eSourcing software
- 1. The next generation eSourcing solution
- 2. SourceWeb vision 2 To empower businesses to manage their sourcing function in the most efficient way- by widespread adoption of innovative, easy to use, rapidly deployed and cost effective applications SourceWeb represents a paradigm shift in the way eSourcing software is designed and delivered. This is what differentiates SourceWeb from competition
- 3. Challenges in Manual Sourcing 3 High Turnaround time per sourcing event Lack of Auditability and Traceability Manual tracking of various RFX versions, addendums, multiple supplier bids, queries and responses Prolonged evaluation process especially for technical or qualitative assessment Cumbersome new supplier on-boarding process Inefficient negotiation and finalization process Low supplier collaboration in sourcing and procurement activities
- 4. How can eSourcing help? Clear benefits for you… • Fast cost reduction and high RoI • Improved efficiency and centralization of information • Repeatability and audit ability of the sourcing process …and your suppliers • Transparency and openness in sourcing • Instant feedback and closure through an interactive process • Shortening of sales cycle leading to lower sales cost
- 5. Continuous process of new supplier identification, keeping up to date supplier profile, rating and monitoring Efficient, collaborative and audit governance friendly approach for conducting RFX events E-auction platform to get the best quote from suppliers in a quick and transparent manner Award order, create contract, Evaluate contract, Access contract Supplier Registration RFX Management Reverse Auctions Contract Management Components of eSourcing solution Search for suppliers of various products and services RFP Create and publish RFIs, RFPs and RFQs Conduct negotiations online Select a supplier, conclude contracts and place order Save money These are discrete sourcing processes. One can use any or a combination of these modules
- 7. SourceWeb – Supplier Registration Portal A web based supplier registration, on-boarding and self profile updation module Modules
- 8. Supplier Registration enables you to engage existing suppliers and court new suppliers 24X7 8 Always keep finding new suppliers • Always on web interface for new suppliers to register themselves • Have a ready set of suppliers even before you actively start supplier development • Rewards proactive and ambitious suppliers Keep control of the supplier empanelment process • Evaluate suppliers with your own supplier evaluation processes and standards • Empanel suppliers when they meet ‘your’ standards Supplier enablement • Supplier self-service: Get current, accurate and complete supplier information filled by suppliers themselves • Map suppliers with categories for auto shortlist at the time of creating event No capex, operate on an opex model • No upfront investments in software and hardware due to SaaS delivery model
- 9. SourceWeb Supplier Registration is focused on the right features 9 Easy user interface for suppliers to register • User friendly interface: Easy intuitive web UI, users not dependent on training • Supplier registration wizard: Step by step guidance for supplier registration • Custom fields: Define additional customer specific attributes • Powerful search engine: Use keywords to search on various fields Exhaustive and customizable supplier registration form • Basic and contact details • Financial details • Standard UNSPSC and customized drill down taxonomy of products and services • Catalogues and customer references • Government and tax registrations • Certifications • Attachments uploads
- 10. SourceWeb – eRFX solution An state of the art tool to make your proposal / tender process highly efficient, collaborative and audit governance friendly Modules
- 11. RFX is a multipurpose module, with wide usage across departments 11 Request for Information • Requesting expression of interest (EoI) and also information from suppliers • Understand supplier market dynamics • Obtain information so that a common RFP document can be invited Request for Quote • Invite formal quotes for purchase items • Sealed bids from suppliers invited and evaluated • Can use the bids to set up a reverse auction, depending on item type Request for Proposal • Invite proposals from suppliers • Pre-qualify them for bidding round if they meet the technical & commercials requirements RFI RFP RFQR F X
