Adds Merchant Card Services, Payroll and Corporate Purchasing Cards to Purchasing Solutions
LOUISVILLE, KY (June 1, 2010) – BidBridge, a proven eAuction services provider for the public and private sectors, today announced it will rebrand as eBridge Business Solutions to more fully encompass the company’s service offerings, which now include merchant card, web-based payroll and corporate purchasing card services, in addition to reverse auction purchasing solutions. The new services will extend eBridge’s suite of fully managed business solutions, adding value for established and growing businesses.
“While we were successful in the purchasing space, we recognized a growing need in the marketplace to support daily functions outside of core business product or service offerings,” said eBridge CEO Jim Headlee. “We decided to apply our expertise in purchasing and budget management to expand our offerings for our clients, culminating in the development of the eBridge brand.”
As the newly formed eBridge, the company’s services create efficiencies and limit internal resource consumption, providing support for:
- Purchasing Solutions – eBridge’s purchasing solutions deliver true market value in acquiring goods and services, leveraging a web-based eAuction software platform for full buyer visibility. Experience with strategic sourcing and existing vendor contacts give eBridge clients an advantage in procurement.
- Merchant Card Services – Powered by NPC, taking a consultative approach to merchant card services, eBridge provides a fully managed solution delivering value through statement monitoring and analysis, giving customers a clear picture of the costs associated with accepting credit card payment.
- Payroll – eBridge’s web based processing platform helps customers stay focused on their core business by streamlining payroll and human resource reporting. eBridge recognizes that payroll has evolved in to a commodity based solution, and have structured their payroll service to provide all the features and functionality to effectively pay employees at a very competitive price point. Whether a business pays one employee or 1000 employees, eBridge can help them maximize their payroll system capabilities with a personalized implementation plan.
- Corporate Purchasing Cards – Corporate purchasing cards help reduce costs and create efficiencies in businesses. Streamlining accounts payable functions, corporate purchasing cards assist clients in removing inefficiencies from the accounts payable process.
For more information, visit www.eBridgeGlobal.com.
About eBridge
Founded in 2002, Louisville-based eBridge provides fully managed business solutions creating efficiencies and streamlining business operations. Leveraging years of experience in purchasing, sourcing and budget management, eBridge Business Solutions’ full suite of services includes purchasing, merchant cards, web based payroll and corporate purchasing cards.
For more information, visit: www.ebridgeglobal.com.
BidBridge recently partnered with a community college system to purchase 150 of two different models of elliptical machines to outfit their college system’s fitness centers.
The reverse auction event lasted just 36 minutes with first place changing hands nine times. The four participating suppliers placed 43 bids total on the two types of machines.
The bid ended with the final low bid 24.9% lower than the school system’s budgeted amount! The savings will go directly back in to the school’s budget in order to provide additional programming in their fitness centers.
BidBridge assisted a Kentucky city with the purchase of 11 chemicals for water treatment. Chemicals are a volatile commodity, with pricing for each varying throughout the year.
Twelve suppliers participated in the bid, placing 373 total bids throughout the 2 hour, 20 minute bid. First place changed hands 111 times and the clock extended 215 times, allowing suppliers to continue to compete for the business.
At the conclusion of the bid, the city saved 23% versus budget.
It's no secret that school districts across the country are facing teacher layoffs, school closings and a decrease in extra-curricular programs due to severe budget cuts.
According to a recent article on AOL News California's education budget was cut by $17 billion over the past two years and will be cut another $2.4 billion this year... and more than 23,500 pink slips have been handed out to school employees'
But despite the gloomy headlines, one large school district is taking action. They have teamed with BidBridge to purchase several items including janitorial paper, craft supplies, game rugs and most recently an internet content filtering solution. With an average net savings of 14% on everything run through the process, examining your budget for items appropriate for the reverse auction process should be a no-brainer.
Event Summary: Internet Content Filtering Solution
During a recent event the seven suppliers placed bids on 5 line items comprising the content filtering solution. The contract is for three years.
First place changed hands 46 times and 546 bids were placed during the one hour 38 minute event.
Final price yielded 49% savings versus budget.
So next time you head read a headline about a school closing, see if they're using reverse auctions. Who knows, it could mean a better education for your children and saved jobs.
After a year when road salt prices were significantly higher than normal, prices appear to be declining for this year. eBridge hosted our first road salt bid of the 2010 season for a large Midwestern county.
