Oracle Netsuite is known for its far-reaching functionality as an Enterprise Resource Planning (ERP) system, providing businesses with an extensive suite of operational tools. Its features encompass finance, CRM, e-commerce, and more, making it a staple software for organisations worldwide. While Netsuite offers robust ERP capabilities, some specialised areas of financial operations require a solution more tightly tailored to the pain points experienced in this area. Purchase requisition is one such function, an essential part of the procure-to-pay process that can often go astray without proper governance appropriate software.
Why Does Purchase Requisition Matter?
At its essence, the process of purchase requisition is a critical element of financial control within an organisation. It acts as a first line of defence against unauthorised expenditure that goes against established budgets and business priorities. This process not only assists in forecasting cash outflow but also plays a crucial role in fraud prevention. By thoroughly reviewing, assessing, and approving expenditure, organisations can build a complete audit trail, while also addressing issues of duplicate spending or unintentional overspending.
NetSuite's Current Purchase Requisition Process
NetSuite's existing system for managing purchase requests, while effective, presents certain challenges for users who are not familiar with its complexities. Considering that the requisition process usually involves collaboration across various departments, the need for users to interact with NetSuite's busy interface can be a significant obstacle, particularly for those outside the finance domain.
How AI Can Help
The introduction of Artificial Intelligence (AI) is transforming the AP sector from procure-to-pay, with purchase requisitions being no exception. Central to this transformation is Natural Language Processing (NLP), a technology that interprets human language, allowing for more intuitive user interaction. Kloo utilises NLP to enable users to initiate purchase requests in everyday language, thereby avoiding the need for tedious form filling. This interaction, facilitated by an AI bot, can occur off-platform via email, removing the requirement for direct login to the ERP system altogether. The bot goes back and forth with the user, requesting, interpreting and uploading all the information needed to submit a purchase request.
The Impact
- User Experience: Making the process simpler enhances overall user satisfaction by removing friction and making the system more easily accessible.
- Compliance: By making it easier to follow official procedures for expenditure approval, there's a higher likelihood of adherence, reducing the risk of bypassing established protocols and maverick spend. This can have serious implications for a business' bottom line.
- Strategic Oversight: Improved system adoption and compliance offer decision-makers a comprehensive view of procurement activities, enabling informed decisions regarding the approval or rejection of purchase requests.
To summarise, while Oracle NetSuite offers a solid foundation for managing business operations, the ERP's current offering for purchase requisition falls short. The integration of AI, particularly in the area of purchase requisitions, marks a new phase of efficiency and user experience. Kloo's AI-powered approach not only simplifies the process but also ensures greater compliance and strategic insight into organisational spending.
Read more on how Kloo is transforming purchase management.
