2005/06 Procurement AnalysisDick Leitch

8th November 2006

Agenda

PO Volume growth 2005/06 numbers Invoice/PO Comparison Electronic procurement

0

5000

10000

15000

20000

2002/03 2003/04 2004/05 2005/06

Year

No of POs

1030212052

1773319159

PO Volume Growth

POs by Supplier – Top 20

POs by Buyer – Top 20

Invoice/PO Comparison

Invoice/PO Comparison

PO Volume – 19,159PO Volume – 19,159 PO Volume – 19,159PO Volume – 19,159 Invoice Volume – 76,091Invoice Volume – 76,091 Invoice Volume – 76,091Invoice Volume – 76,091

PO Value – £7,075,243PO Value – £7,075,243 PO Value – £7,075,243PO Value – £7,075,243 Invoice Value – £79,097,563Invoice Value – £79,097,563 Invoice Value – £79,097,563Invoice Value – £79,097,563

Electronic Procurement

Tender via OJEU 12 July 2005 Closing date 31 August 2005 22 downloaded documents 15 completed PQQ 6 invited to submit full ITT 4 invited for full evaluation

Schema

“SUPC Marketplace”

Suppliers

ConsortiumCatalogues

1.

2.

1. Buyers can source

Internally on Marketplace Content

3

2.Marketplace can

punch-out direct to Supplier Hosted

Catalogues

3.Marketplace can

punch-out direct to Consortium Catalogues

All orders are transmitted via the Marketplace to the

appropriate supplier via Email, Fax or

Text Message

P2P Model

FMS e-procurement

Module

Punch-in Model

Purchase Order Workflow is completed within

Marketplace Purchase to Pay functionality

Purchase Order Workflow is completed within the Authorities appropriate

Financial System

The result ………….

Potential Savings ProcHE savings measured at £44/PO

Equals approx £775,000 on current

PO volumes

Buying by Category rather than by

Supplier will reduce “maverick” buying

Overall savings will be considerably

higher

Thank you very much

Any questions?