For newly incorporated business owners, there will be many factors that you will naturally tend to worry about. From the hiring process, marketing strategy, the unpredictability of the future amongst other potential problems – well, all except for procurement. You may think that the process is a just a simple process without much fuss. Right?
- Find the right goods
- Pay for the goods
- Receive the goods
- Keep the receipt
Seems easy? Well, like other experienced bosses will tell you, these types of processes are as easy as they seem. Initially it shouldn’t be that big of a deal and small issues can generally be dealt with later. That seems fine if you have a small workforce of, for example, five employees. But as your business grows and expands, along with your workforce, operations and the mounting complexity of your procurement process grows too.
If procurement is dealt with properly, inexperienced companies may face huge loses for not being prepared with an efficient procurement plan. So, we have come up with a few steps to create the ideal plan suitable for your company:
As a business holder, it is your responsibility to know that you will need a plan during procurement. Developing a process for researching the market before acquiring the goods needed is essential, whether it is reordering the same item or getting new ones. Discipline yourself to know what goods are available, how to get them and when you will need to reorder.
Know your options
Do enough research before purchasing anything! Make sure that you stay updated on technical advances relating to the specific goods needed for your company. Investigate varying suppliers, ask for quotes and pick the one that is right for you. Once chosen, maintain good rapport with the vendor so you can build a positive and lasting business relationship.
Create a purchase order
Collaborate with your preferred supplier to create a purchase order. The details should include specifications like pricing, item specifications, terms and conditions, delivery and any requirements needed by both parties. Choosing an email purchase order instead of fax or mail delivery speeds up the process and keeps an easy to follow paper trail.
Keeping track of your goods
It is crucial that you keep track of your goods and their current whereabouts. Delays in shipping goods are not uncommon. To make sure that you are not wasting time and money in the process, get into the habit of expediting and receiving goods. When the goods arrive, always double check that your invoices are correct along with ensuring the right goods have been safely delivered.
Constantly re-evaluate and renew your strategy
If a supplier isn’t working for you or certain products are no longer necessary, do not be afraid to make changes to your process for the success of the company.
By creating the right strategy for your procurement process, you will save yourself from unnecessary paperwork and save money. So, all small business owner, take your time, find the right procurement company and your company will thrive in the years to come.
But if you need any assistance to plan your company’s procurement process, Global ITN is here to help. We will help you purchase customised IT hardware that best suits your business needs from reliable vendors and take care of the whole process for you so you can get on with the daily running of your business.
At Global ITN we ensure that your business operates on high-quality IT systems. With your business needs in mind, we do the laborious work of researching the products at the forefront of technology, selecting the most reliable vendor to purchase the products from and processing the order. By collaborating and partnering with market leaders we offer very competitive pricing to help reduce your financial expenditure.
What Global ITN offers:
- Professional consultation with regards to the criteria of quality, specifications and price needed.
- Product(s) supplied by market leading vendors with competitive pricing.
- Timely purchase and on-time delivery.
- Up-to-date news regarding the latest quality products in marketplace.