e-Negotiations and e-Auctions Across Industries
One of the most common questions asked of our organisation is
'have you run auctions in our industry?' Whether the answer is yes or no, one thing all industries have in common is an indirect spend. Whatever the industry, indirect categories are often the first to be considered for e-Negotiation. This is due to a number of factors including lower perceived risk to the business, less critical supplier relationships and direct management of the spend.
Our recommendation is always to walk before you run. Take a relatively straightforward indirect supply that you control. The successful outcomes of the first auctions provides the confidence and internal proof needed to take this to other stakeholders in the organisation.
The Top Ten Indirects
The following list (in no particular order) represents ten of the most common indirect items that are put through e-Negotiation. For certain industries some of these categories are regarded as directs or critical to the organisation, for example distributors are likely to regard couriers as critical to their business.
- Recruitment services
- Telecom charges - fixed and mobile
- IT hardware - Servers, desktops, laptops, MFDs, printers
- IT software licensing
- Office furniture
- IT consumables
Industry specific or specialised items can also be considered once familiarity and confidence in e-Negotiation usage is achieved by the buying organisation. The primary questions remain the same, can it be clearly specified and is there adequate competition? As e-Negotiation specialists, we make no claim to have any expertise in your industry and so we work closely with your subject matter experts to build an auction that accurately reflects the contract in question.
To show just how specialised items can be, the following list of auctioned items (through various e-Negotiation providers) includes a few unexpected categories:
- MRI Scanners
- Pigs ears
- Ejector seat components
- Bakery mixes
- Bathroom suites
- Packaging and labelling
- Court reporting and transcription services
- Fabric cutting services
- Airline ground handling services
- Cleaning chemicals
The list is as varied and obscure as the requirements of industry. For every industry or category specialist, there are items that they recognise as less strategic and possibly over priced. In those situations, e-Negotiations provide an efficient and fair way to establish true market price.