A01 chaf6542 06 se fm indd



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

Benefits for staff

Francis Pullen continues: ‘Our internal customers are 

also much happier. We leave at 6 p.m. but the engi‑

neers will often work late if they are on a deadline. 

Because they can order off the website from their 

desks (everyone at Cambridge has Internet access), 

they can add items to the order right up until RS’s 

8 p.m. deadline without our involvement. We main‑

tain control because of the reporting functions on  

the site.’

Phase 2 of the rswww.com design has also made it 

possible for multiple orders to be opened during the day 

and then put against different cost centres internally.

Results

In the year to June  1999, Cambridge Consultants 

placed 1,200 orders with RS Components, totalling 

more than £62,000 in value. Of those transactions, 

95% went via the Internet. Average order value over 

the Internet was £34 and accounted for £43,000 of 

the total business done. The remaining 60 orders were 

placed through traditional channels but had an average 

value of £317.

The cost to Cambridge of raising a  paper‑  based 

order was identified as being £60. Using the combina‑

tion of the RS purchasing card and rswww.com, this has 

been reduced to £10 an order. Over a year, this repre‑

sents a saving of £57,000 to Cambridge. The net effect, 

therefore, is that its purchases from RS Components 

now cost it a mere £5,000 a year!

Francis Pullen again: ‘RS has demonstrated its com‑

mitment to its customers in spending time and investing 

money in developing a  world‑  class purchasing system 

that delivers tangible customer cost savings and ben‑

efits. We have welcomed their innovative approach 

to purchasing and believe they are way ahead of their 

competition in this sector.’

Source: RS Components White Paper (www.rswww.com), courtesy of 

RS Components Ltd © RS Components Ltd.

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