V.A.L.U.E. OF THE MONTH June 2010

V.A.L.U.E. OF THE MONTH
June 2010
7.
How To Increase The Scope of Purchasing
PurchTips - Edition # 202 April 20, 2010
By Charles Dominick, SPSM
It's not uncommon for suppliers to charge different
departments within the same organization different
prices when they can get away with it. By having the
purchasing department provide center-led oversight,
the organization can have more assurance that all
departments are benefiting from the organization's
leveraged buying power.
Submitted by:
Robert Barwick
City of West Allis
What Justifies An Increase In Purchasing Scope?
Getting more spend under a purchasing department's
management is a common goal. Achieving it often
requires using points like these to convince senior
management to support a change…
1.
Purchasing personnel are measured on their
performance of purchasing processes. Other
departments are measured on different
contributions to the organization. Assigning
purchasing responsibility to these other
departments keeps them from spending time on
their primary functions within the organization.
2.
Purchasing personnel are trained in cost savings
techniques like negotiation and strategic sourcing.
Engineers, department heads, and other internal
customers are typically not, which can lead to paying
higher prices.
3.
The purchasing department has savings-generating
tools, such as eSourcing systems, at their disposal.
Other departments do not.
4.
The purchasing department is good at identifying
alternatives, then guiding the organization to select
the best option. Too often, internal customers just
go with the first supplier found, committing the
organization to a suboptimal arrangement that
endures for years.
5.
By working with all departments, the purchasing
department is aware of enterprise-wide standards.
As such, it can leverage aggregated volume for lower
costs, minimize inventory, and avoid pitfalls
previously identified with competing products.
6.
Purchasing personnel are trained at evaluating
supplier viability. Engineers, department heads, and
other internal customers are not, which can result in
the selection of a supplier that goes out of business
during the course of the relationship.
Stainless Steel Pipeline
Repair Clamps
The contract for Stainless Steel
Repair Clamps has been extended for two years with
PowerSeal Pipeline Products. Please go to the V.A.L.U.E.
website for a price schedule and ordering information.
Here is a list of those agencies that have participated in
the V.A.L.U.E. Repair Clamp bid in the past few years.
City of Brookfield
Cedarburg Light & Water
Fox Point Water Utility
Grafton Water Dept.
City of Milwaukee
City of Port Washington
Village of Shorewood
City of Wauwatosa
Brown Deer Water Utility
Cudahy Water Utility
City of Glendale
Men Falls Water Dept.
Oak Creek Water
Racine Water &
Wastewater Utilities
Waukesha Water Utility
City of West Allis
Submitted by
Robert Barwick
City of West Allis
True Cost of Energy Procurement
Negotiating the Contract:
Getting to Yes
Pricing: $75 Members / $105 Non-Members
Date and time: June 21, 2010- 12PM ET - 1:30 PM Presented
by: Sharon Lewis, CPPB, VCO, A.P.P.
Registration Deadline: June 16, 2010
There are several key points in the RFP and contracting
process where negotiation is critical. Whenever you are
negotiating, principled negotiation required that you invest
60% of the total time planning for the negotiation. This
webinar focuses on how to be a well-prepared negotiator
following the framework established in Getting to Yes which
has been adopted by the UPPCC for the October 2010
certification exam.
At the end of this introductory level Webinar, students will
be able to:
• Identify four principles of negotiating and describe how
to plan for them.
• Describe techniques of principled negotiating.
• Identify common negotiation mistakes.
Maximize Savings with Automated Payment Solutions:
pCards, EFTs and ACH Transactions
Pricing: $75 Members / $105 Non-Members
Date and time: June 24, 2010 - 12 PM - 1:30 PM
Presented by: Debbie Hamel
Registration Deadline: June 21, 2010
Today, many agencies are being challenged to balance tight
budgets while meeting growing demands on limited
resources. Advanced technology and automation, combined
with the best payment methods, enable agencies to
maximize cost savings and to meet compliance requirements.
Knowing the payment instruments available, the unique
benefits of each method, and when to best leverage them
will improve your agency’s strategy for success and savings.
This session will focus on pCards, EFTs and Automated
Clearing House (ACH) transactions.
Upon successful completion of this Webinar participants will
be able to:
• Streamline AP processes by leveraging pCard, EFT and
overall automated solutions guaranteed to save your
agency money and improve the bottom-line.
• Recognize when to use electronic payments, how to
calculate costs and benefits and overcome common
challenges.
