As organizations strive to enhance their procurement processes, the significance of procurement software has grown exponentially. Similar to the widespread use of Contract Lifecycle Management (CLM) software and Third-Party Risk Management (TPRM) software, procurement software offers a centralized solution for optimizing procurement-related activities. This blog explores the essential features to consider when evaluating procurement software, shedding light on how these functionalities contribute to efficient procurement process management. What is Procurement Software? Procurement softwar ..read more

In the ever-evolving landscape of vendor management, technological advancements have ushered in a variety of software solutions, providing organizations with unprecedented tools to streamline and enhance the oversight and management of vendor relationships. With over 400 software products in the marketplace, the competition is fierce, and vendors are innovating to stay ahead. In this blog, I share an overview of the top trends shaping the vendor management software arena and key steps you can follow to evaluate new vendor management software for your organization. Seven Top Trends in Vendo ..read more

More than ever before, organizations are adopting holistic, process-driven vendor management. They are evolving vendor management from a mere compliance function to a strategic driver of measurable value. We expect this trend toward value creation to grow as companies seek practical ways to optimize performance, mitigate risk, and control costs with their growing ecosystems of vendors and third parties. The beauty of this growing trend lies in the many ways vendor management can unlock value for the business.  Here are four value-creation initiatives any organization can undertake, alon ..read more

Vendor management continues to evolve at an unprecedented pace.  Customers, boards, auditors, and regulators are demanding more robust policies, procedures, and oversight of vendors and other third-party relationships. From an operational perspective, senior management is under pressure to maintain an effective infrastructure while identifying ways to extract value through vendor risk reduction, performance improvement, and cost control. From a market perspective, new regulations are being introduced, and new technologies are emerging on what feels like a monthly basis. While the challe ..read more

As a third-party risk practitioner and consultant, I’ve worked with hundreds of stakeholders across multiple industries. One of the fundamental questions I always hear is, “Who qualifies as a third party?” It’s a great question because an organization’s third-party ecosystem encompasses much more than suppliers. Who is a Third-Party When It Comes to Risk Management? A third-party is any company or individual outside of your organization with whom you have entered into a business relationship – regardless of whether or not you have a formal contract. Most organizations work with a wide range ..read more

October 8, 2023 Tom Rogers, CPA, CCMP 240-813-1160 trogers@vendorcentric.com Linkedin To thrive in any economy, strong vendor relationships are paramount to success. That’s why understanding and implementing effective procurement policies and procedures is nothing short of essential. In this comprehensive guide, we share the core principles and best practices for procurement policies and procedures that will empower you to confidently design, document, and implement them within your organization. Whether you’re just starting your journey to implement procurement best practices ..read more

Audited financial statements are one of the most important documents you can use to support effective third-party due diligence. As the old adage says, “the numbers don’t lie.” However, analyzing a vendor’s financial statements isn’t as simple as looking at a few key ratios and calling it a day. It’s part art and part science.   While audited financial statements do follow a common framework (the science), every company has a different financial story, so you have to know how to spot the problem areas when reading them (the art). To help you effectively analyze financial stateme ..read more

Procure-to-pay (P2P) is a business process that encompasses all activities involved in obtaining goods or services from a third-party supplier.   It’s an important process as it enables the business to acquire goods and services efficiently and at fair prices, while also ensuring timely delivery, quality, and compliance with relevant laws and regulations. An effective procure-to-pay process provides a number of benefits including: Improved Compliance: Following standardized, documented processes ensures that procurement activities are in line with an organization’s policies and regul ..read more

Vendor management policies are essential for establishing the overarching rules, guidelines and expectations for managing third-party vendors across your organization. However, getting employees to actually follow your policies can – well – be a challenge. In this blog I share eight effective tips for getting your employees to follow your vendor management policies on a consistent basis. Whether you’re rolling out brand new policies, or looking for ways to get better compliance with existing ones, read on to find valuable insights and practical tips for success. Write Policies So Humans ..read more

Maintaining up-to-date, efficient and compliant vendor management processes isn’t easy – especially in organizations experiencing rapid growth or significant change. That’s why continuous process improvement is so important and a MUST HAVE for effective governance of any vendor management program. The good news is that process improvement doesn’t have to be a multi-month effort.  There are practical things you can do – starting tomorrow – to begin getting traction.   In this blog I break down: the definition of continuous process improvement, why it’s critical for effective ven ..read more