FREQUENTLY ASKED QUESTIONS

Explore the most common questions and answers about ProcureNode – all the essentials at a glance.

Q: How is ProcureNode different from our current ERP or purchase order process?

ProcureNode complements rather than competes with your ERP. It focuses on managing indirect procurement, where ERP systems often lack flexibility. ProcureNode offers structured request handling, approval workflows, and spend transparency. Indirect procurement follows a different process compared to direct procurement. The indirect purchasing process is referred to as the P2P (Purchase-to-Pay) process, whereas direct procurement is managed by the MRP (Material Requirements Planning) and inventory control processes.

Material Requirements Planning is an ERP-driven process that ensures materials are available for production and products are available for delivery. It takes input from demand (sales orders, forecasts, production plans), the bill of materials (BOM), and current inventory levels. Based on this, MRP calculates net requirements, creates planned production orders for in-house items, and generates purchase requisitions for externally sourced materials. These requisitions are then converted into purchase orders, which drive the purchasing process and ensure timely supply.

The Purchase-to-Pay process in indirect procurement encompasses the entire cycle, from identifying a need to paying the supplier. It begins with a purchase request (PR) submitted by employees for goods or services not directly related to production, such as IT, marketing, or facility services. After approval, the request is converted into a purchase order (PO) and sent to the supplier. The supplier delivers the goods or services, and a goods receipt or service confirmation is recorded. When the invoice arrives, it is matched against the PO and receipt (three-way match) before being approved for payment. Finally, payment is executed, closing the loop and updating spend data for analysis.

Q: Can the system operate without ERP integration?

Yes, ProcureNode can operate as a standalone solution without the need for ERP integration. It is designed to be flexible and can be deployed independently. However, integrating ProcureNode with your existing ERP system or e-invoice network provider provides additional benefits, such as automating the invoice matching process, which can enhance efficiency and accuracy in your invoicing processes.

Integrating with an ERP system can also streamline data flow between different departments, reducing manual data entry and minimizing errors. This integration ensures that all financial data is up-to-date and consistent across the organization, facilitating better decision-making and financial reporting. Additionally, ERP integration can help in managing compliance with regulatory requirements by maintaining accurate and auditable records of all transactions.

This consolidation ensures that all supplier information is centralized, making it easier to manage and update supplier records. However, we have developed a CSV import/export functionality to manually maintain consistent supplier data across systems, even without the need for integrations.

In summary, while ProcureNode can function independently, ERP integration can significantly enhance its capabilities, resulting in improved operational efficiency, enhanced data accuracy, and more effective procurement management.

Q: How easy is it to train users on the system?

Training users on ProcureNode is straightforward and user-friendly. The interface is intuitive and designed for non-technical users, including production and administrative staff. Dropdowns simplify the user experience, and their design continues to evolve based on customer feedback.

To ensure a smooth training process, we offer a variety of training methods tailored to different learning preferences and roles within your organization. These include:

Instructor-led training (ILT): Our experienced trainers conduct hands-on sessions, either virtually or in-person, focusing on day-to-day tasks relevant to each role. This method is ideal for high-touch onboarding, ensuring that users can ask questions and receive immediate feedback.
Role-based training: We provide scenario-based learning that uses real-world tasks, such as entering a purchase order or submitting a request. This approach enables users to apply the system within their daily workflows effectively.
Self-paced learning: Users can access a range of resources, including short videos and FAQs. This allows users to learn at their own pace and revisit materials as needed.
Simulated environments: We offer simulated demo environments where users can practice using the system without impacting live operations. This helps build confidence and proficiency before going live.
Post-go-live support: We provide an extensive range of support services. From implementation to daily use, and from data analysis to unlocking the full value of your solution — we stand as your partner in transforming procurement through digitalization, innovation, and expert services. This ensures that users have access to assistance whenever they need it.

