Best Procurement Software in 2025

Procurement tools are used by companies to automate procurement tasks and to get the best rates from vendors for their tender. Thus, they have become essential for companies that need to procure large amounts of goods. But it is a difficult task to select the best procurement software for your needs given the scores of quality programs available. We have prepared this buyer’s guide to give you a good grounding on the list of things to consider in your search for the best procurement software for small business or large organizations.

The ideal way to start your search is by checking out the features and benefits of top procurement platforms. You can do this by signing up for the free trials or demo offered by leading procurement software providers. This will help you to learn each system’s strengths and weaknesses and understand if it is a good fit for your needs. Start by finding out whether the following leading procurement tools offer a free trial: Promena, Deltek Costpoint and Precoro. These apps have received high rankings in our procurement software reviews that provide you a good comparison of their features. 

• Small private firms and medium-sized companies can use dedicated procurement software for small business solutions.
• This type of software can also be used by big enterprises and multinational corporations.
• Governments, NGOs, and large public companies are also known users of procurement software.

• Tradogram: Tradogram is a cloud-hosted e-procurement platform designed to automate and streamline purchasing through powerful yet easy to use tools. It is intended to give full control to buyers and decision makers when it comes to their procurement processes.
• Promena: Promena e-Sourcing is a cloud-based sourcing and procurement system. It supports strategic solutions such as request for information (RFI), request for proposal (RFP), and request for quotation (RFQ) as well as e-auction services.
• Officewise: A web-based solution that allows you to easily manage purchase orders, invoices, inventory, expenses, and bills. No install required.
• Deltek Costpoint: Deltek’s Costpoint offers project accounting, project manufacturing, human resources, corporate financials, and reporting and compliance features. It provides visibility and financial control to help you better manage project costs.
• Precoro: A cloud-based spend management software solution designed to help companies control spending and achieve goals. Precoro is a customizable and simple spend and supplier relationship management software which provides purchase-to-pay and spend analytics for SMBs.
• Panacea: Panacea offers flexible and smart solutions to streamline your account management, project management, procurement, and reporting.  It enhances customer service delivery and eliminates time- consuming tasks so you can focus on important work.

The following types of procurement software are popularly used:

• Spend analysis
• Supplier discovery
• Supplier information management
• eSourcing
• Contract management
• eProcurement
• eInvoicing
• Supplier management
• Combination solutions
• Complete suites
• Purchase order management

Shortlist apps that offer the following important procurement features:

Selection and ordering – Procurement software use a simple format to organize and display product information which makes it simple to compare various products. This is especially useful for selecting commodities as they do not have any variations in quality or features.

Purchase order approval and delivery – The software organizes data in one place which makes it simple to track purchase order approvals. This ensures that goods are ordered only with the knowledge and approval of the concerned managers. The system then delivers the purchase orders to vendors using their preferred method of delivery.

Billing – Billing functionality matches invoices to orders, and enables easy electronic bill payments. This is especially useful in procurement software for small business.

Spend data analysis – Procurement software also offer business intelligence tools to help you analyze purchasing trends and evaluate vendors. You can identify areas that can be improved to benefit from economies of scale and to enhance your negotiation position with vendors.

Our detailed comparisons show that the main benefits of using this system are:

• You can collaborate and share internally
• Collaborate and share with suppliers on a single platform
• You can standardize procurement processes within your organization
• Track events and get alerts – this feature is useful for risk management
• Analyze the business intelligence data to gain insight into the procurement process so that you can forecast and plan accordingly.
• Reduce operational and logistics costs.

Cloud is improving procurement

Cloud software is helping procurement in multiple ways including helping companies to collaborate with suppliers. Cloud software enables users to streamline orders, improves visibility across the supply chain, and helps them to make changes easily even when products are being transported. With cloud procurement software, you can access insightful data, collaborate with partners, create orders, and place contracts with vendors, all in real time.

Enhanced eProcurement is needed

Experts indicate that eProcurement and spend management systems need improvement. These solutions can use better technology that makes purchasing faster and provides an individual online shopping experience. Vendors are focusing on improvements in technology and software that help you to get the job done easily and reduce policy breaches and maverick spending.

Millennials need to be pampered

Companies need to understand that millennials have great expectations when it comes to using technology for procurement and supply chain tasks. Firms need to meet these high expectations and provide the connectivity and technology millennials require to do their job effectively and with satisfaction. If you don’t cater to their wishes, they will go to a company that provides the latest software they are happy with.

Beware of the following challenges faced in procurement that can impact your use of the software:

Wrong orders

If you order the wrong item or quantity, you should immediately contact the supplier and get it rectified. The main question, however, is how to prevent wrong ordering. You can do this by establishing proper checks and balances in your supply chain. Make sure orders need approval from more than one manager to prevent accidental orders and other mistakes.

Inflexible suppliers

Most vendors will accommodate your requests to gain your business. You can thus bargain with the vendors to get the best rates and terms of service. However, some vendors may insist that surcharges be included in the cost and they may not be willing to offer discounts. To tackle a rigid supplier, ask questions such as whether they will pay for shipping costs, whether they will provide discounts for large bulk orders, etc. Use your bargaining skills to find the best value proposition even from inflexible vendors.

Exceeding budget

You may be exceeding your budget because of needs and not due to extravagant spending. Over-spending may also occur if there are communication and coordination gaps in your company’s procurement process. To resolve this issue, you should provide regular budgetary updates to inform all users about the latest financial status so that spending is kept in control and within allotted limits.

Every business does some form of purchasing. It could be as simple as for common office supplies or for more complex products. One of the ways to handle the procurement process is by using spreadsheets. Manual procurement operations do work but they are usually filled with expensive processing costs, slow approval cycles, lost or misplaced important documents, uncontrolled costs, and missed discounts. Aside from that, your business’ relationship with suppliers may suffer because of poor vendor management and late payments. What’s more, paper-based processes are most likely prone to error.

The way you handle your procurement processes may make or break your businesses. These days, if you want to remain competitive in your respective industries, it is essential to place more emphasis on the strategic value of your procurement procedures. Innovation through automation is vital to boost its importance and value.

By automating your purchasing operations with the use of procurement software solutions, you can avoid the problems mentioned above. Your business will also reap a number of benefits such as improved operational performance, increased data accuracy, and more. The solution can also help your business become more agile by giving you complete control over your global spending and the entire procurement process. Generally, the use of procurement software can help you spend your resources the right way and grow your business.

Procurement is such an important process for many businesses as it serves as the link between the production process and the market. That’s why investing in a good procurement software is oftentimes a worthwhile consideration. However, there are some essential factors to ponder upon when choosing which solution to commit to.

• Customizability. It’s important to have room for adjustment when it comes to procurement software because while purchasing is by itself a common theme, the process itself can vary from one business to another.
• Your business requirements. Unfortunately, it’s hard to come by a one-size-fits-all procurement tool. In fact, there’s probably none. That’s why it’s important to first evaluate your business needs and align your selection process with them.
• Look beyond the features. Aside from the software itself, the vendors are also worth checking out. Explore all their offerings such as technical support, training, the scope of implementation, and others.
• Reports and Analysis. The procurement software of your choice must provide a reporting function that lets you accurately analyze every aspect of your business that is related to the procurement process.`