Maintaining a strong relationship with your vendors is one of the key ways for you to scale-up your business. Vendors can also be an important source of information, advice and trade credit. The main advantage of establishing a strong relationship with the vendor is that they can help deliver new products that help grab market share from competitors or provide you with adequate discounted prices.
Digitizing the entire process helps you in saving time and make better decisions. An e-procurement software having the capabilities of maintaining vendor database, managing business docs, providing meaningful insights can the perfect tool.
Let’s take a look at some of the key points that help in establishing a strong vendor relationship.
- Digitizing Vendor Onboarding – It is the process of gathering the documents and data needed to set up a company as an approved vendor and to enable your organization to efficiently conduct business, purchase goods and services, and make payments to that company. Small tasks like receiving documents, bank details, bank statement etc, is very time consuming and doesn’t provide a great vendor experience when done manually. In case the vendor doesn’t send all the documents on-time, it becomes a very tedious task for the procurement team. With an e-procurement software like Finly, you can onboard vendors seamlessly. Just receive one document like GSTIN and upload it onto the e-procurement system. It then automatically fetches all the other components like bank details, office address etc., thus helping the procurement team to onboard vendors quickly and efficiently thereby reducing tons of productive hours and paperwork.
- Managing Business Docs: Onboarding a vendor is not a simple task coupled with the number of documents managed for all requirements tantamounts to a lot of manual work and filing a huge stack of papers. E-procurement software can simplify the process of matching business docs purchase orders, invoices, and payments. Any request raised through e-procurement system, tracks and reconcile the docs received against that request. These could be invoices like the utility bills wherein the invoice is received without raising a purchase order. Payments processed against these invoices are auto-matched ensuring transparency and increased productivity. Almost instant access to your historical data. You can search for any record and pull out almost instantly through the system.
- On-time Payments – Delayed payments can result in hampering the relationship of your vendors. Automate the payment system and ensure timely payments to your vendors. E-procurement software can schedule automated reminders to notify your team for payments approval and vendors receive notifications after the payments are processed. Receive greater benefits and goodwill by automating payments through FinlyFinance
- Analyze Vendor Transaction: Receive meaningful insights coupled with powerful analytics to track and monitor the business spends against each vendor. Enable your procurement team to drive data-driven decisions by gaining complete control and visibility. Enjoy greater discounts and benefits from your vendor by informing him about the business transactions.
- Vendor Portal – Increase trust and transparency by allowing your vendors to access the vendor portal. Any modification in quotations, deliverables, timelines etc., can be worked out then and there and submit it to the procurement or finance teams. This reduces the time taken to rework on the modifications and then emailing to the finance teams and also adds a lot of trust to the vendor.
- Effective Communication: With Finly’s e-procurement software in place, finance teams can witness greater efficiency and very less manual work thereby reducing employee stress. Through the automated system, vendors can get notified about the payment status, the finance team can set-up reminders to pay vendors on-time and can avoid delayed payments. In case of any confusion, vendors or finance team members can get clarifications instantly through an integrated chat system. This method keeps the entire team and the vendors in sync.
Conclusion: By digitizing the end-to-end process on all of the aforementioned key features, you can increase trust, strengthen the relationship of your vendor, from the point of onboarding to the point of managing all transactions and enable your procurement teams to make data-driven decisions through powerful analytics.
How can Finly can help in optimizing your procurement requests?