Do you know this situation? Actually, you just wanted to quickly order supplies for the printer cartridges. But thanks to the confusing catalog and the new requirements for the supplier selection, it takes forever again...

It is not always easy to place orders for a company in compliance with guidelines, and it can cost a lot of time and nerves. And in the end, it can also cost money, since the working time of employees must also be compensated, and lengthy ordering processes also drive up transaction costs.

In this blog post you will learn:

  • What makes it difficult for employees to process orders?
  • What is Guided Buying?
  • What are chatbots?
  • How does Guided Buying work with a chatbot?
  • What are the advantages of Guided Buying with chatbots?

What makes it difficult for employees to process orders?

Employees outside of purchasing often have a hard time with orders. They often have to often have to sift through a large number of very extensive and not always user-friendly online catalogs to find the desired item. In addition, they often do not know how to create a BANF in accordance with the guidelines.

This leads time and again to frustration and often also to expensive free-text orders, which then have to be processed by the purchasing department. Or the employees buy directly past the purchasing department. This so-called Maverick buying then leads to higher costs and other negative consequences for the company.

Companies can save an average of 24% of their expenses if they prevent Maverick Buying. (Wucato)

But buyers also have to deal with the requirements of supplier selection and ordering processes time and again. Complex and extensive regulations and guidelines must be observed in order to fulfill compliance requirements.

To be able to memorise all aspects, framework It is simply not possible for employees to know all the aspects, framework agreements and exceptions by heart and to always observe them correctly when placing an order. Looking up the rules and manuals costs far too much time.

To help these employees, they would need a personal assistant. Someone who can help them navigate these catalogues and even answer questions about supply chain law.

Of course, it is not possible to hire a real human assistant for every employee. But that is not even necessary. Instead, companies can rely on guided buying through chatbots:

What is Guided Buying?

Guided Buying is an assistance function that enables users to purchase efficiently and conveniently. Requesters and purchasers do not need to read any instructions before placing an order, but automatically comply with the procurement guidelines defined in the company.

E-procurement platforms, for example, can be used for this assistance function. These promise to simplify the ordering process, but basically the employees are confronted with yet another complicated task. Here, too, they first have to learn how to use the platform, and if they have any questions, they still don't have a contact person. This is much easier with chatbots:

What are chatbots?

Chatbots are dialogue systems that enable users to communicate with a bot in natural language. There are rule-based chatbots and smart chatbots that use machine learning to understand and answer the user's questions and intent.

However, the capabilities of intelligent chatbots go far beyond simply answering individual questions: They can guide users through complex processes and retrieve information as well as store it in databases.

How does Guided Buying work with a chatbot?

The fact that the exchange with a chatbot takes place in a dialogue, an ordering process can take place like a conversation with an experienced colleague:

The employees contact the chatbot and tell it what they want to order. With the help of various questions, the chatbot then collects the necessary information. For example, it asks for the order quantity, the desired delivery date and other requirements that need to be fulfilled for the order. 

If different versions or suppliers are stored in the system for a product, the chatbot can make a comparison for the employees. However, it is also possible for the chatbot to display the company's preferred products and suppliers to the users first. Furthermore, it can suggest bundles or kits. This ensures that compatible products are ordered.

In some cases, it is less important from which supplier the product is supplied, but rather whether a certain quantity can be made available on a certain date.

Here, the chatbot can automatically send a request to the supplier and check the availability of the product. As soon as the information is available, the purchasing department is informed and the employees can place the order.

If a step is not clear, the chatbot can explain it and provide assistance. Of course, it can happen that users ask a question that is not relevant to the order itself. For example, what is the status of another order. The chatbot can answer such questions and then guide the user back to the previous process.

During the ordering process, the chatbot ensures that regulations and guidelines are adhered to. For example, if employees want to order an item that has not been approved, the chatbot points this out. If possible, the chatbot suggests alternatives so that the order can be processed without further delay. If there is no alternative for the desired item, the chatbot contacts the person who can provide approval.

This would also be the case if the desired order exceeds the maximum order value. The chatbot contacts the responsible person and can execute the order independently as soon as it has been approved. In this case, the requesters receive an order confirmation by mail from the chatbot. If the approval is rejected, the requesters are also informed by the chatbot.

It is also possible to interrupt an ordering process and resume it later. This may be because the employees have to go to a meeting or because they want to consult with their supervisor. When the users resume the conversation, the chatbot can go back to the old conversation and pick it up again. In addition, the chatbot can send a reminder if an order has not yet been completed.

This is possible because the chatbot can assign the individual persons to their individual employee accounts. At the beginning of a conversation, the chatbot asks the user to log in. In this way, the chatbot can access all orders already placed by the person and other stored information, as well as old conversation histories, and use them to interact with the employees.

What are the advantages of Guided Buying with chatbots?

By using virtual assistants, employees can process orders without the involvement of procurement. Since purchasing only has to be involved in individual cases, the workload for purchasing staff is reduced and they have more time for other activities. For the purchasers themselves, it is much easier to place orders that comply with guidelines and contracts, as the chatbot helps them to apply the complex rules and regulations.

For internationally operating companies, the use of chatbots opens up the possibility of further accelerating processes. Chatbots are available around the clock and enable the seamless exchange of information. Different office hours are no longer a problem.

The acceptance of a guided buying solution is directly related to its user-friendliness. Chatbots can be operated completely without prior knowledge and, unlike e-procurement platforms, can respond individually to users. This makes them particularly suitable for guided buying.

How much routine tasks are handed over to virtual assistants and the degree of automation of ordering processes can be individually adapted to the needs and wishes of companies. This ensures that, on the one hand, employees are optimally supported and, on the other hand, employees can fully contribute their strengths. After all, people are still best at negotiating contracts with tact and building supplier relationships based on trust.

Would you like to know what an ordering process with a chatbot looks like in detail? Then get our whitepaper "Guided Buying - How Chatbots Can Prevent Maverick Buying".

Are you curious and want to know what other areas of application there are for virtual assistants in procurement? Then get our whitepaper "Smart chatbots in procurement":

Download White Paper