Hello Aribians! Today's Knowledge Nugget is on effective auction practices. I've broken this nugget into three essential parts. This is part 1 - Supplier base training best practices and buyers & suppliers bilateral rules for auctions. For parts 2 and 3 please follow the links at the bottom of this post. Enjoy!

 

1) Supplier Base Training Best Practices

 

  • One on one introductory phone call - take time to reach out and connect with your suppliers
  • Practice Event (require in all Open RFQ's)
    • Takes little effort to conduct but benefits are huge
    • Use a copy of the existing event
    • Require participation
    • Familiarize vendors with the bidding environment
    • Forces vendors to encounter event issues before event day
  • Supplier Training Sessions
    • Recorded Web Based Training 
      • Script the training
      • Record it
      • Require a viewing
  • Supplier User Guide
  • Online Help and Toggle Tips
  • Customized Hints and Instructions
  • Ariba Help Desk Support


2) Buyers & Suppliers Bilateral Rules for Auctions

 

(You must respect these Rules for eSourcing Credibility & Market Integrity)


Buyer Agrees to
Suppliers Agree to
1. Award only to suppliers who bid online1. Not submit new bids offline after the event
2. Only invite qualified suppliers to bid2. Bid as aggresively as they can
3. Award business for a lot in whole as described in RFQ3. Bid on entire lots as described in RFQ
4. Award business at prices bid online4. Submit all bids as legal quotations
5. Give low bidders a *fair look* to win the business5. Low bidder does not automatically win, factors other than price matter

 

 

This has been part 1 of a 3 part post. I hope it has been informative   and helpful. For posts 1 and 2 please follow the links below.

Post 2: Knowledge Nuggets: eSourcing Part 9: Auctions (2 of 3)

Post 3: Knowledge Nuggets: eSourcing Part 9: Auctions (3 of 3)

                                                                                 

 

This has been another Knowledge  Nugget post brought to you by Beverly Dunn.

For more  information or details please feel free to contact me!