Companies can make more use of their data and digital transformations.
Successful BSM leaders encourage collaboration with decision makers, including C-Suite, to deliver value, ‘avoid process silos and drive cross-functional value’.
Coupa describes Business Spend Management (BSM) as:
‘an end-to-end process that can collate all spend data in one place and provide the insights that procurement, supply chain, finance, legal, and other groups need to save time and money while making smarter decisions.’
BSM savings start in the supply chain, where full visibility can deliver savings throughout and across many departments. Implementing digital processes like BSM technologies can create efficiency, free up resources and avoid human error. Furthermore, adopting digital payments can accelerate supplier payments and create better relationships; teams can also manage cash and mitigate risk.
Digitisation continues to provide multiple benefits: digital solutions can provide companies with more visibility to make them more agile, resilient and drive social impact, where teams can ‘unlock spend as a powerful driver for positive change’. Technology can help companies lever change to drive sustainability, deliver quick wins and create long term impact, a major focus companies are striving for.
BSM and digital technologies help procurement teams drive strategy and innovation, as well as reducing costs. Implementing Source-to-Pay technologies can deliver $8.5-$10.6m annual benefits. Coupa suggests BSM provides visibility and control over all types of spend including mitigating:
- brand reputational risk
- operational risk
- compliance and control risk
- budget risk
- Digital transformations: think of the long-term investment and long term savings
- Encourage collaboration
- Disruption is inevitable: invest in technologies to gain better visibility and strategically plan
- BSM goes beyond cost savings, through to saving time, protecting brand risk and compliance and control