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Beyond rhetoric
By: Grace Cerdenia
july 2008
Political leadership is on spotlight with today's State of the Nation Address (SONA). With the investing community watching, statements of facts and policy directions will also be on top of international credit rating agencies' watch list, specifically in regard to retooling 'risk premium' expectations on the Philippines vis-à-vis the region and the world. These 'risk premiums' create a bearing in setting borrowing cost expectations (e.g., interest rates) within the financial sector, by balancing a country's political and economic pluses and minuses, as well as trajectory where it would head next based on appropriate policy mixes.
Once borrowing costs are set, the same is applied within the corporate arena's business model. Such test will be applied relative to corporate spending against cash flows derived from operations, to adequately gauge where necessary adjustments between the two should be made. This cycle trickles down to an enterprise's Treasury, Plant, Purchasing, Marketing/Sales, and rankings will be equally applied on the Human Resource side. Productivity will be measured on per worker basis, which closes-in the chain as end-users that go through a spending-income checklist.
Unfortunately for most, skyrocketing fuel prices have put significant pressure on the expenditure side. Unless quicker measures are deployed to improve the income portion, several dread the possibility when cost-push scenarios pile up, leaving ordinary consumers reliant on debt. In plain theory, imbalances either on the left or right side of an equation are abhorred. However, there are approaches that can be done within our reach to balance this uneven setting.
True to form, ingenuity is always emulsified when Pinoys go through rough times. Most are driven to find additional income sources, possibly via 'informal markets', to help an ordinary Juan dela Cruz cope with rising prices. In fact, challenges bring out innate entrepreneurship ability, especially when small and medium enterprises (SMEs) move forward to participating in eMarketPlaces.
The information and technology (IT) arena could actually be an ally to those who might wish to hone his/her entrepreneurial skills. In fact, decision makers who continuously evolve in eMarketPlaces have more room to appropriately assess and balance situations, without necessarily foregoing revenue-generating opportunities available in Exchanges. eMarketPlaces help prospective businessmen achieve saving and do selling functions, without the hassle of worrying on the added spend that comes along by buying an infrastructure. For example, farmer and/or fish cooperatives could readily check on timing and availability of their produce, based on requirement invitations available in an Exchange. Supply could be readily marketed through electronic catalogues, and relayed in an instance within a community concentrated in scouting for new supplier partners. Community leaders could readily aggregate common supply, without necessarily abandoning the concept of pricing transparency through negotiations. Lastly, communication channels are also expanded, as transport requirements could be readily tapped through logistics providers present in an Exchange.
Scorecards are always present beyond any leader's State of the Nation Address. These are typically disguised in various forms, from children's report card, medical history, Key Performance Index record and the like, but the important element is that scorecards help us check specific points where we all are, against the direction we intend to go to. Striking a delicate balance defining 'adequate' living standards do not simply end within a business leader's desk, but should also revolve in the way we perceive things and our corresponding behavior in doing what is necessary to hurdle the situation.
Rather than rely on endless rhetoric, enterprises especially SMEs could expand income possibilities by entrenching themselves in an eMarketPlace. After all, the best challenge next to flagging 'Business as usual', is 'Working to serve you better.'
For queries, e-mail or grace.cerdenia@sourcepilipinas.com grace.cerdenia@2tradeasia.com.
Automating within an inflation-driven environment
By: Edith S. Espeleta
May 2008
How far crude prices would go has become the latest topic on the block, and all enterprises are in a constant flux in discovering ways how to survive these challenges. Higher electricity, distribution & manpower charges are to be expected as crude costs escalate, and trade-offs between these variables need to be carefully considered to make sure end-users are adequately protected in terms of spend concerns. Consumers are becoming more price-sensitive with regards to the items or services they purchase, and companies have a tough call to ensure pricing remains competitive without significantly altering their operating margins. Given this, companies are left with two critical options - either to maximize revenues, or reduce costs. Ideally speaking, businesses are compelled to do both.
Although fiscal authorities have contemplated adjusting wages to cope with rising fuel costs, streamlining the workforce isn't the most effective way to cope with higher inflation. Instead, companies need to look for additional avenues to maximize their topline, and help lead to business expansion. Diversifying the earnings mix is driven primarily by the sales force behind it as well as indirect distribution channels. Sales targets can be met through effective strategies that have been carefully & thoroughly planned, and must be supported by sheer determination of management and its people.
