When it comes to supply chain management, it’s necessary to recognize that there is no such thing as a one-size-fits-all solution. While Purchase Order (PO) Management systems can be daunting due to cost, technology and time involved, with the right partner, they can be tailored to manage your supply chain efficiently. Whether your business handles one thousand or one hundred thousand purchase orders annually, there’s a solution for you.

Is a Purchase Order Management system right for my business?

• Do you find yourself wondering if your supplier received the order and whether they accept the terms of it, including the quantities and target dates?
• Do you hunt through your emails looking for that one thing that was affecting the arrival date?
• Do you struggle to provide updates to other divisions in your organization? 
• Do you wonder if you have any shipments in the region when there is an emergency at a foreign port?
• Do you live and die by email and spreadsheets, continually circling back to ensure that everyone has the latest version? 
• Do you scour carrier websites seeking out changes to your arrival date?
• Do you have your product mix in the right place, or do you have umbrellas in Phoenix and sun hats in Seattle?

If you answered yes to any of these questions, you could benefit from a PO Management system. It’s important to note that PO management systems are not just for the “big players” — importers with thousands of containers, system interfaces everywhere and contracts with ten different carriers covering every continent. In fact, at Ascent, we specialize in the mid-size and smaller importers who can get lost in the shuffle with other providers. 

Aren’t systems expensive with a lot of IT resources needed? We can’t afford that.

While costs can widely differ for PO Management systems, they can be surprisingly affordable when working with the right partner. Many offer the solution at a reasonable rate per order or container, while others may share the service at a discount in exchange for more business in other divisions. Regardless of the cost, you’ll want to think about the savings you can recoup with an excellent system to support your business.

To get started, think about how much time is spent tracking down information from different sources, including but not limited to:

• How many minutes or hours do you spend searching through email, taking time away from other projects? 
• Do you have additional demurrage or detention charges because your customs entry was delayed due to missing or inaccurate documentation? A few days of detention can add hundreds of dollars of unplanned costs to an order.
• Are you incurring costs due to damaged goods because of poor container loading, or the warehouse not being prepared for your inbound shipment?

There’s a simpler solution. When all the necessary information regarding your shipment is in a single location, you know exactly where to look. All communication regarding the order, photos of shipment loading, documents uploaded to the order and shipment, latest arrival date from the carrier – it’s all at your fingertips with PEAK™ technology. 

Which is the right system for me?

As previously mentioned, there is no one-size-fits-all solution. The right system for you is the one that effectively meets your needs. Will it take the PO file in the format you have? Does it offer seamless and straightforward communication between all your interested parties? Does it have a reporting function? Are you able to get the information you need?

Remember, the system is not the service. The system should be part of the overall solution from your provider; the relationship with the provider must also be considered in choosing the right partner. Some in the market offer a whiz-bang solution but may not have the practical expertise and staff to successfully manage your orders, supplier base, business rules, documentation requirements and other quirks of your unique supply chain. Others may have substantial operational expertise but still work using spreadsheets and phone calls. 

At Ascent, we understand that the right partner knows the business inside and out and has the leading technology to support it.

Who said logistics has to be complicated? We certainly didn’t. Contact our team to learn more about our Purchase Order Management solutions.