have to modify their present purchasing models.
A purchasing manager —that’s you— needs to have excellent negotiation talent on top of a huge amount of time to assess various aspects of purchasing such as inventory levels, sales records, supply chain flow, and lead times, to name a few.
How PO Software Helps You
Although the procurement management software can’t train you with regard to soft skills, they can still be of assistance to ensure that you gain them as quickly as possible.
PO software is highly intuitive and easy to use. Most of all, they are not complicated to understand. When you want to know more how purchasing works, you can just read its Help section. It also allows you to generate well-presented reports, complete with graphs and charts, in real time, based on the data you have provided.
All required fields of PO software are properly labeled so you’d what information to put in, reducing common administrative errors. It also covers all aspects of procurement, including but not limited to:
• Inquiry on purchase order status
• Purchase order generation (it can process as many as hundreds of orders in a short amount of time)
• Creation of categories and IDs for every vendor and product
• Analysis on lead times and price fluctuations (or increases)
• Budget and approval control
• Easy PO software integration to accounting, inventory, and other business software
• Purchase order templates and printing
• Storage of data files including PO documents for easy and fast auditing
Procurement management software can also be available in the cloud, so you can do your work anytime and anywhere you like. This also lets you tap on the huge human resource that belongs to outsourcing, reducing your labor and other business costs in the process.
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Automate your purchasing process today and have more time leading, marketing, and building revenues and cash flows. Invest in customizable and secure purchase order requisition software from Bellwether. When you invest in its bellwethercorp.com/why-bellwether/ purchase order software cloud solution, you also invest in the company’s over 25 years’ experience in requisition and purchasing management.
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