- 12. Supplier/Vendor RFX, simplifying management of your RFPs 12 I II Where Hosur How much 50K When 9 week Quote Item 1 $9.5 Quote Item 2 Rs875 Where Sanand How much 10K When 6 week Quote Item 1 $11 Quote Item 2 Rs925 Where Noida How much 20K When 3 week Quote Item 1 $18 Quote Item 2 Rs1100 Where Delhi How much 35K When 5 week Quote Item 1 $21 Quote Item 2 Rs1000 Where Hosur How much 50K When 9 week Quote Item 1 $9.5 Quote Item 2 Rs875 Where Noida How much 20K When 3 week Quote Item 1 $18 Quote Item 2 Rs1100 Where Sanand How much 10K When 6 week Quote Item 1 $11 Quote Item 2 Rs925 Where Delhi How much 15K When 1 week Quote Item 1 $17 Quote Item 2 Rs1200 I II III IV Where Delhi Sanand Noida Hosur How much 15K 10K 20K 50K When 1 week 6 week 3 week 9 week Quote Item 1 $17 $11 $18 $9.5 Quote Item 2 Rs1200 Rs925 Rs1100 Rs875 Buyer/purchaser • Simplifies RFX management for any product/ service • Manage suppliers, publish RFX, invite bids & evaluate at the click of a mouse III IV
- 13. SourceWeb RFX focuses on usability and support, and has the right number of features Usability • Create partial forms- save drafts • Step by step wizards to create RFX and create RFX response • Export forms and responses to excel, word, PDF • Use existing RFX as templates for re-use • Batch downloads of attachments • Industry category master • Global location maser • “Unit of measurement” master • Multiple time- zones support • Multiple currency support Features • Dynamic form creation • RFX accessibility - private/ open • Deadline - hard/ soft • My Suppliers - buyer’s supplier network • Edit published RFX • Summary of changes in tracked mode • Change privacy and deadline of a published RFX • Add and delete suppliers from published RFX • Un-submit supplier responses • Retract RFX • Reminders to suppliers • Auto/ manual close RFX • Live response status • Live response tabulations - quotes, questionnaire responses, by supplier, etc. Support & service 13 • 12x5 support • Onsite support • Remote debugging • Users guides • SSL enabled website- https:// • Audit trail • Auto expiry of password • Email authentication • Strict access control rights management • Firewalls • Intrusion detection systems • IP Block • Antivirus • Disaster recovery • Backup policy Security • Guided on- boarding/ self registration • Search and respond to public RFX • Notify intention to respond • Request resubmission of response • Summary of changes of republished RFX Buyers Suppliers Common • Dashboards • Profiles • System notifications • Private messaging • List of pending actions for easy tracking
- 14. 14 Parameters Manual process Sourceweb RFX Efficiency Time taken per RFX Time consuming Automated and fast Repeatability Every process starts from scratch Repeatability in a click Errors Error prone No manual errors Commercial benefit Cost per RFP Expensive- less RFXs per person Economic- same person can handle more RFXs Supplier network Few bids, local participation High, global participation Purchase price High Price reduction over time Organizational effectiveness Audit No audit trail Audit trail created at every action Record keeping Records seldom kept- no automatic record keeping Automatic record keeping Data security Always suspect Assured data security Employee on-boarding Lengthy training Quick onboarding due to ease of use Organization impact Keeps status quo, intelligence housed in employees who may leave Progressive, intelligence instituted within the organization Supplier enablement No suppler modernization and enablement E-enablement and process enablement of suppliers Environment impact Paper intensive Paperless The benefits of using SourceWeb RFX are easy to see, quick to achieve and measureable
- 15. SourceWeb – eAuction bidding platform An online negotiation platform to get the best quote from suppliers in a quick and transparent manner Modules
- 16. What is Reverse Auction? 16 • Real time competitive event helps reach the correct market price quickly • Price needs not be the only criteria- weights can be assigned to non-price criteria like switching costs, product quality, service quality, reliability etc. • Most popular way of conducting negotiations online • Sellers compete to win the right to supply goods and services • The price decreases progressively until no more lower bids are received
