Every £10 invested in e-procurement can help organisations achieve cost savings of £72, it has been claimed.
Wax Digital said it surveyed 200 procurement professionals to arrive at the figure. It said savings were made up of two elements: supplier costs and internal costs. For every £10 invested in e-procurement, respondents said they were saving an average £38 on supplier costs and £34 on internal process costs, resulting in a combined ROI of 720%.
Wax Digital said the survey showed “organisations are now starting to realise the wider business benefits the software enables and see a significant return on their technology investment”.
Eight in 10 respondents (82%) had sufficient infrastructure in place to measure savings generated by e-procurement.
Daniel Ball, director of Wax Digital, said: “E-procurement provides a platform to reduce expenditure through improved visibility, process automation and improved negotiation practices.
“A short period of use can result in noticeable savings which means that unnecessary expenditure doesn’t eat into valuable profit margins.
“Increased efficiencies gained from automating time consuming and laborious tasks allows staff throughout the organisation to concentrate on strategy development, whereas increased cash flow can contribute to bolder growth ambitions.”
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