• Learn to overcome the challenges of assessing and
buying AP technology.
• Monitor and audit agency pCard and EFT transactions.
• Advise the agency on strategy and tactics for the proper
use of pCards and EFTs and how to proactively maintain
compliance with policies and regulations.
Pricing: $75 Members / $105 Non-Members
Date and time: July 22, 2010 - 12 PM - 1:30 PM
Presented by: Bob Wooten, Director of Strategic Solutions,
Tradition Energy
Registration Deadline: July 16, 2010
This Webinar will provide attendees with an understanding
of the true cost of power and energy procurement best
practices. In today’s climate of shrinking budgets and
mandatory cutbacks, it is essential that governmental entities
take advantage of every opportunity to control and lower
overhead and operating costs. Energy represents a
significant operating cost for many state and local
governments. The increase in deregulation of electricity and
natural gas markets nationwide creates a unique opportunity
for any entity to seek and secure competitive supply of
energy; resulting in contracts more specifically tailored to
their needs and lowered costs for the actual energy
commodity itself. During this webinar, attendees will learn
the factors driving energy volatility and the best practices for
managing commodity procurement.
Upon successful completion of this Webinar participants will
be able to:
• Have a better understanding of energy volatility and
how creating an energy procurement strategy will help
control overall energy costs.
• Know how to identify those energy markets that will
allow development of a customized energy contract.
• Be able to source a contract that fully meets the energy
needs of your jurisdiction.
To register by fax (download registration form), otherwise
register online by selecting registration button.
http://www.nigp.org/eweb/StartPage.aspx?Site=NIGP
&webcode=pd-ep-wb-webinars
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V.A.L.U.E. Monthly Planning
Meeting Minutes
Confiscated items used to have to be sold at auction on site
with law enforcement personnel present. With this new bill
these confiscated items can now be sold over the internet.
II.
Ongoing/Unfinished Business
A. Update on disaster situations – Karen has
completed and will forward to Dawn Gurda.
1. Feedback & review of 2010 annual meeting –
Laurie informed the committee that she is working
on the survey and hopes to get it out in the next
couple of weeks. Robert to forward some free
surveys she can use to complete this task.
2. Ideas for 2011 annual meeting
a. Disaster planning preparation
b. Future of Law Enforcement vehicles
c. Follow up on green items
d. Motivational speakers
e. Webinar which will tie into our annual
meeting timeframe (maybe NIGP speaker).
Karen and Vera will be attending the NIGP
forum in August and will come back with
possible ideas
f. Possibility of other locations for the
meeting due to road construction
i. Olympia - Oconomowoc
ii. Double Tree – Brookfield
iii. Lake Geneva
iv. Waukesha
B. Strategic planning - Robert shared that the updated
brochure has been completed as well and the
development of the new member packet and the new
membership directly. Robert also shared that Door
County is now a member of V.A.L.U.E.
III. Bid Reports/Updates
A. Review V.A.L.U.E. Contracts Listing for updates and
discussion items – the current listing was reviewed.
Karen to add copiers to the State of Wisconsin bids
available for piggybacking.
May 19, 2010
B.
Attending: Robert Barwick, Roy Hartmann, Jean Kienzle, Jim
Bembenek, Karen Bollinger, Winona Marshall, Vera Butts,
Monique Jones, Erika Wendelberger, Nick Cramer, and Laurie
Dudley
I. Common Solutions
Robert Barwick addressed the committee to see who is
currently using Demand Star and how the system works.
Karen Bollinger informed the committee that Demand Star
will respond electronically and will tabulate the results for
you. Demand Star is simply another avenue for posting bids
other than Vendor Net. A question was brought up as to
what members are using for the disposal of surplus property.
Thomas Net – can do reverse auction and you can list smaller
quantities. Wisconsin Surplus – private company to use for
surplus equipment.
The Governor just signed a bill for auctions from
Propertyroom.com to now be open for piggybacking.
New Bid Opportunities
1. Green Products Bid – Janitorial – Roy thought
there was a state contract for this and he will check
on. Also www.buyingbetter.org was given as a
suggestion to buy green products from.
IV. New Business
A. Review of Committee Member Roles – it was
recommended to remove “Ad Hoc Committee” or list
the Planning Committee as member
Items for next meeting – review sites online for video
clips/scrolling news to possibly add to the VALUE website for
current events or member benefits in lieu of current video.
Laurie will forward several sites to Robert to review prior to
the next meeting.
Submitted by:
Laurie Dudley
School District of Waukesha