Additionally, we establish champions and super users within your organization. These individuals receive early access to the system and are involved in testing and providing feedback. They act as first-line support and help spread adoption among their peers.

By offering a comprehensive and flexible training program, we ensure that users can quickly and easily become proficient in using ProcureNode, leading to higher adoption rates and more efficient procurement processes.

Q: How are free-text purchase requests handled?

Free-text fields are supported in ProcureNode. Most indirect purchases are tailored to individual needs, and item codes do not offer the required flexibility. ProcureNode is tailored explicitly for free text purchases, making requisitioning as easy as writing an email.

Once approved, the free-text purchase request is transformed into a purchase order draft for further processing. At this stage, the supplier can be changed, texts edited, and the price can be lowered if needed.

However, approval has been granted for a specific amount, and ProcureNode prevents users from exceeding this amount during purchase order processing to ensure purchases are made within the set budgetary limits.

Requisition amounts and purchase order amounts are registered in the database, enabling easy savings tracking.

Q: Does the system support approval flows and responsibilities?

Yes, ProcureNode supports approval workflows and responsibilities. The user management in ProcureNode is role-based. Each user is assigned a role: requester, approver, buyer, or admin user. Each role enables specific use of the solution, allowing for a structured and efficient procurement process.

For example, a requester can initiate a purchase request, which then undergoes an approval process involving one or more approvers, depending on the requisition. Once approved, the request is forwarded to the buyer as a purchase order draft for further processing and order placement. A single user can have multiple roles, as it’s common that the requester also processes the purchase order. This is typical for decentralized procurement, often used with indirect purchases.

In summary, ProcureNode’s robust approval workflows and role-based user management ensure that procurement processes are efficient, transparent, and compliant with organizational policies.

Q: Can we get a centralized view of all purchases and spend?

Yes, ProcureNode provides a comprehensive dashboard that offers a consolidated view of all requests, orders, and categories. This centralized view enables effective spend tracking and budget control. The dashboard is designed to provide real-time insights into procurement activities, enabling users to efficiently monitor and manage their spending.

The reporting data can be exported from the system into an Excel file, CSV file, or JSON file. Reporting data can also be integrated with visualization tools such as Power BI.

The dashboard can be customized according to your specific needs, including information about spending patterns, budget tracking, supplier performance, order statuses, and much more.

Q: How does ProcureNode support supplier management?

ProcureNode supports supplier management by allowing the standardization of suppliers and the ability to track that purchases are routed to preferred vendors. This ensures that procurement activities are streamlined and aligned with organizational policies, and contracts are implemented throughout the organization.

The system provides several features to enhance supplier management:

Supplier Standardization: ProcureNode enables the creation of a standardized supplier database, ensuring that all supplier information is consistent and up-to-date. This helps in maintaining accurate records and reduces the risk of errors in procurement processes.
Document Management: Users can upload documents and attach them to specific suppliers. This includes contracts, which can be assigned to suppliers along with contract validity dates. This ensures that at least major suppliers have valid agreements, including terms and conditions for purchase. This feature helps in maintaining organized and easily accessible records of all supplier-related documents.
Supplier Performance Monitoring: ProcureNode includes tools for monitoring supplier performance, such as tracking delivery times, order accuracy, and reclamations. This helps organizations identify high-performing suppliers and address any issues with underperforming ones.
Compliance and Risk Management: ProcureNode helps organizations ensure compliance with regulatory requirements by maintaining accurate and auditable records of all supplier transactions.

In summary, ProcureNode’s supplier management capabilities enable organizations to streamline their procurement processes, maintain accurate supplier records, and cultivate strong relationships with preferred vendors, ultimately leading to more efficient and effective procurement operations.

Q: Can the system provide analytics and reporting?

Yes, ProcureNode provides robust analytics and reporting capabilities. Reporting is available directly within the user interface (UI), and data can be exported to popular tools like Power BI, Qlik Sense, or Excel for further analysis and visualization. This is a core functionality of ProcureNode, designed to enhance transparency and decision-making in procurement processes.

