5 Benefits of Using Supplier Information Management Software
Businesses have managed supplier information in a number of ways over the years. Today, if you want to compete with industry leaders, you have to integrate the best Supplier Information Management (SIM) tools that cover all aspects of the supplier lifecycle and help you make the most of the vast quantity of data you have to deal with on a daily basis.
Something we’ve learned over the years is that it’s hard to achieve progress when you’re working with outdated tech solutions. There are a whole host of benefits when you start using sophisticated and adaptable SIM software to help with your supplier relationship management.
Below we’ve highlighted the five main benefits of using SIM software and how they can lead to success.
Accuracy and Productivity
Those with access to SIM software are able to manage tasks more precisely and more efficiently. At least two-thirds of financial audits comment on the accuracy of supplier data. Yet this common issue can be solved quite simply with SIM software.
With a Supplier Information Management solution, there is a high degree of data accuracy and the software is designed to isolate, and draw your attention to, critical information. When you have access to such data you will also be able to become more productive because the SIM software will allow you to make relevant and informed decisions.
SIM solutions, like Kodiak Hub’s, also provide teams with all the information they need to identify the best vendors to work with. Ultimately, you are better equipped to make good decisions if you have accurate and relevant information to work with.
Who doesn’t want more accurate & relevant supplier information!?
Proper Risk Assessment
SIM software ensures that clients are able to control data to the highest possible standard and properly assess risk. Markets can be volatile and, therefore, there are huge advantages to be gained if you can use predictive behavior to check on supplier risks and plan efficiently.
Risk assessment is an essential element of new and existing supplier relationships. If you can rely on modern SIM software to provide you with informative risk assessment data then you will be able to maintain high-quality orders and deepen your relationship with trusted suppliers.
Across the supplier lifecycle, there are many occasions when operational costs can skyrocket seemingly out of the blue. The best way to manage costs is by integrating SIM software. If, for example, you use Kodiak Hub’s SIM software you will be able to prevent any costs from sneaking up on you and even create some cost-saving opportunities during supply-chain management.
SIM software can help you optimize contracts with competitive pricing, add more beneficial clauses, and evaluate the efficiency of your supplier process. All of these simple advances can lead to reduced costs and will help you to understand where you can make improvements.
Improves Supplier Relationships
One of the key practical benefits of using SIM software is that you are able to build and improve supplier relationships. SIM software can help you design contracts that are mutually beneficial and built for longevity. Supplier relationships are key to your ongoing success and will also help you evolve as a brand.
SIM software will give you the most pertinent information at the most opportune moment so you can make decisions that strengthen your supplier relationships.
This is particularly important for large companies that have a wide selection of suppliers across a variety of industries such as manufacturing, food production, textiles, software, chemicals, construction materials, mining etc. SIM software will help you maintain unique and valuable relationships with each one of your suppliers by providing relevant data and insights.
Learn more on 5 ways to spark Supplier Engagement.
The consistent use of the Supplier Information Management system helps to improve the quality of procedures and the quality of information funneled through to downstream software systems. Supplier information will impact a variety of business procedures. The quality of these procedures will depend on the accuracy and completeness of the supplier information. SIM software ensures that this initial data is of a high standard and can be used to inform business decisions.
As the old saying goes, ‘crap in = crap out’… SIM Software will help you avoid this age-old issue, starting from a place of high-quality supplier information input.
When you’re in a competitive market you can’t afford to compromise on quality. SIM software solutions are a great way to ensure that you are staying one step ahead of your competitors with quality procedures and systems.
Using Supplier Information Management Software to Succeed
Unfortunately, many businesses still operate via homegrown solutions or excel spreadsheets. These companies have to sift through mountains of “dead data” before they can generate insights and make decisions. With SIM software you can ensure that all your supplier information is being used to its full potential.
For example, with Kodiak Hub’s Supplier Information Management Software, you can leverage automation, 3rd party indexes, supplier scorecards, supplier contracts, results from supplier audits, and supplier collaborations. None of this vital data is wasted.
Ultimately, a SIM solution is the ideal addition to your business because it consolidates vital information, enhances productivity & saves time, improves cost management, and helps you maintain healthy relationships with suppliers that are best for you.
This publication is brought to you by author Sam Jenks, but also in part by Kodiak Hub — A Supplier Relationship Management SaaS functioning out of Stockholm, Sweden. Kodiak Community intends to challenge traditional business practices with innovative thinking and creation.