Cast a Wider Net Using World Class Bid Gathering and Bid Analysis Tools
Optimization is the process of collecting and evaluating supplier proposals to arrive at the best possible sourcing solution that meets all the buyer’s needs. This process reaches out to current and prospective suppliers encouraging all to be creative and innovative. Optimization uses state-of-the art computer based tools that give suppliers an online platform for submitting proposals in a “non-auction” environment and enabling buyers to thoroughly evaluate hundreds or even thousands of potential supply matrices.
Two Optimization features work together to deliver breakthrough sourcing results:
1. Expressive Bidding – enabling and encouraging suppliers to propose alternatives and make conditional offers
2. Scenario Analysis – evaluation of all supplier input including Expressive Bids under an unlimited number of possible sourcing combinations and “what if” conditions while clearly quantifying the cost impacts of each option considered.
Whether your supply matrix is complex in terms of number of suppliers, number of items, number of using locations or all of the above, the optimization process can deliver for you. For example, consider having dozens of suppliers bid on hundreds of items…we have seen our clients utilize optimization and save 25% or more!
As a best practice, work with a partner who can help your organization analyze spending and customize an approach that best meets all your quantitative and qualitative needs to insure the best possible value.