Manual purchase order (PO) processes create major inefficiencies in food supply chains. Procurement teams often spend up to 40% of their time on repetitive administrative work such as preparing and sending POs, verifying supplier details, and manually following up on order status. These tasks add little strategic value and slow down supply chains, particularly in industries dealing with perishable goods where delays in PO creation can quickly lead to stock shortages or excess inventory.

On top of this, human error rates in manual processing exceed 15%, resulting in incorrect deliveries, shipment delays, and costly returns. Mistakes with product codes, pricing, or delivery instructions not only disrupt operations but also damage supplier trust.

The financial consequences of these inefficiencies are significant, with short and delayed deliveries costing supply chain companies between 1% and 6% of their total revenue. A lack of real-time visibility into order data makes it difficult to manage inventory effectively, leading to further operational challenges and customer dissatisfaction.

While EDI (Electronic Data Interchange) has long been used to automate POs, it is increasingly seen as outdated. EDI systems are costly to implement, rigid in design, and require lengthy integration cycles and ongoing technical support. As a result, many businesses fall back on stopgap measures such as spreadsheets or email automation, which still leave gaps in efficiency, flexibility, and accuracy.