Author name: bernievn

13.5% savings on copy paper through Reverse Auctioning and BBBEE Supplier

A recent online reverse auction resulted in savings of up to 13,5% on photocopy paper whilst at the same time boosting the BBBEE score of a consortium of purchasers involved in the transaction. The online auction, held at e-Procurement solution provider, MWEB CommerceZone offices in Johannesburg, furthermore resulted in the price being maintained for an […]

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Air travel prices continuing down… But isn’t the total cost going up?

This graph shows the index for the average SAA, BA Comair & Nationwide net economy return ticket prices (excluding taxes and VAT) for the Johannesburg – Cape Town route across a number of organizations from September 2002 to 2005. This index shows that net prices have been moving down despite the price of aviation fuel

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SA Companies finally benefiting from e-Procurement promises

Local results seem to be echoing recent international research regarding e-Procurement benefits. According to Tracey Newman, CEO of MWEB CommerceZone, recent research from Aberdeen showed that e-Procurement tools deliver a 64% reduction in maverick spending… “Just two-thirds of procurement transactions were compliant with procurement contracts. The resulting maverick spending led to savings leakage in lost

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Find out about KEY supplier failure before it happens

Is your strategic supplier’s business about to fail? Even they might not be 100% aware of their situation… Business Safety Ratings is an innovative new service that assist procurement officers to select safe, new suppliers and to aid ailing, existing suppliers. Early signals of a possible need for bale-out or remedial intervention assist buyers in

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New Broad Based Empowerment vs Cost Savings – walking a tightrope?

All too often BEE (Black Economic Empowerment) is dealt with in one of two extremes, that is to say all or nothing. On the ‘all’ side some procurement departments only consider suppliers who present a specific empowerment score, usually with substantial black ownership. This narrow based approach is clearly out of touch with B-BBEE and

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Innovative new tool for analysing uncategorised spend

Through strategic sourcing many procurement organisations have improved their management of raw materials purchases. The next level of savings opportunities lie in the products and services that have not been tracked through the material master or buyer catalogue. Up to now, it has been almost impossible to deal with this aspect of procurement because it

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Consulting and professional Services under the Procurement Spotlight

As Procurement expands its influence across the organisation, many large expense categories come under a new commercial spotlight. ‘Consulting Services’, a spend category often covering an amalgam of services from strategic business consulting to IT consulting and even contract labour, poses new opportunities and challenges…

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Printer, Fax and Photocopier Rentals: What clauses to look out for!

Most organisations finance their office automation equipment due to the associated high capital commitments. The problem here is that if there are issues with the equipment the corporate company cannot hold back payments or force the issue of replacement because the financial instrument still has to be paid to someone else, regardless of performance… By

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New Leading Practice Benchmarking Service launched

Purchasing Index is launching a new continuous Benchmarker service, aimed at showing participating organisations how procurement practices are carried out in SA organizations, how it is changing over time and what are the developing trends…According to Alan Low, MD of Pricetrak…. … participating organizations from a variety of business sectors will be asked to assist

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Advanced analysis tool unleashes power of procurement data

Local procurement specialists, Cutting Edge Procurement, have launched an advanced procurement information analysis solution. Director Johan Grimbeek, tells Smart Procurement it is now possible to draw more than 100 predefined procurement related reports across many different technology platforms and millions of transactions. “In the current knowledge economy, it is now an indisputable fact that information

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