E-Procurement

It’s Easy. It’s Transparent. It’s Safe

Agenda

• Introducing E-Procurement

• How does E-Procurement aims to solve procurement needs of Businesses

• Value drivers of E-Procurement

• Transparency in Online Buying

• Returns and Replacement Methods

• Online Buying Process

• Online Selling Process

• Questions

2
Introducing E-Procurement

• E-procurement (electronic procurement, sometimes also known as supplier exchange) is the business-to-
business purchase and sale of supplies, work, and services through the Internet as well as other information and
networking systems

3
Traditional Procurement Process

4
Understand E-Procurement

5
How is Digital platforms aims to solve procurement needs of Businesses

Issues with traditional procurement methods Efficient and uncomplicated Procurement

Amazon

Amazon
Business

5
eProcurement benefits

Value Drivers Pain Points Mitigation/Savings Estimates

• Long lead times due Purchase requisition processing

1 Improved Process Efficiency
to high manual processing, time reduction of 70%-80%;
1/3 time spent reviewing averaging a week faster
manual requisitions

• High transaction costs Purchase requisition process-

Reduced Product/Process • Long supplier negotiations ing expense reduction up to
2 • Non contract compliance 73%; price of goods 5%-10%
Costs less on average
drives up price

• Fragmented data Data integrity is improved

through contract compliance,
3 Improved Compliance Unreliable/inaccurate data
strengthening a company’s
supplier negotiation leverage

• Rampant off-contract spend

Reduced Maverick (approximately 27% of Maverick spending decreases
4 up to 51%
Purchasing indirect spend)

• Long lead times result in

5 Reduced Inventory Costs purchase of large safety Inventory expense reduction
stocks between 25% - 50%

9
Transparency in E-Procurement
Happy customers are loyal customers. But how do you make customers happy? Focusing on greater transparency is a great
place to start.
Clear Pricing
Structure

Shipping and Payment

Supply Chain Options
Support Highly Visible

Accurate
Detailed
Product
Refund Policy
Descriptions
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Returns and Refunds of Products online

9
Online Buying Process

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Online Selling Process

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Does it solve your problem?