Procurement Last to Digitize in India
Gaurav Baheti, CEO of Procol, on bringing procurement online in India
The real obstacle was not that procurement was too manual to digitize, it was that Indian enterprises had bigger fires to put out first. In many companies, buyers were still running sourcing on phone calls, email, WhatsApp, and Excel, so a procurement system was competing with more basic digitization needs. That made ROI hard to prove until COVID pushed companies to formalize workflows, tighten spend control, and adopt software that could fit existing habits instead of forcing a heavy ERP style rollout.
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The baseline workflow was deeply offline. In Procol's target market, most teams gathered requests manually, collected vendor quotes by email, compared them in spreadsheets, and sent purchase orders manually. When the starting point is this fragmented, the product has to replace habits, not just software.
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Legacy procurement tools existed, but they fit poorly. SAP and Oracle were the main digital options in Indian enterprises, yet they were built for desktop use, long implementations, and formal procurement teams. Procol won by giving suppliers mobile apps, faster onboarding, flexible workflows, and time to value in under 45 days.
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This mirrors the broader procurement market. Earlier platforms like Ariba and Coupa digitized centralized finance led procurement, while newer tools win when they reduce day to day buying friction. In India, that matters even more because many suppliers and internal users were not operating inside rigid enterprise systems to begin with.
The next phase is that procurement software in India stops being a back office upgrade and becomes basic operating infrastructure. As more companies outgrow founder led processes and need tighter control over raw materials, packaging, logistics, and vendor spend, the winners will be the products that are fast to deploy, easy for suppliers to use on mobile, and able to show savings quickly.