Chris PennyInterim Procurement Innovations Manager6th October 2008

eContract Management @ Essex

The Story So Far… …warts ‘n all

A bit of background

Strategic Review Of Procurement

Procurement Technology was within the scope of the Strategy which led to…

www.essex.bravosolution.com

Functionality acquired Inside the portal…

Create & publish notices

online

Create PQQs

Create ITTs

Execute eAuctions

Manage Contracts

Why bother with this eStuff?

Efficiency. eTendering can reduce by up to 40% the level of resource committed to running tenders, a benefit to both buyers and suppliers.

Risk Management. eTendering ensures a full audit trail of events leading to award of contracts. The ability to demonstrate fairness of approach significantly reduces the likelihood of successful supplier challenges and the prospect of litigation.

Savings. The eTendering toolset includes an electronic auctions (‘eAuctions’) capability. eAuctions are extremely effective tools in delivering cash savings.

More specifically, why bother with eContract Management?

“The Council does not have a good understanding of its

contractual liabilities leaving it exposed to risk as well as

compromising the delivery of best value as a result of

incorrect, or non existent information to inform decision-

making.”

“Contract Management & Supplier Performance activities are overlooked - a symptom of not having contracts

information readily accessible to a multi-stakeholder community.”

So What? • NOT meeting contractual obligations.• NOT proactively managing contractual undertakings.• NOT meeting critical contract milestone such as lease renewal deadlines.• NOT making optimal sourcing decisions as there is no time to plan procurements.• NOT able to resource procurements because of planning issues.• NOT leveraging spend potential the result of contracts duplication.• NOT able to track bad supplier performance. • NOT able to effectively respond to FOIA enquiries.

How the tools help • NOT meeting contractual obligations.• NOT proactively managing contractual undertakings.• NOT meeting critical contract milestone such as lease renewal deadlines.• NOT making optimal sourcing decisions as there is no time to plan procurements.• NOT able to resource procurements because of planning issues.• NOT leveraging spend potential the result of contracts duplication.• NOT able to track bad supplier performance. • NOT able to effectively respond to FOIA enquiries.

•A single searchable web-based database of contracts.

•Ability to scan actual documentation to the database.

•Automated alerts so that there is sufficient time to plan procurements.

•Ability to report and forward plan impending terminations.

•Ability to record supplier performance against contracts.

Learning

• Tools do what they say on the tin.

• Our approach has been to load retrospective contracts, targeting suppliers by spend (80% = 700 suppliers).

• Retrospective loading of contracts is a massive task and one easily under-estimated.

• Need to give consideration to processes and policies especially with regard to retention of physical copy documents.

• Future contracts will be much easier to administer as tendering will be through Bravo.

• eCM has been a fantastic vehicle for greater engagement with Service area and is supportive of SRM.

www.essex.bravosolution.com