The digital purchase order processes can be time-consuming and challenging to manage during the Golden Quarter, due to a massive increase in the volume of orders and the simultaneous need to maintain accuracy and timeliness. Despite these challenges, retailers can employ a number of strategies to streamline their digital purchase orders. Continue reading this blog and explore various strategies that can help you achieve this goal.
Automation can be implemented by utilising advanced software solutions to generate digital purchase orders seamlessly. By integrating these systems with other aspects of the retail operation – such as inventory management and sales data, you can create a fluid and responsive process that automatically triggers orders when stock levels reach predefined thresholds. This minimises manual intervention, reduces the risk of errors, and accelerates the procurement cycle.
Cloud-based purchasing platforms are a game-changer for retail teams, especially during retail peaks. Imagine being able to access and update purchase order data from anywhere, at any time. That’s the power of the cloud. With cloud-based purchasing, your team can make timely decisions even when they’re on the go. A 2022 study by the Harvard Business Review found that
Retailers that adopted cloud-based purchasing platforms were able to increase their sales by an average of 10% and reduce their costs by 5% during the Golden Quarter
Moreover, such platforms also provide a secure and unified place to store all purchase-related data. This makes it easy for team members to collaborate and stay on the same page.
In the context of digital purchase orders, ensuring mobile accessibility is essential for facilitating quick and efficient approvals. By enabling team members to access and approve purchase orders on their mobile devices, retailers can expedite the decision-making process. The latest study from Gartner suggest;
42% of retailers who embrace mobile accessibility can expect to see significant benefits in terms of reduced approval times, increased accuracy, and improved visibility
This is especially valuable during increased customer activity when swift responses to market dynamics can significantly impact overall performance.
Centralised Data Management
Centralised data management means bringing together all purchasing information into a single, easily accessible database. This cohesive approach simplifies data entry, retrieval, and management, reducing the risk of errors and delays. At the same time, it also ensures that all stakeholders have access to the most recent and accurate information, promoting transparency and efficiency in the purchase order process.
Data Analytics for Demand Forecasting
Leveraging data analytics to predict customer demand empowers retailers to make informed decisions about purchase orders. This proactive approach enhances inventory management and helps prevent stock outs. According to a McKinsey & Company study;
Retailers that use data analytics to improve their supply chain management can increase their profits by up to 6%. In addition to this study, there are many other instances in which retailers have successfully used data analytics to improve their supply chain management
For example, Walmart used data analytics to predict customer demand and optimise inventory levels at over 11,000 stores worldwide. As a result, it has been able to reduce stockouts by 50% and increase its sales by 3%. Another instance is Target, which used data analytics to predict customer demand and personalise its marketing campaigns. Resultantly, it experienced a 10% surge in its sales and retail growth.
Order Tracking and Visibility
Implementing systems for tracking purchase orders from placement to delivery enhances overall visibility and transparency. By doing so, stakeholders can monitor the status of each order in real-time, facilitating better coordination and decision-making. This level of visibility is crucial during peak seasons when order volumes are high, and timely tracking can prevent disruptions in the supply chain.
According to a 2022 study conducted by Verte Research,
91% of consumers actively track their packages, with 39% tracking them once a day and 19% tracking them multiple times a day. This suggests that order tracking and visibility is a top priority for consumers
Another study carried out by Deloitte in 2021 discovered:
70% of supply chain executives believe that order tracking and visibility is essential to their business. This study also found that companies with high levels of order tracking and visibility have lower costs, better customer service, and higher profitability
Don’t forget to read : Order Status Challenges During Peaks
Integrating purchase order systems with various sales channels, both online and in-store, ensures a cohesive and synchronised approach to inventory management. This prevents overselling or stockouts by maintaining real-time synchronisation between purchase orders and sales across different channels. In 2023, the Journal of Retailing and Consumer Services conducted a research study revealing that;
Retailers with integrated multi-channel inventory management systems are more likely to be profitable and have higher customer satisfaction scores
The study surveyed 200 UK retailers and concluded that those with such systems were able to reduce stockouts by 20% and overselling by 15%. This led to an average increase in profits of 5% and a 10% increase in customer satisfaction scores.
Discover the secrets of : Best Practices for Managing Inventory During Retail Peaks
Regular System Audits
Regular audits of the digital purchase order system is essential as it identifies areas for improvement and ensures ongoing efficiency. Consistent review and monitoring enables retailers to address any glitches, refine processes, and optimise the overall workflow. This proactive approach also contributes to the long-term effectiveness and reliability of the digital purchase order system. Findings from a 2023 study by the Institute of Management Accountants (IMA) indicate that;
Companies that regularly audit their purchase order systems are more likely to have a 10% higher order fulfillment rates, a 5% lower delivery times, and a 3% higher customer satisfaction scores
Regular system audits can help retailers protect their sensitive financial and customer data. By opting for this proactive approach, you can make informed strategic decisions and stay ahead of the competition.
How can Taskaler streamline your PO processes?
Taskaler isn’t just a run-of-the-mill Business Process Outsourcing company; we’re committed to enhancing efficiency, driving innovation, and serving as your strategic partner in navigating the complexities of digital purchase order processes. Our dedication to streamlining your order processes is reflected in our comprehensive approach, which includes order processing, efficient data entry, and validation, real-time order tracking, and status updates—addressing every aspect of your retail supply chain.
To leverage the advantages of Taskaler’s expertise, book a complimentary consultation today.