A Complete Guide to E-Procurement | Amazon Business
Amazon Business e-procurement

E-Procurement with Amazon Business

Amazon Business can help you streamline your e-procurement process and make it run more efficiently.

Integrate your procurement system with Amazon Business

Streamline purchasing processes and deliver more value from existing tools. Integrations such as Punchout, Punch-in, Single Sign-on and Integrated Search are simple to set up and create efficiencies for buyers and procurement teams.

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Amazon Business e-procurement

What is e-procurement?

E-procurement, also known as Smart Business Buying, is the process by which businesses purchase products and services from other businesses over the internet. It’s rooted in traditional procurement, which has helped to connect businesses to the right goods and services for centuries.

Amazon Business

2022 State of Business Procurement Report

Key Trends Driving Buyer's Procurement Strategies in 2022 and Beyond

Our research found that while optimizing costs and increasing efficiency remain high priorities for procurement, purchasing in line with organizational values continues to grow in importance.

Read e-procurement report

Business buyers continue to maintain a preference for omnichannel—and in some cases online only—engagements with suppliers. According to Amazon Business’ 2022 State of Business Procurement Report 

  • 91% of B2B buyers state a preference for online purchasing over traditional methods
  • 57% of B2B buyers plan to invest in automation of manual procurement processes (e.g. purchase approvals)
  • 55% of B2B buyers plan to invest in digital/online invoices

Benefits of e-procurement tools and software

Amazon Business’ Punchout, Punch-in, SSO and Integrated Search integrations make buying easy for users by connecting Amazon Business with your existing systems. More than 100 leading procure-to-pay (P2P) systems integrate with Amazon Business.

  • Amazon Business launches "Punch-in”

    We are launching Amazon Business Punch-in, an industry-first tool now available to business buyers of all sizes.

    Learn more
  • Streamline your purchasing experience with Integrated Search

     

    With Integrated Search, Amazon Business can offer all our business customers a completely integrated search experience within any eProcurement system, with no punchout required. 

    Learn more
  • Easier and friction-free user access with Single Sign-on (SSO)

    SSO integration provides a secure, centralized, and simple way to access Amazon Business, and is available to all Amazon Business customers. 

    Learn more

Integration customer success stories

Customers share how they are using Amazon Business integrations.

Challenges of e-procurement

E-procurement comes with some strong advantages, but it’s not the ideal solution for every type of organization. Here are some potential disadvantages to consider:

  • Tech-dependent

    E-procurement is a tech-based solution. If the tech fails, it can lead to issues around process and due diligence. Invest in a platform with a global reputation for stability and security to minimize risk.

  • Engagement issues

    Any new system brings process changes, which can be difficult to get your team on board with. Choose a platform that is known for its intuitiveness, user-friendly features, and comprehensive support.

  • Complexity and integration

    Not all systems are compatible with one another. And systems that fail to communicate are a big fail. Choose a platform that can be integrated with a wide range of procurement tools.

Healthcare buyers name increasing efficiency within the procurement department as their No. 1 most important procurement improvement. – Amazon Business’ 2022 State of Business Procurement Report

— Amazon Business

Who is e-procurement for?

E-procurement can work for organizations of all sizes and all sectors. According to an Amazon Business survey,  96% of buyers plan to continue leveraging e-procurement long term. Furthermore, more than a third (36%) expect their organization to make at least half of purchases online in 2021.

  • E-procurement in government

    Many government agencies must be cautious on their procurement practices as they are tightly regulated. From buying goods and services across broad categories – such as construction to office supplies – government agencies need visibility on how they are saving money on behalf of taxpayers while serving their internal stakeholders.

    Companies wanting to bid for government contracts must go through a complex process. The US Government procurement process uses an informal “three bids and a buy” rule. Departments will only make a purchase decision after reviewing three bids. E-procurement enables buyers to view and compare potential bids and filter by certification status. This allows for agencies of all sizes to find a broader range of suppliers for increased cost savings, visibility.

     

    Top 5 government procurement priorities:

     

    ✔ Increase purchase visibility aligned to public policy
    ✔ Make tax-exempt purchases and manage permissions
    ✔ Competitive comparison shopping
    ✔ Support local businesses
    ✔ Increase supply chain diversification 

  • E-procurement in healthcare

    Healthcare procurement is the second biggest area of all government procurement, according to the Organization for Economic Cooperation and Development (OECD).

    Healthcare leaders must evolve their procurement operations to accelerate sourcing, access more supply options, improve transparency, and reduce related administrative burden. On top of that, healthcare is tightly regulated, which can make sourcing even more challenging.

    This grows increasingly complex with the continuous shift to remote working. Administrators now need access to procurement platforms from outside of the office. E-procurement helps introduce buyers to a broader range of suppliers and advanced features for filtering and categorizing.

     

    Top 3 healthcare procurement priorities:

     

    ✔ Simplify sourcing while extending your supply network
    ✔ Improve efficiencies while maintaining spend control
    ✔ Make better data-driven decisions and guide buying

  • E-procurement in education

    From IT peripherals to cafeteria and janitorial supplies, e-procurement for education opens the doors for increased time and cost savings and greater purchasing control across multiple departments and buyers. Automating procurement workflows empowers teachers, staff, and administrators to get supplies needed to advance the learning mission.

     

    Top 5 education procurement opportunities:

     

    ✔ Get supplies faster and stretch your budget further with exclusive pricing and quantity discounts
    ✔ Save administrators time by setting spend limits and category restrictions while monitoring compliance.
    ✔ Empower faculty and staff with user-friendly online buying and effortless approval flows

    ✔ Get a big-picture view of spend across your organization and use real-time reporting tools to optimize cash flow
    ✔ Meet supplier diversity goals by sourcing products from certified sellers and local businesses

  • E-procurement in commercial businesses

    Historically, procurement teams focus on saving money and boosting efficiency for commercial businesses, while purchasing business-critical products and services.

    With adoption of digital procurement solutions within commercial businesses, e-procurement is empowering procurement teams to drive broader impact beyond traditional purchasing responsibilities.

    With this shift, procurement teams are seeing new priorities arise when supporting larger organizational goals.

    Top 5 commercial procurement priorities:

     

    ✔ Pinpoint savings opportunities with improved spend visibility
    ✔ Alternative products and suppliers to reduce supply chain risk
    ✔ Pre-vetted suppliers and delivery options for bulk purchases
    ✔ Directing spend to diverse suppliers and more sustainable products
    ✔ Competitive pricing and comprehensive selection

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