How to manage Procurement Process efficiently to reduce costs and risks

Procurement management

Is your procurement process slowing things down?

Are you using traditional ways to manage your procurement process? If your answer is yes then, it is time to boost your buying steps.

The digital revolution has started to disrupt procurement processes in the last couple of years like many other business processes. 85% of executives believe that digital transformation will alter the very fabric of their purchase process, yet only 32% have a digital strategy in place.

In the past, the process of procurement only took care of the nuts and bolts of resourcing, but latest process management technologies and automation have made it a profit-pushing strategy that empowers C-suit decision-makers. 

Procurement process managed effectively can create market visibility, minimise supply chain risks, and deliver substantial cost savings.


What Does Procurement Process Mean?

procurement system

In the simplest terms, it’s the buying of goods and services, but it includes all processes from purchase planning to value analysis and even disposals. The procurement management must achieve a profit on resale, and to do so, it must source finance cheaply and negotiate intelligently.

The old incarnation of procurement management could succeed simply by operating more cheaply than the average business, but today’s standards are higher. While world-class procurement departments operate 20% more economically and employ 27% fewer employees, that’s no longer enough.

What does procurement mean in the modern era? Sometimes, intelligent spend management; often supplier sourcing; but always digital strategy.

What are the steps in Procurement Process Flow?

Procurement process flow can be broken down into: procurement process, systems, people, and paperwork. Overall procurement process entails broader tasks like ordering, payment fulfillment, and receiving.

Procurement Process flow includes eight purchasing process steps:

      1. Requesting for a service or product

      2. Procurement Analysis to evaluate request

      3. Forward a request for proposal to suppliers

      4. Supplier Selection

      5. Procurement Manager evaluation and approval

      6. Approving the request with a purchase order

      7. Sending the purchase order to the supplier

      8. Receiving the product and confirming the delivery of services or goods (Three-way matching)

      9. Approve the invoice and forward it to payment processing

      10. Recording the transaction for the company’s records

Procurement Process Flow
Kianda – Procurement Process Flow

Why Automate Your Process of Procurement?

Excel spreadsheets and emails belong in the old age with paper procurement documents. Automated workflows that a procurement software can provide allow organisations to automate everyday tasks without human intervention. Repetitive events in software procurement can be scaled up automatically.

The procurement cycle can, and should, be digitised, not only to help you refine your strategy, but to automate it and generate a set of analytics to assess its efficiency.

Procurement software can include all the steps you’ve always used in your purchasing process. It cuts the risk of human error by automating repeatable tasks. There is no difference in procurement meaning whether you’re using digital or manual processes. Only its efficiency and transparency changes.

It can cut steps out of procurement process flow and speed up real-time interactions, but you remain the brain behind your strategy. You make the rules, editing your workflow according to your decisions.

Another important reason why to automate your procurement is to gain visibility of your procurement process. It can help to track the way your buying department manages their part of the process.

As a result of digital procurement in business, the procurement meaning has evolved to include intelligent spend management, which is more transparent than ever before thanks to digital workflows. Collaboration with suppliers is as important as ever, automation can make certain steps that they should be involved accessible to them.

This way, everyone from the procurement team to suppliers can give you input on a single platform, helping to give you full visibility of process progress easily.

Using a digital procurement system contributes to your paperless office, keeping your documents in one place. Procurement documents define contractual relationships, and automation helps to prevent important losses, keeping all your contracts in the digital sphere.

Procurement Software and Tail Spend

Small purchases tend to go unmanaged thanks to the resource-heavy manual work required. To fix the problem, the procurement process must engage suppliers, amplify transparency, and optimise inventory.

Monitoring key performance indicators, risks can be identified and procurement process strategies can be refined.

The procurement management system should monitor:

      1. Compliance rates that increase spend and lead to invoice disputes.

      2. Supplier defect rates, which cause unreliability.

      3. Supplier lead time, which improves delivery time

      4. Purchase order cycle time

      5. Purchase to pay time

      6. Cost per invoice and purchase order, which tends to suffer when there are invoice disputes

      7. Spend under procurement management

      8. Procurement procedure return on investment

What to look for when comparing Procurement Software options

Digital procurement process can be efficiently achieved with a process automation software. Digital process automation is the obvious driver of improved metrics, but the analytics themselves are still a crucial ingredient. They can be used to forecast future crises and optimise vendor evaluation. They can also improve invoicing procedures and predict demand.

Process automation software gives you full flexibility in terms of tailoring process according to your organisations unique needs.

