Digitalization of procurement for complete beginners: Key questions and answers
This article is intended for buyers in small and medium-sized companies who are just starting with digitalization and have not yet had the chance to work with procurement software — and who, in fact, don’t know how to begin with e-procurement so that it brings them maximum benefit with the least possible effort.
To start, let’s recall that e-procurement means moving away from email and Excel to digital procurement management tools. Today there are so many digital procurement tools that even an experienced professional can get lost in them — let alone a company starting from scratch, unsure which tool to begin with and how to put it into practice.
Before starting procurement digitalization, beginners must ask themselves four basic questions:
📌 Do we even need digitalization? Is it worth investing in procurement software? And what exactly will it bring us compared to the current state?
📌 How do we choose the right software? After all, the range of software is broad, and every company has different needs.
📌 How much will it cost? What costs are associated with acquiring and operating an e-procurement solution? How do we estimate the return on investment?
📌 How does implementation and operation work? What can we expect when introducing the system (timeline, integration, training), and what will day-to-day use and maintenance look like?
In the following table, we provide a brief answer to each question. A detailed answer can be found in the follow-up articles.
| Question | Brief answer |
|---|---|
| Do we even need procurement digitalization? | Yes. E-procurement brings cost savings (lower purchase prices, fewer errors and corrections), faster processes (approvals, ordering), higher team productivity, and better control over expenses (transparency, automated rule enforcement). You gain a competitive advantage — saving both time and money, while your procurement department can focus more on strategy instead of paperwork. Moreover, investment in digitalization usually pays back quickly thanks to tangible savings. |
| How to choose the right software? | First, define your needs and goals (what you want to improve), involve all key departments (procurement, finance, IT, etc.), and set a budget. When selecting a solution, focus on software that can be adapted to your needs and choose a user-friendly system. Verify the vendor’s reliability and the security of the solution. It is also important that the system can be integrated with your ERP and is easy for suppliers to use as well. Don’t forget to consider the quality of customer support and references. The ideal software should also be expandable in the future. |
| How much will it cost? | Costs depend on the chosen solution, the size of the company, and the vendor’s pricing policy. Smaller companies are offered cloud-based procurement systems for a few thousand CZK per month. In addition to licenses and support, you should account for implementation costs (setup, training, integration). A well-implemented and well-used e-procurement tool pays for itself — thanks to savings and efficiency, the investment typically returns within 1–2 years. |
| How does implementation and operation work? | Implementation involves analyzing your current processes, gaining management support, creating an implementation team, and developing a detailed plan. This is followed by system configuration tailored to your needs, integration with other systems, and pilot operation. Training users is key. After the go-live, monitor performance improvements and fine-tune processes. In daily operation, the system requires administration (user and data management) and communication with the vendor. Emphasize continuous improvement, full use of features, and system development. Only then will the e-procurement tool work to your satisfaction in the long term and deliver the promised benefits. |
Digitalization of procurement for complete beginners: How to choose suitable procurement software?
Digitalization of Procurement for Complete Beginners: How much will it cost?
Digitalization of procurement for complete beginners: How does implementation and operation work?
The key benefit of the digital transformation of procurement is optimization precisely in those areas where money leaks out of the procurement process.
Several companies tested automatic ordering through AI, whose task was to independently evaluate needs, place operational orders, and maintain optimal stock levels. The result often exceeded expectations — unfortunately, in a negative sense.
Return on investment within the first year of project implementation.*
*The ROI estimate is based on real data gathered from our clients and their successfully completed projects.
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