R/€ = 15.15Change: -0.13
R/$ = 14.28Change: -0.14
Au 1072.00 $/ozChange: -0.05
Pt 852.50 $/ozChange: 7.00
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?

And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters About Us
RSS Feed
Article   Comments   Other News   Research   Magazine  
Mar 01, 2002

SA co in e-procurement top 10

© Reuse this South African petrochemicals giant Sasol was one of ten companies to be profiled in an international benchmarking report on best e-procurement practices compiled by independent US market analysis firm Aberdeen group and released late last year.

In its research of emerging procurement automation technologies, the Aberdeen group identified enterprises that have been the most successful in deploying e-procurement to control costs, streamline processes and enhance responsiveness across the supply chain.

According to the report, Sasol was profiled for the innovative way that it is using e-procurement technology – working with its peers to improve classification standards and for its involvement in the development of e-tendering services that allow small, medium and micro-enterprises and black economic empowerment enterprises to benefit from e-procurement technology.

Sasol embarked on its e-business initiatives in 1999, being the first in its industry to embrace business-to-business e-commerce in South Africa.

When e-marketplace company Commerce One South Africa Distributor Operations launched the regional online marketplace MarketSite Africa, in February last year, Sasol took an equity stake in the venture. Sasol also licensed Commerce One's procurement solution to ready itself for e-commerce and integrate a complex legacy environment.

The open architecture of the company's solutions makes it possible for enterprises to communicate and collaborate with each other, no matter what systems they use, what language they speak, or what currency they trade in. Sasol faced several challenges in its move to embrace e-commerce.

Most of the company's 4 000 requisitioners conducted transactions manually, many of its smaller suppliers used phones and faxes, and not catalogues, to process transactions and, finally, Sasol worked with 22 different enterprise resource planning systems across its global business.

"Commerce One helped Sasol overcome these challenges by introducing the technology incrementally to a handful of selected business units," says Distribution Operations account manager Bruce Rowe.

Sasol has realised significant process efficiencies and improved manpower utilisation.

"Our ability to leverage technology across all aspects of our operations is vital to meeting our customer needs and our long-term profitability goals," says Sasol e-procurement manager Johan du Preez.

More than 2 000 users across six business units make use of Sasol's system.

The company has about 60 suppliers currently using the system, and processes over 5 000 line items a week, amounting to about 15% of all purchase orders processed.

Sasol has achieved substantial cost and time savings, such as reducing its requisition to delivery from 29 days to 8 days – an improvement of 72%. E-procurement, which uses pre-agreed catalogues (descriptions and prices), eliminates several reconciliation steps and reduces the number of month-end discrepencies once all business units work from the same catalogue. The company is now looking at a further roll-out to its remaining local business units as well as international subsidiaries in Germany, Italy, and North America. "Sasol has successfully taken steps towards realising the opportunities of e-commerce," says Commerce One South Africa—Distributor Operations new business development director Tim Frost.
Edited by: marisa rodrigues
© Reuse this Comment Guidelines (150 word limit)
Other ICT News
Nigeria's communications ministry said on Wednesday that it is up to President Muhammadu Buhari to decide "in which direction to go" with a $5.2-billion fine on mobile phone company MTN after it asked for leniency. "The (Communications) minister (Adebayo Shittu) said...
Trade and Industry Minister Dr Rob Davies expects the growth potential of the local business process outsourcing (BPO) industry to continue increasing over the next five years, particularly in contact centre, shared services centre and legal process outsourcing. He...
Telecommunications giant Vodacom and converged network operator Neotel have two weeks to decide whether the proposed merger between the two companies would continue in an “amended” form or be abandoned altogether. Following an eleventh-hour postponement of the...
Article contains comments
Latest News
Updated 4 hours ago Business confidence has dropped by a full 15 points over the past year to reach its lowest level in five years, the latest Rand Merchant Bank (RMB)/Bureau for Economic Research (BER) Business Confidence Index (BCI) has shown. After falling from 43 to 38 in the third...
Updated 4 hours ago JSE-listed beverage, food and nonperishable packaging manufacturer Nampak’s basic earnings a share rose 3% to 228.3c for the year ended September 30, from 221.7c the year before. The company also reported an increase in group revenue and trading profit of 13%, to...
Updated 4 hours ago As Parliament mulls the new regulatory framework to govern South Africa’s financial industry, the sector is preparing for its promulgation; however, it will require a complete “rethink” of the way regulators guide financial institutions. The tabling of the Financial...
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
Additive manufacturing, better known as 3D printing, has the potential to completely change the relationships between individual consumers, professional designers and manufacturers. So argued Loughborough University Reader in Computer Aided Product Design Dr Ian...
Airbus Defence and Space: Military Aircraft has highlighted that its A330 Multirole Tanker Transport (MRTT) has significant commonalities with the Airbus A330-200 commercial airliner, upon which it is based. The South African Air Force (SAAF) once operated a fleet of...
Financial services provider Nedbank launched the second edition of its Carbon Footprinting Guide earlier this month, which is aimed at demystifying carbon footprint approaches and help readers grasp the main concepts of carbon measuring, monitoring, reporting and...
This year marks the thirtieth anniversary of Caterpillar’s first backhoe loader. This also coincides with the worldwide release of its latest-generation F2 series backhoe loader, which was launched at supply chain services company Barloworld Logistics’ Big Dig Day in...
BARRY DWOLATZKY The CPD programme provides advanced skills required locally, and provides a stepping stone to Wits University’s Master of Engineering degree in software engineering
A shortage of software engineers is leading to fewer information technology (IT) projects in private and public sector organisations. This also places a dampener on the economy, as IT is an integral part of business and civil service, says University of Witwatersrand...
Alert Close
Embed Code Close
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96