Regardless of whether you’re handling the procurement of services or product procurement, there are several features you should be looking for when comparing procurement software options to help you improve your procurement process.

Procurement software benefits
Procurement software

Here is a list of what to look for when comparing procurement software:

      1. User-friendly customisation and scalability

      2. Accessible data and analytics

      3. Easy reporting

      4. Available in multi-devices

      5. Automated reminders and notifications

      6. Easy, multi-layered approvals

      7. Budget control

      8. Providing suppliers instant access for their input

      9. Data integration with existing systems

The modern process of procurement no longer fears risks – it predicts them.

Procurement is a constantly evolving organism, and metrics help it to advance. Procurement software de-clutters your purchasing process steps and improves its transparency, giving you control over the entire procurement lifecycle.

As a result of using digital procurement systems like Kianda, the procurement business definition has transformed from a transactional task to a transformational one.

Procurement in business has become more complex, but that’s a boon rather than a bane. Procurement procedure has never been this scalable or innovative thanks to digitalisation, and it’s put CTOs on the map.


Procurement Process Dashboard
Kianda – Procurement Process Dashboard

 

Are you looking to boost your procurement process?

Why not start a Kianda free trial and discover how you can reduce risks and bring efficiency to your purchasing. Kianda Procurement Process App is designed with our experience and best practices in mind.

Good news is that you can tailor all the pieces of the app to fit what your organisation needs. And remember you do not need to hire developers to manage the app. Anyone with or without programming skills can create business process apps with Kianda.

Get the Procurement Process App

About Author:
Osvaldo Sousa – Digital process automation expert with almost two decades of experience in information technologies. He is the CEO/Co-founder of Kianda Technologies.
 
 
 
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Purchase Order Process

Make your holiday request form an easy to manage digital process

holiday-request-form

Holiday Request Form

With the increased use of digital tools, smartphones, and social media, employee expectation of digitally managing tasks has now increased significantly.

On the other hand Human Resources departments are facing challenges managing simple tasks like holiday requests.

They need to learn to adapt to new trends and new environments that require them to meet the expectations.

HR Managers play an important role for improving processes by introducing digital technologies together with new strategies.

Leave and holiday request management is one of these processes where optimisation can bring significant time savings.

It is time to ditch outdated paper forms and untraceable emails for holiday approvals…

If you are dealing with holiday requests via paper forms or relying on emails to track holiday requests, then it is time to move to a digital solution.

Why you should digitalise holiday requests?

4 reasons why you should digitalise leave and holiday request management:

    1. Reduce errors, save time and increase efficiency

    2. Greater visibility of approval status

    3. Automated approvals of requests that meet the required

    4. Instance notification of rejection / approval status and regular reminders

Manual management of  holiday requests can take a significant amount of time to organise.

Specially when it is holiday season it becomes important to have these requests dealt with in an efficient manner.

For example, if you need to quantify sick leave requests made by the entire company for a given year you will need to spend hours or even days to go through papers.

If you have it in a digital system this information will only be a click away.

To improve the efficiency the first step is to move from paper to digital forms.  

With a digital holiday request application, you can manage all requests in one place, track them in a dashboard and approve them efficiently.

Digitalisation of leave requests allows you to have an overall view of everyone’s leave requests.

You will be able to take necessary precautions to ensure you have enough staff available during the periods of high demand (such as summer).

Neither you nor the employee will need to worry about miscalculations.

By optimising your holiday request management, you automatically and quickly ensure a fair and transparent management to the staff.


leave-request-form-template

Leave request form

With Kianda holiday request form, staff request holiday, managers approve and a record is saved in the system, giving full visibility to you.

You have access to correct information to know when your staff is on leave.

This flexible form allows you to quickly tailor the process and publish it to share with your staff.

Employees can view their balance of remaining days and raise their requests easily.

Managers get notified and they simply review and approve requests.

Managers can also reject or ask for modifications to alter dates from staff.

Scheduled reminders are set so that if manager does not approve on time, the system sends them regular notifications until they reject or approve.

Don’t forget to explore our app store when you sign up and check out all other templates designed to help you to get started.

Get started with this holiday request form now! 

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Travel Request Form

Travel request template

Any type of approval process that uses emails, spreadsheets is not efficient.  It causes lack of visibility and compliance. With digital workflows you will free-up valuable time and achieve efficiency.

Also, it is important to centralise and digitalise these type of requests to ensure there is visibility overall and avoid delays in the approval process. 

