The Difference Between Web Orders and E-Procurement Orders
In a recent post we talked about the opportunity available to B2B sellers if they tap into the lucrative e-procurement channel using PunchOut. Today, we’ll answer a question that many of you probably asked yourself, “Why can’t my e-procurement customers simply access my web store directly from their desktop browser?”
Simple question. Simple answer. Your customer has invested millions in an e-procurement system (Coupa, Ariba, SAP, Oracle, Jaggaer, iValua, Tradeshift, etc. ) Their e-procurement system ROI (return on investment) is based on 100% of their purchases being originated in, and processed by, the e-procurement system. But there’s more…
Another purpose of an e-procurement system is to empower employees to place their own orders in real-time, automating the old manual process of sending a requisition to the purchasing department, having them review it, approve it, contact the supplier, check the price and availability, then place the order.
This process is now automated by the e-procurement system and using the e-procurement system for all purchases is typically mandated within a buying organization. Placing an order outside the e-procurement system – for example, going directly to your web store from their browser – a big no-no.
As a result, the typical web ordering process, shown below, where the customer logins in, shops, creates a cart, clicks “order” and their credit card is charged can’t be used…
But in the e-procurement ordering process, the cart to the e-procurement system to be approved after shopping is completed. During that approval process, the e-procurement system can make changes to quantity, price, and shipping options; can remove items and even drop the cart altogether. Once the approval process is complete, the e-procurement system sends the Purchase Order back to the web store – using PunchOut, as shown below…
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
The technical storage or access that is used exclusively for statistical purposes.The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.