Eden, Author at EqualLevel

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News

EqualLevel Is Featured in Government Procurement Magazine

June 13, 2023August 24, 2023

EqualLevel is thrilled to have been featured in the June 2023 cover story of Government Procurement Magazine. Read below for an excerpt from the article:

Government Procurement Magazine Excerpt: June 2023 Edition

There is an increasing interest in small and disadvantaged business participation in public contracting; however, it’s often difficult for small local businesses to compete for government business. In El Paso, Texas, Sandy Grodin created a new office supply business from scratch-El Paso Office Products. Over the past decade, the company boasts $5 million to $6 million in annual sales with 90 percent of their sales volume from local government, K-12 school districts and colleges. With 16 employees, El Paso Office Products has become a successful certified small business. While growing the business, Grodin and his team often compete against large office supply operations and on-line platforms. However, when a large online supplier impressed the local school district with lower prices and on-line catalog, he feared if one local agency went in that direction, then others might follow, causing negative impacts to local businesses.

Grodin learned this online platform had approached his largest customer, El Paso Independent School District (EPISD), about creating a custom marketplace. The district was impressed by the presentation and promises of low prices. However, before signing on the dotted line, EPISD connected with local vendors about the potential change.

Grodin met with EPISD’s superintendent and purchasing team, having done his homework. In side-by-side comparisons, he demonstrated his company’s value, local economic benefits and local partnership as a powerful part of their customer service strategy. He was able to offer competitive pricing through an awarded cooperative contract.

The school district ultimately made the decision to combine all district-approved vendor catalogs, including El Paso Office Products, into one searchable on-line site by partnering with EqualLevel, a flexible e-commerce platform. With no supplier transaction fees or incurred costs for integrating a supplier’s existing e-commerce site, the district found EqualLevel’s platform to have similar advantages as large on-line competitors, but with greater local business focus. Through a special feature, as shoppers placed items in their carts, the EqualLevel Savings Advisor (ELSA) feature suggests best value substitutions, ensuring district purchasers were making the best possible selections.

According to EqualLevel Founder and CEO Orville Bailey, “This platform gives small businesses and distributors with limited IT capabilities the opportunity to establish a punchout catalog that integrates with most financial systems used by local governments and school districts. This increases the ability for small companies to appear in searches alongside their larger competitors to create an equal playing field.”

The full Government Procurement Magazine article can be found here.

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News

EqualLevel Sponsors Ground-Breaking Black Founders Forum

June 13, 2023August 24, 2023

In 2021, Black entrepreneurs received a record $5.1 billion in venture capital (Crunchbase). Sadly, this number still only accounted for a paltry 1.5 percent of all venture funding for the year. In 2022, with the economic downturn, total venture capital dollars dwindled and Black founders took the brunt with a disproportionately larger drop in investments. “When the U.S. economy has a cold, the Black community has pneumonia,” said Paul Judge, managing partner and co-founder of Atlanta-based Panoramic Ventures.

PS27 Ventures Hosts Inaugural Black Founders Forum

In an effort to address the alarming trend of underfunding for Black founders, PS27 Ventures will be hosting the inaugural Black Founders Forum in Jacksonville, Florida. The goal of the forum is “to attract and inspire more people to become entrepreneurs and innovators,” said PS27 CEO Jim Stallings.

EqualLevel Joins Industry Leaders As Bronze Sponsor

When EqualLevel co-founder Orville Bailey first learned of the Black Founders Forum, he was eager for EqualLevel to join industry leaders PwC, Deloitte, and JPMorgan Chase in sponsoring the event. “EqualLevel is passionate about supporting initiatives that provide Black founders and entrepreneurs with opportunities to overcome barriers, unlock their potential, and drive meaningful change,” said Bailey of the sponsorship. An accomplished Black founder in his own right, Bailey is deeply committed to supporting and empowering Black individuals, businesses, and entrepreneurs. Prior to EqualLevel, Bailey co-founded and served as CEO for B2eMarkets, a pioneer and market leader in enterprise eSourcing. In this role, Bailey helped raise over $60 million in venture investment.

EqualLevel’s DEI Commitment

EqualLevel is steadfast in its commitment to diversity, equity, and inclusion for its employees, clients, and the wider community. The company proudly collaborates with several Black-owned businesses through its eProcurement Marketplace and EqualLevel GO software products. EqualLevel GO, in particular, provides underrepresented suppliers with access to technology that enables their products to achieve the same visibility on eProcurement marketplaces as that of their larger competitors. The platform not only levels the playing field for disadvantaged businesses, but it also helps satisfy supplier diversity requirements for buyers.

