i sourcing.ppt

7/27/2019 I sourcing.ppt

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Oracle Sourcing


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Agenda

Overview

Features

Negotiations Using Request For

Quotation (RFQ)

Request For Information (RFI)

Auctions


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Oracle Sourcing is a complete and integrated global sourcing platform which

allows buyers to optimize the supply base, reduce sourcing costs, improve

supplier relationships, and source for best value.

Oracle Sourcing is the application that improves the effectiveness and

efficiency of strategic sourcing. It is a key component of Oracle Advanced

Procurement, the integrated suite that dramatically cuts all supply

management costs.

Oracle Sourcing helps an Organization streamline the sourcing process with

end-to-end business automation by providing an easy-to-use, web-based

platform for both the buyer and the suppliers to conduct negotiations.

It also provides a complete online help system to provide answers to

questions from both buyers and suppliers


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Sourcing Features

With Oracle Sourcing, users can create reusable invitation lists (i.e.Suppliers Lists). Suppliers are classified based on some common

characteristics i.e. Suppliers for Handsets, Suppliers for Batterys etc.


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Negotiations Using Request For Quotation

(RFQ)


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Terminology RFQ: Request for Quotation

Quotation: A response to a RFQ

Styles of RFQ: Blind and Sealed

Blind : In a blind auction or RFQ, only the creator of theauction or RFQ can see the bids

Sealed: In a sealed auction or RFQ, the auction or RFQ

creator cannot see the bids or quotations until the auction or

RFQ is unlocked. The participants in the auction or RFQ

cannot see the bids or quotations until the auction or RFQ isunsealed.


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Request For Information (RFI)


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Request For Information- RFI RFIs are used for gathering information from Suppliers about

goods and services.

In RFIs buyers can choose to define negotiation line items

without price and quantity.

Buyers can specify the lists of criteria to which suppliers must

respond.

For Ex: An Organization is trying to acquire a Purchasing

Application.

The level of product support a supplier can provide. The specific platforms the product can run on.


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Request For Information- RFI- Contd RFI can be taken for multiple rounds of information

gathering.

To take an RFI to a new round, it must first be closed.

On the Negotiations Summary page, select Start New

Round to be chosen from Actions menu.

Once the suppliers have been identified, the RFIs can

be closed, and the information gathered can be used to

create a RFQ or Buyers auction.


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Auctions

Oracle Sourcing allows buyers to conduct

auctions for goods or services.

A response to an auction is called a bid.

Auctioners can chose whether to allow

multiple rounds of bidding.

Styles of auction: Open, Blind and Sealed


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Auction Styles

Open In an open auction all Exchange members participating in the

auction can see the bids in the auction, though the bidder identityis concealed.

Open auctions encourage competition among bidders to submitthe best possible price.

Blind In a Blind auction only the creator of the auction or RFQ can see

the bids.

Sealed In a sealed auction the creator cannot see the bids until the

auction is unlocked.

Participants in the auction cannot see the bids until the auctionis unsealed.


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Types of Bid

Proxy Bidding Proxy bidding allows the Exchange to automatically re-bid on

the bidder's behalf whenever a competing bid price beats the

bidder's bid price within a set limit.

Power Bidding Power bidding allows bidders to streamline their re-bidding

when they have bid on several items in the same auction using

power bidding, all of a bidder's bids (both losing and winning

bids) in an auction will be improved by the percentage the

bidder enters in the "Power Bid" field.

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