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14.12.2018

Procurement with the adam Dynamic Purchasing System

Drawn from the powerful depths of adam reporting functionality, comes this compelling visualisation created by our account management team for a procurement dynamic purchasing system (DPS) client.

 

On the face of it, a colourful set of bands and numbers. 

However, the picture most definitely speaks a thousand words.

 

What are we looking at here? 

In a nutshell – it shows the positive change in a procurement client’s supply network, using adam.

 

The Outer ring = previous ‘state’

Here’s what it looked like before us.

There are three providers dominating the share of contracts - and a ‘thin tail’ of other providers picking up the scraps.

 

This is not a good place to be.

 

This situation means it’s harder for new entrants to join – and it also means it’s harder for the commissioning teams to drive performance, whether that’s around relevance, sustainability, price, or all three!

The familiar outcome is that it’s harder to deliver improved, specific, personal wellbeing.  It’s harder to drive quality.  It’s harder to drive a fair cost. 

And there is an increased risk of exposure if one of the large-share suppliers exits the market.

The inflexibility of supply is not necessarily meeting the demand and – as we explore in our recent white paper – this often results in expensive, unsustainable spot purchasing.

 

All of which erodes resources in the local authority and ignores the individual’s right to improved wellbeing.

adam DPS dynamic purchasing system for procurement

 

The Inner ring = the landscape after adam

Here’s what happened with the client’s supply base after they deployed adam.

 

The large-share owners have been de-risked (disempowered?).  In fact there have been two game-changing things happen.  Firstly, the supply chain of providers has increased by 44%.  Secondly, each supplier has had a more equitable share of the opportunity.

 

How has that happened? 

New suppliers have been able to enter the market.  Some have taken advantage of the inherent benefits of using a dynamic purchasing system.  Some have been sourced by the adam services team

Both have contributed to improve key performance metrics at the Local Authority.

 

With the adam DPS and with improved supplier choice, there are options for the commissioning team that they simply did not have before: options to drive relevance, quality, price, sustainability.

A lower risk of exposure and a more equitable share amongst a larger group of suppliers can only spell good things for the commissioning teams and the individuals they’re serving.

 

The adam DPS procurement technology, and allied services, connects public sector professionals and commissioning teams with a dynamic provider base to help them meet their responsibility towards individual, and community, wellbeing.

 

Want to know the typical scenarios best suited to deploying a dynamic purchasing system?  Go to the bingo.


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