A digital transformation that utilises a common platform has significant benefits from a governance and risk perspective. Suppliers can be classified, tracked against performance targets and measured all under one single platform. Management of supplier information becomes easier through automated checks that prevent duplicate supplier data and manual processes such as documentation receipt can be actioned within the platform too, removing user error.
Supplier risk related tasks such as assessment questionnaire development, scoring models, risk reporting and risk analysis can all be automated within a BSM platform reducing the cost to manage supplier risk as well as providing a uniformed approach.
From a spend compliance perspective, BSM software comes into its own. The system will force users to procure from approved suppliers within the system. And these approvals can be set based on multiple factors. So, for example, if ESG is important to your organisation, many systems will allow you to select suppliers based on their organisation’s carbon status and cross reference that with their turnover, if working with SMEs is important to you too. Essentially the system forces compliance from the user ensuring that the Compliance community can be worry-free.
From a reporting perspective too, a BSM platform will enable those responsible for compliance to evidence adherence to process.