Biotech Incubation Partners has introduced an e-procurement platform, the Biotech Internet Purchasing Platform (BIPP), specifically developed for purchasing laboratory materials & reagents in the Life Sciences sector.
Membership of the BIP platform allows efficient, cheap and controlled purchasing using an online, sector-specific e-procurement software.
The platform-software, continuously maintained by the platform-support team, allows the participants:
- To have access to a high-performance, ready-to-use e-procurement platform without having to (pre)invest large amounts in hardware, software or IT support.
- To generate substantial operational cost savings* of up to € 50 per order due to the high efficiency of the (software supported) procurement process, from article searching to invoice registration.
- To benefit additional product discounts from suppliers.
- To place paperless orders from their personal article database or directly from the electronic catalogues of the suppliers online.
- To have extensive professional control over orders through:
- an electronic & personalized authorization cycle,
- detailed follow-up of the status of requisitions online,
- analytical study of the complete purchase history,
- a real time project budget follow-up,
- integrated legal and environmental obligations (dangerous goods, occupational health).
- To integrate the e-procurement platform with their own already available internal system (ERP, accounting software etc.) if they allow data importation (minimizing manual maintenance of article & supplier databases).
- Membership is cost-sharing and based on the number of order-lines created.
Membership cost is a double digit multiple lower than the savings realized.
*: A study on a BIPP pilot biotech company in 2006 by an MBA-student at the Vlerick Leuven-Gent Management School, Belgium) calculated an expected operational saving of €1500 per collaborator, which turned out to be €50 per order in 2006;
:"a savings potential of e-procurement averaging US$70 and more per order forms the basis of most feasability studies prior to e-procurement projects" (from: "Successful use of e-procurement in supply chains" by Thomas Puschmann and Rainer Alt, Supply Chain Management: An International Journal Vol.10 Nr.2 2005,122-133)