Saner Tanju Atis_ Strategic Procurement

Lean Strategic Procurement

Management of Construction

CONFIDENTIAL – Saner Tanju ATIS

Powerpoint Templates

AGENDA• What is Lean Strategic Procurement ? • Why is Strategic Procurement important?• Value – Driven Procurement;Processing Steps• Solicitation Methods• Sole source Procurement• Procurement Cycle• E- Procurement• Scope of Supplier Questionnarie• Formulation of Sub-contracts Process• Supplier Selection • Supplier Information Tracking Ssytem• Closing


Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS

Procurement is not gathering of Resources.... .... It is known how to get acquisition.

Continuity process, frequentative system with interrelated steps that function interoperation.

............. Teamwork closely with suppliers to develop mutually beneficial ........... Drive Supplier performance and continuous improvement .......... Never dissuade, lock on the direction of your target with fulfilling

organization. ......... Interrogation of the database should be equivalent the sense of

acting fair. .......consists of applying the correct sourcing strategies ......... Constitute in each core business strategy.

Lean Procurement is the execution of Operation, Manage , Deliver to maximize the benefit and an effectiveness stipulated terms.

StrategicProcurement must develop management of Total Cost.

What is Lean Strategic Procurement ?


Why is Strategic Procurement important?

Develop us analytical capabilities and skilled negotiation; Build us to confidence about Supplier relationship bonding; Benchmark to learn from superior role models; Give us Passion to pursue excellence; Dedicate ourselves to innovation & product development; Thrive upon constant learning & knowledge updating process;

Contribute to effective value creation of thought that.... * Develop to Co-creation experience with suppliers. * Focus on the quality values and norms. * Improved perspective of teamwork and communication. * Foster innovation with emphasis on value addition.



Process steps in Procurement

The Master KeyLEAD PLAN

BENCHMARKING

OPERATE

IMPLEMENT



Procurement Effectuality Process

Deci

sive V

alu

e


Value – Driven... Core steps

Q u a l i t y

P r i c e

Financi

al

Bid

s

Requisition Created

Pillar of Scale

ObligatoryQ

ualifi

ed

data

s

Eligibility Criteria

A Pillar of Solicitation Category



Proprietary

Sole Source Procurement

Particular

Technical Factors

Superior Standarts

Technıcal cost/evaluatıon



Proprietary ---Only one supplier of the product or service exists. Particular ---The product or service provided by a particular

supplier is specified because the technical factors involved require a specific design or performance in order to accomplish the desired result.

Superior Standarts ---The product or service must meet superior standards as to be proven grade and reliability.

Technical Factors ---The product or service is required for use in combination with existing equipment and substitutes cannot be used for technical or physical reasons

Technical cost/evaluatıon---A supplier can meet the technical requirements of a combination of specifications at a significant cost an/or timesaving to the project.

The contemplated procurement is required to meet an emergency.

Favourable pricing vis-à-vis budget/target cost can be negotiated for technically acceptable equipment.

Sole source Procurement



Procurement Cycle

Set off Cycle Flow Informations

Sourcing Cycle

Fulfilment

Bid Invitation

Award of Recommend

Evaluation

Creation of Request

Quotation Entry

Apraisal ofSupplier

Negotiation


Global Suppliers

Commitment Point

Award


Creation of Request.... The truth of the matter is that request is something that one has to create and possibly capture it to put it to right use.

Appraisal supplier..... To measure maximize supplier conditions, as project demands. Outline standarts circumstances.

Bid Invitation..... Prerequisites, technical and financial separate with Tender documents ,deadline.

Quotation Entry..... Receipt, Opening, Recording and Transmittal of the Proposals Compare and contrast, evaluation of Essential sources,

Negotiation..... Build relationship, Focus with knowledge and decision, Bargain.


Evaluation ..... Engineering Review ,Technical Bid Comparison, both commercially and technically acceptable Collecting and analyzing Datas to goals of achieve.

Fulfilment ..... Fulfill the project’s requirements , Negotiations with Bidders ,contains all items discussed.Derive all datas with integrated essential assesments.

Award of Contract .... The eligibility of the proposals ,Designate liabilities including Legal conditions. Selection for Recommendation to Award and Purchase Order Commitment



ORDER MANAGEMENT......

• Order Administration • File Documents Inquiry Files Order Files Purchase Orders • Reporting The Procurement Activities Computerized System • Expediting • The Shipment Status Report • Receipt and Acceptance of The Materials • Material Certification and Traceability Surface Examination• Payment Approval



E- PROCUREMENT

Electronic Implementation Of the Procurement Module .....

•Improved multi-factor Efficiency and effectiveness.•Reduction in Costs and Processing in time for Tenders.•Online Transactions with departments.•Better Reach to Database of Material Cataloque.(Services,goods...)•Improvement of work flow progress.•Continuously Measure and Manage Supplier Performance.•A virtual elimination of paperwork and paperwork handling.•Spend less time on processing of purchase orders and invoices, and more time on strategic value-added purchasing activities.•Improved communication both within the company and with suppliers.•Faster order-cycle time from purchase requisition to delivery.•Online collaboration with vendors.


Evaluation, Selection

Engineering planing

RFQ

Approval

E&I Items

Equipment Items

Piping Items

Material Groups

Additional

Delivery

Material Catalague

Yes

No

Supplier

Biding, Negotiation

Inventory Management

Yes

eOrder,Tracking System

ePayment

Project Requirements Project

Requirements

Material Subgroups

Packing & Transport Agent

data transfer via file transfer

FEEDBACK

Yes

No

Interface

Product Catalague Sevice

No Disqualification

Accounting


ORDER MANAGEMENT.....

Integrated Execution

.

Data Workflow

Login Material Division Groups. Mechanical,Chemical,

Equipment,Electrical,Logistics and

Packaging,,External Services..............

Supplier N

SUPPLIERS

Supplier 2

Supplier 1

.

.

.



HOW do you know your VENDORS???

Scope of Supplier Questionnarie

ASSESSEMENT CRITERIA!!!



DECISION MATRIX

GENERAL DETAILS FINANCIAL DETAILSDETAILS OF PRODUCTS AND SERVICES PREMISESINDUSTRIAL RELATIONS

DESIGN FACILITIESQUALITY ASSURANCE AND QUALITY CONTROLHEALTH, SAFETY & ENVIRONMENTAL POLICY AND ORGANISATIONPLANNINGSAFETY ORGANISATIONACCIDENT INVESTIGATION AND RECORDS

SUB-CONTRACTORSRISK ASSESSMENTCOSHH ASSESSMENTNOISE ASSESSMENTMANUAL HANDLING

PLANT AND EQUIPMENTPERSONAL PROTECTIVE EQUIPMENTCONSTRUCTION HEALTH AND SAFETYDESIGN AND MANAGEMENTHEALTH, SAFETY AND ENVIRONMENTAL TRAININGINSPECTION AND AUDITINGHEALTH, SAFETY AND ENVIRONMENTAL RECORDINSURANCE DETAILS

CRITERION

100 %

A

D

C

B

ASSESSMENT

CRITERION WEIGHT = % ?



Formulation of Sub-contracts Process


Preparation of the Sub-contract Plan Derive all datas with integrated essential assesments.Preparation of the Master Sub-contract Package (SCP) Project specific requirements Preparation of Bidders’ ListsPreparation of Specific Bid PackagesBid Period CommunicationsReceipt of BidsBid Evaluations Collecting and analyzing Datas to goals of achieve.Sub-contract Award Recommendations and ApprovalsSub-contract Pre-award Meetings Discussed and aggred with the successful Bidder.Sub-contract Awards The eligibility of the proposals ,Designate liabilities including Legal conditions.

Supplier Selection

RFISupplier s Approval

< 100 invited

> 70 responded

Initial Pre-qualification

Approval of % Vendors ?

RFP Criterias•Compliance with the requirements % 35•Cost % 30•HSSE % 15•Product range/ Service % 10•Risk analysis % 10 fianancial, Insurance,Labours•Questionary Check list Details

RFI Criterias•Questionary Check list Details. Safety, capability....

Receipt- Review Of the Bids•Technical and commercial Assesment %50=%50

Recommendation approval of awards

Concurrent Resolution

Negotiations

All issues - BidsX Minimum Zone•Exceptions •Resolved issues

Y S

Negotiation < 20

x

Commit to result of supply

RFP>70 invited

< 50 responded

RROB< 40 Review

X Suppliers.....< 10 %.Essential Benefits•Cost Savings•Compliance Schedule •Effective Purchasing


Supplier Information Tracking System

Constitute Supplier Program

Idetify MetricsDefine Supplier Strategy

Supplier Qualifications Analyzing Performance

Strategic Impact

Prevent Recurring Problems

Global Compliance

Measurement Rate & Rank

Essential FeaturesCollaborate

Scope Definition

Cut off Prerequisite

Lead off Tracking

Supplier Plan – multi step process / Activities



DATA Flow and Sources of Information



Supplier Issue Trend Supplier Issues by Type

Suppliers By Country

Issue by Parts

Samples Dashboards



• Supplier Score Card

Supplier Score Card

Supplier Information:

Supplier No Supplier Name Supplier Contact Contact No Website

A112 AXK CO. Robert HUANG 886 4 5655656

Scores:

Category Description Points

Quality system System Certification/Testing/Reject rate 8

Issues / NC Low/Medium/High 6

Material handling/ package Qty over/under,Delivery early/late 7

Scheduling Order /delivery schedule, on time delivery 6

Logistics system System Shipment / Track actual Overseas/air/Truck 7

Engineering and Technical support Corporate design/services/application/resolution/ testing 7

Communication feedback / effectiveness 8

TOTAL SCORE 49



•Raise Acquisitions with :

....... Provide easy access to the target beneficiaries............An appropriate output monitoring and reporting arrangement can be set up and resourced........... Improved the skills communication with suppliers..............Ability to develop cognitive skills as analytical ,creativity. .............Building an integrated technologies.

Transactions on information technology system :•The transmission, processing and utilization of sourcing Data informations.•Ability automatically techniques on Data transfers, sequences,detection and estimation, egilibility and drives results.

Conclusion-Closing


Closing

Open Discussion

Questions

Saner Tanju Atiş [email protected]


Saner Tanju Atis_ Strategic Procurement

Business

Transcript of Saner Tanju Atis_ Strategic Procurement