According to a study by FinancesOnline, 57 percent of the companies believe that efficiency in supply chain management enables them to further develop their business. For any business, the supply chain process entails integrating planning and executing a product’s flow right from the procurement of raw materials, its production, inventory management and its distribution to the end customer.
For any SME business in India, the major hurdle faced in the supply chain process is the procurement stage, where a significant time is spent processing orders, additional paperwork, and communicating with suppliers that tends to bring down the operational efficiency. The answer to this challenge is the digitisation of the procurement, provided by Moglix, a B2B e-commerce marketplace for industrial goods that has recently gained unicorn status.
What is Moglix?
Moglix is disrupting the procurement process by digitising it for 5,00,000 SME businesses in India. Aspiring to be an Indian Alibaba, Moglix is an e-commerce B2B marketplace that facilitates the procurement of industrial essentials in safety, electricals, lighting, cleaning and housekeeping, office stationery, power tools, and MRO (maintenance, repair, and operations). In addition to industrial supplies, it also offers an end-to-end procurement solution including resource planning and financing.
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According to a study by FinancesOnline, 57 percent of the companies believe that efficiency in supply chain management enables them to further develop their business.
What Does Moglix Aim to Solve in the Manufacturing space for SMEs?
A digitised procurement process in businesses helps the manufacturers and companies to cut expenses on the cost of supply from the production to the delivery. SME businesses can supply their goods and services and scale business to international markets with good supply partners and networks.
Here is how Moglix aims to digitise the procurement:
Spend benchmarking and analytics: Helps businesses to manage spends in maintenance, repair, and operations by comparing it with industry benchmarks and optimising it. It helps businesses to keep track of expenditures like price spread, category-wise spending, and turnaround time of suppliers.
Data Quality Assessment: Using Moglix’s AI and ML tools businesses can assess MROs’ master data quality, as most items have incomplete or duplicate information. It is necessary to digitise the MRO process to optimise inventory levels, streamline procurement, improve supply chain relationships and stay ahead of any equipment failures.
Catalogue based buying and tracking: Enterprises on Moglix’s rich digital catalogue can easily select tools and machinery and put orders.
- Seamless integration with ERP systems: Moglix’s eProcurement platform seamlessly integrates with ERPs or any other e-procurement solution.
Tech Capabilities of Moglix
Moglix’s cloud-installed spreadsheet application enables faster integration of the ERP (Enterprise Resource Planning) suite. The cloud integrator which comprises tools and technologies that connects various applications, systems, and IT environments ensures fast set up-of data lakes and a centralised event management system for real-time exchange of data. To an enterprise, its benefits include customised spreadsheet features, real-time auto-filling and validation of data and other Excel-like features.
What Lies Ahead for the Startups in the B2B E-commerce marketplace?
The growth of the MSME sector is crucial for India’s GDP, which in the pandemic has been severely impacted. The pandemic has also highlighted the vulnerabilities of the procurement and supply chain processes that have hampered productivity, demand and spending habits.
To stay relevant amidst disruptions, SME businesses in the manufacturing space are considering digitising procurement for cost reduction, optimisation of processes, reducing redundancies and saving time. The pivot to digitisation will ensure enterprises have a smooth supplier network for procurement and focus more on spend analysis, this will create ample business opportunities for the B2B e-commerce marketplaces.