Bailey will join 30 founders, 40 investors, and 350 attendees at the Black Founders Forum, which coincides with Juneteenth. “Founders will learn how to build sustainable businesses that create jobs, positive returns for shareholders, and personal wealth,” said Stallings. Attendees will have the opportunity to network with Black founders and venture capitalists and attend a panel discussion on the Power of Capital. Throughout the conference participants will be able to explore the Entrepreneur and Business Partner Showcase comprising 30 Black-owned companies that will be onsite to showcase their products and services. Carla Harris, Morgan Stanley Senior Client Advisor, will deliver the keynote address, and the event will culminate with a Shark Tank-style pitch competition with five founders competing for a $250,000 venture capital investment.

For more information on the Black Founders Forum, or to get involved, go to https://ps27foundation.org/.

EqualLevel’s commitment to diversity, inclusion, and equity for its employees, clients, and the wider community

EqualLevel Co-founder Orville Bailey

EqualLevel’s eProcurement Marketplace

EqualLevel’s GO product

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Blog

GPO Utilizes eProcurement Marketplace to Bring Vendor Catalogs Under One Umbrella

May 1, 2023August 24, 2023

For GPO Catholic Purchasing Services (CPS), the use of PunchOut sites, where suppliers are responsible for their own product listings, is imperative. Handling the descriptions, photos, and other product details for their 200 vendors’ tens of thousands of products, on top of their other critical duties, would prove overwhelming for CPS’s seven employees. Instead, CPS utilizes EqualLevel’s eProcurement marketplace to bring all of their vendors’ catalogs under one umbrella.

About Catholic Purchasing Services

Founded in 1988 and located in Newton, Massachusetts, CPS began offering products at a discount to their members via a printed catalog before moving their catalog online in 2010. While CPS’s procurement service is offered through the Catholic Church, membership is open to 501(c)(3) faith-based organizations of all denominations. 25 percent of the market share, which is comprises churches, schools, and nursing homes, are CPS members.

CPS brands and partners include KI, OSV, Smith System, National Public Seating, Staples, Xerox, Sherwin Williams, Slabbinck, School Health, Virco, Quadient, Root Candles, Cavanagh, Cintas, and School Specialty, among many others.

EqualLevel’s eProcurement Marketplace

In 2019, CPS conducted a search for a robust eProcurement system that could be integrated with their existing ERP, NetSuite SuiteCommerce. The organization was impressed with EqualLevel’s partnerships with Staples and other large suppliers. The idea of leveraging EqualLevel’s relationships to offer more vendors and products to their members was appealing. “EqualLevel was by far the best value for the investment,” said O’Hara. “We looked at a lot of other sites that were more expensive and they could not deliver the connections that EqualLevel’s marketplace already had built right in,” she continued. “The technology behind their platform is sound. It gives us a sense of security knowing that EqualLevel is hosting everything and has robust security and connection.”

With just one click, EqualLevel’s solution gives CPS’s roughly 9,000 members access to hundreds of vendors and their products, at special contract pricing and with extended terms. “With EqualLevel’s PunchOut sites, we don’t need to host SKU’s–that’s all done via the suppliers. The marketplace largely supports itself so we don’t have to worry about anything except marketing the site,” said Mary Schell O’Hara, CPS CEO since June 2022.

Growth

CPS’s site includes six critical vendors brought to the marketplace through partnerships with EqualLevel, including Staples. The ability to offer these vendors’ products at a discount to members has had a significant positive impact on the organization’s growth and draw. Since adopting the EqualLevel marketplace in 2019, CPS’s growth in numbers of transactions and dollars has been 25 percent year over year, even with the impact of the Covid-19 pandemic factored in.

Sung Oh, EqualLevel’s Vice President of Technical Operations & Support, said of the relationship, “We have enjoyed our partnership with Catholic Purchasing Services and are proud of the tailored marketplace solution we have created to meet their needs. We’ve integrated with their WordPress and NetSuite SuiteCommerce applications for ease of access and a streamlined shopping experience for their members.”

