The base point for every best in class procurement function is knowing who your suppliers are and what they do. A sales department would consider it unthinkable to not know who their customers were, when to contact them, who to contact and what products would offer the most value. Unfortunately we still see so many procurement functions who do not know their suppliers well enough. They are hamstrung either by inadequate excel-based tools, a reliance on Sharepoint or overly complex add-ons to ERP solutions which do not provide quick and easy access to the requisite information.

Procurement teams are also faced with inefficient and time-consuming manual tasks such as updating existing supplier records, uploading new suppliers and collating spreadsheets for questionnaire responses. Team members performing these tasks are often over-qualified for these assignments, and could be spending their time on alternative value-generating activities.

All of this manifests itself in poorly negotiated agreements and lost opportunities. While organisations are also exposed the to risks of poor performance, supplier bankruptcy and working with suppliers who do not adhere to supply chain legislature like the Modern Slavery Act (2015).