Six suppliers from across the country bid on the contract. Throughout the course of the competitive bidding event, first place changed hands 19 times, resulting in a total of 98 bids placed among the six suppliers.
The bid concluded at 7.99% lower than 2009 purchase price, providing savings versus last year’s budget for the county and providing a key indicator that prices may be dropping for the 2010 salt purchasing season.
Since the late 1990’s, reverse auctions have revolutionized purchasing through the competitive bidding environment and transparency.
While the case for reverse auctions is obvious, many are challenged by determining the best items to purchase through the process, as not every item is a fit.
In order for an auction to be successful, ask the following questions:
1. Are the specifications neutral and open to competition?
2. Does more than one supplier or company provide this good or service?
Below is a story highlighting the success for a purchase that had open specifications and was able to bring more than one supplier to the able to compete for the business.
A mid-western company needed to purchase furniture to outfit a new facility. BidBridge operations staff worked with the purchasing organization to establish open and neutral specifications and bring additional suppliers to the table.
During the reverse auction event, the suppliers competed aggressively with one another, placing 55 bids through the event and first place changing hands 27 times.
At the conclusion of the event, first and second place suppliers were separated by a mere 0.23%, indicating true market value had been achieved. Based on the company’s budget, the final pricing was 40% lower than expected.
This case study is yet another example of how the competitive bid environment is achieving true market value for buyers and gives suppliers the opportunity to place additional bids in order to win new business.
Saves 28% versus budget on two year contract
A large city in Florida partnered with BidBridge to engage in a contract for the purchase traffic signs to outfit the city for the next two years.
Ten suppliers participated in the bid, placing 164 total lowering bids over the course of the 30 minute bid. First place changed hands 34 times. At the conclusion of the bid first and second place suppliers were a mere 0.26%, indicating true market value had been achieved for the purchase.
A Midwestern state’s water district engaged BidBridge for the purchase of two water treatment chemicals. The bid was comprised of four line items, with pricing segmented out for a 6 month and 1 year contracts for each. The chemicals included ferric sulfate and hydrofluorosilicic acid.
Seven suppliers placed a total of 31 lowering bids over the course of the one hour, 58 minute event. The final overall pricing for the event yielded a 21% savings versus budget.
The buying organization was thrilled with the pricing and is slated to run several more events through BidBridge reverse auction process in the near future.
In an article by Matt Chafkin from Inc Magazine, the writer provides some tips for competing to win in a reverse auction. He also includes a history and opinions from both buyers and suppliers regarding the technology that is quickly becoming industry standard for businesses that want to remain competitive in America today. Below is an excerpt. The full article can be found here.
How to Compete in a Reverse Auction
A growing number of large companies are forcing suppliers to bid through reverse auctions. Here’s how to survive one with your margins intact
By: Matt Chafkin
On days when Gartner Studios is trying to lock down a major sale, Greg Gartner turns his employee lounge into a war room. An arsenal of laptops and phones and reams of data are brought in for employees to use. Shouting matches among workers are common. So is heavy perspiration. If Gartner’s team wins the deal, there’s a lot of whooping and the boss hands out tequila shots. These back-breaking dealmaking sessions can last for eight hours or more.
For Gartner, a company that supplies stationery and related products to mass market retailers and office superstores, selling paper ain’t what it used to be. Deals that 10 years ago would have started with a cold call and ended months later with a handshake are now governed by a process that was virtually unheard of when the Stillwater, Minnesota, company was founded in 1998: the online reverse auction.
During a reverse auction, a customer allows suppliers only a short window of time to bid down the price on their products or services. The practice was pioneered by automotive and aerospace buyers, which used reverse auctions to procure commodity parts. Today, many large companies use them to buy everything from paper clips to their employee health care plans. Reverse auctions are loved by corporate purchasing managers, loathed by suppliers, and rarely discussed publicly by anyone involved.
Click here to read the full article.
This city partnered with eBridge for the purchase of 400 fuel operated coolant heaters, with specifications for 200, 300 GPH capacity and 200, 120 GPH capacity.
BidBridge sourced 35 suppliers for the bid, with six suppliers approved by the buyer to participate. The 56 minute bidding event yielded 98 bids, 18 first place turn overs and 47 time extensions.
The competitive bid environment yielded 1.15% between first and second place suppliers, indicating true market value had been achieved for the city’s purchase. The overall savings versus budget was 29.17%, presenting a compelling case for the city to award the bid.