Group Procurement adding more eAuction experience to their eSourcing journey

Larissa Weishaupt, Otto Ingstrup and Breda Čok from Group Procurement

Last autumn, Group Procurement kicked off their eSourcing initiative. The first eAuction, which took place last year led by Ketan Luhar, Category Manager GP, in cooperation with Allan Grodin, Project Manager and naval architect, produced interesting financial results.

The strategic team within Group Procurement is leveraging the experience acquired last year and recently finalised a new eAuction within the food category for BU Short Routes and Passengers.

Breda Čok, Senior Category Manager, says: “I am really happy that we have managed, together with the stakeholders, to see since the start of this project the potential of using an eAuction as part of the process. Additionally, we have also proven that a food category, which is very quality driven, can be supported by this tool if the project is from the beginning structured to cater for this need.”

Dave Lewis, Category Manager Food & Beverage, and Steve Newbery, On-Board Commercial Director, have both been involved in the whole process and are very pleased with the results.

Dave says: “Having used eAuctions in previous roles and seen the benefits, it was a great pleasure to assist the Group Procurement team in applying this process to my category. What the Group Procurement team have accomplished has far exceeded expectations and has become a valuable tool in the tendering process across my category. The whole process, from ensuring we worked with suitable suppliers and being focused on quality and price in harmony, to ultimately giving our customers a consistent and cost-effective offering. The expertise, dedication and attention to detail that goes into this process from Group Procurement is outstanding and can only help other areas of the business get the services and products the categories require.”

Steve Newbery adds: “Results have exceeded my expectation and the process certainly gives us some more tools in our box to negotiate with suppliers and achieve the best results for DFDS.”

The eAuction showed an additional positive financial outcome of 3.1% on top of what was already negotiated in the previous negotiation round.

Dave Lewis                                                                         Steve Newbery

You can see an overview of the outcome of the eAuction in the graph below.

“We would recommend all stakeholders and category managers to always have eAuctions in mind when defining their projects. There are several types of eAuctions, meaning that it is certainly possible to tailor this tool to specific category strategies and bring additional value to the negotiation,” says Breda.

September 27, 2019