Comments on: Supplier Perspectives on eAuctions http://esourcingplace.com/2008/02/15/supplier-perspectives-on-eauctions/ Alan Buxton on e-sourcing and e-auctions Tue, 02 Jun 2009 19:28:11 +0000 http://wordpress.com/ hourly 1 By: Matt M http://esourcingplace.com/2008/02/15/supplier-perspectives-on-eauctions/#comment-2169 Matt M Tue, 22 Apr 2008 20:53:18 +0000 http://alanbuxton.wordpress.com/?p=133#comment-2169 <strong>Andy Moorhouse</strong> will be presenting his research twice at <a href="http://www.strategicaccounts.org" rel="nofollow">SAMA</a>'s Annual Conference in Dallas. The course, "Effective Strategies for Combating Reverse Auctions," will be held on May 19 and 20th. There are 60 other courses to choose from. For more information, visit <a href="http://www.strategicaccounts.org/AC08" rel="nofollow">SAMA's Annual Conference page</a>. Andy Moorhouse will be presenting his research twice at SAMA’s Annual Conference in Dallas. The course, “Effective Strategies for Combating Reverse Auctions,” will be held on May 19 and 20th.

There are 60 other courses to choose from. For more information, visit SAMA’s Annual Conference page.

]]> By: Andy Moorhouse http://esourcingplace.com/2008/02/15/supplier-perspectives-on-eauctions/#comment-2039 Andy Moorhouse Wed, 26 Mar 2008 17:42:04 +0000 http://alanbuxton.wordpress.com/?p=133#comment-2039 The link to Huthwaite's whitepaper is below: DISCLAIMER: The reverse auction research findings are based upon in-depth interviews with rather disgruntled global and national sales leaders and the paper thus presents an inherently biased viewpoint of the process. However, there is real value for procurement professionals, as the paper identifies how supplier response strategies have evolved and the mistakes still made by procurement when hosting reverse auctions. Huthwaite is re-writing the paper for the benefit of procurement professionals - but for now the sales focused paper can be downloaded here: http://www.huthwaite.co.uk/pdf/whitepapers/playing_the_game_effective_strategies_for_combating_reverse_auctions.pdf Cheers, Andy. The link to Huthwaite’s whitepaper is below:

DISCLAIMER: The reverse auction research findings are based upon in-depth interviews with rather disgruntled global and national sales leaders and the paper thus presents an inherently biased viewpoint of the process.

However, there is real value for procurement professionals, as the paper identifies how supplier response strategies have evolved and the mistakes still made by procurement when hosting reverse auctions.

Huthwaite is re-writing the paper for the benefit of procurement professionals – but for now the sales focused paper can be downloaded here:

http://www.huthwaite.co.uk/pdf/whitepapers/playing_the_game_effective_strategies_for_combating_reverse_auctions.pdf

Cheers,

Andy.

]]> By: Catherine Uffen http://esourcingplace.com/2008/02/15/supplier-perspectives-on-eauctions/#comment-2029 Catherine Uffen Tue, 25 Mar 2008 17:28:04 +0000 http://alanbuxton.wordpress.com/?p=133#comment-2029 <> what is the link to the full paper? <>

what is the link to the full paper?

]]> By: Matt Miller http://esourcingplace.com/2008/02/15/supplier-perspectives-on-eauctions/#comment-1965 Matt Miller Wed, 27 Feb 2008 01:34:43 +0000 http://alanbuxton.wordpress.com/?p=133#comment-1965 As a past corporate Purchasing Manager and now President of K2 Sourcing, I always find the discussion of ethics in use of reverse auctions quite interesting. I will be looking forward to reviewing the findings of Mr. Moorhouse's study. What I find most interesting is the concept of the argument of the tool fostering improper or unfair negotiating practices. From points 1&4 above, one should be careful about blaming the tool. Take a moment to think about the traditional strategic sourcing process; the meetings with suppliers, the request's for proposals and quotes. Did supplier's all receive the same information? Were specifications always perfect? When negotiating and asking suppliers for total cost reductions, was feedback given about competitiveness of other offers? Was the feedback always honest and perfect? If an organization has unclear specifications whether a traditional negotiation or a reverse auction there is room for error. Furthermore the traditional negotiation leaves plenty of room for unqualified suppliers and ambiguous award feedback. How many sales people have received the call from a procurement manager asking only for price? Here is the point: the ethics of a reverse auction is reflective of the ethics and the skill of the organization running the reverse auction. The reverse auction is a tool to augment the strategic sourcing process. It can be used ethically or unethically by the company utilizing the tool – just like one on one personal negotiation. As a past corporate Purchasing Manager and now President of K2 Sourcing, I always find the discussion of ethics in use of reverse auctions quite interesting. I will be looking forward to reviewing the findings of Mr. Moorhouse’s study.

What I find most interesting is the concept of the argument of the tool fostering improper or unfair negotiating practices. From points 1&4 above, one should be careful about blaming the tool.

Take a moment to think about the traditional strategic sourcing process; the meetings with suppliers, the request’s for proposals and quotes. Did supplier’s all receive the same information? Were specifications always perfect? When negotiating and asking suppliers for total cost reductions, was feedback given about competitiveness of other offers? Was the feedback always honest and perfect?

If an organization has unclear specifications whether a traditional negotiation or a reverse auction there is room for error. Furthermore the traditional negotiation leaves plenty of room for unqualified suppliers and ambiguous award feedback. How many sales people have received the call from a procurement manager asking only for price?

Here is the point: the ethics of a reverse auction is reflective of the ethics and the skill of the organization running the reverse auction. The reverse auction is a tool to augment the strategic sourcing process. It can be used ethically or unethically by the company utilizing the tool – just like one on one personal negotiation.

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