Improving Vendor Management and Invoice Handling – Part 2: A more detailed look
Perhaps you already onboard vendors in keeping with all internal and external regulations and laws. You obtain the relevant information and documents, you already evaluate the provided information follow the correct approval processes and have great and risk-free vendor relationships. But do you achieve all those aims efficiently?
Are your processes reliant on people doing the right things and following the rules. Does the approver have all the original information and documents they require at their fingertips – and not just copies attached to an email? When documentation expires, such as an insurance cover, are you automatically reminded to request an update? Or even better is an automatic message sent to the vendor to supply an updated version? Is vendor data and documents stored securely and in line with Data Protection and GDPR rules? Can you report on the completeness of vendor data or on vendor performance?
Or even better – can your suppliers bid for faster payment terms by offering further discounts? The list could go on.
Tracking hundreds or even thousands of vendor relationships is critical to business operations – but it becomes a burden when vendor information is managed in scattered, disparate locations. An OnBase Vendor Management solution improves vendor processes, allowing your organisation to maintain productive relationships, minimise risk and better manage vendor-related content. An OnBase vendor solution will allow accounting, procurement and other personnel to interact with vendor-specific information, compliance documents, contract details and correspondences in one central location. A complete vendor management solution equips organisations to standardise vendor sourcing, maximise relationships and make better decisions by monitoring issues and reporting on vendor compliance and performance.
Standardise vendor sourcing and improve decision-making
An OnBase Vendor Management solution formalises the vendor request and sourcing process to improve onboarding and ensure the right data and documents are collected up front. Employees complete self-service request forms that the solution automatically routes for approval, eliminating inefficient email and phone call requests.
Throughout sourcing and selection, an OnBase Vendor Management solution identifies missing critical vendor details and documents such as missing proof of insurance. The system can automatically notify vendors to provide required documentation, allowing personnel to collect all needed content. A complete record helps mitigate risk of financial and civil penalties or potential reputational damage.
Maximise vendor relationships
With OnBase, authorised personnel interact with all vendor information throughout the entire relationship – including key data, conversations and supporting documents like bank verifications and risk assessments. This secure, central access to information and supporting content eliminates information silos and time wasted switching between applications.
OnBase even integrates with your accounting system or ERP, displaying vendor service or product data alongside the content in OnBase. Staff easily locate vendor information by searching for key terms, such as vendor name, location or notes added to the file – enabling them to make smarter buying decisions.
OnBase also streamlines vendor contract management, providing easy access to contracts and enabling personnel to track key terms and proactively manage milestones. Staff can upload draft contracts directly into OnBase from an email attachment in Outlook, automatically associating them with correct vendor records. The solution automatically tracks contract expirations and auto-renewals and instantly notifies appropriate personnel. This minimizes missed expirations and equips staff to review relationships to ensure they continue to provide value.
Reduces risk through increased visibility and vendor governance
With an OnBase solution organisations continually evaluate the quality of services or products provided by each vendor, enabling personnel to generate vendor scorecards and graphical performance reports on the fly.
They can also record feedback or incidents, complete vendor evaluations and track preferred vendors by determining when the use of special pricing and quantity discounts is most appropriate. This creates a combined knowledgebase that supports future purchase decisions and drives discussions on whether or not to maintain specific vendor relationships.
Like to find out more?
If any of the above ideas are of interest get in touch. We can chat about your your specific requirements and also demonstrate a generic Vendor Management solution. No obligations.
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