Optimizing Procurement Workflows In Supply Chain

Procurement and supply planning are NOT enemies. This document shows 7 ways procurement & supply planning work together: 1️⃣ Shared Supply Plans ↳ Supply planners provide supply plans early, enabling procurement to anticipate volume requirements for materials ↳ Win: better pricing negotiations, reduced stockouts, and fewer rushed orders 2️⃣ Joint Supplier Evaluation ↳ Both teams assess supplier performance (lead times, quality, flexibility) ↳ Win: a unified view of supplier capabilities helps avoid capacity bottlenecks or late deliveries 3️⃣ Collaborative Lead-Time Optimization ↳ Procurement negotiates shorter or more reliable lead times; supply planners adjust inventory policies to capitalize on them ↳ Win: Less buffer stock needed, freeing up working capital and warehouse space 4️⃣ Data-Driven Reorder Policies ↳ Supply planners set reorder points and safety stock; procurement factors in supplier constraints and MOQs (Minimum Order Quantities) ↳ Win: Balanced inventory that prevents both overstock and stockouts 5️⃣ Building Scenarios ↳ Procurement and supply planners run “what-if” analyses together to evaluate alternative sourcing or shipping options ↳ Win: agility considering sudden demand spikes or supplier setbacks 6️⃣ Brainstorming Cost-Benefit Trade-Offs ↳ Procurement highlights price breaks for bulk purchases; supply planning weighs the carrying cost of extra inventory ↳ Win: decisions reflect both cost efficiency and operational realities, avoiding unintended supply chain issues 7️⃣ Driving Improvement Cycles ↳ Both teams regularly review supplier scorecards, forecast accuracy, and inventory health to refine strategies ↳ Win: continuous improvement culture, including better supplier relationships, leaner inventory, and higher service levels Any others to add?

Ever struggle with unpredictable demand and supply constraints? 🤔 I believe Sequential Decision Analytics (SDA) can make a real difference. 📦 Scenario: You’re managing inventory for multiple products. Traditional methods rely on static plans based on fixed forecasts. But what happens when demand spikes unexpectedly or a supplier delays shipments? 🔍 SDA Approach: Instead of building one rigid plan, you create a sequence of decisions that adapt over time. 1️⃣ Capture the State: Gather everything you know—current inventory, pending orders, supplier reliability. 2️⃣ Decision Policy: Decide how much to reorder, whether to reallocate stock, or adjust lead times. This policy doesn’t just react to what’s happening now; it anticipates future changes. 3️⃣ Sequential Planning: Plan each step with the long-term goal in mind. Adjust your strategy as new data arrives, like shifts in demand or supply issues. It’s not about real-time reactions but about making informed, sequential choices. 🔄 Learning and Adaptation: Refine your policy as you learn. If a supplier is consistently late, factor that into future decisions, so your plan gets better with each iteration. 🎯 Objective: Optimize long-term profitability and service levels, not just by minimizing cost in a static model but by balancing risks like stockouts and overstock over time. With SDA, you're not just guessing or reacting; you’re building a resilient, adaptive strategy for your supply chain. What are your thoughts on this framework and approach? 🤔 #OperationsResearch #SupplyChain #InventoryOptimization #SequentialDecisionAnalytics

Procure-to-Pay Process with SAP Signavio : BEFORE and AFTER The traditional Procure-to-Pay (P2P) process is often manual, slow, and error-prone, leading to delays, bottlenecks, and missed opportunities. But what if you could automate and streamline it? With SAP Signavio, your P2P process becomes faster, more efficient, and smarter. Here’s what changes: 1️⃣ Purchase Requisition Creation   ▶ Before: Manual creation led to inconsistent formatting and missing details.   ▶ After: Automated requisitions with real-time validation for accuracy. 2️⃣ Purchase Order Approval ▶ Before: Manual approval and bottlenecks when approvers were unavailable.   ▶ After: Automated workflows with real-time notifications and full visibility, reducing approval time. 3️⃣ Supplier Selection ▶ Before: Limited visibility and time-consuming manual evaluations.   ▶ After: Real-time visibility and automated supplier evaluations for faster, more reliable selection. 4️⃣ Invoice Matching ▶ Before: Manual matching with a high error rate, causing payment delays.   ▶ After: Automated 3-way matching between POs, invoices, and receipts, reducing errors and speeding up reconciliation. 5️⃣ Payment Processing   ▶ Before: Manual payments and late approvals led to missed discounts and strained supplier relationships.   ▶ After: Automated payments with real-time tracking, ensuring timely payments and improved supplier relationships. 🌟 SAP Signavio is the game-changer your procurement process needs. By automating the entire P2P workflow, - you eliminate inefficiencies - reduce errors - and make smarter, faster decisions. 💡 Ready to streamline your P2P process? SAP Signavio is your answer! #ProcureToPay #SAPSignavio #Automation #BusinessProcessOptimization #SupplyChain #Procurement #DigitalTransformation #ZaranTech #SAPSignaviotraining