Implemented a successful first-time reverse auction on e-sourcing platform, resulting in 18% savings and streamlined process with shortest execution time, building stakeholder confidence and establishing strong relationships for future projects.
Approach
- Thorough analysis, evaluation and classification of internal spend data
- To build acceptable baseline
- Standardization of specs across the business units
- Strong internal alignment
- To build coherence in scope / objectives / standardization of sourcing approach
- Strong governance model
- Global e-sourcing covering suppliers from Asia to North America
- Supplier workshops for building confidence in e-sourcing platform
Results
- 18% Savings of 18% on a spend of US$6M
- Most transparent sourcing execution
- Shortest sourcing execution - from RFQ to awarding
- Build confidence within stakeholders regarding usage of E-sourcing tools
- Understanding of price leverage within each valve subgroups
- Least price negotiation efforts
- Standardization of the process for future events
- Success led to establishing of a strong stakeholder relationship leading to building of spend pipeline for future projects
- Increased e-sourcing visibility within the business unit thereby increasing the spend coverage
Segment: MedTech · Services: sourcing-procurement