Onboarding New Suppliers

CPS continues to work closely with EqualLevel to bring new vendors to their marketplace. They recently added a partner of many years, Regency Lighting, after receiving requests from members to add a lighting supplier to the site. CPS has been working with Regency Lighting and EqualLevel to connect the supplier’s PunchOut site to the marketplace. “Sung and his team are very easy to work with. We have had no issues with technical help and expertise. The support they have offered has been tremendous,” said O’Hara. Regency Lighting will go live on CPS’s site in early 2023.

The Future for CPS and EqualLevel

In the future, CPS hopes to take advantage of some of the marketplace’s other functionality, including the built-in approval workflow component. This piece allows members to analyze and control spend, as well as put approvals in place. “We are planning to grow the platform by adding new suppliers. We want to leverage EqualLevel’s partnerships and also bring on new vendors. We definitely have EqualLevel in our long term plans,” O’Hara concluded.

For more information on Catholic Purchasing Services, visit www.catholicpurchasing.org.

Click here to read how EqualLevel has helped other cooperatives and GPO’s.

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Blog

Building Your Business Case to Drive Operational Procurement Savings With eProcurement

February 27, 2023August 24, 2023

EqualLevel’s April Marzzacco knows how important it is to present a well-researched and evidence-backed business case when trying to garner approval to drive efficiency and process improvement in a difficult fiscal climate. Prior to joining EqualLevel, she was an entrepreneur and public sector change agent. In this article, Marzzacco outlines the five key elements she recommends you include to create a business case that maximizes your chances for approval.

Purchasing departments across the country are reporting that they are busier than ever with staff shortages, budget cuts, and ongoing supply chain issues. It is not uncommon for agencies that are still limping along with manual entry to be struggling with the volume of purchase orders coming in and high bookkeeper burnout, while also dealing with maverick spend and non-compliant purchasing.

Whether it is these challenges or others that your department is facing, you may believe now is the time to find a solution that will streamline your purchasing process. Based on your research, and recommendations from other agencies, you may have already decided that implementing an eProcurement marketplace is just that solution.

Download April Marzzacco’s comprehensive Guide to Building a Business Case for an eProcurement Marketplace where the author goes even more in-depth on what is needed to craft a winning Business Case.

What is a business case?

Presenting a business case is considered the best way to introduce new initiatives to stakeholders. According to projectmanager.com, a business case is a presentation or document that outlines why a project should be executed, and how its benefits outweigh its costs. The goal of a business case is to convince stakeholders of a project’s value, and that the project you are proposing is a sound investment in which they should direct resources. To build a business case for EqualLevel’s eProcurement system, it is important to provide higher-ups with the information they need to understand both the importance of automating, and the return on investment (ROI).

There are many recommended formats for structuring a business case but in general, it should cover the following five elements:

1. The Challenge

In this first section of your business case, you will outline your current process and the reasons why you believe change is necessary. Challenges you might include:

Manual entry is slowing down the purchase process
Manual entry causes more errors
Bookkeeper burnout
Maverick spend
Non-compliant purchasing

You should also include the costs associated with your current system in this part of the business case. These could include any costs related to software, the wages paid to employees who manually enter requisitions and purchase orders, as well as the costs associated with continuing to overpay for goods and services.

TIP: When tallying your current costs, if there is information you are not able to find within your organization, industry benchmarks should suffice.

2. The Solution

In this section of your business case, you will present the solution you are recommending, namely, implementing EqualLevel’s software. This will be where you define what an eProcurement system is. Here is an example: “An eProcurement marketplace is integrated with an organization’s ERP system and offers a single, seamless platform that facilitates all of the processes associated with the shop-order-pay transaction. EqualLevel’s dashboard offers a consumer shopping-like experience where users can shop from all of their organization’s approved suppliers in one place. With this set-up, best value options are displayed and organizations report higher user acceptance and greater compliance.”

This is also the part of the business case where you will present how the software works. The best way to explain the functionality and capabilities of EqualLevel’s AI-powered software is to see it in use. EqualLevel creates customized software demos so you, and your organization’s stakeholders, can see the marketplace in action. The demos allow interested parties to get hands-on experience with the system and it lets them see how EqualLevel’s Savings Advisor (ELSA) locates savings in real-time, while a user shops.

3. The Cost

EqualLevel is able to provide a worksheet to quickly calculate the results you can reasonably expect to achieve through deployment of its eProcurement marketplace. The worksheet divides savings into two areas: “soft” savings, where process costs will be reduced (the resources may be reallocated to other, more value-added, activities), and “hard” savings, where costs will actually be reduced (using ELSA). Once you have calculated your expected savings, you can subtract that from the cost of the marketplace software to determine your ROI.

