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Tactica (Asia) Limited 2008 Proprietary & Confidential April 11, 2017 Page 1 TURN SPENDINGS INTO SAVINGS (e-Sourcing Platform & Services) Chee Wee Loke VP of Professional Services TACTICA
Tactica (Asia) Limited 2008 Proprietary & Confidential
April 11, 2017 Page 1
TURN SPENDINGS
INTO SAVINGS (e-Sourcing Platform & Services)
Chee Wee Loke VP of Professional Services TACTICA
Founded in 2004. Possesses 13 years online sourcing experiences.
Reduce procurement costs, achieve average savings of 5 – 20%.
Reduce sourcing cycle times by 60% by automating the entire sourcing process.
Processed over USD One Billion sourcing projects across several vertical
industries since 2008.
Worked with +100,000 suppliers in more than 38,000 RFXs.
Hong Kong, Shenzhen, Kuala Lumpur and representative in Tokyo.
Generates cost saving for all categories of spending
Ever increasing procurement cost
Long and tedious negotiations
Expensive e-procurement systems
Enterprise e-procurement challenges？
74 minutes
How savings are generated？Why？
Bid Graph Reverse Auction
How TACTICA RFQ Saves time?
By Excel & Email TACTICA
Draft and Send Out RFQ 10 mins 60 secs
Expedite (Chasing suppliers for quotes)
20 mins 0 sec *
Consolidate and Analyze Bid
Results 30 mins 0 sec **
Send Out Award 15 mins 15 secs
75 Minutes 75 Seconds
* Always collect price on time.
** Less mistakes in bid (price) evaluation.
Other Benefits:
(a) Single repository for all pass and current RFXs for future reference.
(b) Able to invite more bidders, hence generate more savings.
Collect prices for (7) line items from 6 suppliers
Sealed Bid
(RFQ)
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Requirements Purchase
Request
RFQ Auction Quick
Award
Purchase Request
Quick approval via mobile phone
Buyer publishes RFQ/Auction RFX
Suppliers receive bidding email invitations
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Supplier submits prices during Auction
Requirements Purchase
Request RFQ Auction Quick
Award
An effective way to reach fair
market price
Real-time online auction
Suppliers lowering
bids to win
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Case Study 1 (Direct Material)
Case Study - PCB
Bid Details
Date: July 10, 2016
Things we buy:
Value CNY 0.23 Million of PCB requirements
Negotiation Strategy:
• 1 lot, Reverse auction on TacticSource
• Showed supplier Rank and Best Bid during bidding
Results (CNY/ M)
Market Overview
Supply Category: PCB
Buyer: One of the world's largest manufacturer of
wireless telephones companies.
Historic Cost: CNY 0.23 Million
Suppliers: 6 China/Hong Kong suppliers 1. HALESON
2. 华辉电路有限公司
3. 深圳市深联电路有限公司
4. 盈展（佛冈）电子有限公司
5. 伟丰(澳门离岸商业服务)有限公司
6. 建业集团
Market Background: Using lotting Strategy for 1 Lot to
make sure suppliers can produce big volumn products
and get lower prices for it.
• 38 bids received from
6 Tech manufacturing
suppliers within 47
minutes
• Approximate 16%
savings off historic
price
• Documented saving
CNY 3.68 million
0.23
0.0368
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0.1932
PCB
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Case Study 2 (Direct Material)
Stampings & Sheet Metal Fabrication
Stampings
& Sheet
Metal
Fabrication
Saving 27%
Bid Details
Program up for bid: (event information)
• 2 year contract
• 72 parts
• 2 buying sites
Bid Strategy:
• Standard stamping/sheet metal fab supply base
• Lotted by division and process
• Aggregate bid, full disclosure
Results (CNY/M)
Market Overview
Supply Category: Stamping and sheet metal fabrication
(washers, brackets, plates and panels, coining,
progressive die, line and compound line
die, and short run stampings)
Buyer: Diversified Manufacturer
Historic Cost: 1.2 million CNY
Suppliers: 5 stamping & sheet metal fab suppliers
Market Background: Global, competitive supply base
•Qualifying round used to gauge
supplier interest and confirm
market conditions.
