Procurement

Platform BPO Solutions

To thrive in competitive business world, organizations constantly seek ways to reduce operational cost, improve efficiency, leverage best of the class processes, and reduce TCO to improve their bottom line. Today purchasing organizations want to free up buyers time, so that they can focus on strategic decision making rather than on low-benefit routine activities. Tata Consultancy Services' (TCS) Procurement Platform BPO Solutions helps you achieve this by delivering Source-to-Pay (S2P) processes efficiently. Based on standard and lean business processes delivered on our superior technology platform, our offerings enable you to free up resources for critical activities and benefit from standardized, optimized processes across the enterprise.

Overview
In today's dynamic business environment, organizations constantly seek robust solutions to implement cost efficient and seamless sourcing and procurement processes which would help them lower TCO and improve their bottom line. TCS Procurement Platform BPO Solutions help you achieve this. We manage and execute your Source to Pay processes on our fully-owned and managed platform, thereby reducing your Total Cost of Ownership (TCO) and improve operational efficiencies. Our multi tenant platform takes complete ownership of operations, application, and infrastructure, thus enabling you to focus on core and strategic functions. Transforming your procurement operations through the deployment of standard business processes and our best in class technology, we help you achieve your business goals while strengthening your financial position significantly. Pre-built components and our Organization Change Management (OCM) approach, seamlessly board you onto the platform, reducing deployment time and accelerating benefit realization. TCS Procurement Platform offers Sourcing, Contract Management and Procure to Pay (P2P) services delivered by inhouse procurement specialists within TCS and Tata Group. We also have partnerships with Global Sourcing Companies which brings added benefits for you. Also we bring to you delivery scale with our proven Global Network Delivery Model (GNDMTM) TCS Procurement Platform would enable customers realize the following benefits: n Compliance: Increased supplier compliance n Process efficiency: Work-flow driven, repeatable and reusable processes reduce procurement and sourcing cycle time. TCS has more than 35 pre-defined procurement processes developed using best practices assimilated from over 30 years of rich TCS experience. n advantage: Real-time negotiation, volume discount, Cost extended supply base for greater price benefits, and a shift from CAPEX to OPEX model n Control: Rationalized supplier base, spend visibility and MIS reporting facilitate informed budgeting and planning. n People excellence: An experienced global resource pool brings in sourcing and category expertise, facilitating better supplier relationship management. n Seamless Integration: Leveraging Portal to bring suppliers and buyers on the same platform

These benefits can be tracked and measured through the following pre-defined metrics. Typical KPIs
Reduced total procurement cost Increased Visibility and Control Reduced PR to PO Cycle Time and Cost Reduced Invoice to Pay Cycle Time and Cost Improved Supplier Performance Improved Contract Management

What we measure (Metrics)

Negotiated savings Operating Cost % of Spend under centralized visibility Spend under Formal Purchasing Management PR to PO cycle time PO Accuracy % electronic invoice creation On - time payments Improved inquiry response time
% of approved suppliers enabled electronically % of Spend Under Preferred Supplier Contracts

Indicative Benefits
1015% from sourcing activity Reduction of 20 - 30% on transactional activities 85 - 90% of total indirect spend 65 - 80% of entire indirect spend Reduced by >60% >99% accuracy >70% of invoices created electronically 85% On - time payments Less than 8 hours Increased to >60% >70% 5 - 10%

Savings from Contract Renewals

Source-to-pay
nd

sis aly An

Spend Management Spend Classification Vendor Enrichment Spend Visibility Sourcing Rfx management Sourcing Events and Auctions Vendor Selection Category Management Contract Management Contract Creation Contract Compliance Contract Administration Transaction Management Catalog Management Approval Workflow Purchase Requisition Purchase Order Material Receipt & Return Invoice Processing Performance Management Supplier Performance Compliance Management

Sp e

So

Spend Management Compliance

Sourcing

to ceur

ac t -Contr

Self Procurement Platform Service Performance Management Reporting Transaction Management

