WHAT IS PROCUREMENT COMPLIANCE?
Sustainable and transparent commercial relationships are of strategic importance to every organisation. This is why you need to ensure that you have established a Procurement Compliance process that focuses on ethical and legal requirements within your Third-Party Risk Management (TPRM) framework.
Effective Procurement Compliance ensures ongoing cost savings, improved supplier management, treatment tracking and closure, contract compliance, integrated risk management, and greater accountability between you and your suppliers.
THE CHALLENGES FACING PROCUREMENT COMPLIANCE
Typical challenges include:
Lack of automation of the process and reporting
Lack of quantitative analysis
Lack of visibility across the onboarding process
Growing legislative regulations
Lack of clear accountability across the business
Lack of skilled compliance resources
5 STEPS TO AUTOMATE YOUR PROCUREMENT COMPLIANCE
STEP 1: IDENTIFY
Identify and collect all relevant data needed.
This data may include compliance standards, regulatory requirements, risk and supplier policies, third party processes and required workflows, key stakeholders from AML, privacy, compliance, information technology, finance, etc.
STEP 2: DIGITISE
Design your register, upload available data, and imbed onboarding processes with automated assessments using Phinity’s predefined or custom assessments to measure your suppliers’ level of compliance and risk.
STEP 3: ASSESS
Perform inherent risk profiling of all suppliers to calculate every supplier’s risk and workflow based on supplier type, service, and risk rating.
Based on these responses, calculate residual risk and compliance levels to ensure an acceptable level before onboarding. Automate workflows, follow-ups, and tracking to streamline the risk assessment process.
STEP 4: REPORT
Track the progress of all your assessments in real-time. Confirm that compliance processes are being followed. Then track each level of compliance per supplier, calculate risk, and customise the reporting to meet your needs.
STEP 5: REMEDIATE
Assign and track compliance failure from identification to remediation, before reporting on the progress of your remediation efforts.
THE RESULTS: INFORMED SUPPLIER DECISIONS
Achieve transparent, detailed compliance and risk management and analysis with a centralised document repository, accessible for key stakeholders at all levels.
Now management and staff can collect, analyse, and transform data to create rock-solid audit trails.
WHY CHOOSE PHINITY?
Integrating the Phinity Procurement Compliance solution into your business has many benefits: