Bab #7 e-Procurement

We estimate that for every dollar a company earns in

revenue, 50 cents to 55 cents is spent on indirect
goods and services things like office supplies and
computer equipment. That half dollar represents an
opportunity: By driving costs out of the purchasing
process, companies can increase profits without
having to sell more goods)
Hildebrand, 2002

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Banyak perusahaan fokus pada revenue

dan lupa bahwa pengeluaran terbesar
perusahaan di eksekusi oleh
procurement.
Jika marketing, operations dan strategy
lebih fokus pada bagaimana
menghasilkan lebih banyak keuntungan,
maka procurement lebih fokus pada
berapa banyak yang bisa dihemat.
Perbedaan antara purchasing
(pembelian) dan procurement
(pengadaan), menurut Kalakota dan
Robinson, procurement memiliki arti
yang lebih luas, yakni mulai dari
pembelian, transportasi, dan
penyimpanan di gudang sebelum
dipakai.

Latar Belakang
Ironisnya
penghematan minimal
yang bisa dilakukan
adalah pengurangan
resources di sisi
procurement.
Di kebanyakan
pemerintah daerah di
Indonesia, lebih dari
60% pengeluaran
adalah untuk
membayar gaji
pegawai. Daerah
khusus seperti Aceh
Utara bahkan
mencapai 86%

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At the right price

Delivered at the right time
Of the right quality
Of the right quantity
From the right source

5 Rights of
Purchasing

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The combined use of information and

communications technology through electronic
means to enhance external and internal
purchasing and supply management
processes. These tools and solutions deliver a
range of options that will facilitate improved
purchasing and supply management.

Chartered Institute of
Supply and Purchasing (CIPS, www.cips.org.uk)
* CIPS menganggap Purchasing dan Procurement adalah sinonim

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Evaluation of end-to-end trading cycles, e.g.

evaluation and possible re-engineering of
trading cycles leading to reduced cycle
times; improved workflow of the internal
procurement process enabling end-user selfservice and decentralization with centralized
control through company-specific
catalogues; new functionality such as on-line
bidding in e-auctions and e-requests for
quotations (RFQs).
Use of more efficient and cheaper
connectivity methods such as the Internet
and XML (a computer language for coding
content and delivery). XML is not, however,
a requirement for e-procurement as many
solutions do not utilize it.
Connectivity to external sources of
information, e.g. portals, e-hubs, emarketplaces
6

E-Procurement
Benefit
Definition #1
CIPS

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Connectivity to external supply chains, e.g.

extranets, EDI, e-hubs, e-marketplaces
allowing shared real time information such as
suppliers accessing real-time sales.
Sourcing, e.g. identifying new sources via the
Internet, use of intelligent search engines.
Content management, e.g. private catalogues,
public catalogues, internal inventory
management, maintenance management.
Connectivity to internal systems and sources
of information such as inventory management,
maintenance management, materials resource
planning (MRP) systems.
Payment systems, e.g. purchasing cards.
Multimedia (although e-procurement does not
necessarily contain multimedia elements).
Improvements in localized supply chain
mechanisms and consortia etc. leading to
mutual benefit.

E-Procurement
Benefit
Definition #2
CIPS

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Key
Procurement
Activities within
an organization

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Traditional
Procurement
Cycle time
memerlukan sekitar
5,5 hari.

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New
Procurement
Cycle time
memerlukan sekitar
1,5 hari.

10

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Dari sudut pandang barang

Production related procurement

Non Production Related
Procurement

Types of
Procurement

Dari sudut pandang vendor

Systematic Sourcing

Spot Outsourcing

11

Biasanya menggunakan kontrak

jangka panjang.
Kebutuhan segera,/instan dimana
kredibilitas vendor tidak terlalu
dipemasalahkan.

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Traditional manufacturers

Direct sales manufacturers

which produce physical goods that are

generally sold to other corporate customers.
similar to traditional manufacturers except
that they bypass intermediaries and sell direct
to end consumers via web or phone channels.
These can include services companies, for
example insurer Dell (www.dell.com) or airline
easyJet (www.easyjet.com). Direct sales
manufacturer can be a cost-effective option
for companies procuring business services
such as flight bookings for staff.

Online
Procurement
Participans #1
Beberapa perusahaan
IT biasa menjual
perangkat dengan
garansi batere sd 3
tahun, meski principa
tidak menyediakan.

Value-added procurement partners

act as intermediaries to sell products and

services to other businesses; examples
include travel agents and office solutions
companies.

12

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Online hubs

Online
Procurement
Participans #2

Knowledge experts

are industry-specific vertical portals such as

Elemica (www.elemica.com) that generate
revenues via B2B exchanges.
who produce information goods, for example
E-consultancy.com and Hitwise.com have
subscription services with innovation alerts,
best practice and statistics of Internet usage.

Online information services

provide unique information to end users that

is either original in its development or
provides a unique editorial perspective. This
is similar to the Knowledge experts category.
From an e-procurement perspective, as we
saw in Chapter 6, SaaS services such as
E2open (Figure 6.11) are available to
manage the information supply chain.

13

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Online retailers

include start-up e-businesses and more

traditional multi-channel retailers.Euroffice
(www.euroffice.co.uk) is an example of an
Internet pureplay providing office goods at lower
prices than traditional providers. Traditional
providers in this space with a network of stores
include Staples (www.staples.com).

Online
Procurement
Participans #3

Portal communities seek

to aggregate different online information

services into an integrated customer experience,
for example personalized news stories, online
bill presentment and payment and community
discussion features. These overlap with the
online information service and knowledge
experts.An example is AccountingWeb (
www.accountingweb.co.uk ) which would support
accountants in selecting services needed to run
their business and would also support other
businesses looking to select accountancy firms.

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E-business
e-value grid
Source: Riggins and
Mitra (2007)

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Reduced purchasing cycle time and cost

Enhanced budgetary control (achieved
through rules to limit spending and improved
reporting facilities)
Elimination of administrative errors
(correcting errors is traditionally a major part
of a buyers workload)
Increasing buyers productivity (enabling
themto concentrate on strategic purchasing
issues)
Lowering prices through product
standardization and consolidation of buys
Improving information management (better
access to prices from alternative suppliers
and summaries of spending)
Improving the payment process (this does
not often occur currently since payment is
not always integrated into e-procurement
systems).
16

e-Procurement
Benefit
Turban et al. (2000)

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Competition issues, e.g. in

exchanges using collaborative
purchasing
Possible negative perception
fromsuppliers, e.g.
theirmargins reduced further
frome-auctions
Negotiated procurement
benefits may be shared with
other exchange users who may
be competitors
Creation of catalogues can be
a long process and costly to
suppliers
Culture
profile within
17

Barriers to
adoption of eProcurement
CIPS (2008)

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Procurement as a
percentage of
costs of goods
sold for different
industry
sectors
(estimates from Kluge,
1997)

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The three main eprocurement

model
alternatives for
buyers

19

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Integration
between eprocurement
systems and
catalogue data

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In the future, some suggest that the

task of searching for suppliers and
products may be taken over by
software agents which have defined
rules or some degree of intelligence that
replicates intelligence in humans. An
agent is a software program that can
perform tasks to assist humans. On the
Internet, agents can already be used for
marketing research by performing
searches using many search engines
and in the future they may also be used
to search for products or even purchase
products. Agents work using
predetermined rules or may learn rules
using neural network techniques. Such
rules will govern whether purchases
should be made or not.
21

The Future of eProcurement

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Procurement activities involved

with purchasing items from a
supplier include purchasing, but
also transportation, goods-in and
warehousing before the item is
used.
e-Procurement involves the
electronic integration of all
procurement activities.
The numbers of staff and stages
involved in procurement are
reduced through e-procurement
by empowering the originator of
orders and changing the role of
buying staff.
22

Summary #1
Procurement akan
berjalan lebih baik jika
untuk semua item
yang diperlukan kita
memiliki aplikasi
layaknya SkyScanner
untuk pembelian tiket
pesawat.

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E-procurement is intended to achieve

reduced purchasing cycle time and
cost savings, principally through
reduced staff time spent in
procurement and lower inventory.
Options for introducing e-procurement
include:

Summary #2

Sell-side e-procurement purchase direct

from a sellers web site that is typically
not integrated with the buyers
procurement system.
Buy-side e-procurement integration of
sellers catalogues with the buyers
procurement system.
Marketplace procurement trading
through an intermediary with many
suppliers (may or may not be integrated
with buyers procurement system).

23

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The main types of electronic marketplace

in the terminology of Kaplan and Sawhney
(2000) are combinations of:

Summary #3

Systematic sourcing of operating resources

(MRO hubs)
Systematic sourcing of manufacturing
resources (catalogue hubs)
Spot sourcing of operating resources (yield
managers)
Spot sourcing of manufacturing resources
(exchanges).

Organizational hurdles involved with the

introduction of e-procurement include
redeployment or redundancy of staff and
overcoming fears of trust in suppliers.
The main technical challenges are the
integration or replacement of a range of
existing purchasing systems with a variety
of supplier or marketplace systems.
24

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Appendix
ERP

25

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ERP Conceptual

What Is ERP ? #1

Forget About Planning !

Forget About Resources !
Remember The Enterprise Part !

What Is ERP ? #2

To Integrate All Departments and Functions

Across a Company onto a Single Computer
System That Can Serve all Those Different
Departments Particular Needs

How ERP Improve Business ?

Back Office Oriented

Not Handle Front Selling Process
Different Department See the Same Info
Workflow
Single Entry
Self Service

How Long ERP Project Take ?

The important thing is not to focus on how

long it will take real transformational ERP
efforts usually run between one and three
years but rather to understand why you
need it and how you will use it to improve
your business.

ERP Five Major Reason

Integrate Financial Information

Integrate Customer Order Information
Standardize and Speed Up Manufacturing
Process
Reduce Inventory
Standardize HR Information

ERP Hidden Costs #1

Training
Integration and Testing
Customization
Data Conversion
Data Analysis
Consultants
Replacing your Best and Brightest

ERP Hidden Costs #2

Implementation Teams Can Never Stop

Waiting for ROI
Post ERP Depression

Why do ERP Project Fail ?

Too much customizations

People don t agree to change their business
process
Fail to adopt the s/w work methods

Others Terminology

SCM : Supply Chain Management

MRP : Material Resources Planning
CAMMS : Computer Aided Maintenance
Management System
e-AM : Enterprise Asset Management
CRM : Customer Relationship Management

* SCM = MRP / CAMMS = e-AM

CRM vs SCM vs ERP vs EAM

Customer
Relationship
Management

Sell

Develop

Supply Chain
Management

Plan
Market

e-AM + ERP

Procure
Service

Manufacture
Fulfill