- 17. Sourceweb eAuction - Salient features Reverse and forward auction Configure rules like ‘beat own bid’, ‘beat leading bid’ Define view settings like ‘show winning bid’, ‘show winning rank’, ‘show winning bidder’ Conduct auction at lot/item or component level Ability to auto extend the auction based on bids placed in threshold period Add attachments to the auction Live dashboard and graphs Convert an RFX event into Auction Instant Notifications, To Do action Comprehensive audit trail 17
- 18. • Let us take an illustrative example • Lets say you need to buy steel plates for your upcoming project • Steel Plates are required in 3 to 12mm thickness 12mm 10,000 Kg 10mm 10,000 Kg 8mm 5,000 Kg 6mm 5,000 Kg 3mm 5,000 Kg Reverse Auction- how does it work, an example
- 19. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 35.00 Bidder1 Plate-10mm 10,000 Kg 35.00 35.00 Bidder1 Plate-8mm 5,000 Kg 34.00 34.00 Bidder2 Plate-6mm 5,000 Kg 34.00 34.00 Bidder3 Plate-3mm 5,000 Kg 34.00 34.00 Bidder3 Server Date-Time: 05-Feb 13:00:00 Auction Ends in: 120 Min, 0 Sec
- 20. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 34.50 Bidder1 Plate-10mm 10,000 Kg 35.00 34.75 Bidder2 Plate-8mm 5,000 Kg 34.00 34.00 Bidder2 Plate-6mm 5,000 Kg 34.00 34.00 Bidder3 Plate-3mm 5,000 Kg 34.00 34.00 Bidder3 • Bidders can bid on any item any time • Bidder must place a bid lower than his own last bid for the item Server Date-Time: 05-Feb 13:09:50 Auction Ends in: 110 Min, 10 Sec
- 21. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 34.00 Bidder1 Plate-10mm 10,000 Kg 35.00 34.50 Bidder2 Plate-8mm 5,000 Kg 34.00 33.50 Bidder2 Plate-6mm 5,000 Kg 34.00 33.00 Bidder1 Plate-3mm 5,000 Kg 34.00 34.00 Bidder3 Server Date-Time: 05-Feb 13:20:00 Auction Ends in: 100 Min, 0 Sec
- 22. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 33.00 Bidder1 Plate-10mm 10,000 Kg 35.00 33.50 Bidder2 Plate-8mm 5,000 Kg 34.00 33.00 Bidder3 Plate-6mm 5,000 Kg 34.00 32.00 Bidder3 Plate-3mm 5,000 Kg 34.00 33.00 Bidder3 Server Date-Time: 05-Feb 14:00:00 Auction Ends in: 60 Min, 0 Sec
- 23. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 32.00 Bidder1 Plate-10mm 10,000 Kg 35.00 33.00 Bidder3 Plate-8mm 5,000 Kg 34.00 32.50 Bidder3 Plate-6mm 5,000 Kg 34.00 32.00 Bidder3 Plate-3mm 5,000 Kg 34.00 32.50 Bidder3 Server Date-Time: 05-Feb 14:15:00 Auction Ends in: 45 Min, 0 Sec
- 24. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 32.00 Bidder1 Plate-10mm 10,000 Kg 35.00 33.00 Bidder3 Plate-8mm 5,000 Kg 34.00 32.50 Bidder3 Plate-6mm 5,000 Kg 34.00 32.00 Bidder3 Plate-3mm 5,000 Kg 34.00 32.00 Bidder3 Server Date-Time: 05-Feb 14:56:00 Auction Ends in: 4 Min, 0 Sec •A Bid came in last 5 minutes so auction time is extended by another 10 minutes
- 25. Reverse Auction- how does it work, an example Item Qty Min Starting Bid Winning Bid Winning Bidder Plate-12mm 10,000 Kg 35.00 32.00 Bidder1 Plate-10mm 10,000 Kg 35.00 33.00 Bidder3 Plate-8mm 5,000 Kg 34.00 32.50 Bidder3 Plate-6mm 5,000 Kg 34.00 32.00 Bidder3 Plate-3mm 5,000 Kg 34.00 32.00 Bidder3 Server Date-Time: 05-Feb 15:06:00 Auction Ends in: Auction ended •No more bids and auction end time has passed. Auction ends
- 26. Reverse Auction- how does it work, an example •You can save between 5-50% depending upon nature of the Item. Item Qty Min Starting Bid Winning Bid Winning Bidder Savings (INR) Plate-12mm 10,000 Kg 35.00 32.00 Bidder1 30,000 Plate-10mm 10,000 Kg 35.00 33.00 Bidder3 20,000 Plate-8mm 5,000 Kg 34.00 32.50 Bidder3 7,500 Plate-6mm 5,000 Kg 34.00 32.00 Bidder3 10,000 Plate-3mm 5,000 Kg 34.00 32.00 Bidder3 10,000 Total savings 77,500
- 27. 27 Benefits of reverse auction Save hard cash • Competitive bidding ensures that price reaches the ‘correct market price’ • Savings between 5-50% are common, depending upon the category Time is money • Price negotiation can take months, especially if number of suppliers is large • With reverse auction, you can discover the right price in as less as 30 minutes Good suppliers always like it • Shortening of sales cycle leading to lower sales cost for suppliers • Transparency and openness in sourcing- opportunity for non incumbent progressive suppliers Transparency and audit • Electronic process with automatic error checking and audit trail • Trails and reports can be used for audit purposes. Purchase auditors will love you for it
- 28. Step by step guide to a SourceWeb Reverse Auction- a collaborative, methodical process Identify the product/ service/ project to be sourced using reverse auction Create clear written specifications of the item Create an RFQ with the detailed product specifications and pre-qualification questionnaire Float the RFQ to all potential suppliers. Include as many suppliers as feasible at this stage Identify the qualified suppliers based on your parameters. Communicate the results to all participants Communicate your intention and commitment to use reverse auction negotiation to the eligible suppliers Send details of the eligible suppliers and starting quotes to SourceWeb SourceWeb creates the reverse auction event in consultation with the buyer SourceWeb trains the suppliers and the buyer on the reverse auction module Suppliers fill a Process Compliance Form, binding them to the T&C in the RFQ document and also T&C of the event SourceWeb communicates personalized login credentials to all participants shortly before the event Actual event. SourceWeb personnel on standby to address any real time issues Upon completion of auction, detailed report of auction sent to the buyer on the same day by SourceWeb SourceWeb sends thank you note and feedback form to all participants including the buyer Buyer communicates the result to both the successful and non- successful participants Regular procurement processes- contracts, POs etc. 28
- 29. SourceWeb – Contract management platform A Contract authoring, approval and evaluation solution to facilitate strong contract governance and compliance Modules
- 30. Effective Contract Management has huge benefits: risk mitigation, efficiency, governance 30 Gain visibility to manage risk and obligations • Achieve compliance and reporting • Prevent missed deadlines and opportunities, unmet obligations, unenforced rights and overlooking key automatic renewal dates • Avoid contractual penalties and other associated costs due to poor governance Centralize contracts to eliminate inefficiency • Traditional way of contract management is ‘Contract Mismanagement’ • Centralized contracts eliminate • Missing contracts • Contracts not accessible because the contract owner is on ‘leave’ • Multiple copies with no clarity on final, executed copy Track performance • Rate suppliers performance on pre defined KPIs • Track milestone achievements with advance notifications
- 31. Feature Overview 31 Governance Process driven, highly auditable and always accessible repository, alerts and notifications, To do action items, drill through dashboards, permission based access, audit trail Evaluation Contract KPI definition and performance ratings, milestone achievement status tracking Approval & filing Cross functional review, pre approved clauses, discussion history, export PDF, File contract Authoring Wizard based, attachments, word editor, template driven, create clones, collaborative Contract creation Approval KPI measurement Milestone tracking Evaluate /Audit Renew / short-close
- 32. Benefits of Sourceweb contract mgmt system Repeatability, Process driven •Structured approach to finalize terms & conditions of agreement with vendor •Capturing comprehensive scope of work with well defined deliverables, KPIs and milestones •Quicker contract execution •Collaborative approach across functions to finalize contract Visibility, Role based access • Ensuring the desired documents are accessible when required, only by people having requisite permissions • Make contract authoring process completely auditable Traceability, Ongoing performance tracking •Ongoing tracking and supplier evaluation •Ensure timely renewal of contracts, reminders before expiry 32
- 33. Why Sourceweb 33 Easy to use, Focused on user adaption Rapidly configurable Cost Effective Future Proof - Modular, Extensible design Technical & functional expertise
- 34. Thank you for your time… For more details, contact - 34 Manesh Jain manesh.jain@sourceweb.in +91 98997 56997 www.sourceweb.in