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Successful E-procurement Starts Long Before Deployment, Says Report

Jan. 13, 2005

Compiled By Deborah Austin Before installing the first byte of e-procurement technology, successful deployments start with a spending analysis and comprehensive plans. And, because successful deployments require significant change management, they must ...

Compiled ByDeborah Austin Before installing the first byte of e-procurement technology, successful deployments start with a spending analysis and comprehensive plans. And, because successful deployments require significant change management, they must be driven from the top while supported by the trenches. So suggests research report "Best Practices in e-Procurement" by market analysis/positioning services firm Aberdeen Group, Boston. Other e-procurement success keys:

Use technology to support a larger procurement strategy, not as a strategy itself.

Map internal process flows, eliminating non-value-added ones before deploying e-procurement.

Start by identifying areas that could return the biggest benefits and savings in shortest time frames.

Drive supplier participation with a mix of incentives and demands.

Designate a champion to coordinate, monitor and manage deployment. The report recognizes 18 enterprises for successful deployment -- including Georgia Pacific Corp., Sun Microsystems Inc. and Volkswagen AG.