Difference Between e-Procurement and Traditional Procurement

In any business, procurement is an essential function that every organization must perform, whether it involves purchasing computer equipment, internet systems, or office supplies. Traditional procurement relies heavily on paperwork, whereas e-Procurement operates online, offering greater accuracy, speed, and efficiency.

Procurement
Traditional procurement involves the purchasing department of an organization ordering goods or services from external suppliers. The department usually compiles a list of required items, identifies suitable suppliers, negotiates or compares prices, and sometimes selects familiar suppliers to control costs. Afterward, they submit requests for approval to issue purchase orders.
Conventional procurement is often document-heavy and may lack strategic planning, negotiation for better pricing, or discovery of new suppliers, which can result in missed opportunities to optimize costs and better meet organizational needs.

e-Procurement
With modern technology, e-Procurement makes the purchasing process faster, simpler, and more convenient. It enables online interactions between buyers and suppliers and streamlines internal purchase requests and approvals. e-Procurement consolidates traditional procurement steps into a single online process, reducing workflow steps, saving time, and accelerating order fulfillment.
The system minimizes paperwork and repetitive tasks, allowing procurement teams to focus on strategic planning and sourcing new suppliers to reduce costs and increase organizational profitability.

e-Procurement as a Cost-Reduction Tool
Today, e-Procurement helps organizations find the best products at the best prices, reducing both direct and indirect costs, from raw materials to production processes. It enables better control over procurement steps and pricing, reduces workflow steps, saves time, and ensures higher accuracy compared to traditional procurement.

e-Procurement from Pantavanij
Pantavanij’s e-Procurement system provides an online purchasing platform that streamlines procurement operations, automates workflows, and records data digitally. It allows management to plan and forecast organizational spending accurately throughout the year. The system ensures a structured procurement process with full access to data at every stage, 24/7.

To register for Pantavanij’s e-Procurement system conveniently, you can fill out the form [here] for a Pantavanij representative to contact you. For more details, contact 02-034-4300 ext. 4330, 4465, or email sales@pantavanij.com.