what if the two bay area uc campuses could pool their efforts into an integrated co-operative...
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What if the two Bay Area UC campuses could pool their efforts into an integrated Co-operative Procurement and
Sourcing Center of Excellence?
Combined Annual Spend >$1Billion
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AT&T: good example of power of collective UCB/UCSF spend
Note: UC Berkeley spends ~$600K with Comcast annually for Internet servicesSource: UC Berkeley BFS A/P database, UCB Telephony Manager, UCSF procurement spend data
Segment Area UCSF Campus Annual
UCSF Med Center Annual
UCSF Annual Spend
UCB Annual Spend
Combined Annual Spend
1) Voice landlines
$1,741,763 $637,075 $2,378,838 $4,400,000 $6,778,838
2) Data/ network $4,376,970 $1,584,780 $5,961,750 $52,300 $6,014,050
3) Wireless $1,578,652 $546,000 $2,124,652 $898,562 $3,023,214
4) Other equipment, services
$3,040,307 $119,942 $3,160,249 $526,926 $3,687,175
GRAND TOTAL -ANNUAL PAYMENTS TO AT&T
$10,737,692 $2,887,797 $13,625,489 $5,877,789 $19,503,277
4100817-UJ2-Procurement-COE discussion vshare
Common Systems Enable User Benefits
Major additional benefit: proof of concept for regional centers of excellence
Key elementOppty.
sizeImple.
difficulty
Benefit type Benefit
Effective-ness
Effi-ciency
UCB UCSF UC
Sourcing • Improve terms/pricing from consolidated UCB/UCSF volumes to system-wide vendors
Med X Med Med High
• Regional agreements with joint vendors Med X High High High
Procurement
• Increased “strategic procurement” RFPs, negotiated agreements for transactional procurement
High X High High Med
• Expansion/extension of specialty programs (e.g., EMI, equipment DB, incoming freight, warehouse, auctions)
Low X High Med High
Ops/ Tech
• Consolidated catalog management Med \ X Med High High
• Common systems (e.g., BearBuy e-pro, PeopleSoft) High \ X High High High
Organization
• Streamlined/Shared management Med X X High Low Med
• Bridge resources gaps Med X X High Med Med
Although P2P adoption is over 65%, we needed to move to SciQuest Full Suite to address critical unmet needs
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Addressed by SciQuest Full Suite Solution
Who is SciQuest?For more than a decade, SciQuest has focused on helping academic, healthcare and research-centric organizations of all sizes streamline their procurement and supplier management processes. This concentrated focus has deepened their industry-specific expertise and supplier relationships - and led to a 98% customer satisfaction rate.
Sampling of public and research universities using this solution:
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Aligns us with broader UC direction
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UC SciQuest ConsortiumCentralized Catalog/Contract Mgt.
UCSC UCR UCSD UCB
Irvine
Merced
UCLA
UCSB
UCD
UCOP
Legacy systems, option for P-card Accessto SciQuest under investigation
Currently has legacy version of Perfect behind the firewall ,
ERP project in process, SciQuest a consideration
UCSF
Benefits of the Solution• Efficiencies
– 24/7 access via the internet– Auto approval abilities to a certain
dollar threshold for individuals – Shopper role eliminates duplicate
entry
• Ease of Use– Shoppable content with UCSF
discount pricing– Catalog and non-catalog orders in
same page
• Visibility– Online history: all information in one
spot – Download capability
• Speed– Orders are electronically sent to the
supplier as soon as approval workflow step is complete
– Orders dispatched to vendors 24/7
• Cost Savings– On contract spend– Increased spend visibility will lead to
better supplier pricing
• Compliance– Policy: built in the system, eliminating
the need to train/reinforce with users – Approval levels based on $ limits,
commodity
BearBuy Roles
Shopper
• Find items and create Shopping Cart(s)
• Punch-out and Hosted catalogs available
• Forms used to procure Non-Catalog and Specialty Items
Requester
• Can also shop in the Marketplace and create Shopping Cart(s)
• Enters ChartFields • Submits Shopping
Cart(s) as Requisition for approval
• Ability to purchase without approval on assigned thresholds
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Approver
• Reviews Requisition Details
• Financial Approval based on ChartFields
• Controlled Substance Approval
• Commodity Approval• Central Buyer Approval
NEW ROLE
Simple Approval Workflow
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Shopper Requester
• A Requester will automatically have Shopper Role
• Can be the same person
Procurement Dept Code
Approver(s)
Non-Catalog order $5,000
and over
Controlled Substance or
Restricted item
Equipment or unit price
over $5,000
Independent Consultant Agreement
Campus Procurement
Non-Catalog Order under
$5,000
PO to Vendor
Single Sign-On Thru MyAccess
You can search the Catalog, or Hosted
Content to add items to your Shopping Cart.
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Catalog Search Results
Product searches return a range of items with UCSF
negotiated pricing.
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FILTER
Shopping Cart
All of the items in a cart are shown, and Shoppers can add account details
and comments for Approvers to review.
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Approval Workflow
The Requisition workflow is dependent on several factors, including dollar
amount, item type, department, etc.
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• When a change initiative fails, it is usually:– NOT design or technology issues– NOT a lack of vision or understanding of the program
• It IS often a lack of effective change management.
Lessons learned from P2P: End User involvement and change management are key
If the MSO had just been more public in his or her support.
If the MSO had just been more public in his or her support. I was undermined by other managers who felt
threatened by this change and did not understand where we were going.
I was undermined by other managers who felt threatened by this change and did not
understand where we were going.
People aren’t using the new tool and processes as I expected.
People aren’t using the new tool and processes as I expected.
I should have communicated better.
I should have communicated better.
Next time I will involve more people.
Next time I will involve more people.
Department User Engaged Sessions• Prototyping 1 and 2: Gathered business requirements• Focus Group 1: Validate and refine business requirements• Participating departments in Prototyping and focus groups:
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Anesthesia Ophthalmology School of Dentistry Dean's OfcBiochemistry & Biophyics Orthopedics Dent-Oral & Max SurgeryBioE & Therapeutic Sciences Otolaryngology School of Nursing Dean's OfcCancer Center Pediatrics Department of Clinical PharmacyCell Culture Physiology Pharmaceutical ChemistryCVRI Radiology School of Pharmacy Dean's OfcDiabetes Center SFGH Citywide Case Mgt Audit Management ServicesFamily & Community Medicine School of Medicine Dean's Ofc Campus Life ServicesInst. Neurodegen Diseases Dentistry Clinic Facility ManagementMicrobiology & Immunology Orofacial Sciences FAS: Finance Service CenterNeurology Cell Tissue Biology Risk Mgt & Insurance Svcs
User Intensive Project Plan
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Design Build Validate Test UATGo
Live
Prototyping 1
Prototyping 2
Focus Group 1
Focus Group 2
End User Acceptance
Testing
~~Business Process Transformation~~Communication, Town Hall, Ongoing Business Process & System Training
Q4 2011Q3 2011Q2 2011Q1 Calendar 2011