Tom Wilson

1

• Tom Wilson
• eProcurement Scotl_at_nd
• Programme Director
• Friday 8 October 2004
• Glasgow Caledonian University
• Efficient Government

2

• Scottish Executive
• Central Government within Scotland for devolved
  matters
• Two definitions of the Scottish Executive
• 1. Money Laundering Facility block 30 billion
  2005
• 2. Policy Factory
• 2004
• 7 billion Local Govt (purchases of goods and
  services ??)
• 6.4 billion Health (1.4 billion)
• Eight core Departments. Environment and Rural
  Affairs Dept
• Justice
  Department etc
• 15 Agencies
• 50 Non Departmental Public Bodies

3

• What is eProcurement?
• eProcurement is the term to describe the use of
  web based applications to satisfy transactional
  purchasing requirements for repetitive commercial
  arrangements Office of Government Commerce
• e-Procurement is a collective term for a range
  of technologies that can be used to automate the
  internal and external processes associated with
  sourcing and buying IDeA National eProcurement
  Programme
• e-Procurement is the business to business
  purchase and sale of supplies and services over
  the Internet Google
• Narrow view or broad view What about business
  requirements? What
• about processes?

4

• Does and Enterprise Resource Planning system
  provide true
• e-Procurement
• Oracle
• Peoplesoft
• SAP
• McKeowns
• JD Edwards
• Aggresso
• Cedar
• Are ERPs standard products??
• How many flavours??
• Why did Ford scrap Oracle i-Procurement after
  spending 200m
• Why did Hewlett Packard scrap SAP procurement
  module after not
• meeting shipments

5

• eProcurement Scotl_at_nd
• Procurement is a devolved matter within Scotland
• Following devolution 1 May 1999
• Scottish Executive responsible for public sector
• procurement policy
• Meeting European Commission requirements
• Defending infraction cases

6

• Procurement Supervisory Board established by
  Finance
• Minister 2000
• How can we get our act together and act in a
  collaborative
• /cohesive manner
• Major recommendation
• National eProcurement Programme a cross sectoral
  approach
• CONTRACT AWARDED TO CAPGEMINI AS THE SERVICE
• PROVIDER
• ELCOM / DTC
• REQIO

7

• eProcurement Scotl_at_nd is a service
• Assisting to transform public sector procurement
  in
• Scotland
• Mixed landscape pockets of good practice
• Pockets of poor practice

8

• Focus of eProcurement Scotl_at_nd Programme
• Provide a joined up approach to public sector
  procurement in Scotland
• Achieve efficiencies through purchase to pay
  processes
• Raise the importance of Procurement as a
  business activity
• Reduce the total cost of sales for suppliers
  to the Scottish Public Sector
• Where appropriate make use of collaborative
  procurement practices

9

• Recognised by the EU as an exemplar
• European Dynamics report
• Recognised by Australian Government as
• leading eProcurement Programme in Europe

10

• eProcurement Workstreams
• 5 Cs
• Change Management
• Content
• Connection
• Cash
• Capability

11

• Content is King
• One STANDARD Catalogue Template for all suppliers
  /
• Supplier maintained content
• 450 Scottish Healthcare Supplies Catalogues now
  set up
• OGC Catalogues will be uploaded next 2 months
  1,000
• ABC Catalogues set up
• All Scottish Executive frameworks agreements set
  up
• Punch-Out to H-P Marketplace, Dell Computers, IBM
• Global Services...
• Computacentre, PC World Business
• Brakes Bros (stock availability), RS Components
  etc

12

• EVERYONE MUST BE DOING IT!!!
• eProcurement Scotl_at_and
• First Punch-Out / CXML solution with Vodafone,
  Dell,
• PCWB, Brakes Bros
• Connection
• CXML one off payment by supplier other borgs
  can
• benefit

13

• CASH..
• PAYMENT MILLIONS AND MILLIONS OF PAPER INVOICES
• P2P Total Transaction Cost
• 12 per transaction, KPMG 28, SEMA 42
• Embedded p-cards fully automated electronic
  solution for high volume suppliers
• 0.11
• INVOICING OPTIONS
• Evaluated Receipt Settlement / Payment on Receipt
• Consolidated Electronic Invoices / ADI
• CXML Invoicing
• Portal??
• Toolkit / Horses for Horses
• One size does not fit all

14

• E-SOURCING
• 80 plus electronic tenders now conducted
• Programme of Reverse Auctions in place
• Next one for servers Education Dept 10 million
• Typical savings 15 20
• Year end spike

15

• E-COMMERCE E-PROCUREMENT
• E-INVOICING PAPER SUBMITTED TO
• EFFICIENT GOVERNMENT