Meanwhile, the expense side is not to be left on its own. Decision-makers are more than alert capping faster growth in expenses, specifically those tied to their overall operation. In this light, most have taken a different perspective relative to automating administrative procedures, with an aim to help business leaders decide more accurately and responsively depending on the timeframe covered.
For example, sifting through historical data in terms of quantity and pricing can eat a lot of time, simply to find out how many supplies of a particular item is required to sustain operations for a particular month. Process automation through eMarketPlaces could lead to reducing a day's work, as purchasers can do a lot more, thereby improving their productivity in the process. Since data capture is possible and purchasing requirements can be expedited fast, more time can be allotted to developing alternate raw material channels, assessing present suppliers' capability and expanding regional network to benchmark production methodologies.
Contrary also to common belief, automation will not displace people but would positively affect an enterprise's thrust to optimize manpower resources. More than just absolute savings, facilities available in eMarketPlaces allow companies to benefit in terms of time to process a transaction. Simply imagine performing traditional style of soliciting quotes from various suppliers, a process that normally takes days, or a day if you're lucky. Automating this scheme would simplify the communication route as terms and conditions can be readily sent uniformly to participating Trading Partners, and leave prospective suppliers an hour or less to submit their most competitive bids.
Automating part of the sales system need not also compete with a company's traditional sales team. In fact, more can be accomplished, as catalogues available in eMarketPlaces help expedite the sale closure. By extending an indirect hand to present and prospective clients, greater opportunities evolve in enhancing and bridging relationships between customers. Opportunities to trade can be subject to a more open environment, allowing companies to obtain wider access to value-added services.
Simply put, demand and supply forces will always move about in any condition within a volatile environment. The question most leaders need to deal these days, is how swift have their present systems been able to respond to changing macroeconomic scenarios. To some, investing in automation might simply be regarded as one-off capital expenditure or capex. To most however, automating is equated to investing in transparency that should redound to faster, wiser and more relevant business calls.
Edith S. Espeleta is the Administrative Manager of SourcePilipinas.com. For your queries, e-mail her at edith.espeleta@sourcepilipinas.com.
Price targeting and variant identification
By: Grace Crisostomo-Cerdenia
April 2008
Escalating prices and tighter budgets have become the core challenge among buyers and decision-makers daily. Such challenge is presently underscored, in the wake of volatile logistic charges that are eventually included in the goods and services we buy. In this light, selection as to the most appropriate costing has become tougher, when we're confronted by variability in demand and supply situations, especially when we tackle the issue of cost avoidance.
World markets in general, have no other recourse except to pre-tool their respective systems towards higher costs. This is because in a span of about five years, global enterprises have been accustomed to benign inflation environment, where cost savings are generally easier to get. By cost avoidance, we refer to having to obtain prices that are lower than prevailing market prices. In such a scenario, ingenuity as regards cheaper alternative options becomes necessary, not to mention swiftness relative to response time from other accrediting units, or those within Quality and Control Group, among others.
Let's consider an example. Is it easier to simply import similar yet cheaper branded medicines? While I favor the proposed Affordable Medicines Act, there are economic implications to consider if such as scheme is adopted 'drastically'. If 'x' item costs only P6 per table in India for example, versus selling prices of P44.75 apiece in the Philippines, considerations need to be made why such disparity occurs, specifically when we plug-in charges based on the 'cost of doing business' at home. There might also be other 'unknown variables' that need to be weighed, part of which includes possible subsidies granted by other countries' government and/or private groups, in the overall production. Such subsidies might stem either from excess reserves from government, or from supporting multilateral financier-supplier groups.
While cheaper imported medicines would definitely redound well on consumers' pockets, it might also be disadvantageous for producers that have already invested at home. Continued patronage for cheaper imports from traders for example, might create its toll on domestic employment numbers, as items that should have been sold by local producers were not taken-up by end-users.
How then, do we go about helping present producers come up with cheaper alternative variants?
Within the assessment stage, industry practitioners need to devote time analyzing the 'sum of parts' that goes into the production of an item. This valuation exercise could only work when appropriate financial disclosures are made, and existing 'fences' are regards data sensitivity is defined. While authorities need to carefully consider enterprises' privacy, rules should also be appropriately outlined as regards relevant data where implied presumptions can be inferred. When this is established, financial planners need to determine investment per unit of output, especially when upfront capital expenditures (capex) come to the fore. For one, recoverability of capital is among essential components in determining our overall 'fixed costs'. The second stage covers outlining operating charges, part of which covers raw material ingredients or packaging when items are simply 'tolled' (or re-packed) at home. This should also consider utilities, labor and freight-related charges per item, to properly determine those that are deemed sensitive to fluctuating prices. Lastly, issues tied to tariffs and taxes (including those remitted on the national scale and to respective local government units) must be adequately synthesized, to measure our local companies' ability to compete vis-à-vis regional counterparts. When these are in place, monitoring becomes easy and it would be more convenient targeting areas where cost reductions are feasible and necessary.
