Page 13 - Logistics News - September October 2022

P R O CUR E ME N T

Often, traditional procurement is done offline using systems and they get instant help with vendor management,
tender or RFQ notices through newspapers, letters and preparing and running tender-related processes, category
other outdated notification methods. Offers to tender management and analytics. Considering the value this
tend to be submitted by suppliers in paper format. On delivery model brings to companies, it is no wonder the
the other hand, procurement as a service moves this global demand for procurement as a service is becoming
entire process online, with RFQ notices and all related increasingly popular.
communications published on digital platforms. A clear
benefit of this technology-driven model is the high level of Transforming procurement with a digital edge
transparency it brings, which helps all stakeholders avoid A common misconception doing the rounds is that
fraud and bribery-related incidents. Another advantage procurement is far too important to risk leaving it to external
is that procurement processes can be concluded quickly parties. And while this is a valid concern that should not
without manual, paper-based efforts complicating the be taken lightly, there is no denying that, for those who are
process. Most importantly, procurement as a service helps willing to embrace procurement as a service, getting experts
processes like strategic sourcing to become predictive, and on board has the potential to transform the competitive edge
supplier management to become proactive, which reduces of the business.
operational costs.
Through this ‘as a service’ model, it becomes possible
The aim of procurement as a service is to deliver an for all companies – regardless of size or turnover – to access
agile, cost-effective service, ranging from strategy and targeted, strategic expertise and technology at a price L O GI S T I CS NEWS
delivery to contract management and supplier relationship point that justifies the investment, positioning themselves
management that ensure sustainability and enable strategically to take advantage of the opportunities that
innovation. Companies do not have to invest in large cross their path. •

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