Companies, in order to stay competitive, must find solutions to increase efficiency in business operations and control costs. Is there a solution to this ubiquitous problem?
B2B exchanges or e-Marketplaces are capable of solving many key problems that corporations are facing today. E-Marketplaces can provide immense opportunities to automate supply chain process, increase operational efficiency, reduce overhead costs and expand market at a minimal cost.
Using e-Marketplaces effectively
Two primary factors of company productivity are Revenue Increase and Cost Cutting. Both are achievable if a company seriously decides to incorporate e-Marketplaces features in all aspects of business operations. That means if as a company you want to reap all the benefits of E-Marketplaces, you have to commit yourself seriously.
If you would like to use an e-Marketplaces most effectively, you have to get your suppliers and buyers on board too. Supply chain management solution that usually comes with an e-Marketplaces allows you to reduce operational costs significantly.
• Encourage your buyers to send request for quote for a product through the inbuilt system of the e-Marketplaces.
• Make strict rules within your company to send all quotes exclusively through e-Marketplaces.
• Ask your buyers to send Purchase Orders to your company via e-Marketplaces.
• Bill all your clients using invoicing system of the e-Marketplaces.
• Manage shipping and handling though e-Marketplaces.
• Convince your suppliers to use the same e-Marketplaces so that even as a buyer you can get the benefits of a B2B exchange.
Complete adoption of an e-Marketplaces will help a company gain numerous benefits. The following figures taken from various research notes emphasize the importance of e-marketplace in today’s business world. Thanks to e-Marketplaces, companies can reduce purchase order processing cost from US $75 to less than US $10.
• By automating sales and customer support processes companies can lower overhead costs up to 25 – 30% easily.
• Companies also can reduce more than five percent of their maintenance, repair and operation by incorporating e-business solutions, which are integral parts of any e-Marketplaces.
• Business process automation using B2B e-Marketplaces helps companies decreasing of document errors from 20 percent to less than one percent.
• B2B E-Marketplaces solutions are great opportunities