community procurement and shared services april 6, 2011

90th Annual Meeting & ExpositionApril 3 – 6, 2011

Memphis, Tennessee

Community Procurement and Shared Services

April 6, 2011


Memphis, Tennessee

Agenda

• Introductions• Procurement Challenges• Results• SciQuest Consortia Model• Questions


Memphis, Tennessee

Introductions

• Jeff Albertini – Bowling Green State University• Laura Nowicki - Chief Procurement Officer, Ohio

University• Julie Hepner – SciQuest


Memphis, Tennessee

Bowling Green State University

Education worth Celebrating!• 20,000 students• 2400 employees• Voted one of the best undergraduate business

programs by Business Week, The Princeton review and US News & World Report

• 1984 National Champions Men’s Ice Hockey• Implemented SciQuest 2009/2010• Go Live June 2010• ERP - PeopleSoft FMS 8.9 - Going through 9.1

upgrade now


Memphis, Tennessee

Ohio University

‘The’ Ohio University• 32,000 students• 4,780 faculty• Part of Inter University Council of Ohio• Founded in 1804 and the 9th oldest public school in

the USA, and the oldest in the (then) North West territories

• Home of the E.W. Scripps School of Journalism• Implemented SciQuest at the end of 2009• ERP - Oracle


Memphis, Tennessee

Inter University Council of Ohio

• The Inter-University Council of Ohio was established in 1939 as a voluntary educational association of Ohio’s public universities.

• Today the association represents Ohio’s 14 public universities with standing committees

Presidents Human Resource OfficersBusiness and Finance Officers

Media Relations

Campus Legal Counsel ProvostsChief Information Officers Student AffairsGovernment Relations Representatives


Memphis, Tennessee

Inter University Council of Ohio

The IUC Purchasing Group came about as a result of the State Legislature’s desire to

“investigate the prices being paid by different state institutions for like items”

And so it began….consortium buying


Memphis, Tennessee

The IUC Consortium

• Voluntary Shared procurement services with a technology twist

eCUBE

Kent State


Memphis, Tennessee

IUC Vision and Goals

• Establish a “Center of Excellence” including:Premier Purchasing AgreementsE-Procurement Software (SciQuest)Intelligent Contract Repository

• Save member schools $Leveraging buying powerStreamlining efficiencies


Memphis, Tennessee

Results

• Seven of fourteen Ohio IUC Schools on SciQuest• Fifteen catalogs in active use with $10 million+

spend in just 7 months• Collaborative selection of vendors among 7 schools• Collaborative Governance Model• Schools assuming management of different target

commodities and run RFP processes. • Analyze spend data on an ongoing basis for the

state related to their commodities.


Memphis, Tennessee

How did we get here?

• Evaluated eprocurement technology options and selected SciQuest – 3 schools were already utilizing SciQuest

• IUC team reviewed suppliers currently using and agreed to negotiate contracts on low bearing fruit first – suppliers being used by all – or used by most.

• Categories were assigned to specific schools based on relationships and expertise – this enabled the resources to be focused on the area they were knowledgeable on for contract negotiation.

• Governance Model established


Memphis, Tennessee

Future State

• More Catalogs and More Contracts• IUC Contracts stored, accessed , and reviewed in

SciQuest Contract Manager “Intelligent Contract Repository”

• Addition of other IUC schools• Collaboration of IUC with Ohio Association of

Community Colleges (OACC) on SciQuest• Drive spend through the catalogs and the Premier

Purchasing Agreements• Negotiate statewide savings and efficiencies

through collaborative efforts


Memphis, Tennessee

Ohio University Project

• Implemented HigherMarkets full suite including Settlement Manager

• Live January 2011• Full rollout December 2011• Today, 17 Catalogs live including:

o 13 consortia catalogso 4 OU specific catalogs


Memphis, Tennessee

Ohio University - Challenges

• Challenges Inconsistent processes Contracts while established were not being

used Visibility/Transparency into spend Savings Sourcing Solution Integrated Settlement Solution Contract Management


Memphis, Tennessee

Ohio University Results

• Ohio is in the rollout phase – but initial reaction has been positive


Memphis, Tennessee

Bowling Green State University

• Implemented HigherMarkets full suite including Settlement Manager

• Live June 2010• Full rollout September 2010• 21 Catalogs live including:

o 17 consortia catalogso 4 BGSU specific catalogs


Memphis, Tennessee

Bowling Green State University - Challenges

• Challenges looking to solve Compliance

Contracts (GPO, IUC) Process efficiencies

cXML Ordering/Invoicing SUA

Visibility into data – where is our spend going? Insight to data we never had


Memphis, Tennessee

Bowling Green State University - Results

• Implementation of Technology Centralized purchasing through portal More efficient process including Workflow/Roles Efficiencies gained in AP with cXML invoices Single Use Account program Insight into spend data for contract expansion

• Inclusion of IUC Access to more contracts Administrative support Ability to leverage resources and gain from lessons

learned


Memphis, Tennessee

About SciQuestSciQuest is the global leader in helping academic and research-centric organizations realize the potential of strategic procurement.

We provide visibility into, and control over, spend.

Our specialized knowledge, on-demand software and service-first approach empower organizations to manage spend, drive ROI and advance their critical missions.

What we do:• Improve existing procurement systems• Add value to planned procurement implementations • Provide end-to-end procurement solutions

How we do it:• Combination of software and services• Web-based, Software-as-a-Service model• Integrations to many ERP systems

Connect to your suppliers

Capture more transactions

Control your spend


Memphis, Tennessee

Are You Building Buying Power?

• University System• State Government• College Association• Educational Service Center• Regional Collaborative• National GPO


Memphis, Tennessee

Types of Collaboration in Purchasing

Casual

Merged

Consortium


Memphis, Tennessee

What is a Consortium?

• A consortium is an association of companies, organizations or governments, with the objective of building buying power through cooperative purchasing

• The SciQuest Consortium Community supports both the needs of the consortium and the needs of its members.

Consortium Members


Memphis, Tennessee

SciQuest Consortium Community

• Technology Framework With Two Elements: Shared Community for SourcingMember Procurement Execution


Memphis, Tennessee


Technology Framework – Core Functions

1. Source Together

2. Share and Publish Contracts

3. Shop in Your Own or Shared Marketplace

4. Roll up Reporting & Volume Commitment


Memphis, Tennessee


1. Source Together

Shared Bidders List

Shared Sourcing Tool

RFx/Reverse Auction

Roll-up Reporting

Collaborative Workspace / Share Expertise


Memphis, Tennessee


2. Share and Publish Contracts

Enable Contracts

Enable Item Level Catalogs

Publish Contracts

Manage Contract Life Cycle

Collaborative Workspace


Memphis, Tennessee


4. Roll up Reporting & Volume Commitment

Automated reporting

Roll-up by member

Roll-up by contract

Product level detail

Real-time


Memphis, Tennessee

Summary

• How can you have the benefits of Community Procurement and Shared Services?1. Vision2. Participation3. Leverage Technology


Memphis, Tennessee

Community Procurement and Shared Services

Questions?

community procurement and shared services april 6, 2011

Documents

annual meeting expositionapril

ohio iuc schools

different state institutions

state legislatures desire

selected sciquest

oldest public school

shared services

business week