A travel request approval process is essential for every business. It is a procedure regularly used by organisations for their employees to request arrangements for a business trip. 

Travel-request

This template handles travel requests and approvals for employees. It allows selection from travel types such as flight/ferry/train/etc. The different travel types present differing information requirements, therefore form displays fields according to the user selection dynamically.

Also approval process can easily be extended to have multiple approval levels depending on conditions such as the value, type of travel mode, reason for traveling etc.

Overall, workflow starts with employee requesting for travel tickets and accommodation arrangements while providing purpose of the travel and passenger details. The travel department or HR review the request and make the necessary arrangements. 

In addition, the workflow can easily be expanded to allow employee travel document validation or adjust fields and settings based on employee’s profile.

When an employee starts a request, their profile including the passport details can be pre-populated based on the data stored in your IT systems.  Kianda system issues an alert notification to traveler if their passport has expired/is due to expire. When passport is expired system can flag to the travel team; and if required it can prevent submitting travel requests for flights.

Also, final cost reports by business unit, cost center, department or individual can be achieved via reporting dashboards.

In addition, you can make this workflow visible to all employees whether they are in your IT systems are not. By using Kianda anonymous (public) forms you can share forms publicly and let your remote staff submit requests from anywhere.

Don’t forget to explore Kianda template store when you sign up and check out all other templates designed to help you to get started.

Get started with this template now!

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Purchase Order Process

Pruchase Order Management

Purchase Order Process can be used to control purchasing of products and services from external suppliers. Optimisation of this process will allow you to maintain control over the entire purchasing process from requesting a PO to paying the supplier.

Using manual  processes (like emails, spreadsheets), may put your company finances at risk caused by lack of visibility and error-prone results. 

Automating this process is not only going to save you time, but also will help you to put a structure to your purchasing process to avoid unexpected expenditure and its disappointing results.

You can include multiple layers of approvals based on a threshold so that high volume purchasing can be approved by multiple managers.

Purchase order process starts with requester providing vendor information, prices and description with a couple of clicks and submitting for approval. Manager/s receive notification and approve request or deny based on the criteria provided.

In addition, this process includes supplier’s invoice payment step to allow end-to-end optimisation of Purchasing Process.

When manager approves the purchase, supplier can be notified and their invoice or any other quote document can be stored in the workflow.  This triggers notifications to the Finance team to proceed with the payment according to the payment terms. agreed.

This process focuses on the approval and PO PDF generation . For a process that covers a wider range of areas like vendor selection and management check-out our procurement process.

Don’t forget to explore Kianda template store when you sign up and check out all other templates designed to help you get started.

Get started with this template now!

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Per Diem Approval

Per-Diem-Request-Dashboard

Per Diem Approval workflow includes employees providing the travel plan and the manager either approving or rejecting the travel expense which is based on a simple calculation of per diem amount multiplied by a number of days.

With this simple workflow template you can set per diem allowance rates based on the location in a standard way. When an employee starts a request form,  rates can easily be calculated and submitted avoiding any errors or misunderstandings.

In this sample template employee has option to request only Per Diem, Travel or both. Procedure starts with the employee initiating the process by entering personal information and travel details.

The system automatically calculates rates based on the location and number of days. Once the employee submits the request, Manager approves or rejects. Then the flow continues with Travel team or Payroll team.

This template comes with with Per Diem request Dashboard for reporting. Alternatively with Kianda, a single dashboard for all their approval tasks can be configured for managers to overview. They can easily monitor what is waiting for their approval, what has been approved with full visibility of the progress of each request.

Streamline your organisation’s per diem management and eliminate the errors and achieve consistency.

Don’t forget to explore Kianda template store when you sign up and check out all other templates designed to help you get started.

Get started with this template now!

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Change Request Process

Change request form template

Is your organisation managing change requests with emails, sheets and paper forms? Does it cause difficulties when tracking the requests, approvals, their status and storing this information online?

Digitising this process not only will save you time and paper but also will allow you to have full visibility of the process and collaborate in a more efficient way with your team.

A change request is a documented proposal for an alteration to any configuration item, product or a complete system. In project management, a change request regularly emerges when the customer needs an expansion or modification to the agreed-upon deliverables for a project.

In this template we gathered business rules, steps and fields that are commonly used in organisations when managing a change request workflow.

Someone who is documenting or reporting the procedure starts the request. A user or a group who is responsible for the approval of change request gets notified and decides whether Change Approval Board (CAB) meeting should be scheduled. Schedule, review and implementation are all managed step by step in the same workflow. Business rules and actions allow you to have a clear definition of your change strategy and risk assessment.

