What is Source to Pay (S2P)?
S2P (meaning source-to-pay) consolidates complex data for buying goods and services into a single process that effectively manages payments, sourcing, and other related tasks.
Furthermore, this process is the best mechanism for organizing and analyzing data, process management, spend management, supplier/sourcing management, invoice management, and consumer trends.
In the procurement industry, mapping suppliers’ data, commodity and nominal codes, budgets, and approval thresholds become entailed. Therefore, procurement processes become challenging and lengthy.
The S2P system streamlines strategic source procedures and digital procurement. It refines buyer and supplier communication, provides hassle-free transactions, and minimizes human error with embedded source-to-pay best practices.
Generally, the S2P process includes demand identification, sourcing, bidding, contract negotiation & management, purchase order, invoice processing, 3-way matching, and payment. Therefore, provide a wholesome procurement solution.
Moreover, it offers the following benefits:
- Enhance compliance with procedures, regulations, and contracts.
- Gain more sourcing savings through improved procurement visibility.
- Boost trading partners’ cooperation, trust, and spending.
- Integrate critical procedures onto a single platform to accelerate contract signing.
- Improve pricing through negotiation and improve your predictions.
Incorporated S2P improves the overall procurement process. Furthermore, it helps to build collaborative relationships with stakeholders.
