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Marketline solution

The e-purchasing solutions of T-Systems Marketline contribute to the growth of efficiency of the procurement processes and reduce the time and costs invested in procurements. The purpose of eAuction service is to support competition of the best suppliers and best offering parameters while the integrated procurement and supplier applications also help to optimize future ordering processes by channeling the communication between the buyer and supplier to an electronic path. 

Procurement eAuction service  

The eAuction service of T-Systems Marketline is a tool of procurement support and decision preparation by which a company can ensure the best market conditions for its procurements. eAuction is a real-time online bid where invited bidders compete in a private tender invited by the organizer.  

To whom do we recommend the Procurement eAuction service of T-Systems?  

To any company or state institution who procure either strategic or auxiliary products or services from the market, as by using the e-auction service they can

  • reduce purchase prices, or negotiate more favorable procurement conditions (quality, terms of delivery, etc.)
  • complete price negotiations within a much shorter time,
  • reduce dramatically the transaction costs of procurements
  • develop new supplier relations by exploiting the experiences of T-Systems Marketline

eAuction in public procurement  

Pursuant to the Government Decree 257/2007 as from January 1, 2008 the organizations who come under the effect of public procurement are also allowed to use procurement eAuctions which the regulations call reverse eAuction. Thanks to this decree the companies under the effect of the Public Procurement Act can also benefit from e-procurement the most significant advantage of which is the extent of achievable savings. If required, T-Systems Marketline can provide an expert of electronic public procurements as part of the service.

  • Identification selection of the suppliers
  • Inviting the auction
  • Implementation of the auction
  • Evaluation of the auction
  • Advertising the winner, contracting
  • The organizer defines the required scope of bidders, and requests the bidders not yet included in the auction system to register the system.
  • The organizer fills in the parameters of the auction in the eAuction system, attaches the necessary documents and invites the registered suppliers. The eAuction is a private tender and only those supplier can participate who had been invited in advance by the organizer. The suppliers may either accept or reject an invitation to the auction. The organizers will be notified automatically.
  • The bidders have an opportunity to make repeated offers during the auction. They do not know the competitors, and even do not know the number of participants. They can see only their own bids and the lowest current bids, and they are informed about their ranking compared to other bidders. If a supplier makes an offer in the last two minutes of the auction and the ranking changes, the period of auction will be automatically extended by 5 minutes. If no more bid is received by the end of the auction, the auction is over.
  • The organizer company evaluates the offers received, and makes a decision about the winner by taking into consideration his own aspects as well.
  • The organizer informs the bidders about the result, and makes the agreement to be concluded with the bidder making the most favorable offer.

Benefits of the standardized eAuction processes

Time saving

  • Invitation of the bids is simpler and shorter
  • The competition is concentrated where the offers of as many as 10-15 bidders can be treated in a negotiation of 35-40 minutes as the inviter negotiates simultaneously with all the bidders.
  • The bidders force down each other’s prices without intermediation, saving by that the troublesome work of the procurer therefore the process of procurement will be shorter.

Direct cost saving

  • Standardized procurement processes
  • Weighting of the bidding parameters makes possible the implementation of even more complex decision-making criteria ( e.g. supplier qualification)
  • New procurement processes can be created
  • Unchangeable documentation: every bid offer and communication is documented
  • The documents can be saved

Optional services  

Multi-parameter auctions

The multi-parameter module of T-Systems Marketline is offered to those companies who invite bids for the suppliers of complex, strategic products. 

In these complex cases price for value cannot be featured by one single parameter, therefore the organizer may define more than one parameter, (e.g. guarantee, term of delivery, term of payment) and may define various rules of evaluation for the parameters. 

It can ensure comparison even in the case of complex procurements, and as a result of real-time evaluation the supplier offering the best price for value can be selected.

Call for bidding (ATF)

T-System eAuction website provides an opportunity for publishing tender invitations, where any supplier can submit an application. In case the parameters of a particular company are acceptable according to the criteria of the organizer company, the registration is accepted, and the bidder’s offer can be requested electronically.

The process of ATF (Call for bidding):

  • The organizer uploads the tender documents to the following website: www.marketline.hu
  • The supplier companies accept the conditions of the bid and register
  • The tender documents can be downloade
  • The Inviter and the Bidder contact each other
  • The suppliers upload their offers
  • The procurer invites an eAuction

Integrated procurement and delivery applications  

The companies who enter the virtual marketplace as buyers , besides organizing one-time auctions can also develop an integrated procurement  and supplier system. These services add significant value to the internal operation of the company  by simplification, increased speed and transparency of the processes.  

To whom do we recommend the procurement and supplier services?  

To companies of multiple sites and complex hierarchy, state-owned companies with centralizedprocurement, who want to manage their orders and the related invoices electronically. 

The solution  

The integrated procurement system is an Internet-based procurement solution which makes possible an internal requesting, automatic verification and electronic ordering process. 

The solution package we offer contains the necessary IT components - hardware, software elements, complete PKI infrastructure – and the IT, economic and legal background necessary to the development and usage. All these are easily available as one-stop services for the companies using the service. 

The system makes possible the development of customized work processes tailored to the needs of the customers and provides for an integrated documents processing in the IT systems of the partners both on the customer and on the supplier side. 
 

What are the benefits of using the service?

  • Procurement costs of the products and services decrease
  • Warehousing costs decrease
  • The time required for the transaction and administration decreases
  • Volume –based discount can be achieved through consolidated procurement
  • The solution provides for the electronic mapping and automation of procurement processes
  • A central control can be developed in the procurement of materials and services of own financing.
  • Goods can be delivered directly to the cost center without the need for warehousing.
  • Procurement can be consolidated in different plants or on group level as well.
  • Illegal procurements can be sorted out.