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The e‑procurement process



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[Chaffey, Dave] Digital business and E-commerce 2nd book

The e‑procurement process

To enable the company to order online immediately, 

RS put Cambridge’s  pre‑  Internet trading records on the 

web server. Purchasing agreements and controls were 

thus automatically set up on the Internet order form, 

including correct pricing and special payment terms.

The benefit was instantly apparent. The use of the RS 

purchase card when ordering from the website meant 

that the complete order was automatically collated, with 

all controls in place. Accuracy was assured and the pur‑

chase process was speeded up, with the cost per trans‑

action reduced significantly.

Pullen describes the change this has had on 

Cambridge’s purchasing process:



For the first time in our purchasing history, our finan‑

cial controllers saw the benefit of distributed pur‑

chasing because of the cost savings, reassured by 

the central purchasing controls as back‑up.

This has benefited us enormously. We have allowed 

three department heads to have their own purchasing 

cards, so that they can order independently from the 

website.

We have implemented a very efficient electronic 

workflow requisition system which is initiated by the 

purchase card holders and mailed to central purchas‑

ing. The orders are held in a mailbox and checked 

against physical delivery. This has cut out two layers 

of order activity.

In purchasing, we no longer spend our time passing 

on orders that they have raised, and there is no gen‑

eration of paper during the order process. It doesn’t 

just save time and money – it’s also far more environ‑

mentally friendly. Passing on  low‑  value orders each 

day adds very little value, so devolving this function 

back to our internal customers frees up our time in 

purchasing to work on  higher‑  value tasks.


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