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21 February 2013 | Anna Reynolds
Severn Trent Water has adopted an e-sourcing programme for its UK water-services division to drive efficiencies within procurement.
The five-year contract with BravoSolution began in December 2012 and has now been expanded to include supplier performance management to ensure Severn Trent’s top 100 suppliers meet negotiated savings and targets.
Instead of buyers registering supplier details on their behalf, the new system will enable suppliers to register directly for large tenders on Severn Trent’s portal. The company is also looking to implement a contract management module as part of a risk and compliance initiative. This will help with forward planning by keeping track of when contracts are coming to an end and scheduling when a new round of tendering needs to begin. It will also act as an electronic storage system, holding key contract data.
Terry Moynihan, e-sourcing manager, supply chain and procurement at Severn Trent told SM that the system brings together supplier relationship management, contract management and spend analysis under “one functional umbrella”.
Moynihan said: “Unlike historic e-sourcing systems, which were largely limited to tendering events, this new programme will bring a consistent approach across all of our strategic procurement activities. It will enable new starters in the team to get up to speed more quickly and will mean the procurement department can focus on value-add projects rather than administrative duties.”
Severn Trent’s procurement team of 50 is based at the companies’ headquarters in Coventry.