J6 unique Next Generation e-procurement technology combines the benefits of traditional technologies to create a unique state of the art tool

Wednesday, 24 November 2010 00:00

There are seven main types of e-procurement:

Web-based ERP (Enterprise Resource Planning): Creating and approving purchasing requisitions, placing purchase orders and receiving goods and services by using a software system based on Internet technology.
e-MRO (Maintenance, Repair and Overhaul): The same as web-based ERP except that the goods and services ordered are non-product related MRO supplies.
e-sourcing: Identifying new suppliers for a specific category of purchasing requirements using Internet technology.
e-tendering: Sending requests for information and prices to suppliers and receivingthe responses of suppliers using Internet technology.
e-reverse auctioning: Using Internet technology to buy goods and services from a number of known or unknown suppliers.
e-informing: Gathering and distributing purchasing information both from and to internal and external parties using Internet technology.
e-marketsites: Expands on Web-based ERP to open up value chains. Buying communities can access preferred suppliers' products and services, add to shopping carts, create requisition, seek approval, receipt purchase orders and process electronic invoices with integration to suppliers' supply chains and buyers' financial systems.

J6 technology combines e-marketsites, e-tendering, e-reverse auctioning and e-informing into one e-procurement strategy for commodity supplies such as office supplies, stationery and computer consumables.

Example: the creation of a Next Generation e-procurement strategy for a large organisation for the supply of office supplies, stationery and computer consumables:

e-tendering: Suppliers of office supplies and stationery are invited to tender by demonstrating their service quality and capability to deliver a range of products. Several suppliers are then selected to participate in the e-procurement strategy.

Plus

e-marketsites: all suppliers are linked to a site containing the full catalogue of products for the contract and upload their prices. The site has full functionality for a buyer to search for products and place orders instantly online to any selected supplier.

Plus

e-reverse auctioning: every time a buyer wishes to place an order, the site will work out the most competitive price for the basket of products and present the buyer with the supplier with the lowest price

Plus

e-informing: the buyer has access to full reporting on the site and can see who is buying and which products are being bought. This enables the buyer to continually make adjustments to the approved product catalogue and ensure compliance across the organisation.

The benefits to the organisation are:

The buyer is now in control
The system complies with European procurement regulations
The site contains over 20,000 office supplies items – everything in one web site
Several suppliers compete “live” for every order, keeping prices as low as possible
Local as well as national suppliers can participate on a level playing field
You will have centralised procurement control even with multiple departments using the system (multiple users can place orders, but all orders can be signed off by one person or department heads)
You can pick “standard items” for your organisation, controlling what people buy
You can run reports at any time, showing what was ordered by whom

For more information on J6 Next Generation e-procurement technology, contact Nigel Hudson on 0845 130 3012, or complete the enquiry form by clicking here.

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See Next Generation e-procurment in action by visiting Mintprice.com.