Objectives and Data Requirements

To ensure a successful event, first list the objectives that you’d like to accomplish. You’ll then know exactly what elements you need to capture in the event using Sourcing Optimizer.

For example, let's say you're sourcing ocean freight. In a category such as this, you may want to evaluate bundled bids (this is where a carrier offers a discount for winning a group of lanes). Therefore, you’ll know to turn that feature on. As another example, if you are interested in the impact of new carriers, freight forwarders, or 3PLS, then it’d make sense to create a Bidder Group consisting of these bidders.

Furthermore, determine what information needs to be conveyed to suppliers - and also the data that needs to be collected from them. Again, with a goal in mind (e.g., “I’d like to evaluate the bidders based on direct versus transshipment bids.”) you’ll know exactly what information is needed from your side or the bidders’ (in this case, the shipper needs to add an attribute called ‘Direct or Transshipment’ to collect information from the carrier).

You’ll likely have an existing Excel bid sheet (Figure 1 below) that contains the necessary data, with attributes (column headings) and lots/lanes (rows). In the sample bid sheet below, 'Lot ID', 'Business Unit', and 'Quantity' are purchaser-entered attributes while 'Price per Unit' is a bidder-entered attribute.

You should be able to leverage an existing bid sheet by simply uploading the file from the relevant Sourcing Optimizer screen.

  The header row contains the attribute names (information that will either be provided by the purchaser or the bidders)
  Lot ID  Business Unit  Quantity   ... Price per Unit
The subsequent rows contain the lot/lane data  Healthcare  150,000  ...  
Energy  235,000  ...   

Figure 1: Bid Sheet Design

Some workflow questions should also be asked before creating an event. For example, will you be running multiple rounds of negotiation or qualifying bidders using an RFI? What are the quantitative and qualitative attributes that’ll impact the award decision? Knowing the answers ahead of time will make the RFP process in Keelvar extremely efficient.

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