In addition, this template can be used together with IT Support Helpdesk. A ticket raised by an end user or a customer via IT Helpdesk workflow may require a change in a project or a system. In this case to facilitate the flow two processes can be connected together and let one process start after another depending on the outcome of the first one. And you can carry the information between processes.

Benefits of automating Change request management process are many:

  1. You will achieve faster deployment times and lower the risks associated with the changes.
  2. You will have a standard way of handling and storing the information related to the process.
  3. You will avoid unnecessary email communications, paper work.
  4. As a result digital process will bring productivity with faster resolution times and efficiency for auditing and reporting purposes.

Don’t forget to explore Kianda template store when you sign up and check out all other templates designed to help you get started.

Get started with this template now!

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More IT Service Desk Solutions

 

IT Support / Helpdesk

 

Cyber Security Incident Response

 

Cyber Security Incident Response

Security-incident-management-dashboard

Cyber security incident can come with high costs and damages to an organisation who is not prepared for them.

In their simplest way, they can cause downtime, impact business productivity and damage the employee or customer experience. Security is only as effective as the response it generates.  An incident that is not responded to in a timely manner can expose your organisation to many issues.

Security Incident Reporting
Cyber Security Incident Response

When organisations implement right strategies to cope with these incidents, they achieve faster detection and investigation process. With a well-structured incident management process, even in critical and emergency situations organisations can achieve better results while minimizing possible damages.

By having a structured and formalised process in place to respond to internal and external information security incidents demonstrates that you are taking corporate and legal responsibilities seriously.  This positive security position ensures that your organisation can deal with security incidents quickly, efficiently and effectively.

5 Benefits of having a structured cyber security incident response plan:

  •  1) The rapid and accurate assessment of security incidents and the most appropriate response
  • 2)  Shortened recovery times to incidents
  • 3)  Minimised business disruption
  • 4)  Ensures that your organisation complies with local legal, regulatory and industry requirements
  • 5)  Accurate reporting and statistics to continuously improve the security of the information

Automating this process helps you to manage, record and analyse security warnings or incidents while giving you a clear view of the issues and how they are resolved.

The notification or identification that an cyber security incident is occurring can happen in many different ways. Two main of these are;

1) Automatically from specific devices such as an alert from a firewall, automatic review of system or security log files on network. These systems can then notify a mailbox. Kianda platform scans the mailbox and when there is an alert, platform starts the workflow automatically to notify required people and take certain actions.

2) Staff noticing unusual or suspicious activity on the computer system and raising an report via the Kianda platform. This flow starts with a staff raising a security incident when there is a risk of data or security. Following this, system immediately sends alerts to the responsible departments to act upon it. The reason of the incidents, threats or violations, can be distinguished by staff providing required details.

Reporting dashboard provided with this application, gives you visibility of detailed analytics to aid tracking of the current issues in the system.

You can tailor this workflow application easily to meet your organisation’s unique requirements.  Kianda provides a NO-CODE development interface, meaning you don’t need to have programming skills to create spot-on apps.

Don’t forget to explore Kianda App Store when you sign up and check out other apps designed to help you get started.

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Change Request Management Workflow Template

IT Support / Helpdesk Template

IT Support / Helpdesk

IT Support Dashboard

Get started with IT support helpdesk right away!

Today’s IT departments face countless issues raised by users on a daily basis. They can be anything from “I forgot my password”, “My internet is slow”, “My computer is slow”, “Opps! I deleted my files” to “Can’t connect to printer”. Dealing with these over and over again without any standard system, creates frustration and difficulties in tracking and communicating for any IT team.

Technology is here to help organisations to solve these challenges. However while adopting a new technology to help you, you should not be limited to what off-the-shelf software solutions can offer. Every organisation operates in its own way. Operations evolve as the company grows, people move across departments and requirements change due to the market changes.

A solution you are adopting today should be able to evolve with you tomorrow… Grow when you grow and adjust to your current and future challenges.

IT helpdesk

We designed this IT support helpdesk template to serve you as a starting point and save you time. It simplifies end-user support with an automated workflow allowing teams to resolve helpdesk tickets quickly and efficiently by automating routine tasks and providing transparency. Reporting dashboard that comes with the template enables IT support team to track, prioritize support tickets in a queue and solve them rapidly.

