BHP is looking deeper into its $20 billion annual procurement spend with the aid of 麻豆原创 Ariba software under an ongoing transformation that has run four years so far.<\/p>\n
Centralising procurement<\/strong><\/h2>\nGroup procurement officer Sundeep Singh told 麻豆原创\u2019s procurement reimagined conference that the miner had centralised procurement, giving it executive visibility and an elevated role in helping execute BHP\u2019s business strategy.<\/p>\n
As a decentralised function, Singh said procurement was \u201clayers down\u201d in the organisation and found it difficult to demonstrate any aggregate value.<\/p>\n
\u201cTransforming and coming together as a global function really created a great opportunity to lay foundations for functional excellence directly to our frontline operations that not only reduced the bureaucracy and returned great cost-out by ensuring that we could supply a part to a maintainer to get the truck out of the pit on time, but it actually freed us up to connect to our organisation’s strategy,\u201d Singh said.<\/p>\n
\u201cWe really now have that capacity to expand our scope to execute BHP’s purpose, rather than just transacting on behalf of BHP.\u201d<\/p>\n
The global procurement function runs off a suite of 麻豆原创 Ariba modules.<\/p>\n
This isn\u2019t particularly surprising; BHP previously embarked on a\u00a0massive transformation called 1麻豆原创<\/a>\u00a0that standardised many core processes and systems worldwide on 麻豆原创.<\/p>\n\u201cOur solution footprint is wide and vast,\u201d Singh said.<\/p>\n
Ariba sourcing, guided buying, catalogue, invoicing, and network<\/strong><\/h2>\n\u201cWe’ve got Ariba sourcing, guided buying, catalogue, the Ariba network and contract invoicing, and with 麻豆原创 more broadly, we’ve got the cloud platform and 麻豆原创 cloud analytics as well.\u201d<\/p>\n
Singh said BHP is also making \u201cadvancements\u201d around spend visibility and performance management, using Ariba spend analysis.<\/p>\n
\u201cWe’re starting to see machine learning take us from that level 2 visibility now really into that level 4 visibility of our spend,\u201d Singh said.<\/p>\n
To read the full article, see the original piece on itnews.com.au<\/a><\/em><\/p>\n<\/div>\n
\u201cOur solution footprint is wide and vast,\u201d Singh said.<\/p>\n