What is eProcurement?
eProcurement is an online application that allows buyers to purchase goods and services from suppliers. It automates the buying process and allows buyers to search multiple product categories to find what they are looking for. In the past if a buyer needed to purchase an item for their healthcare practice they would either pick up the phone or leave their office and go to a store. An eProcurement platform gives buyers the ability to access more products faster than ever before because of the online platform.
How is eProcurement relevant to healthcare?
Workflow has been a buzzword for years in the healthcare industry, but recently it has made major strides. Compliance regulations have driven much of the workflow change. It’s evident in the transition of providers moving from paper to electronic. Another trend that has been catching speed is improving workflow by using eProcurment to source, store, and ship inventory.
Why is it valuable for medical practices?
- An increase in profit possibilities:
eProcurement ordering is efficient and has the ability to track spending trends in your practice. One study found that enterprises displayed a 35% improvement in spend from management. With this new efficiency cutting costs and improving spending trends will benefit the bottom line in your practice.
- Purchase multiple products from one location:
Decrease time spent searching for multiple products in multiple locations. It has the capability to manage all products purchased and gives the buyer a one-stop shopping experience. A study showed that Enterprises reduced their time to order cost by 48%.
- Automates the order process:
It negates having to fill out paperwork and also decreases the time for an ordered to be processed because of automation. The same study showed that transaction cycle time was cut in half. Also automation has shown to decrease errors in the procurement process.
- Burden is on the suppliers:
Suppliers are responsible for sourcing products and services which save buyers time in finding the product or service they are looking for at a competitive price. Suppliers work with manufacturers and can get better pricing because they buy products in bulk, and these savings can be passed on to buyers.
- Multiple users and locations:
eProcurement platform allows multiple buyers to have access to the platform and gives each buyer a different user login and password. Purchases can be traced to individual buyers. Streamlining the buying processes frees up time for buyers to be more productive and results in cost savings.
- Inventory levels:
An eProcurement platform keeps up with how much inventory a buyer has in stock and when a reorder needs to occur. It increases accuracy of ordering the right amount at the right time. Because office space is valuable in a medical practice and inventory takes up space, another major benefit of an eProcurement platform is that it can hold inventory until the buyer is ready to receive it.