4. The Benefits

The next section in a business case should include the benefits your organization can anticipate from implementing your initiative. In this case the benefits of an eProcurement marketplace include:

Efficiency: Automating leads to faster cycle times and improved productivity. The elimination of paper and manual steps frees up time for employees to focus on more critical initiatives.
Cost Savings: With all approved vendors housed in one centralized location, best value products can be easily identified.
Compliance: By automating the three-bid process and showing only contracted vendors, an eProcurement marketplace helps organizations comply with state and federal regulations.
Transparency: Robust reporting capabilities help ensure purchases conform to established policies. Real-time visibility into purchasing activities discourages maverick spending and provides leadership with valuable Insights.

5. The Timeline

Generally, an eProcurement marketplace can be implemented in 60 to 90 days and often a return on investment can be achieved within a single fiscal year. EqualLevel can provide a generic timeline for implementation to present to stakeholders or an estimated timeline can be created that is tailored to your organization’s unique situation.

A well-organized and thoughtful business case could be the difference between being able to implement an eProcurement marketplace, or not.

This post was originally published on September 6, 2022 and updated on February 27, 2023.

About the Author

April Marzzacco brings over 20 years of eCommerce and procurement experience to her role as Senior Manager, Demand Generation & Partnerships for EqualLevel. Prior to EqualLevel, she served as a Business Process Analyst at the Lee County School District where she was responsible for production support, analysis, process documentation, training, and process improvement. She also worked in the district’s Procurement Department where she was instrumental in integrating both the EqualLevel marketplace and an eSourcing platform.

April may be reached at amarzzacco@equallevel.com or via LinkedIn.

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Case Study

District Saves Time, Money with eProcurement

October 5, 2022August 24, 2023

Arlington Independent School District (ISD) has completed implementation of its new eProcurement software. Arlington ISD worked with developer EqualLevel to implement the software with the goal of streamlining the district’s purchasing processes.

About Arlington ISD

Arlington ISD is the 11th-largest school district in Texas. It is located in Arlington, Texas, 13 miles east of Fort Worth and 20 miles west of downtown Dallas. The district serves 60,000 students spread among 76 campuses including 13 high schools, 10 junior high schools, and 53 elementary schools. They are the largest employer in Arlington, with a staff of approximately 8,500 and an annual budget of over $550 million.

In February 2022, Arlington ISD contracted with EqualLevel to integrate its eProcurement software with the district’s financial system, Frontline TEAMS. Working with district Director of Purchasing Lisa Phillips, set-up was completed in May 2022 and implementation was completed in August 2022. The district has already started seeing benefits, including capturing immediate savings that are being redirected back into the classroom.

One Marketplace for All Approved Contracts

Arlington ISD’s new marketplace brings together the catalogs of 28 district-approved vendors into a single, user-friendly interface. The new system provides a consumer shopping-like experience for teachers and staff. They will now utilize a single search box to comparison shop across district-approved contracts from both local and national vendors and add items to their cart, where they can then be transferred to administrators to approve and execute the purchase. Administrators no longer have to look up items for end-users, returning valuable time to their busy days.

Savings

Savings with the new eProcurement marketplace are projected to be significant for Arlington ISD. The system will put an end to non-compliant purchases and maverick spend by limiting purchases to only district-approved vendors. That alone will help them save by ensuring that every purchase is benefiting from contracted prices. However, the software also includes an AI-powered savings advisor, ELSA (EqualLevel Savings Advisor), that automatically identifies, in real-time, the lowest price for items, or best available substitute, from approved suppliers. Arlington ISD’s Executive Leadership is particularly excited about ELSA’s ability to uncover potential savings for the district.

Accounting

On the accounting side, seamless integration into the Arlington ISD’s financial system means requisitions and purchase orders will be automatically captured, eliminating the need for manual entry and thus freeing up district staff for more high-value tasks. The district is already processing hundreds of POs per month through their marketplace and plans to expand to service categories later this year. Leadership expects this number to grow as end-user adoption continues to increase.

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Case Study

Mesquite Independent School District Chooses eProcurement to Improve Efficiencies

September 22, 2022August 24, 2023

For years, the Purchasing Department at Mesquite Independent School District (ISD) had been searching for a way to maximize staff time and budget dollars with technology. The procurement process at district campuses included a mix of manual and electronic processes, and some requisitions even had to be handwritten and routed to several team-members for approval. It was difficult for staff to obtain multiple quotes for compliance purposes, much less comparison shop for best values.

eProcurement: The solution they were looking for.

