While COVID-19 has undoubtedly caused significant hardships, one of the silver linings has been that many people and businesses have learned to operate with less than they’re accustomed to. From companies having less in-person oversight of employees as they work remotely to consumers getting by with less purchasing, having “more” isn’t always necessary.
On the contrary, many businesses and individuals thrive with less. For example, in the midst of the Great Recession in 2008, Sony Pictures Entertainment had its most profitable year up to that point. The success was likely due in part to consulting from The Energy Project on slowing down, taking breaks and other actions geared toward keeping employees engaged and energized, as The Energy Project’s founder and CEO Tony Schwartz explains in The Harvard Business Review.
So what does that mean for procurement and finance teams as businesses re-open? By embracing a “less is more” strategy, they can attain long-term cost savings, such as by having:
In addition to saving money by learning to do more with less, companies can also embrace this mindset to save time and effort.
For example, procurement and finance teams should look for ways to simplify their purchase approvals. Instead of micromanaging every purchase by having employees send complex request forms, procurement and finance teams can set up a pre-approved supplier list and provide automatic approval for purchases from these suppliers below a certain threshold.
Then, procurement and finance staff can focus their time and effort on more complex purchases and other strategic efforts like improving supplier diversity.
Leveraging technology like an e-procurement or spend management platform can help in this regard, as you can source and maintain a list of approved suppliers, streamline approval workflows and gain visibility into spend, among other benefits.
Want to learn more about how e-procurement/spend management technology can help your company simplify operations? Request a free consultation with our product experts today.
If your organization needs to source PPE or cleaning supplies during this difficult time, we may be able to help. Please reach out to request access.