Issue link: http://read.dmtmag.com/i/155925
need to maintain expensive IT infrastructure, and flexible computing power when you need it. By utilizing a cloud-based e-procurement system, additional benefits can include: + Reduced purchasing costs. Typical savings across a variety of product categories can bring 5%-20% savings. + Increased profit. A savings of 5%-7% through a better procurement process can result in a 30%-40% profit increase. + Better intelligence. Reporting on previous purchasing and invoicing activity provides valuable insights and allows identification of additional savings opportunities. + Efficiency. Typical process timesaving through implementation of these systems can increase efficiency by 60%-90%. The Evolution of Electronic Procurement Cloud-based systems can save companies money and time BY MATT or the last 15 years, large corporations have been using a variety of electronic procurement tools to help get their spending under control. Electronic procurement is a term used to describe the electronic methods of conducting business transactions, through each stage in the source-to-pay process, to assist in cutting overhead costs and more efficiently managing a company supply chain. An e-procurement system is typically accessed through a browser and provides an easy way to find, buy, track and manage all the things a company needs to operate its business. For the most part, these corpo- 88 V I N E YARD & WINERY MANAGEMENT | CROMAR rate e-procurement initiatives have involved large software purchases, lengthy implementation processes and questionable returns. A new breed of applications running in the cloud offers an effective option for companies of all sizes, including wineries and their suppliers, to take advantage of some of the key benefits these systems offer. Cloud computing simply means you can run an application over the Internet while storing and accessing your data on a hosted computer instead of your own computer's hard drive. Cloud computing provides a number of benefits including automatic data backups, seamless software upgrades, no Sept - Oct 2013 ECONOMIC FACTS There is significant evidence to suggest that there are inefficiencies in the wine industry that could be addressed by cloud-based e-pro- AT A GLANCE + Through electronic pro- curement, wine businesses can cut overhead costs and more efficiently manage supply chains. + A new breed of cloud- based applications offers an option for wineries and their suppliers. + Benefits of e-procurement can include reduced purchasing costs, increased profits, better intelligence improved efficiency. + Expense reduction goes 100% to the bottom line. w w w. v w m m e d i a . c o m