Saner Tanju Atis_ Strategic Procurement
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  • 1. Lean Strategic Procurement Management of Construction CONFIDENTIAL – Saner Tanju ATIS
  • 2. 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 Page 2
  • 3. What is Lean Strategic Procurement ? 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.  Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 3
  • 4. 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. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 4
  • 5. Process steps in Procurement LEAD PLAN The Master Key BENCHMARKING OPERATE IMPLEMENT Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 5
  • 6. Decisive Value Value – Driven... Core steps Procurement Effectuality Process Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 6
  • 7. A Pillar of Solicitation Category Eligibility Criteria Pillar of Scale Obligatory Qualified datas Financial Bids Requisition Created P r i c e Q u a l i t y CONFIDENTIAL – Saner Tanju ATIS
  • 8. Sole Source Procurement Proprietary Particular Technical Factors Superior Standarts Technıcal cost/evaluatıon Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 9
  • 9. Sole source Procurement  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. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 10
  • 10. Procurement Cycle Sourcing Cycle Award of Recommend Fulfilment Evaluation Negotiation Creation of Request Apraisal of Supplier Global Suppliers Award Commitment Point Bid Invitation Quotation Entry Set off Cycle Flow Informations Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 11
  • 11. 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. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 12
  • 12. 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 Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 13
  • 13. 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 Powerpoint Page 14 Surface CONFIDENTIAL – Saner Tanju ATIS Examination Templates
  • 14. 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. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 15
  • 15. Project Project Requirements Requirements Equipment Items Engineering planing Material Groups Yes Material Catalague Piping Items E&I Items No Material Subgroups Additional Product Catalague Sevice Supplier Approval No Disqualification ePayment Yes RFQ Biding, Negotiation Evaluation, Selection eOrder, Tracking System Interface Packing & Transport Agent Delivery data transfer via file transfer FEEDBACK No Yes Inventory Management Accounting CONFIDENTIAL – Saner Tanju ATIS
  • 16. ORDER MANAGEMENT..... Integrated Execution SUPPLIERS Supplier 1 Login Material Division Groups . Mechanical,Chemical, Supplier 2 . . . . Equipment,Electrical, Logistics and Packaging,,External Services.............. Data Workflow CONFIDENTIAL – Saner Tanju ATIS Supplier N
  • 17. Scope of Supplier Questionnarie HOW do you know your VENDORS??? ASSESSEMENT CRITERIA!!! Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 18
  • 18. DECISION MATRIX CRITERION GENERAL DETAILS FINANCIAL DETAILS DETAILS OF PRODUCTS AND SERVICES PREMISES INDUSTRIAL A RELATIONS DESIGN FACILITIES QUALITY ASSURANCE AND QUALITY CONTROL HEALTH, SAFETY & ENVIRONMENTAL POLICY AND ORGANISATION PLANNING B SAFETY ORGANISATION ACCIDENT INVESTIGATION AND RECORDS SUBCONTRACTORS RISK ASSESSMENT COSHH ASSESSMENT NOISE ASSESSMENT C MANUAL HANDLING PLANT AND EQUIPMENT PERSONAL PROTECTIVE EQUIPMENT CONSTRUCTION HEALTH AND SAFETY DESIGN AND MANAGEMENT HEALTH, SAFETY AND ENVIRONMENTAL TRAINING D INSPECTION AND AUDITING HEALTH, SAFETY AND ENVIRONMENTAL RECORD INSURANCE DETAILS CRITERION WEIGHT = %? 100 % ASSESSMENT Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 19
  • 19. 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’ Lists Preparation of Specific Bid Packages Bid Period Communications Receipt of Bids Bid Evaluations Collecting and analyzing Datas to goals of achieve. Sub-contract Award Recommendations and Approvals Sub-contract Pre-award Meetings Discussed and aggred with the successful Bidder. Sub-contract Awards The eligibility of the proposals ,Designate liabilities including Legal conditions. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 20
  • 20. Supplier Selection Initial Pre-qualification Concurrent Resolution Commit to result of supply Recommendation approval of awards Negotiation < 20 RFI RFP Supplier s Approval < 100 invited > 70 responded >70 invited < 50 responded RROB < 40 Review x All issues - Bids Approval of % Vendors ? RFI Criterias •Questionary Check list Details. Safety, capability.... S Y Negotiations 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 X Minimum Zone Receipt- Review Of the Bids •Technical and commercial Assesment %50=%50 CONFIDENTIAL – Saner Tanju ATIS •Exceptions •Resolved issues X Suppliers..... < 10 %. Essential Benefits •Cost Savings •Compliance Sch •Effective Purchasing
  • 21. Supplier Information Tracking System Supplier P – multi step process /Activities lan Lead off Tracking Scope Definition Constitute Supplier Program Strategic Impact Define Supplier Strategy Collaborate Cut off Prerequisite Idetify Metrics Prevent Recurring Problems Supplier Qualifications CONFIDENTIAL – Saner Tanju ATIS Essential Features Measurement Global Rate & Rank Compliance Analyzing Performance
  • 22. DATA Flow and Sources of Information Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 23
  • 23. Samples Dashboards Supplier Issue Trend Supplier Issues by Type Issue by Parts Suppliers By Country Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 24
  • 24. • Supplier Score Card Supplier Score Card Supplier Information: Supplier No Supplier Name Supplier Contact Contact No A112 AXK CO. Robert HUANG Website 886 4 5655656 Scores: Category Quality system Issues / NC Material handling/ package Scheduling Logistics system Engineering and Technical support Communication Description Points System Certification/Testing/Reject rate 8 Low/Medium/High 6 Qty over/under,Delivery early/late 7 Order /delivery schedule, on time delivery 6 System Shipment / Track actual Overseas/air/Truck 7 Corporate design/services/application/resolution/ testing 7 feedback / effectiveness 8 49 TOTAL SCORE Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 25
  • 25. Conclusion-Closing •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. Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 26
  • 26. Closing Open Discussion Questions Saner Tanju Atiş saneratis@yahoo.com Powerpoint Templates CONFIDENTIAL – Saner Tanju ATIS Page 27