This workflow template provides you a single platform to help, answer, track and solve problems of end-users. It can manage entire ticket life cycle, from capturing issue details to automating routine tasks and sending notifications. It can also handle integration to your current IT systems such as SharePoint, AD, 0365, Oracle to retrieve and syncronise information.

IT departments who adopt to workflow automation, achieve efficiency, reduce workload and increase productivity to provide better service levels.

Don’t forget to explore Kianda template store when you sign up and check out all other templates designed to help you get started.

Get started with this template now!

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Check out more IT service desk solutions:
Change Request Management to keep IT all running smoothly
Security Incident Management for full control and visibility

Performance Appraisal Process

Employee appraisals dashboard

Most companies perform performance appraisals annually. Annual reviews usually are not enough. Employees need more frequent reviews to keep them focused.

But why do companies do appraisals only annually?

This is because it is not easy to track, it requires time and effort putting a structure on it.

Managing this via spreadsheets and emails can easily be a nightmare for companies with large number of employees and operations in different locations.

Managing Employee Performance Appraisals is not a hassle any more!

Kianda workflow provides a single place for HR to organise and overview performance review process for all employees of the organisation.

The process flows digitally and efficiently without delays whereby management and employees receive automated alerts until they assess, provide feedback on employee performance, including guidance to enhance tasks as required.

HR templates

With a standard workflow and a central location to monitor the progress, the whole process gets simplified and less time-consuming.

Automated workflow starts as on scheduled basis and sends alerts to task owners to complete their tasks and update the relevant departments/individuals on the completion of tasks.

With this template not only managers will maintain accurate records of overall employee progress, but also they will rest assured that employees understand the content of their feedback clearly.

This way performance evaluations will be made faster and easier for managers to complete.

If you implement a digital process to manage performance appraisals, it will go a long way toward having a standard and efficient procedure in which HR, managers and employees are all aware of their tasks and they all have equal visibility of progress.

Don’t forget to explore other Kianda Process Apps when you sign up and check out all apps designed to help you get started.

Get started with this template now!

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Other HR Workflow Templates

Employee Onboarding Process

Manage Your Holiday Requests With Ease

Employee Onboarding Process

HR Employee onbaording dashboard - min

Get started with Employee Onboarding Process and welcome new hires PAPERLESS!

Eliminate the need for papers and emails rapidly by setting up your digital onboarding process that covers sending job offer to new hire, new hire accepting it, capturing their data, manager approvals and digital signatures.

This workflow will help you effectively manage onboarding process. It will allow HR team members and new hire to collaborate in a single place.

Also, you will be able to capture and store new hire personal data GPDR complaint. Automated workflows with Kianda is in compliance with GDPR regulations as it reduces risks while handling sensitive data across different departments.

An employee must be aware of workplace rules, policies and procedures before or shortly after they start. If this is ignored or left too late, an organisation can face risks and damages to their business.

Admin tasks that are required for HR teams to effectively manage re-employment, onboarding and induction are often repeated for each new hire over and over again.

This gets more complicated and worrisome when you don’t have an easy solution available to automate some of these repetitive tasks. An automated process assures the step-by-step tasks are efficiently carried out, a standard way is being followed for each new hire and valuable time is not wasted.

“You don’t want to be one of those companies that is not prepared for the new hire and let them down in their first day”.


Employee onboarding template

This important process should not be time-consuming, should be more manageable and smoother.

With Kianda onboarding process you will be manage the entire workflow from beginning to end via single platform connected to your back-end systems.

Workflow starts with HR capturing candidate details and Kianda updating current IT systems with these details, then it continues with assigning tasks to managers for approvals, IT team for providing devices and right access and so on.

It also can be expanded to send an anonymous form to the new hire to capture their digital signature for contracts (Kianda also provides easy integration to DocuSign or you can use Kianda digital signature feature). This would allow capturing new hire information such as bank information, next of kin and making sure that new hire has read and signed critical company policies before they start in the company.

Overall the workflow template contains forms (steps) assigned to each department or individuals involved in the process, facilitating the communications between team members and the new hire, allowing them to interact, digitally sign and collaborate.

In addition, onboarding process comes with personalised reporting dashboard that provides an overview of the progress including how many requests have been completed, how many are in progress and what are the bottlenecks.

Don’t forget to explore Kianda Template Store when you sign up and check out all other HR workflows designed to help you get started.

Get started with this template now!

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Check out more HR workflow templates:

Easy-to-manage Travel Request Form
Say goodbye to papers with Holiday Request Form
Performance reviews are not hassle any more with Performance Review Workflow