KM Contract Management

Process-based modular platform offering delivered through excellent services expertise

Our offerings
Our comprehensive offerings in the Procurement Platform include: Sourcing: n Automated processes reduce the sourcing cycle time o which frees resources for more value-added functions; Use of supplier resources builds solution expertise and o introduces innovation in the current offerings; Improved supplier performance measurement, planning o and forecasting, with reduction in cost per unit, change in consumptions and improved operational efficiency. High-quality category intelligence to support decisions o that reduce costs, mitigate risks and improve efficiency Contract n Management: Better contract management generates increase in o rebates and discounts; Enforce compliance and control lead to greater visibility o of supplier performances. n Management: Spend o Spend analysis by different dimensions like item/product, category, supplier, divisions, buyer, etc., enables strategic decision making o Better insight into historic spend through enrichment, cleansing and classification of spend data Transaction Management: n Automated transaction processing releases expensive o resources for strategic procurement functions Shift from Capex to Opex mode enables investment in o core business areas to gain competitive edge Performance Management: n Supplier performance management through supplier o enablement, supplier compliance management and performance tracking Builds dedicated supplier development competencies o

Why TCS
TCS has a strong global presence in Procurement and Supply Chain Management that understands your business. Our relevant experience in all relevant areas of Source to Pay, proven methodology, ability to provide multi-lingual capabilities makes us your partner of Choice. Combining IT, BPO and infrastructure strengths, we help bring significant benefits to all stakeholders in your organization. What makes us a reliable partner is our: nPlatform Solutions on gold standard processes and Global technology that will create economies of scale and ensure complete ownership stays with TCS n expertise in relevant areas and our experience in Domain consulting, procurement outsourcing, enterprise solutions, BPO Service delivery and infrastructure n Partnership with Global Sourcing Specialists: In Strategic addition to our in-house expertise in sourcing and within TATA group, we have strategic partnership with Global Sourcing Companies which brings substantial value to our customers n rapid transformation and deployment approach Phased, through pre-configured platforms, proven Organization Change Management (OCM) methodology that will enable quick on-boarding. n Global Network Delivery ModelTM with the right mix of talent, location and resources to cater to your requirements across continents. This supports our exceptional delivery capabilities, which combined with the ability to scale, ensures quick solutions for you n Management Research Desk (CMRD) with highCategory skilled category based research expertise n Utility-based pricing. This allows you to pay-as-you-use for the full-service offering that includes hosting, maintenance, and ongoing service delivery. The configuration of the TCS Procurement Platform as per your unique procurement requirements with a one time setup cost

About Tata Consultancy Services (TCS)

Tata Consultancy Services is an IT services, business solutions and outsourcing organization that delivers real results to global businesses, ensuring a level of certainty no other firm can match. TCS offers a consulting-led, integrated portfolio of IT and ITenabled services delivered through its unique Global Network Delivery ModelTM, recognized as the benchmark of excellence in software development. A part of the Tata Group, Indias largest industrial conglomerate, TCS has over 143,000 of the world's best trained IT consultants in 42 countries. The company generated consolidated revenues of US $6 billion for fiscal year ended 31 March 2009 and is listed on the National Stock Exchange and Bombay Stock Exchange in India. For more information, visit us at www.tcs.com

To know more about TCS Procurement Platform BPO Solutions, contact global.platformbpo@tcs.com
TCS Design Services M 0909

All content / information present here is the exclusive property of Tata Consultancy Services Limited (TCS). The content / information contained here is correct at the time of publishing. No material from here may be copied, modified, reproduced, republished, uploaded, transmitted, posted or distributed in any form without prior written permission from TCS. Unauthorized use of the content / information appearing here may violate copyright, trademark and other applicable laws, and could result in criminal or civil penalties. Copyright 2009 Tata Consultancy Services Limited

www.tcs.com