•Asian suppliers drove market
competition
•Results indicate strong
competition and compressibility
available globally for
stampings/sheet metal
fabrication re-sourcing.
•0.3252 million CNY in savings
identified, or 27.1%.
1.2
0.8748
0.3252
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Case Study 3 (Indirect Material)
Corrugated Packaging
Corrugated
Packaging
Saving HK$ 44,000
Bid Details
The bid item is double-wall corrugated material, A333A,
but may switch specifications
Bid Strategy:
• 3 Lots, with lotting done by OEM factory locations
• Innovative rebate scheme
• Suppliers' online prices would be the “Contract
Prices”
•Client would provide a “Standard Price” – higher
than “Contract Price” – to OEMs at which they
purchase corrugated
•Suppliers are then required to make rebate
payments to the client every quarter.
Results (HK$M)
Market Overview
Product in bid:
Corrugated used by client’s OEMs in China and SEA
Buyer:
Toys Manufacturer
Suppliers:
8 vendors (all incumbents)
Historic Cost:
HK$0.55 Million dollars for 12 months
• Aggressive bidding
by 8 suppliers in 3
lots
• 171 bids submitted in
total
• Overall savings of 8%
or HK$4.4 million
• Demonstrated the
high interest level of
the suppliers to
maintain their current
business and to grow
their market share
0.55
0.506
0.044
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Case Study 4 (Indirect Material)
Transportation Project
Transportation Project
Bid Details
Bidding Information: Transportation Lines
• Shanghai Distribution Center - Shenyang Center,
about 48 containers/year
• Shanghai Distribution Center - Wuhan Center, about 32
containers / year
Bidding Strategy:
•Reverse Auction
•Show rank only
Results (CNY/M)
Market Overview
Supply Category: Logistics distribution
Buyer: one clothing manufacturer
Historic Cost:
Shanghai Distribution Center - Shenyang Center: 96000
CNY/Y
Shanghai Distribution Center - Wuhan Center: 48000
CNY/Y
Supplier: 6 vendors to select, 4 suppliers to participate
in bidding
Market Background: inquiry once every month in the
past , the price space and competition is large
•Qualifying round used to gauge
supplier interest and confirm
market conditions.
•3 suppliers drove market
competition
•Results indicate strong
competition and compressibility
available globally for
transportation re-sourcing
•0.022 million CNY in savings
identified, or 15%.
0.144
0.122
0.022
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Case Study 5 (Service)
Cleaning Services
Bid Details
Bidding Information:
•Service between two central areas
•Fixed one-year contract
Bidding Strategy:
•One lot
•Show rank and best bid
Results (CNY/M)
Market Overview
Product in bid: Cleaning services
Buyer: N/A
Historic Cost: CNY 0.17 Million per annum
Suppliers: 7 Suppliers
Market Background: Fierce Competition
• 7 suppliers,
submitted 47 bids
• Compared with
historical prices,
about 18% saving.
