How are procurement costs reduced through e-procurement?

Answer 1

Also known as electronic procurement or e-procurement, online procurement is the process of ordering and selling goods and services using the Internet. This type of ordering may be accomplished using a branded access page that is established by the vendor for a specific customer, or through a general ordering site put in place by the vendor. The main purpose of online procurement is to expedite the order placement, processing, and delivery of goods and services.
For customers, online procurement systems usually include functions that are known as resource planning tools. These tools make it easy to identify what is needed, create requisitions for those items, and generate purchase orders once a vendor for those goods or services is identified. Software of this nature helps to simplify the in-house processes used by many businesses to qualify vendors and set up regular ordering of necessary items based on usage.