eSourcing Case Study
Client Profile
A global “Data Centre” organisation initiated an eSourcing project using our eSourcing platform to solicit pricing for ‘Cabling and Conduit’. They have since that project completed a number of additional eAuctions.
Key Goals
- Deliver savings that can be realised immediately
- Challenge the current supplier community already engaged with the client
- Establish the true market value for the category
The Project
- Current spend of £1.8M per annum for Cabling and Conduit.
- Suppliers invited to participate completed an eRFx to establish that they complied with the clients requirements, meeting the specification and other crucial key factors before allowing them to take part in the eAuction in January 2013.
- The last contract price was used to establish the pre bid starting point. Once bidding commenced, a saving of 17% was generated. (£306,000)
- The annual volume for this eAuction wasn’t fixed, which allowed the client to contract without committing therefore allowing them more flexibility whilst obtaining the best market price.
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