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Council on Track to Achieve Target Efficiency Savings in First Year, and Expects to Process 12,000 Purchase Orders Annually Worth in Excess of £10 Million 2,000 Suppliers Already Signed Up

EGS Ltd, the UK’s largest and fastest growing e-Commerce Exchange for the public sector and its suppliers, today announced that the Colchester Borough Council has deployed the EGS e-Procurement and electronic trading environment, known as the IDeA:marketplace, to 258 staff across every department, and expects to process 12,000 purchase orders a year. With an annual spend of up to £50 million including capital costs with third party suppliers and 18,000 purchase orders a year, the Council has been able to reduce its purchase-to-pay costs down to under £10, and is on track to meet its target efficiency savings in its first year.

The Council was previously using paper-based order pads for its procurement, and decided to embark on an eProcurement strategy to achieve better efficiency, including an annual efficiency target saving of £200k. Following an initial phased deployment to individual departments across the Council, and internal training sessions with buyers, the Council has now signed up more than 2,000 suppliers to the system.

“We wanted to streamline the process of procurement, as well as consolidate the number of different suppliers,” said Jackie Martin, Procurement Control Manager for Colchester Borough Council. “EGS’ IDeA:marketplace was extremely easy to use, and has significantly lowered our purchase to pay costs. Furthermore, we are able to take advantage of aggregated purchasing on county wide contracts by working collaboratively with Essex County Council, who are also using EGS’ IDeA:marketplace. It’s given us much greater insight. Our buyers have visibility to spot prices, and are aware of the value of an order before it goes out, which means we can ensure funds are available before the order is raised. It’s also helping to reduce off contract spending and maverick buying.”

Colchester Borough Council has processed 6,000 purchase orders through the EGS Exchange so far worth approximately £10 million, and expects to be processing 12,000 a year

Designed and managed by EGS specifically for local government, the IDeA:marketplace gives instant access to a wide range of contracts for products and services that have been negotiated locally, regionally, or nationally. The IDeA:marketplace is a joint venture between EGS and the Improvement and Development Agency (IDeA) to deliver local government's own electronic world-class procurement system and electronic trading environment. The IDeA:marketplace provides local government customers with a range of e-procurement solutions and services that meet their own needs as Councils, whilst enabling them to work more closely and effectively with other bodies at local, regional and national levels. Over 100 Local Authorities are currently part of IDeA:marketplace, and 150 public sector buying organisations use this and EGS’ other exchanges.

Buyers in the UK public sector raise over 50 million purchase orders per year and suppliers post over 100 million invoices per year. Shared Service e-Commerce environments help dramatically reduce the costs of these processes and underpin collaboration between groups of public sector bodies to get the best from national, regional and local collaboration. There is £100 billion of e-procureable spend in the public sector every year. The combined efficiencies of business process cost savings and e-Procurement cost savings delivered by EGS have the potential to save the public purse well over £1 billion per annum. The solutions also offer major cost savings for suppliers. With almost one million online catalog items (the largest available), EGS Exchanges also have the potential to reduce the unit price of goods and services by as much as 30 per cent.

About EGS Ltd

Founded in 2000, EGS Ltd is the UK’s leading supplier of e-Commerce Exchanges for the public sector. The company’s Shared Service e-Commerce solutions are used by over 150 public sector buying organisations. EGS operates a series of inter-locking regional and sector
focused e-Commerce exchanges, providing services designed to automate and reduce the costs and timescales associated with the procurement to pay lifecycle. The services save considerable time and cost for both buying organisations and suppliers alike. EGS is the biggest and fastest growing e-Commerce Exchange for the UK public sector with more than 50% market share, making it the market leader in its field, and the most successful Exchange of its kind in Europe. With the largest Shared Services customer base, EGS has 150 public buying organisations linking with 30,000 of their chosen supplies and the main contracts from
Public Purchasing Consortia. Electronic purchasing is taking off. EGS has seen a 500% growth in the use of its services in past two years alone, and expects the trend to continue.

For further information, please contact:

Vanessa Land
Devonshire Marketing
Tel: +44 (0)870 242 7469
Email: vanessa@devonshiremarketing.com

This press release was distributed by ResponseSource Press Release Wire on behalf of Devonshire Marketing in the following categories: Business & Finance, Public Sector, Third Sector & Legal, Computing & Telecoms, for more information visit http://pressreleasewire.responsesource.com/about.