Electronic Purchasing Has Changed the Industry
The food service industry consists of many large and small businesses that trade with each other. The market of suppliers and manufacturers is vast and can be overwhelming. By using Millum Procurement, the purchasing process is streamlined, creating more predictability for both buyers and suppliers.
Negotiating the best deals or delivery terms with each supplier individually can be challenging. Therefore, a large portion of the industry has joined various purchasing organizations such as the Gress Group, NHO Procurement, Nores, and Umoe Restaurants.
The advantage of being part of a group becomes very apparent through a purchasing system. By entering into "bulk purchase agreements" with suppliers, members of purchasing organizations can secure more favorable deals on both price and delivery.
We see that members of the purchasing organizations, who are our customers, benefit from being organized and using our purchasing system. The main argument for a purchasing system is price, no doubt about it. But there are several more benefits that members are increasingly realizing. CEO of MillumBjørn Anskau
What Specific Benefits Do You Get?
There are many benefits to using Millum Procurement. Three of them are; better control over the company's purchases, simplified processes, and increased profitability. Increased profitability because you always buy at the correct, negotiated prices, and because you also save time on administrative tasks.
The most important thing is first and foremost to have a clear purchasing strategy and implement it among the employees before starting. Without a clear plan to realize the benefits of the system, it's pointless. It's also extremely important that the employees are onboard with the mindset.Bjørn Anskau
Control over All Transactions
With a digital purchasing system, companies have much better control and overview of what is being purchased, which agreements to use, and where the expenses are. With a digital system, costs are reduced through increased transparency and better cost control.
For a purchaser, it's about reducing purchases outside existing agreements and strengthening the relationship with suppliers to achieve the best price. With a good digital purchasing system, you can plug the trade leaks and gain better control without spending time searching and reading reports.Bjørn Anskau
Simplified Processes
The future of purchasing is P2P, Procure-to-Pay. This means that all purchases are consolidated in one place, in one service. As a purchaser, you should be able to handle everything from ordering to payment without detours. Simple and smooth. You should also not spend time researching which of your suppliers offer the different items. All your agreements should be part of your purchasing tool.
Increased Profitability
With greater control and simpler processes, both management and employees can make better decisions that will increase profitability both at the bottom and top line. With the right purchasing system, you can better manage and reduce administrative costs through process automation and optimization, so that all employees can contribute to saving money for the company.
It may sound obvious, but it requires all the pieces to fall into place. When the whole company is ready to make the right decisions, you will quickly see savings on the bottom line.Bjørn Anskau