Within the e-MarketPlace we thrive, Trading Partners have more time to devote in the sample exercise above. Decision to participate is easy, especially since no capital investment is required and collaborating within a diverse Purchasing Community becomes possible through simple access over the net. Not only are registered Trading Partners kept up-to-date with domestic and international suppliers interested to participate in servicing each market, but also relative to trends on proper contract formation, requirement aggregation and negotiation, among others. Report generation is simplified, and more time is devoted in arriving at the best decision when it comes to anticipating changes in market trends.
More than just adopting an e-Commerce approach, singular direction in upholding transparency is the first step in clearing allegations of 'corruption'. Thorough and less time-consuming administrative strategies are formulated when attention is given on price-cost breakdown, especially in embracing appropriate risk-return management solutions.
For your comments / queries, e-mail: grace.cerdenia@sourcepilipinas.com or grace.cerdenia@2tradeAsia.com
Ain't apples-to-apples
By: Grace Crisostomo-Cerdenia
February 2008
Each trading day at the local bourse is never the same. This is perhaps the 'special spice' fund managers confront daily when dealing with equities-related transactions, especially when profiles of buyers and sellers are unknown. Demand and supply situations change by the second from pre-open towards run-off, and investors need to carefully weigh their list of external and internal considerations prior to executing the best option for a buy or sell call. Wall Street's weakness has exerted influence on sentiment lately, and information flow has become equally vital to provide investors the confidence they need before positioning at the local stock market. Even recommendations to either buy or sell a publicly-listed company vary between brokerage houses, depending on gathered data while sifting numerical facts that could influence share price performance. Some have in fact, transgressed to 'mature' calls, correlating the holding period that would be most fitting before recommending a stock, tied to weightings based on sector categories' prospects and challenges.
Similar challenges are also encountered by buyers and sellers in eMarketPlaces. Approaches toward appropriate pricing are carefully examined, based on outlined requirements conveyed during the pre-bidding stage. This significance is underscored when supplier partners need to effect upward adjustments in prices, driven mostly by factors outside their control (e.g., volatile crude costs, electricity pricing, tariff changes, foreign exchange, raw material destination, among others). Proper benchmarking is also made through eMarketPlaces, especially when comparisons need to be realistically plotted based on prevailing market scenarios. To cite an example, third quarter 2007 Purchase Order prices may no longer hold February 2008, and Purchasers need to revalidate if this trend is supported through up-to-date catalogues posted in an Exchange.
So, can negotiations be 'perfected' enroute eMarketPlaces?
Let's define 'perfect'. 'Perfect' could mean hitting desired level of savings based on a Trading Partner's budget, or it could also mean achieving higher-than-expected proceeds when disposing an item. By 'perfect', purchasers might give higher regard on other 'intangible' variables based on their internal supplier scorecard system, giving emphasis on after-sales service/end-user satisfaction, up-to-date delivery & well-defined admin procedures, or even extended credit terms. Simply put, the initial step to perfection entails defining clear-cut priorities and objectives, to properly guide participants how the awarding process will be handled.
Next, one must carefully assess prevailing market conditions during the time of the negotiation. Snippets of bulleted economic/political/industry 'situationers' are hardly visible in requisitions. This data becomes very useful, as decisions may have been effected when certain macro variables are strong (e.g., interest rates are at all-time lows, fears of US recession, etc.). Most, if not all, adopt a common practice where negotiated prices are compared versus historical purchase orders to save time. The 'smarter' ones however, are much able to appreciate the concept of 'cost avoidance' especially when expectations are up that prices might move higher within a defined horizon. More often than not, enterprises' Purchasing Team need to negotiate quickly as items are typically classified 'rush'. When this happens, negotiations are often limited to a buying party's existing Trading Partners, owed to the time element required for the accreditation round.
eMarketPlaces assist in filling the gap by facilitating negotiations that streamlines the administrative route. Since clerical functions (e.g., relaying item specification, terms & conditions, etc.) are outsourced via electronic means, pre-selected participants before the actual negotiation are given ample time to review to weigh their ability in servicing & properly financing their client's requirement. Over and above obtaining an important risk management partner, time management is likewise highlighted, as buyers gain flexibility to better understand the intricacies involved that alter demand-supply situations that create its toll on pricing.
