We had the pleasure of welcoming procurement expert Marisa Brown, the Senior Principal Research Lead of Supply Chain Management at APQC on our joint webinar “The 4 Procurement KPIs Every Software Company Should Be Measuring”, co-hosted by our very own procurement technology consultant, Koju Kojwang.
In case you missed it, here are the highlights of the webinar:
It’s always important to track costs, which is why the first key KPI to track is the total cost to perform the procurement process group! However, according to Marisa, these costs are not always easily measured,
How can you make sure you are building scalable processes as your company grows? According to Marisa, the number of purchase orders processed per procurement process group is essential to measure as a KPI as it is a great efficiency metric.
If you are lagging in this indicator, there might be some opportunities to address streamlining outdated processes such as paper purchase orders, or using tools that are slowing your team down.
No one wants POs to take forever to process – which is why cycle time in hours that it takes to place a purchase order is such an important metric to measure.
According to Marisa, it is surprising how long some organizations take when it comes to processing P.Os, and there are many reasons why this is the case. Marisa mentions bottlenecks, a lack of clear processes and not leveraging the right technology as a few examples of why some companies are lagging in this KPI.
Lastly, it is not a surprise that forward-thinking finance and procurement teams are transitioning to paperless systems.
However, in the webinar, Marisa also explains the impact of pandemics such as the timely covid-19 virus and how it is impacting procurement teams and supply chains today. Many companies around the world are now shifting to fully remote offices to keep their team members safe.
During this shift to remote work, she mentions that being able to approve purchase orders electronically becomes critically important, as teams are no longer able to do face to face approvals, and traditional processes such as paper or excel become cumbersome and unrealistic.
Watch the webinar on-demand to listen in on how Marisa and Koju recommendations on how finance and procurement leaders can take proactive measures to improve upon the four KPIs today, and transform your organization for the better.
Senior Principal Research Lead, Supply Chain Management
Procurement Technology Consultant