Organisations are having to ask themselves how:

• They can generate the expected year on year savings on the goods and services bought?
• They can ensure that negotiated savings are not lost?
• They can streamline their source-to-pay process?

To achieve the most benefit, an organisation needs to understand how a Procurement Suite integrates throughout the source-to-pay strategy and process. Capgemini can assist organisations to fully utilise technology to negotiate savings, achieve source-to-pay process efficiencies and control spend.

ERP (Enterprise Resource Planning) packages such as SAP and Oracle contain strong and comprehensive Procurement functionality and are used by a large number of world-class private and public sector organisations.

Capgemini’s dedicated practitioners enable procurement based business transformation by providing skills and expertise in the configuration and implementation of Oracle’s Advanced Procurement Suite and of SAP’s ERP and SRM (Supplier Relationship Management) Business Suite solutions.

This section includes:

• Benefits of Procurement Packages
• Capgemini’s approach
• Capgemini capability
• Success stories

Benefits of Procurement Packages

The right mix of strategic sourcing technologies and policies leads to online negotiations that are faster and more effective than traditional manual processes. Savings can range from 5% to 50% price reductions compared with tactical buying approaches. According to industry estimates eProcurement tools play an important role in improving control, reducing costs and maintaining profit margins in all economic climates by locking in negotiated savings and improving the efficiency of processes. During extended economic downturns, they can also help drive savings needed to offset revenue declines to maintain financial performance.

Many organisations have already made strides along the eProcurement path. However, the need to reduce costs year on year and improve compliance is making targets harder to achieve. Capgemini’s consultants are experts in being able to exploit the Oracle Advanced Procurement and SAP ERP and SRM tools to support the achievement of these business challenges.

Capgemini’s Approach

Used by our practitioners globally, DELIVER Oracle and DELIVER SAP are our comprehensive methods for implementing Oracle and SAP packages. DELIVER provides best practices such as procurement process templates, requirements management, solution component architectures, iterative development approaches, distributed delivery methods and quality assurance. In addition, it includes guidance to address critical business change management and organisation design issues inherent to successful package-based or infrastructure management engagements.

Our methodology is designed to deliver predictable results and reduce project risk through an implementation ‘back-bone’ that facilitates quality results; continuous incorporation of product specific best practices and thought leadership to address specific challenges and opportunities; proactive change management techniques to address organisational issues and other potential barriers inherent to any implementation or upgrade project; all supported by rigorous risk management, quality assurance and client satisfaction processes.

The stages a typical client engagement will follow include:

Step 1 - Project Initiation / Project Preparation
We agree project roles and responsibilities, implement our standard project office procedures for progress monitoring, risk and issue management, deliverable management and hold a project kick off event.

Step 2 - Solution Definition / Business Blueprint
This stage will provide the foundation for the Project. We work with you in joint teams to ensure the design reflects your requirements while bringing in external challenge and new ideas.

Step 3 - Solution Development / Realisation
The project team refines the integrated solution. The solution is further configured in appropriate development and test environments to develop the future state procurement business processes and procedures that will deliver enhanced organisational performance levels.

Step 4 - Implementation / Cutover
The developed solution is tested, training delivered, data migration rehearsals completed and technical infrastructure built. The deployment plan is then kicked-off.

Step 5 - Post Implementation Support
The responsibility for operations is transferred from the project team to the operational team and any relevant legacy systems are decommissioned.

Capgemini’s Capabilities

We have close relationships with both Oracle and SAP which means that our delivery capability has an intimate understanding of the latest package-based procurement solutions:

• We are a Certified Advantage Partner for Oracle - the highest status that a partner organisation can hold - with over 5,500 Oracle consultants globally with over 300 in the UK and 500 in India.
• We have successfully deployed over 700 Oracle e-Business Suite projects across both the private and public sectors.
• We are one of only 3 SAP Global Services Partners worldwide. We have over 9,000 SAP consultants globally, with over 500 in the UK and 300 in India dedicated to UK projects.
• We have successfully delivered 3,700 SAP projects across 1,800 private and public sector clients worldwide.
• We also provide Oracle e-Business Suite and SAP application management and support services to a significant number of large clients in the UK.

To add value while using resources as effectively as possible, we take advantage of our Rightshore® global delivery model, bringing together the right balance of onshore, nearshore and offshore locations to work with you as a unified team. This balance enables us to deliver the optimum solution for your business needs.

Our Oracle Procurement solutions include:

• Oracle Procurement Exploitation - making the most from what you’ve already got, e.g. deploying existing functionality, supporting user adoption and reducing maverick spend by improving usability; education, supporting deployment and supplier enablement.
• Oracle Procurement Extension - we support the business achieve greater savings and control through the implementation of Oracle’s Advanced Procurement modules, e.g. Oracle Sourcing, Oracle Procurement Contracts and Oracle Services Procurement
• Back Office Transformation supported by ERP

Our SAP Procurement solutions include:

• Supplier Relationship Management to automate, simplify and accelerate source to pay processes
• SAP E-Sourcing including E-Tendering and E-Auctioning
• SAP Contract Lifecycle Management

Success Stories

Large Secure Government Organisation

This client was a very large government high technology research, design, development and production facility. It needed to update its procurement processes which were cumbersome, lengthy, paper based, and manually intensive. Capgemini transformed their business supported by the Oracle e-Business Suite. Major efficiency gains were achieved through the rationalisation of core business processes, standardisation, and cross organisational roll out and compliance.

Central Government Organisation

A central government high technology media based organisation wanted to optimise its disparate and relatively inefficient procurement processes. Capgemini transformed their business with an implementation of SAP’s SRM business application. Major efficiency gains were achieved through the rationalisation and standardisation of core procurement processes that were consistently deployed across the organisation as a whole.

Local Government Organisation

A local government organisation needed to upgrade its SAP Suite including SAP SRM. Working with Capgemini, the organisation enhanced its procurement capability through the delivery of a wide range of standardised procurement business processes.

Large UK Media Organisation

Implementation of Oracle eBusiness Suite to support re-designed organisation, processes and procedures delivered through a shared service centre. The project resulted in standardised and automated processes that reduced costs, improved reporting and improved control