For years, we have been reporting in our publications about the pressure on purchasing departments to make their supply chains and processes transparent, to automate or to digitize the exchange of documents. The importance of corresponding measures and investments is increasing unabatedly and one has the feeling that new fields of action are emerging weekly in previously unmapped areas.

The number of fields of action and solution providers is developing exponentially

With each new field of action, numerous more or less comprehensive solutions or solution providers also appear. And even in the area of classic purchasing solutions, there is a very high level of dynamism with regard to the further development of platforms, the integration of interface processes (e.g., supply chain transparency, transport management), innovative technologies (e.g., process mining, robotic process automation) or other added values (e.g., integration of external CSR or reputational data partners).

The challenge of selecting the most valuable solutions from the now broad and disjointed range of digital tools – and, not least, a wide variety of pricing models – and determining one’s own development path is growing exponentially.

Also, the automation of inefficient processes does not always bring the desired major added value for the organization by a long shot. It is often only after implementation that it becomes clear whether the investment in modern technologies is actually worthwhile.

Professionally determine digitization needs and added value

An individually purchased and installed tender software, for example, which is used for no more than a handful of inquiries per year, must in the worst case be described as a – quite expensive – gimmick. It hardly serves to really increase process efficiency, but is often an expression of a lack of orientation and possibly also serves as a fig leaf in the sense of: „Digitization? Yes, of course we’ll take care of it.“

Our Digital Value Navigator has been helping our customers avoid such nasty surprises for years. We have developed a systematic procedure for an individual process inventory, the determination of benefit-maximizing digitization solutions including a comprehensive provider database.

Together, we systematically determine reliable answers to the following questions in order to evaluate the actual fields of action and to be able to name solution partners:

• What is the current level of digital maturity in the sub-processes in purchasing?
• Which sub-processes are actually the most valuable in terms of automation?
• Which solution is suitable for which processes?
• Does a „big“ solution make sense or perhaps rather specialized tools that are implemented step by step?
• At what level is the upcoming investment still economical or how can the benefits of the solutions be monetarily evaluated?
• Is there a comprehensive market overview of potential market partners, products and price models?

Monetization of process potential

The first goal is to identify activities in the internal processes that are highly repetitive and take up (expensive) capacity and time. The next question is always how these time wasters can be eliminated. Through process optimization or through automation? Where would a tool be usefully applied? How big is the benefit generated in terms of process efficiency and costs?

If the decision is made in favor of automation, the second step is to take stock of the situation externally. Which solutions does the market offer – specialized individual solutions or comprehensive software solutions that are networked within themselves – are to be found and evaluated.

Market overview of about 300 providers of digitization solutions for purchasing and supply chain

In order to take account of the market dynamics described at the beginning, we are also expanding our provider database in step with this. In the past two years, we have not only multiplied the number of functional criteria (coverage of interface processes, innovative technologies, added values) and increased the number of providers covered to almost 200. For the area of solution providers in the field of sustainability, around 150 providers were recorded in a separate database with corresponding functional criteria.

The Value Manager Digitalization is a systematic, standardized tool for evaluating the added value of process digitalization, including a corresponding market overview.

Independent of solution providers, it combines the aspects of inventory, optimization approaches and necessary investment decisions. Based on our wealth of experience, a digitization roadmap can be created in a short time that is individually tailored to the goals and requirements of our customers.

ADCONIA – beyond the ordinary

As Adconia GmbH, we advise our customers with the experience of more than 250 projects from more than 17 years – in questions around purchasing, supply chain and the digitalization of processes. Our goal is always to increase the profit contribution of purchasing through cost reduction, process automation or the qualification of our customers‘ purchasing teams.

With a correspondingly broad wealth of experience, precise knowledge of everyday purchasing and a high level of professionalism, our consultants carry out training measures at eye level. We do this – depending on the requirements – both as a sparring partner for specialists and managers with many years of experience and as a trainer for seasoned purchasing professionals and young professionals.