Indirect procurement transactions are often carried out by several independent functions within an organization. ProcureNode harmonizes the Purchase-to-Pay (P2P) process and enables centralized management of decentralized purchasing. This ensures that all procurement activities are streamlined and aligned with organizational policies, resulting in improved operational efficiency and enhanced data accuracy.

ProcureNode’s analytics and reporting capabilities provide a comprehensive and centralized view of all procurement activities, enabling users to track spending and optimize procurement processes effectively.

Operational purchasing data is crucial for strategic procurement to operate effectively, identify opportunities for improvement, and uncover synergies within the company. By leveraging ProcureNode’s analytics and reporting features, organizations can refine their procurement strategies, ensure budget compliance, and achieve substantial savings.

Q: Does the system include contract management?

Supplier contracts can be stored within the system, allowing for easy access and organization. These contracts can be monitored for validity, ensuring that all contracts are up-to-date and compliant with organizational policies. Contracts, purchases, and invoices are linked to suppliers, enabling users to monitor supplier annual spending and contract validity. An expired or missing contract signals the procurement team to initiate contract management tasks, ensuring major suppliers have valid agreements. This process helps maintain contract compliance and ensures that procurement activities are aligned with organizational policies and contractual agreements.

While ProcureNode is not a full-scale CLM (Contract Lifecycle Management) solution, we have implemented simple procedures to ensure contracts are valid and registered.

Q: Is the system suitable for group structures or subsidiary companies?

Yes, ProcureNode is designed to support corporate group structures with centralized control. ProcureNode can be implemented on a group level under the same tenant. This ensures that all data in the system encompasses all group companies and can be analyzed as if they were a single company.

ProcureNode can also set up subsidiary-specific tenants. This enables specific customization at the subsidiary level to manage procurement processes according to their unique needs. Reporting data is harmonized due to a structured purchasing process. It can be combined either in Excel or through integration in your preferred data visualization tool, such as Power BI, for example.

We can create multiple workspaces for our customers, used by different departments, each with its own suppliers and users. Users can be granted access to information from all or specific workspaces.

ProcureNode’s architecture enables organizations to maintain a unified procurement strategy across the entire corporate group while allowing local units to operate independently within the framework, depending on how the solution is implemented. This ensures that procurement activities are aligned with overall organizational policies and goals, while still accommodating the unique requirements of each unit or subsidiary.

Q: How is this better than using Excel or email?

ProcureNode introduces control, approval workflows, transparency, and analyzable data – features not available with spreadsheets or emails. With ProcureNode, you can streamline procurement processes, ensure compliance with organizational policies, and gain insights through robust reporting and analytics. This leads to more efficient and effective procurement management, reducing the risk of errors and improving overall productivity.

Indirect procurement requests are often handled through emails, messaging solutions, or in person. This approach leaves no trace, making it difficult to confirm if the purchase was approved adequately in accordance with established procedures. Consequently, this can create challenges in invoice verification, as invoices may lack the necessary notes required for approval flows.

ProcureNode addresses these issues by enabling control over purchases before they are made. Typically, companies check and approve invoices after the purchase transaction has already been completed. By implementing a request-approval process, ProcureNode ensures that all purchases are pre-approved in accordance with company policies.

Q: What does implementation look like and how long does it take?

Implementation is modular and designed to be flexible. The speed of implementation depends on the specific needs and requirements of each customer. We work closely with our clients to ensure a smooth and efficient onboarding process, tailored to their unique organizational structure and integration scope.

Q: What are the licensing and service costs?

The licensing and service costs for ProcureNode are designed to be cost-effective and tailored to each customer’s specific needs and requirements. To provide an accurate estimate, we recommend contacting us to discuss your organization’s unique needs, including the scope of integration and any additional services you may require. This way, we can ensure that the solution is customized to fit your procurement processes and budget.