A dramatic digital transformation programme with “impressive tangible results” netted the top prize for petrochemicals firm SABIC at the CIPS Middle East SM Awards 2019 at the H-Hotel Dubai on Monday.
As well as taking home the overall award, SABIC won category awards for Most Improved Procurement Operation – Step Change and Best Process Improvement Initiative.
The company, headquartered in Saudi Arabia, went from having very little automation to 1m core procure-to-pay automated transactions for around 180,000 low-value spot-buy items in just a few years.
SABIC saw multiple benefits from its complex, bespoke automation and algorithms, which were designed to mimic buyers’ decision-making processes. In its award entry the company said the ‘robotisation’ of multiple processes had “truly changed the way SABIC handles spot-buy purchasing for materials”.
Now, more than 80% of the purchase orders for maintenance, repair and operations are managed with automated processes rather than by a human, eliminating low-value transactional work and enabling buyers to work on more tactical procurement and category management. The project also brought the company savings of 8% from competitive bidding and has reduced supply lapse time by 73%.
Awards judges praised the winning procurement project for its “impressive automation, driving savings and efficiencies” and its “tangible benefits across a wide range of metrics”.
The CIPS Middle East SM Awards 2019 winners
Overall winner
SABIC
Best Contribution to Corporate Responsibility
Winner: Atlantis The Palm Limited
Project: Atlantis Cares, Green Globe commitment
Best Contribution to the Reputation of the Profession
Winner: Emaar Properties
Project: # CHALLENGING REALITY
Best Cross-Functional Teamwork Project
Winner: Expo 2020
Project: EXPO2020 Dubai
Best International Procurement Project
Winner: Emaar Properties
Project: # CHALLENGING REALITY
Best People Development Initiative
Winner: Turkcell
Project: Turkcell Purchaser Development Cycle
Best Process Improvement Initiative
Winner: SABIC
Project: Outsourcing of Global Master Data Management
Best Procurement Consultancy Project
Winner: Abu Dhabi Islamic Bank
Project: Digital Procurement
Best Procurement Diversity Initiative
Winner: Tecom Group
Project: Driving Sustainability through Local ‘Owned’ Suppliers and SME
Best Public Procurement Project
Winner: Department of Culture and Tourism
Project: Mother of the Nation
Best Supplier Relationship Management
Winner: Serco Middle East
Project: Medical Insurance
Most Improved Procurement Operation – Start Up
Winner: Majid Al Futtaim Ventures
Project: Revolutionizing Procurement & Supply Chain in Majid Al Futtaim Ventures
Most Improved Procurement Operation – Step Change
Winner: SABIC
Project: Procurement Digitalisation Programme
Most Innovative Use of Technology
Winner: Emaar Properties
Project: WAFER - B2B PLATFORM THROUGH MOBILE 24/7
CIPS Procurement and Supply Professional of the Year
Winner: Willean Master - G4S Secure Solutions
CIPS Young Procurement and Supply Professional of the Year
Winner: Adam Bektic
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