|Total Auctions||Total Vendors||Total RFQ line Items||Total Quotation Line Items||Total Purchase Order Line Items|
About Real ISPAT
Real ISPAT Group of Companies has 4 manufacturing units at 4 different locations with 4 different Procurement applications. Being a large manufacturing company, requires large scale procurement, both in terms of no. of items to be procured and value of procurement. Each unit carried out individual Procurement as per their need basis. Their Procurement Process was time consuming and person dependent. They required a more streamlined and automated procurement process to become more efficient.
Read more, to know, how Force Intellect eProcurement Software Solution, ensured a streamlined, automated and transparent procurement process for maximum efficiency and significant savings in time and efforts!
|Disconnected Procurement Systems for different units||Integrated all Procurement related information and data from 4 different procurement systems into centralized eProcurement Software solution||Centralized procurement data ensured a single view of the entire procurement process & data starting from vendors to RFQ, to Purchases|
|Difficulty in Implementing Centralized Procurement Policy||Centralized eProcurement Solution helped Implement organization-wide Procurement Policies, Rules and Regulation using Business Logic.||Single & Uniform procurement processes across organization. with implementation of Policies, Rules & Regulations at Group level|
|Extensive Manual Efforts in Procurement Process||Automated all tasks involving manual efforts. E.g. Enabled Online Vendor Registration, Implemented Indent Aggregation, Automated RFQ generation and Bid invitation, Automated Comparative Statements and Centralized Purchase Order Generation||Indent Aggregation enabled procurement for all units together, saving 3x efforts and time
required for sending RFQ emails, receiving replies, compiling reports etc. Automated Bid invitations and One Glance Summary of Quotations makes process fair and transparent
|Long Procurement Cycle Time||Digitization and Automation of different Procurement activities such as RFQ generations, Bidding, Comparative Statements, Approvals, has turbo charged the entire Procurement process.||Shorter Procurement Cycle Time. Same Team able to handle Larger volumes of Procurements|
|Absence of Dashboards, single view information of data trends and data analytics||Implemented Dashboards for Senior Management, Purchase Officers and Vendors.
Provided Analytical Tools for Purchase Officers & Senior Management to measure performance & efficiency of Procurement process
|Analytical Reports & Dashboards provide real time view of entire eProcurement process, summary of pending items, enabled tracking procurement progress, making informed decisions.|
Real ISPAT Procurement Challenges:
- Disparate Systems & Procurement in Silos: Real ISPAT had 4 different Procurement Systems. Centralized procurement Data was not available.
- Difficulty in implementing Centralized Procurement Policy: Since, a Single Procurement system across organization was not available, implementing Centralized, Standard Procurement rules and regulations was a challenge
- Extensive Manual Efforts in Procurement: Real ISPAT being a large manufacturing unit, their procurement requirements were very large. Both in terms of no. of items for procurement as well as value of procurements. Conventional processes were complex, time consuming, required large manpower efforts for completing procurement process.
For e.g. It involved procurement requirement for each unit, sending large no. of RFQ emails, receiving replies, compiling reports, short-listing vendors, sending manual bid invitations, preparing comparison statements for conducting vendor negotiations, etc.
- Long Procurement Cycle Time: Huge Manual Efforts involved in processes such as sending manual RFQs, Bidding, preparing comparative statement was time consuming. Moreover, Bid Evaluation and Approval was physical paper based and dependant on availability of concerned Authority. This was cumbersome and lengthened the procurement process.
- Absence of Dashboards & Unified view of Procurements: Did not have a single view to track the real time progress of procurements at each location, nor had a consolidated view of Procurements information at all locations. It was very difficult to keep track of the procurement progress, pending items, actions to be taken etc.
- Individual Unit-wise Procurement: Each Individual unit carried out their own procurements as and when required, since collating data for all units was a challenge. This involved performing the same manual efforts 4 times, once for each location.
- Need for a Transparent Procurement System: Real ISPAT wanted to make the Procurement process absolutely transparent with all relevant data visible to all stakeholders i.e. Vendors, purchase team, users and managers. The whole process is centralized, traceable, auditable. This will ensure, that there is no chance of any bias or out of turn favors.
To summarize, the procurement cycle was long, disconnected, involved lot of paper work, was person dependent, required enormous time and manual efforts.
Force Intellect eProcurement Solutions:
- Step 1: Integrated Procurement data: Force Intellect integrated all data and information related to Procurement from 4 different Procurement systems into a centralized eProcurement Software Solution
- Step 2 : Online/Offline Vendor Registration: With eProcurement implemented Online / Offline Vendor Registration
- Step 3 : Consolidated Procurement requirements: Procurement requirements from all units and locations clubbed together in Indent Aggregation. This enabled single procurement for all units together at same time. Reduced efforts of doing same activity 4 times
- Step 4 : Automated and Online Request for Quotation: eProcurement solution enabled “Automated RFQ and Bid Invitations” This saved large amount of manual efforts required for sending RFQ emails, checking replies and compiling reports
- Step 5 : Automated Bid Evaluations: eProcurement solution provides automated Comparative Statement and suggests the vendors providing lowest landed rates on the basis of rate, discount, freight, taxes etc. This saves significant time required to prepare and evaluate comparative statements, negotiations and decision making. This also makes the process transparent and fair to all.
- Step 6: Auction Features: Negotiating with vendors on a one to one basis is time consuming and cumbersome. Hence we introduced the Auction feature in our eProcurement solution, to save time and efforts. This enables creation of Auction event for RFQs against which Quotations have been submitted by Vendors.
- Step 7 : Price Lists : eProcurement software saves information related to Vendors Price Lists in a Central location. This includes the data related to Prices, Terms & Conditions, Discount, price validity and so on. Purchase officers have ready reference to Prices Lists for future procurement and make decisions faster.
- Step 8 : Dashboards: Force Intellect eProcurement Solution provides dashboards for Senior Management, Purchase Officers and Vendors. This ensured up to date, real time information of company-wide Procurement Process and pending items/actions required etc.
- Step 9: Multi-level Approval System: Real ISPAT procurement process involved Physical paper files approvals. This is no longer required, as automated mailers are sent for approvals to relevant Authorities and online approval system is now in place. This removes the place and person dependency, thus, speeding up approval process.
- Step 10: Purchase Order Review System: Earlier the review system involved lot of manual work and paper work for internal and external auditors to check Purchase Order audits. Implemented Online Purchase Order Review System
Easier & Time saving Audits
Real ISPAT eProcurement Impact
With Force Intellect eProcurement Solution, Real ISPAT achieved the following results :
- Streamlined, Automated, Transparent & Efficient Procurement process.
- Significant Savings in Time & Efforts.
- Saved up to 75% of the time required for the entire Procurement Process.
- Procurement time reduced from 6-8 days to 1-2 days.
Read more about our Force Intellect eProcurement Software Solution