Integration: is it the most important word in procurement?
- 11 Oct 2017
We all know technology advancements changed the way we live and work, so the fact that integrated working should be at the heart of procurement’s success will come as no surprise. It’s no longer just about software and technology though. The word procurement ‘integration’ is increasingly becoming recognized in business processes and facilitating departmental collaboration and communication.
For procurement organization, we’ve identified three fundamental elements of integration that are critical to procurement and business success:
- An integrated business culture
Business success relies on a culture of good internal collaboration, so all departments need to work closely together, which cannot be achieved without strong human connections across the organization. In addition, procurement needs to become (if it already isn’t) a much more consultative and strategic function to fully support business decisions. This ultimate goal relies on optimizing many crucial relationships between procurement and other critical business functions.
- Integrated procurement software
A fully integrated procurement management system and software suite provide the procurement function with a holistic view of both purchase to pay and source to contract activities. Our own Medius Spend Management software promises procurement teams an enhanced user experience, faster implementation and higher user adoption with a joined-up view on spend data and supplier information, one familiar interface, and a more straightforward implementation journey with a single vendor.
Through a single automated process from sourcing suppliers and managing contracts to purchasing, payment, and analytics, a fully integrated software solution can bring a new level of visibility and procurement control throughout the entire purchasing lifecycle.
- Integrated System
Having a fully integrated procurement system will provide clear benefits for the procurement team and finance, but having that system work seamlessly with all the other back-office and third-party data can be a game-changer for the organization as a whole.
The most significant roadblock to a successful line of business software deployments such as procurement is integration. For example, at Medius, we often get asked, ‘will your software integrate with our back-office systems? How will the integration work?’ The answer is simple - to connect any eProcurement system with your ERP or third-party data systems, you need reliable connection software as your middleware. An example is Medius Connect, an in-house built integration module that offers out-of-the-box adapters connecting any systems that clients wish to integrate with.
Procurement integration no longer only affects the software and devices we use. To achieve business success, integration must be embedded into the fabric of your organization and allow everyone and everything to work together towards the same goals. You can read more in our guide: Integration - The most important word in procurement.
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