0.23
0.19
0.0414
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Cleaning
Services
47 Bids
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Direct Spend Examples
Fabricated Parts 20%
Fabricated Sheet Metal
Finished Machine Parts
Finished Machine Parts
Forged Steel rolls
Machining & Fabrication
Modular berths
Feed Stocks 29%
Cast Iron
Copper
Deox Aluminum
Ferrous Compounds
Low end Plastic
Nickel
Plastic/Pellets
Rigid Glass
Stainless Steel
Tin
Zinc
Electronic/Electrical 30%
Cable Assemblies
Cables
Capacitors
Ceramics
Circuit Boards
Connectors
Crystals
Digital Media
DRAMS
Electric Motors
Electrodes
Electrolytic Caps
Fiber Optic Cable
Integrated Circuits
Magnetic Tape
Memory Chips
OEM Systems
Power Cords
Radiology System
Resistors
Semi-Conductors
Silver/Films/Resins
Transformers
Transmission PWB
Tuners
USB Cables
Wire Harnesses
Chemicals/Acids 18%
Abrasives
Amines
Biocides
Bulk Chemicals
Chromium
Cleaners
Corrosive Inhibitors
Defoamers
Dust Suppression
Ferro Compounds
Freeze Conditioning
Glycerine
Hydraulic Oil
Hydrochloric Acid
Hydroquinone
Lubricants (oils & Greases)
Manganese
Misc. Mill Chemical
Mold Powder
Molybdenum
Monomers/Polymers
Rolling Oils
Silicon
Sodium Bromide
Ingredients 26%
Absorbic Acid
Aspartine
Biscuits
Butter
Cheese
Chocolate Powder
Citrates
Citric Acid
Cocoa
Coffee
Coffee Mix
Gelatin
Milk
Nuts
Oils & Fats
Oleo Mineral
Phosphates
Powders
PSD
Snack
Soluble Coffee
Soup
Sugar
Tea
Vanilla
Yogurt
Sodium Nitrite
Solvents/Alcohols
Sulfuric Acid
Surfactants/
Fatty acids
Zinc Chloride
Our Experience and Knowledge
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Indirect Spend Examples Plant Services 24%
Cleaning & Maintenance
Constr./On-site Repair
Electrical Repairs
Facility Assessment
Hardware Maintenance
Janitorial Service
Misc. Mill Service
Painting
Printer Maintenance
Safety Supplies
Security Service
Software Maintenance
Waste Management
Water Treatment
Office Sup./Equip. 29%
Carpet
Chairs
Conference room furniture
Copy Paper
Desks
Office Supplies
Printing Paper
Specialty Paper
Table
Workstations
Professional Services 27%
Advertising/Media Services
Audit/Accounting Service
Call Center Service
Care Coordination
Case Management Services
Cognitive Assessment
Copiers
Credit Service
Engineering Service
Health Assessment
Human Resource
Leasing Service
Legal Services
Limo/Van Services
Mail Service
Marketing Services
Medical Services
Outsourcing Service
Payroll Service
Real Estate Services
Support Service
Temporary Service
Training
IT Equip./Services 24%
Accessory Kits
Computer Rentals
Computers
Computing Storage
Data Streaming
Database Mining / Warehousing
Hard Drives
IT Consulting
Key Boards
Laptops, Cell Phones etc.
Marketing Software
Midrange Computing
Modems
Monitor
Printer
Technology Sourcing
Video Cards
Travel/Transport/Freight 30%
Air Travel
Hotels Rooms
International Air Freight
Roadside Assistance
MRO 25%
Abrasives
Ball Valves
Bearings
Cleaners
Filters
Frames
Hoses & Belts
Janitorial Services
Light bulbs & ballasts
Lubricants
Magnets
Packing/Gaskets/Seals
Printing/Publishing
Safety Supplies
Tires
Tools
Uniforms
Wood & Lumber
Packaging Materials 25%
Bottles & Tooling
Containers
Labels/Overlays
Molded Plastics
Paper Tubes
Our Experience and Knowledge
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Yearly Engagement
Tactica Customer Success team working closely with Buyers
Identify potential savings areas
Sourcing Planning workshop of e-sourcing events in the first year
Tactica manage RFX projects on behalf of Buyer
Quarterly Management Review (QMR)
Create Adoption strategy that is right for your company
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QS Solution
Dedicated to SMEs in Asia
Simply publish your sourcing requirements, and identify
qualified suppliers quickly
Suppliers reach fair market price within short period of
time, reduce your costs and risks
Design for ALL types of procurement categories, big
and small
1. Unlimited number of sourcing projects
2. Support more than 20 different sourcing methods
3. It is free for suppliers to participate
4. Help desk support for buyers and suppliers
5. Training, consultation and RFX templates Useful
reports and dashboards for easy analysis
6. Annual subscription
7. Includes 5 free “Viewer” account
8. Minimum of 3 user accounts**
**Not applicable if you already registered as TACTICA supplier
Contact Us
TacticSource | Sourcing TacticBuy | B2B Procurement TacticQuote | RFQ
+86 755 25180252