Allegations of 'irregularities' especially for large-ticket negotiations are avoided when objectives, resources and functions are carefully mapped. eMarketPlaces help facilitate the conduct of transparent and smooth negotiation process. The concept of awarding however, is based on defined variables.
For queries, e-mail grace.cerdenia@2tradeasia.com or grace.cerdenia@sourcepilipinas.com.
Ascend to Higher Levels
By: Grace Crisostomo-Cerdenia
December 2007
Portfolio fund managers come up with an effective investing plan by properly identifying their entry & exit strategies through quantified risk-reward mix. Typically, such risk-reward mix is expressed in terms of anticipated returns, which are often benchmarked to yields provided for by other securities instruments. These are deliberated by decision leaders, especially when it comes to 'expected threshold' that optimize return when plotted against a specified investment horizon. Moves to either buy or sell are best supported by technical analysis, specifically in gauging price and volume movements.
Meanwhile, a unique discipline exists when negotiations are facilitated in an eMarketPlace, especially in an Exchange that captures items across industry categories. Besides having to contend with diverse corporate culture & stages of technology-adoption, efforts to ensure transparency is starting to emerge from merely putting the negotiation round within an acceptable tech-based process flow covering supplier accreditation, migration, requirement posting, actual auction & awarding. In fact, more and more enterprises are evolving to a stage where appropriate 'input-output' variants are determined, especially those that create a sizeable impact on demand-supply movements. There are items more sensitive to distribution costs (e.g., fuel price-sensitive items), rent & electricity charges, labor, or even other 'qualitative' aspects such as delivery, after-sales service and corporate governance, to cite a few.
While expected returns can be properly set relative to investments, the same cannot be singularly made within the Purchasing process. It is not enough to merely set a ballpark figure relative to absolute expected savings for example, as items procured vary depending on the level of a unit's importance within the overall supply chain. For example, C-level mandate to reduce costs by 15% is easier said than done, as thorough analysis must be made to check if expectations are 'realistic' when subjected to the actual pulse in the market.
Let's talk a quick look on the peso's appreciation vis-à-vis the greenback. The present view so far is that as a result of an expected influx of investment in capitalized industries such as mining, exploration, business process outsourcing (BPO) & OFW remittances, some economists see the peso strengthening further, possibly until first semester of 2008. Given this, there are suppliers who might not be as 'responsive' in terms of reducing their selling prices, at least abruptly over the near-term. This might be due to possible inventory front-loading, especially if ill timed when the local currency traded weaker vis-à-vis the US dollar. The smarter approach to obtain 'feelers' therefore, is when bids are gathered online, enabling buyers to crosscheck suppliers with commendable 'hedging' strategies.
Meanwhile, suppliers who participated in eMarketPlaces early on, are more able to gauge appropriate demand trends, apart from broadening customer coverage. In fact, pricing initiatives are amplified, especially when it comes to arriving on a 'blended' scheme that is not too harsh on budget, neither burdensome for markets served. Suppliers can also 'smoothen' demand seasonality, especially since a slow season for a customer might be the reverse for another. As a result, suppliers' Sales Team benefit via 'multipliers', allowing most to establish long-term contracts and maneuverability in planning their respective production scheme.
Despite challenges encountered this year, there are pluses to count and opportunities to look forward to as both buyers and suppliers greet 2008 with higher sense of vision, mission and objectives. Perspectives are enriched when leaders view intangible elements that help fortify an enterprise's growth, beyond number expectations.
For queries, e-mail grace.cerdenia@2tradeasia.com or grace.cerdenia@sourcepilipinas.com.
Win Investments
By: Grace Crisostomo-Cerdenia
October 2007
Equities markets within Asia benefited mostly from a liquidity-driven rally, set against the backdrop of improved economic growth expectation, single-digit interest rates and benign inflation, to name a few. Numerous channels have been opened for prospective investment opportunities, part of which is mirrored through investors' increasing zest for equities in line with everyone's aim to maximize portfolio returns.
With the speed and readiness of information available through technological channels, response time has apparently been fast. While most are aware of challenges besetting the US economy related to credit default issues, several are likewise quick to underscore the reality there are no quick overnight fixes to the issue, and alternative investing markets are readily available. This underscores the fact capital flows work within a pre-defined framework, specifically in areas where risks and returns are transparently defined.
