Delivering procurement efficiencies - PowerPoint PPT Presentation

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Delivering procurement efficiencies

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    1. Delivering procurement efficiencies Real life examples of eSourcing, eTendering, eAuctions Procurement is a lever for organisational performance eSourcing is the lever that delivers procurement performance. Procurement is a lever for organisational performance eSourcing is the lever that delivers procurement performance.

    2. eProcurement Lifecycle

    3. Why? - Business rationale

    5. Elements of the eSourcing Service

    6. Sourcing using eSourcing

    7. Which is appropriate for me?

    8. Analysing the traditional approach

    9. Calculating the Task Cube

    10. Hosted Managed Service

    11. Hosted Managed Service

    12. Real life Headline Benefits 94% of users agree that eTendering reduces the cost and timescales of tendering. 83% of users agree that eTendering provides better information to suppliers. 97% of users agree that eTendering provides greater auditability and control. 68% of users also see more than 20% time and effort reduction with electronic RFIs/PQQs (20% saved greater than 50%). 76% of users also see more than 20% time and effort reduction with electronic RFQs/ITTs (17% saved greater than 50%). The average cash saving on electronic Auctions is c15% private sector, c20% public sector. Source: Survey of BravoSolution users

    13. Example Auto-Scoring (with Weights & Filtering)

    14. Example: Automation Drives Price Improvements

    15. A simple process map to overview a typical scenario using all 4 tools.A simple process map to overview a typical scenario using all 4 tools.

    16. Why? - Business rationale summary

    17. eSourcing Overview

    18. eAuctions can quickly unlock significant savings when used tactically, but will not make a significant improvement unless a strategic approach is taken Auctions are typically only appropriate for 30-50% of procurement projects, (depending on your spend profile), savings vary significantly by category dont get too carried away by headline percentages. Post-box eTendering benefits are limited to simple tenders, use an automated approach to drive sustainable productivity benefits across 90% of tenders eSourcing is a strategic toolkit that allows buying organisations to undertake all procurement projects online from staplers to stadiums. A full eSourcing solution brings together eCollaboration, eTendering, eEvaluation, eAuctions and eContract Management

    19. Organisations are strongly recommended to: Begin with the end in mind start wherever your current comfort zone is... ...but consider the future evolution of your sourcing strategy, & where your next step will be (find a partner that will give you room to evolve). Focus on productivity by shrinking the cube Think big (think: pan-organisation/strategically/long term sustainable benefits) Start small (pick the low hanging fruit, build experience, win support) Scale fast (deploy rapidly, make it business as usual, continually improve)