aligning purchasing with strategic goals june 18, 2015...• paperless purchase order process •...
TRANSCRIPT
![Page 2: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/2.jpg)
Agenda
State of the Nation and Importance of Procurement Your strategic plan Your challenges Align your goals with your strategy Procure-to-Pay Life-cycle E-Procurement, E-Invoicing and Contract Management E-Procurement Project Tips Case Studies
![Page 3: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/3.jpg)
![Page 4: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/4.jpg)
![Page 5: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/5.jpg)
![Page 6: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/6.jpg)
![Page 7: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/7.jpg)
![Page 8: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/8.jpg)
• Goal 1. Student Success
• Goal 2. Partnerships
• Goal 3. Continuous Improvement
What’s your Strategic Plan?
![Page 9: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/9.jpg)
Align to Strategic Goals• Unify decentralized spend through standardized processes
• Leverage spend - increase savings/revenue generation
• Strengthen governance and compliance culture
• Improve auditability and visibility
• Best use of available resource
• Employee Mobility Preparedness
![Page 10: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/10.jpg)
Employee Mobility – “Job Hoppers”
Systems must be intuitive. Employee mobility is inevitable.
![Page 11: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/11.jpg)
What are your challenges?
![Page 12: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/12.jpg)
Lack of Visibility
Lack of Control
Cumbersome Processes
Lack of Resource
What are your challenges?
![Page 13: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/13.jpg)
Spend analysis
Supplier performance management
Sourcing & identification of pre-sourced contracts
Contract management
Procurement & Workflow
Order fulfillment & Receiving
Invoicing& Payment
Tactical Task-based
Strategic Skill-based
Procure-to-Pay Life-cycle
![Page 14: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/14.jpg)
Firewall
Flat FileConnector ConnectorConnector Connector Connector Flat File
Unimarket Cloud-Hosted E-Procurement
![Page 15: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/15.jpg)
E-Procurement Demonstration
MarketplaceApprovalWorkflow
Purchase Order&
Receiving
InvoiceMatching
KPIs &Reporting
![Page 16: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/16.jpg)
Contract Management
Negotiate Contract
Securely Store Contract
☐ Ensure Contracts are executed as agreed
☐ Access, Visibility and Auditability
![Page 17: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/17.jpg)
Ensure Contracts are executed as agreed
What are the savings identified? What is the risk if the savings are not realized?
![Page 18: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/18.jpg)
Access, Visibility and Auditability
Contract Management
Performance Management
Issue Management
Risk Management
![Page 19: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/19.jpg)
E-Procurement Project Tips• Get Accounts Payable, IT and “Key Stake-holders” involved early.
• Review current process objectively and in its entirety.
• Agree on more efficient alternatives.
• Concentrate on improving the process.
Ensure chosen solution will improve controlAND streamline processes
![Page 20: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/20.jpg)
Case Study – Anne Arundel CC
Strategic Goals:• Paperless Purchase Order Process• Increase Control• Reduce Cycle-time• Reduce Errors & Double-Handling• Increase Visibility• Save Money
Environment:• $10k requires justification form• Paper/manual process• 1-3 weeks for approval• No visibility of requisition during process• Documents often lost while being passed around for signatures
![Page 21: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/21.jpg)
Case Study – Anne Arundel CC
“[eProcurement] gave us the opportunity to become more efficient.It definitely gives us the opportunity to leverage our resources.”
Andrew Little - Executive Director of Finance, Anne Arundel Community College
Result:• Electronic justification form• Electronic approval process• Approval time reduced from 1-3 weeks to <48hrs• Documents attached requisition/PO• Full visibility throughout approval process
![Page 22: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/22.jpg)
• Reduction of Procurement’s workload• Procurement Staff Reduction:
• One position has not been backfilled• One position has been reallocated to a Project Manager
• Elimination of Overtime – over $50,000 annually• End user satisfaction has increased• Just In Time ordering model has eliminated “hoarding”• Significant reduction of paper process• System paid for itself within 9 months
Case Study – Nassau Community College
![Page 23: Aligning Purchasing with Strategic Goals June 18, 2015...• Paperless Purchase Order Process • Increase Control • Reduce Cycle-time • Reduce Errors & Double-Handling • Increase](https://reader033.vdocuments.mx/reader033/viewer/2022051823/5fedf2aacf1b304dfd40ce3b/html5/thumbnails/23.jpg)
Recommendations Summary• Business case based on strategic goals• Focus on campus-wide adoption• Integrate Procurement and Finance processes• Address problematic categories• Make the right way easier than the wrong way• Market your program to your suppliers
Your contracted suppliers in eProcurement
Fast and easy to use Solution
Approved PO, on contract.3-way match