Source-to-Pay
What is source-to-pay?
Source-to-Pay (S2P) is a term that describes the integrated process of sourcing, contracting, and paying for goods and services.
It is an automated process where all stages of the procurement process are managed in one system, from identifying the need for goods and services, to selecting suppliers and awarding contracts, to paying for the goods or services.
S2P solutions allow organizations to streamline the procurement process, reduce costs, and improve efficiency.
Why does the public sector and third sector use source-to-pay?
The public sector and third sector use S2P solutions to reduce manual effort and time spent on procurement processes, increase operational efficiency, and lower costs. By automating the entire process, organizations can save money, reduce paperwork, and eliminate human error.
Additionally, S2P solutions can provide valuable insights into the performance of suppliers, allowing organizations to make informed decisions about their procurement strategies. Finally, S2P solutions can help organizations manage risk by ensuring contracts are compliant with regulations, and that suppliers meet quality standards.
What is the difference between source-to-pay and procure-to-pay?
S2P is a term that describes the integrated process of sourcing, contracting, and paying for goods and services.
Procure-to-Pay (P2P) is a term that describes the integrated process of procuring goods and services, managing contracts and invoices and paying suppliers.
In other words, S2P encompasses the entire process of sourcing and contracting, while P2P focuses on the process of procuring, managing, and paying for goods and services.
What is the future of source-to-pay?
The future of S2P is bright, as more organizations are recognizing its potential for streamlining and optimizing the procurement process. As technology continues to evolve, S2P solutions will become more advanced, allowing for increased automation and advanced analytics.
Additionally, new tools and solutions will be developed to improve supplier relationships and manage risks more effectively.
Finally, the use of artificial intelligence and machine learning will allow for more accurate and efficient decision-making in the procurement process.
Should I hire a source-to-pay consultant for advice on what solution is best for my organisation?
Yes, you should consider hiring an S2P consultant to advise on what solution is best for your organization.
A consultant can provide valuable insights into the various solutions available, and help you determine which one is best suited to your organization’s needs.
Additionally, they can provide valuable advice on how to implement the solution, and ensure that it is properly integrated into your existing processes.
What are the average cost savings of implementing a source-to-pay solution?
Organizations that implement an S2P solution can typically save up to 10-30% on their procurement costs, depending on their size and complexity.
Additionally, S2P solutions can help reduce administrative costs associated with managing contracts and invoices.
Finally, S2P solutions can help organizations manage risk and ensure compliance with regulations, which can lead to further cost savings.
In conclusion, the main benefits of using source-to-pay solutions include:
- streamlining and optimizing the procurement process
- reducing manual effort and time spent on procurement processes
- increasing operational efficiency
- reducing costs
- providing valuable insights into supplier performance
- managing risk and ensuring compliance with regulations
- improving supplier relationships
Additionally, S2P solutions can help organizations save money, reduce paperwork, and eliminate human error.
Our services
Procure Consult
With Procure Consult, we offer support with tender management and ad-hoc procurement consultancy. Our expert team will manage the end-to-end procurement process or offer assistance at any stage, as and when required.
Procure Health Check
With Procure Health Check, we’ll conduct a full review of the strategic and operational procurement processes within your organisation. We’ll identify the areas that need improvement and help you drive greater value from the procurement process.
Procure Analyse
The purpose of Procure Analyse is to conduct a high-level analysis of your spending activity. We’ll help you understand your current purchasing behaviour and highlight areas that can deliver greater value. Procure Analyse is also offered as part of Procure Health Check or as a standalone service.
Procure Outsourcing
With Procure Outsourcing, we deliver a range of procurement solutions on an outsourced basis, completely bespoke to you. This can range from delivering multiple tender projects as a package to delivering the full procurement function of your organisation.
Procure Post
Are you trying to find a supplier for your project? Post your tendering opportunity onto any of our 11 sector-specific portals for FREE with Procure Post!
Housed by our sister company, Hudson Discover, our portals host thousands of tendering opportunities for organisations of all sizes. For an additional cost, we’ll even help you identify your requirements and find the most suitable suppliers for your business.
Get in touch for a consultation and find out how we can help your business drive better value from procurement.
