The document discusses digitalization in the construction procurement process. It describes how procurement digitalization can create value by (1) saving money through improved contract compliance and negotiation, (2) increasing control and compliance over purchasing, and (3) driving efficiency. Two case studies of companies that digitalized procurement processes - Ramirent and Sato - found successes like higher contract compliance, stronger negotiation power, and overall process improvements. Both companies outlined next steps like increasing automation and developing all key supplier partnerships into digital processes from start to finish.
4. OPUSCAPITA BY THE NUMBERS
Established 1984
~350 Employees
65m € Revenue 2018
3000 Customers with
users in over 100
Countries
Over 1 Million Suppliers
and 100,000,000
eTransactions
Over 40,000,000
products and services
bought & sold
Over 130 Billion € in
payments annually
5. GLOBAL
PAYMENTS
PAYABLES
AUTOMATION
SOURCING &
SUPPLIER
ENGAGEMENT
RECEIVABLES
AUTOMATION
OPERATIONAL
PROCUREMENT
CASH
MANAGEMENT
Comprehensive
supplier information
management and
agile sourcing for
goods and services.
Improve your cash
inflows and reduce
the time spent
matching payments
to invoices.
Create a centralized
product catalog with
a modern guided
buying experience
with full mobility.
Consolidate and
optimize your in-
house bank and
liquidity
management
functions.
Enable control and
compliance over AP while
dramatically lowering
transactional costs.
Connect directly to over
200 banks, SWIFT certified
for global payment
coverage.
OpusCapita is a platform
that combines source-to-
pay & cash management,
enabling full source-to-cash
process optimization.
HOW WE SUPPORT YOU
CONNECT, TRANSACT
AND GROW ON THE
OPUSCAPITA BUSINESS
NETWORK
6. Ramirent – equipment rental company
Turnover 2018: 711 MEuro
SALES BY CUSTOMER SECTOR Q4 18
market position in 9 segments
~300 locations
~3,200 co-workers, ~150,000 customers
~25,000 equipment types
Sweden
38%
Finland
27%
Eastern
Europe
17%
Norway
18%
SALES BY SEGMENT Q4 18
Construction
57%Other
25%
Industrial
18%
#1
#1
#1
#1
6
Ramirent Group 18/09/2019
#1
7. SATO IN BRIEF
7th May 2019 HEADLINE 2019 7
In thriving cities people enjoy a high level of well-being.
• SATO homes 25,800
• Number of personnel 221
• Fair value of investment property €4 billion
• Operating area
• H e l s i n k i M A, Tampere, Turku, Jyväskylä, Oulu in Finland
• St. Petersburg in Russia
• Number of residents ~48,000
• Strategic development programs
• Customer focus
• Digital development
• Diversified housing solutions
9. DIGITAL OPTIMIZATION
The process of using digital
technology to improve existing
operating processes and/or
business models.
DIGITAL TRANSFORMATION
The process of exploiting the
latest digital technologies and
practices to create a new
sustainable digital business
model.
THE PATH TO BECOMING A DIGITAL BUSINESS
Gartner, Digital Business Transformation: Closing the Gap Between Ambition and Reality, Ian Cox, Kristin Moyer, 18 June 2018.
10. Key Challenges:
History of local business (local purchasing)
Conservatism
A general skepticism towards central
agreements
Low contract compliance
Lack of basic computer skills
Poor/old IT systems and lack of integrations
Too much manual IT work
The State of Digitalization
15. Ramirent:
Money & time saved
Very high contract compliance
Strong negotiation power
Quality data in our systems
Overall process improvements
Ramirent (next steps):
3-way matching
Automated ordering
Assortment optimization
Sato:
From price optimization to cost
optimization
High usage rate of procurement
systems
Leading & decision making with data
Sato (next steps):
Higher degree of automation and
robotics in supplier base
Developing all key partnerships into
digital flow from beginning to end
Leading & decision making with data
Success and next steps
Founded 1984, approximately 400 employees, 65m€ in 2017
Ramirent Group’s reportable segments as of October 1, 2018 are: Sweden, Finland, Eastern Europe, Norway.
On December 3, 2018, Ramirent announced that it had signed an agreement to divest its Danish equipment rental business. The divested Danish operations will be reported as discontinued operations in the fourth quarter 2018 onwards.
Making the choice to digitalize is based on what input? Also, where do you start and how long is your planning.
What adjustments have you had to make along the way
Don't underestimate the need of resources needed for keeping the data up to date
Go live with the system/supplier batches first when it is 100% done
Make sure the suppliers are committed
Price/product updates
Order confirmations
etc.
Have integrations in place before golive reduce double keyentry
Leave or postpone categories which are challenging or too complicated for your organisation