Yet, similar to any cycle however, investments can be there for the long haul, or otherwise. Some might be quick to jump boat in alternative markets where restrictions are less and growth opportunities are wider, especially where business decisions can be made with peace of mind and comfort. This separates what we often read as direct investments, and those funneled in volatile capital markets.
Within capital markets, several if not all enterprises, have upgraded to an era of 'cooperation' than 'competition', to best reach intended markets via wider marketing channels. This can be summarized through a 'win-win blend' in terms of competency, as most seek to avoid replicating the wheel as regards procedures that have been tested through time. For example, hybrid and/or sophisticated investment instruments have mushroomed quite strongly, simplifying complexities for consumers who might opt paying a considerable 'premium' vis-à-vis the benefits they get within a specified timeframe. Financial product offerings have also been diverse, and most head towards an 'all-in-one' concept that would best fit future needs.
The essence of whether or not direct investments can be maintained, also highlights aspects tied to negotiation, especially in enabling involved agencies meet identified objectives. More often than not, the underlying purpose prior to implementing projects for example, are among what we refer to as 'prospect-openers', yet little consideration is given relative to identifying awarding criteria. Others encounter difficulty when they visualize concepts to contracting parties, especially when one has very little knowledge on detailed specifications.
People who pro-actively involve themselves in private eMarketPlaces strive hard to perfect negotiations, by properly outlining procedures to determine 'reasonable' pricing for goods and/or services being procured at the swiftest possible time. Since basic procedures are in place, eMarketPlaces ensure nothing has been skipped from pre-qualification to order tracking. This concept of perfection occurs when all agencies involved in the negotiation round, are 'compensated equitably', beginning with an identified objective on awarding: Would the lowest price matter? Are there other valid considerations aside from price (e.g., expertise, value-added contribution, financial maneuverability)? Have contingencies been outlined in case macro scenarios change within the fiscal and/or monetary setting? and so forth, and so on. The challenge actually rests in enumerating both tangibles and 'intangibles', and whether there are ways to quantify the latter. Simply put, suspicions or any allegations are best avoided, when these are carefully factored-in prior to a buy and/or sell move.
For centuries, the investing process goes through constant re-shaping. The final analysis tells us that investment growth is fortified when basic principles deployed are directed at winning them.
For queries, e-mail grace.cerdenia@2tradeasia.com or grace.cerdenia@sourcepilipinas.com.
Reinforcing Fences via eMarketPlace Channels
By: Grace Crisostomo-Cerdenia
August 2007
The country went on a roller-coaster ride lately, from inclement global weather conditions to financial markets that went on a roil following US sub-prime mortgage lending issues. Demand for accurate forecasting has become more valuable these days, and only those with keen eyes for details get results.
Several have upped the ante for anticipation and contingency planning, depending on time horizon considered, and likely elements surrounding these circumstances. Similar to ‘reinforcing fences’ however, these come at a cost. More than providing flexible methods to weather forecasters in tracking temperature changes through specialized monitoring systems for example, the important element is that updated tools provide the plus relative to building confidence to help mitigate risks. Simply put, faster solutions are made when people are best equipped.
Realistically, budgets for general businesses are centered on those that provide the fastest RoI (return on investment). Minimal, if not nil attention, has been granted on the backroom side, for simple reasons that these are typically viewed as ‘cost centers’. The argument for business owners, usually boils down on statements such as ‘I should have’ when confronted with worst situations. Macro thinkers however, are able to view on these conditions as ‘challenges’ that will be hurdled, believing things occur for a valid reason. Business models are tested as these go through peaks and troughs of events, to ensure systems and procedures are firmly rooted as conditions unfold. True to form, not all can afford the extra spend, due mainly to tight budgets. Businesses revolve in cycles, and even the sturdiest are not exempt when investment tides change.
When cost and elements linked to anticipated returns are considered, outsourcing’s significance is brought to the fore. Enterprises that go the smarter route are becoming larger in number, specifically those that have underscored the importance of accountability, not only in instances when inevitable conditions happen. Outsourcing also amplifies appropriate ‘check-and-balance’ procedures, especially when decision-makers need to respond fast to market and/or industry trends/changes.
