Professional services Sourcing and Vendor

Sourcing & Vendor Management Services Catalog

Sourcing & Vendor Management Consulting Services

”The IT sourcing organization must transition to adopt new management practices, emphasizing extreme focus and discipline to tie supply to demand and deliver business value.”

Services Catalog: Sourcing and Vendor Management Services Scope

Contract Management

Vendor Management

Processes

Provider Evaluation &

Selection

Risk Management(Technical, Legal &

Finance)

-Contract Negotiation & renegotiation-Terms & Conditions-Work Order & bid Mgmt.-Pricing Model-Financial Management

-Total Risk Analysis-Location-Contracts Terms & Conditions-Solution-Country Factors-Infrastructure-Pricing Model

-Sourcing & Vendor Management Process-Sourcing Strategy-Evaluation & Selection Process-Governance & Project follow up Process.

-Monitor & Improve Vendor Value-Action follow up-Performance Overview (SLA’s, KPI Scorecard, Operational Performance Assessment)-Overview: Issues and Escalations.

-Evaluation Criteria (Flexibility, Financial, Terms & Conditions, Risks/Security/Confidence, Relationship & People, Solution)-Scope (Business Case, Sourcing Model (‘Buy or Build’, Pricing Model, Location).- RFI, RFQ & RFP

Governance Management

Contract Management Service Activities:

•  Advice on development of strategic contracts as necessary in order to meet the Organization's evolving business needs.

•  Drive all negotiations and consultations in relation to the a large contract or collection of similar contracts.

•  Manage all commercial and contractual issues through to satisfactory resolution. •  Work with group function e.g. risk management, legal, to ensure standards are

aligned and applied. •  Ensure standards are aligned with other Contract and Commercial team to ensure

consistency of application, and best practice can be adopted where needed. •  Lead the routine contract amendments ensure contracts are conformed routinely

to maintain version control. •  Ensure that changes to the agreement are contractually and commercially

appropriate. •  Analyze commercial performance of sourcing contracts and identify measures to

enhance commercial benefit.

Sourcing & Vendor Management - Services Catalog

Scope of Contract Management Service:

•  Contract Negotiation & renegotiation •  Terms & Conditions •  Work Order & bid Mgmt. •  Pricing Model •  Financial Management •  MSA, LSA & Work Orders Analysis •  Contract Diu Diligence •  Solution Proposal Analysis •  Cost Reduction Analysis & Negotiation

Contract Management

MSA Structure Contracts Analysis Proposal Analysis Pricing Models

Category Management identifies sourcing need through category planning activities. Once the sourcing need has been submitted or identified through the category planning process, Category Leads will validate need, initiate a formal sourcing project and assign Project to a Sourcing Manager. Sourcing Managers will review the details and select the most appropriate sourcing workplan and assign project tasks to appropriate Sourcing and Category Management resources as required. The Sourcing Manager will adjust the sourcing workplan as necessary to make it as applicable to the project as possible.


Scope of Vendor Management Process :

•  Sourcing & Vendor Management Process•  Sourcing Strategy•  Evaluation & Selection Process•  Governance & Project follow up Process.•  Work Orders Process•  Due Diligences process

Sourcing & Vendor Management Process


Scope of Governance Management Service:

•  Action follow up•  Account Performance Overview (SLA’s)•  Provider’s KPI Scorecard•  Operational Performance Assessment (OPA)•  Overview Issues and Escalations•  Financial Information •  Work Orders /Change Orders in progress and Pre

– Contract Work•  Projects/Work Orders Forecast •  Supplier Landscape & Provider Ecosystem

Corporate Governance Assesses governance structure in the context of the business environment and business risks, focusing on such areas as improving board operations, embedding governance principles in corporate culture, monitoring and evaluation, and stewardship.

Governance Management

Supplier management controls The Key Management Objectives: Alignment, Coordination and Integration

Focus on these objectives to deliver the business value of services From isolated independent

services

To Business aligned services

To timely coordinated

service

To synergistic integrated services

SLA & KPI Follow up Finance Pipeline Vendors & Sourcing Monthly Report Benchmarking

Supplier management Service Activities: •  Chair or contribute to appropriate governance forums. •  Provides support to other Sourcing teams as required and drives collaboration

across teams working closely with them. •  Participates in and provides content for relevant governing committees. •  Ensure assigned contractual obligations are received, reviewed, and attested in

accordance with agreed process documents. •  Ensure other critical obligations are appropriately rolled out and embedded within

the business. •  Manage contract changes in accordance with agreed process and collaborate

with governance team in the proper tracking, and documentation of the changes.

Business Hunter recognizes that in order to achieve the best value outcomes appropriate relationships must be developed and maintained with vendors. The existence of a positively motivated, high quality and competitive supply base is the optimum environment in which we can achieve our objectives. Evaluation Tree focus on the following attributes:

•  Flexibility •  Financial •  Terms & Conditions •  Risk / Security / Confidence •  Relationship & People •  Solution


Scope of Provider Evaluation & Selection Service:

•  Verify Business Case•  Train on and Lead or support RFI, RFP & RFQ

processes. (in RFI, RFP, RFQ)•  Train on and Lead or support implementation of

WOs•  Consult on global and local supplier pricing•  Consult BUs organization on cost containment

levers •  Select Provider(s) Finalists•  Final Offer & Pricing•  Provider’s Location (Countries Selection)•  Provider’s Due Diligences

Provider Evaluation & Selection

Evaluation Tree Supplier Selection Matrix

Enterprise Risk Management It is an efficient and effective process for conducting a risk assessment —a top-down approach that identifies and quantifies the risks that could affect the strategic well being of an organization. Business Hunter’s Enterprise Risk Management (ERM) methodology takes a structured, holistic approach to managing the uncertainties that businesses face. It relies on the creation of robust internal mechanisms for gathering, analyzing, monitoring and understanding the relevant information. Business Hunter assists organizations to establish effective ERM practices and systems. Our professionals can help the organization find the right balance between risk and control by linking process risk directly back to the organization's objectives.

Sourcing & Vendor Management - Service Catalog

The following Line Of Business and products are not considered as part of the scope

•  Financial due diligence•  Operational performance•  Compliance and security•  Strategic direction•  Geography and geo-political•  Termination•  Benchmark•  Incentives & Penalties•  Innovation•  Compliance•  Transition•  Key Personnel/Subcontractor •  Limitation of liability•  Performance Metrics

Risk Management

Risk Elements to Analyze Total Risks Report

Sourcing & Vendor Management – Providers cases Market Intelligence and Successful experience

INIT

Cases - Providers managed

INIT

“Consulting Services: Sourcing & Vendor Management”

March 29th, 2016

Ramiro Tolosa Sourcing & Procurement Teléfono: +54 9 11 5954 7856 Email: [email protected]