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Using a cooperative purchasing program ensures compliance with state and federal laws while reducing the risks associated with supplier management. Tools like eProcurement platforms, contract management systems, and supplier portals streamline tasks such as order processing, invoice management, and supplier communication.
The next level of riskmanagement might include identifying and tracking subcontractors and second tier suppliers as well as general contractors/first tier suppliers. While eProcurement punchout catalogs are a popular solution, they only work in some categories of spend and are prone to compliance problems.
Today, they are tackling new priorities like riskmanagement, supplier compliance, actionable insights. Automation, unified data and a 360-degree view of suppliers ensure smart procurement gives the modern CPO the tools required to monitor risk, innovate and ensure compliance.
Procurement leaders can use it as an argument for reviewing how outsourcing is carried out and managed, from strategy through supplier selection to performance management and contract end- of-life. Does the organisation have the right policies, processes and technology in place to meet these demands?
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