SRM SOFTWARE
SRM mistakes to avoid Implementing a new SRM system can be complex and organisations will inevitably encounter several hurdles during the process . Companies must approach implementation with clear aims and objectives – or risk causing confusion later down the line .
They should also attempt to understand the impact it could have on their team members . Underestimating this could result in resistance , low adoption rates and , ultimately , project failure . Scott says the top three mistakes he consistently sees are :
• Failing to target the most valuable and critical suppliers
• Insufficiently tailoring the programme to specific suppliers
• Setting up a “ fancy ” SRM system that doesn ’ t benefit from the key data that should feed it .
“ These are all avoided by properly determining the objectives of the programme and selecting a supporting system that fits them and the wider data landscape ,” he adds .
The importance of high-quality data High-quality data is essential to ensure the effectiveness and success of an SRM system as it leads to informed decision making , efficient operations and effective risk management .
Overall , it makes the software more accurate and more reliable .
Brad adds : “ In terms of monitoring sources , there are plenty of reputable providers . However , what really matters is what you do with the data you consume .
“ That ’ s where SRM solutions can add value – providing a data-driven approach that correlates between multiple sources and reveals hidden patterns and trends with analytics .”
The future of SRM in procurement SRM ’ s potential is significant given advancements in technology , changing market dynamics and evolving stakeholder expectations .
Scott believes AI will be at the forefront when it comes to unlocking the “ next level of value .”
He says : “ AI-enabled point solutions allow more streamlined data interfaces , helping large multinationals with complex IT landscapes to unify datasets and bring together insights across operational , commercial and supplier data .
“ The increased accessibility of such insights helps procurement teams match suppliers ’ insights to enhance negotiation outcomes , or , even better , share knowledge and grow strategic partnerships .”
Brad ’ s take is that SRM systems will continue to evolve to improve the identification of risks and form the basis of strategies to fortify against disruptions .
He concludes : “ By leveraging a wealth of data and AI-driven insights , organisations can navigate market complexities with heightened agility and foresight , leading to improved outcomes and a stronger competitive edge .”
procurementmag . com 95