With 14 years of experience refining best practices, BirchStreet has compiled a variety of problems that our customers have faced. These issues were all solved by BirchStreet’s procure-to-pay functionality. This will be an ongoing series of solutions to the challenges in hopes that we may be able to help improve your business and operational processes.
Problem: Poor PO approval compliance resulted in running out of products and overstocking of products.
Scenario: The customer was not able to keep accurate inventory records due to manual inventory tracking. Items occasionally were depleted and not fulfilled until they were needed. Or, items were being ordered when they did not need to reorder causing a surplus. This became a problem for the purchasing and accounting departments, especially for the manager approving the purchase orders. Last minute rush orders, which increased delivery charges were incurred, and budgets for overstocked items were hit before they needed to be.
Solution: The customer implemented BirchStreet eProcurement, AP 3-Way Auto-Matching and Inventory Control modules. With purchasing and inventory functions now connected and automated, the customer set par level alerts when inventory levels hit a certain level. This generated a requisition, which was routed through an automated workflow approval process to reorder items.