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Modeling the Value Proposition of the Marketplace vs. Direct Connection

OU03-01. Modeling the Value Proposition of the Marketplace vs. Direct Connection. Ricki G. Ingalls, Ph.D. Loay Sehwail, Ph.D. Candidate Oklahoma State University Center for Engineering Logistics and Distribution. Inputs. Costs ( Administrative and Technical Cost)

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Modeling the Value Proposition of the Marketplace vs. Direct Connection

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  1. OU03-01 Modeling the Value Proposition of the Marketplace vs. Direct Connection Ricki G. Ingalls, Ph.D. Loay Sehwail, Ph.D. Candidate Oklahoma State University Center for Engineering Logistics and Distribution

  2. Inputs • Costs ( Administrative and Technical Cost) • Technical Staff Average Hourly Rate • Administrative Staff Average Hourly Rate • Number of Suppliers • The number of supplier Conoco-Phillips plan to exchange documents with electronically. • Connectivity Time • Number of hours needed for the connectivity phase in the marketplace and direct connect scenarios from the buyer side. • Number of hours needed for the connectivity phase in the marketplace and direct connect scenario from the supplier side. • Maintenance Time • Number of hours needed for the maintenance phase in the marketplace and direct connect scenario from the buyer side. • Number of hours needed for the maintenance phase in the marketplace and direct connect scenario from the suppliers side. • Cost of building an in house hub to enable the direct connect to type IV and type V suppliers ( Explained later).

  3. Types of Suppliers in the Connectivity Phase

  4. Cost Analysis Phase

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