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| Internet-Enabled
Group Purchasing: Get A Buy With A Little Help From
Your Friends |
by
Pierre Mitchell
AMR Research Report, February 2002
"In rudimentary group purchasing scenarios, multiple
corporations band together for a single sourcing event
and then individually load their e-procurement systems
with one-time contract data. More advanced processes,
however, demand better support for capabilities, such
as multi-tier spending analysis, contract compliance,
rebate management, complex pricing, and drop-ship support."
"While the scenarios seem straight forward, the detailed
accounting, exception management, complex transportation
management, and external user support are not easily handled
within an Enterprise Resource Planning (ERP) system. Here
are some alternatives: — Retooled trading exchanges
— Steel exchange E-Steel has morphed itself into
a hosted PTX provider Newview. The company is executing
a very successful multi-tier, drop-ship model with Ford.
Ford acts like a distributor by drop-shipping steel from
steel mills to its stamping suppliers, and then keeps
the difference between the price the stamper can get from
the mill versus the price that Ford can command."
For more information on this report and AMR Research,
please visit www.amrresearch.com. |
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| "Newview...
had immediate positive impact for Ford and our supply partners."
Director of
Global Raw
Material Procurement, Ford
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