Let’s take a closer look on key essentials prior to forecasting. First, data must be made available fast. Sifting through countless information available from the web is a task that form part of seasoned experts’ list, especially in winnowing-out the most important ones and getting these first-hand from direct sources. Second, variables need to be logically linked (possibly via a mathematical model), especially in establishing correlation and pre-defined timeframe to establish a trend. For example, quarter-on-quarter comparison might be more feasible in case year-on-year data includes one-off items. Lastly, recommendations must be outlined given defined objectives. These are usually derived either with affirmation, or outlining options in case approaches do not work.
Online equities trading platforms for one, allow investors to extract data related to their portfolio. Apart from transactional features available in facilities like 2TradeAsia, fund managers can get themselves up-to-date with information tied to securities they own, and view ledgers that detail transactions, estimated capital gain and dividend declarations, to name a few. Linkages to listed firms are also simplified, as the platform can get themselves linked via listed issues’ Investor Relations arm. Research-related inputs are also accessible, especially for those that scout for fundamental merits in specific issues they intend to own. Sophisticated tools are also available (e.g., price charts), that allow investors to examine proper timing in buying and selling securities.
For transactional business-to-business eMarketPlaces like SourcePilipinas.com, negotiation-related documents can be archived, created and retrieved. Supplier selection and accreditation standing can be facilitated, so buyers are kept up-to-date with their business partners. When correlations between inter-linked variables are established, purchasers can readily decide on negotiation processes, especially when prices are seen to trend higher for the remaining months this year. Less time is required in checking necessary product attributes, and outlining item specifications can enhance processes.
By properly facilitating all admin-related functions through these platforms, people resources can devote time quantifying essentials. So, when major trend reversals happen, think again if you have reexamined contributions from those who work backstage.
Forward-looking mode
By: Grace Crisostomo-Cerdenia
July 2007
This week, all ears are attuned to President Gloria Macapagal-Arroyo’s State of the Nation Address (SONA), specifically on subsequent plans that will be implemented for the remainder this year. What has been visible thus far, is that privatization efforts are bound to be supported, a feat that could allow fiscal authorities attain their earlier estimated budget gap goal. If plans are upheld, these measures will help reinforce investors’ long-term perspective on the economy, with keener attention on borrowing costs’ stability.
For one, we have witnessed momentum improvement in equities trading, and administrative work has been extremely extensive with the roster of capital calls from selected listed companies - from listing by way of introduction to initial public offers (IPOs), stock rights, preferred share float, corporate bond issuances, and capital restructuring, among others. The peso has likewise appreciated further despite local monetary authorities’ move in reducing benchmark overnight borrowing and lending rates, sustaining domestic companies’ capital expenditure strategy. Overall, the financial system has been buoyant, and authorities need to ensure the influx of investments is adequately supported.
Similar optimism has reverberated within eMarketPlaces. Enterprises are selectively moving into longer-term contracts (e.g., one year and up), especially when flexibility is accorded in pricing negotiation routes. Referencing is also made by benchmarking contract costs versus prevailing market quotes from key players, to revalidate price trends, real time. Others embark on operational synergies, especially those that provide the best fit relative to an enterprise’s business model. So how do companies get to this level?
First, decisions must be upheld if company owners are willing to embrace transparency with existing and prospective Purchasing-related trading partners. Here, historical data extraction becomes crucial, as these help leaders digest and correlate information covering selected trading partners’ influence for both direct as well as indirect costs. In fact, those that participated in eMarketPlaces early on achieved greater control in adopting forward-looking strategies, especially in verifying who among suppliers would prevail and participate in their advancement.
Second, defined standards must be formed. Similar to any benchmarking plan, quantification tools constantly evolve as there is no exact science to accurately compute end-user expectations. Assuming an enterprise is engaged in vehicle production, costing can be segmented to specific color element that can help in pricing the final output. Intra-network collaboration is also amplified, especially when Purchasers require assistance from selected team’s proficiency.
Third, take on an open stance as an eMarketPlace isn’t just about buying. Facilities available within these Exchanges have useful systems to assist the sales cycle, part of which includes adopting general (or those accessible to all) and specific catalogues. Others have advanced features to monitor contract compliance, enabling market watchers to get ready alerts before embarking on contingencies. Database accessibility, especially for accreditation, can also be facilitated, specifically for Finance that would like to better understand cash flow disposition.
Overall, historical data extraction help provide the view for an enterprise’s business terrain. More than targeting average savings and sales criteria, ‘intangible benefits’ thrive in eMarketPlaces, specifically those with a forward-looking stance in shaping and re-shaping their enterprise’s model.
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