There is a widespread belief that large corporations with numerous departments, complex processes, and substantial digitalization budgets are the only ones that benefit from procurement digitalization. Owners and managers of small and medium-sized enterprises are likely to wonder whether digitalization makes sense for them or reject the idea from the very beginning. However, the answer is yes—it does make sense, perhaps even more than it does for large organizations.
In many smaller companies, one person performs multiple roles. For example, the same person manages procurement, communicates with suppliers, tracks deliveries, creates purchase orders, and verifies invoices. When most of these activities are carried out through Excel spreadsheets, emails, and phone calls, it is easy to lose visibility over the process, while administration takes more time than the work that creates real business value.
That is why digital procurement is no longer a luxury, but a tool that helps companies work faster, stay more organized, and make fewer mistakes.
Why Is Digital Procurement Important Today?
Business has changed significantly over the past few years. Suppliers expect faster communication, the market has become more unpredictable, and companies simply need better control over both costs and savings.
According to the Deloitte Global Chief Procurement Officer Survey 2025, digital transformation is one of the main priorities of modern procurement departments. Companies that invest in digital tools are more likely to achieve their goals related to cost savings, process efficiency, and better collaboration with suppliers.
In other words, digitalization is exactly what will set your company apart from others that have not yet taken that path. And believe us, you, your customers, and your suppliers will notice the difference immediately.
The Biggest Challenges for Small and Medium-Sized Enterprises
Most small and medium-sized enterprises do not have a dedicated procurement department. People responsible for procurement often perform other tasks as well, which means that every additional administrative step leaves less time for activities that can improve the business.
Such companies often face the following challenges:
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Quotations are stored in different emails.
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Purchase orders are created manually.
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Data is spread across multiple Excel spreadsheets.
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It is difficult to track the status of requests and approvals (if they exist at all).
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Contracts are not stored in one place.
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Reports are prepared manually.
None of this means that employees are doing a poor job. The problem is that this way of working becomes increasingly difficult to sustain as the company grows.
Digital Procurement Does Not Have to Be a Major Investment
One of the most common reasons why smaller companies postpone digitalization is the widespread belief that it is an expensive and time-consuming project. Ten years ago, that may have been true, but today it is no longer the case.
Modern procurement software, such as Ensolva, is developed in a modular way. This means that a company can begin digitalizing its procurement processes with the functionalities it needs most at the moment and gradually introduce new capabilities over time.
This approach has several important advantages:
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Lower initial investment
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Shorter implementation time
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Easier adoption by employees
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The possibility to expand the system as the business grows
In this way, digitalization becomes an investment that grows together with the company instead of being a one-time large project.
Where Are the Savings Actually Achieved?
When procurement is discussed, people often think that the greatest savings come from negotiating better prices with suppliers. However, a large portion of costs is hidden in day-to-day administration. At first glance, this may not seem like a major issue, but when various administrative inconveniences occur day after day, a significant number of working hours is lost.
This is exactly where digital procurement creates the greatest value. By automating repetitive tasks, structuring and accelerating approval processes, and providing better control over the entire process, it significantly reduces administrative work.
Better Data Leads to Better Decisions
One of the greatest advantages of digital procurement is not only faster work but also higher-quality information.
When all data is consolidated in one system, it is much easier to answer questions such as:
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How much are we spending per supplier?
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Which procurement categories are growing the most?
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Which contracts are about to expire?
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Which suppliers most frequently delay deliveries?
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Where is there room for additional savings?
Such data enables decisions to be based on facts rather than assumptions.
Digitalization Also Improves Supplier Relationships
Digital procurement does not benefit only employees within the company. When requests, quotations, purchase orders, and contracts are clearly organized, communication with suppliers becomes simpler and more transparent. There are fewer misunderstandings, fewer delays, and fewer situations where both parties are searching for the “latest version” of a document.
Deloitte’s research shows that digitally mature organizations also achieve better results in supplier management and supply chain resilience.
How to Get Started?
Digital transformation does not have to happen overnight.
The best results are usually achieved by starting with a single process, such as purchase requests, purchase orders, or contract management, and then gradually expanding the system.
This approach gives employees enough time to adapt while allowing the company to spread investments according to its own capabilities.
Digital Procurement Is Also Available to Small Businesses
Today, company size is no longer a decisive factor in procurement digitalization. What was once available only to large corporations can now also be used by small and medium-sized enterprises thanks to flexible and modular solutions.
One example of this approach is Ensolva, which enables companies to start with the functionalities they currently need and gradually expand the system as their business grows.
Digital procurement is not an end in itself. Its greatest value lies in giving employees back their time, increasing business transparency, and allowing them to spend less time on administration and more time making decisions that contribute to company growth.
Sources
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Deloitte. 2025 Global Chief Procurement Officer Survey – Procurement’s Big Bet on Digital.
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Deloitte. 2023 Global Chief Procurement Officer Survey – Orchestrators of Value.