In summer 2021, Mesquite ISD’s Purchasing Department leadership, made up of Director of Purchasing Darci Hooten, and Senior Buyer Kelly Burks, met with EqualLevel to discuss its procure-to-pay compliance platform. Mesquite ISD learned EqualLevel could create a platform that would offer them easy access digitally to approved vendor partners, as well as commodity codes at the product level, all in one location. They quickly saw how EqualLevel’s platform could potentially save the district thousands of dollars in both time and money.

“Seeing maverick spending reigned in would be huge,” said Hooten. “With the current system being so tedious and labor intensive, the marketplace could potentially speed up everything for everybody.”

Other features

The district was also excited to learn about other features of the marketplace:

Compliance: The marketplace would drive end-users to the district’s approved contracts.
Community Inclusion: The marketplace would give end-users the ability to shop from local vendors so more budget dollars remain in the community.
Savings: The marketplace’s AI-powered EqualLevel Savings Advisor (ELSA) would identify the best price among all district-approved suppliers for users while they shop.

In February 2022, the initiative became critical when a new district policy mandated the use of commodity codes on all requisitions and purchase orders. In a typical month the district was processing between 2,200 and 2,500 purchase orders. Hooten and Burks quickly realized campus staff simply could not absorb the additional coding work and faced the reality that the task would likely fall to their own overtaxed department. They were relieved to hear EqualLevel could sync the district’s commodity codes, automating the task and eliminating the need for any manual intervention. Now it was time for a decision: either automate to sync the codes, or hire a new team member to take on the extra work.

Mesquite Chooses EqualLevel

In mid-2022, Mesquite ISD chose EqualLevel to automate its procurement process, including full integration with its Munis ERP system. “The ability to lessen the load at the campus level and execute the commodity code project were critical points in getting buy-in from our CFO,” said Hooten. With the commodity code crosswalk, the savings that would be generated, and the flexibility and ease-of-use at the campus level, procurement would be able to deliver on multiple district initiatives in one program. “We conservatively estimate 10 to 15 percent savings just in hard dollars. That doesn’t include all the soft savings associated with the time our departments and campus staff will be saving,” said Hooten. “It’s going to be a major game changer.”

Update

In fall 2022 EqualLevel developers began building the commodity code crosswalk for Mesquite ISD. Unfortunately, they discovered the district’s financial system, Munis, would not support passing the code. EqualLevel was able to quickly create a custom solution for the district so their codes could be converted into their system. This work-around allowed Mesquite ISD to still meet its target go-live date.

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Case Study

Small Business Sees Yearly Sales Increases Since Creating PunchOut Store

September 19, 2022August 24, 2023

There are not many businesses today that can claim to have employed five generations of people from the same family but, after being in business for over 113 years, Midwest Technology Products can say just that. Today, Midwest Technology Products works exclusively with educators worldwide, providing quality products, furniture and supplies for makerspaces and fab labs, as well as Career & Tech Ed and STEM instructional spaces. In 2013 when their customers started transitioning to eProcurement, which favored vendors with the capability to PunchOut to their marketplaces, Midwest Technology Products knew it was time to create a PunchOut store for their 500-page catalog.

About Midwest Technology Products

Located in Sioux City, Iowa, Midwest Technology Products is a small (just under 20 employees), woman and minority-owned business that offers 11,000 products from 700 vendors. Through their unmatched customer service, they have built relationships with a broad network of school purchasers including teachers, administrators, purchasing agents, and curriculum directors.

Unlike a lot of their competitors, Midwest provides consulting for the layout and equipment requirements of their clients’ projects. They have designed and installed hundreds of specialty workspaces filled with durable, trade quality tools and equipment and their project management team can see a project through from specifications to coordinated delivery. They also offer kits, so customers have everything they need to make labs or makerspaces on their own. In addition, their products are unique; many of the items in their catalog cannot be found anywhere else online.

Midwest Partners With EqualLevel to Create eCommerce Site

In 2013, in order to continue to reach their customers who were transitioning to private marketplaces, Midwest Technology Products partnered with EqualLevel to create a PunchOut store. EqualLevel’s catalog management software, EqualLevel GO, offers small OEMs or distributors who may have limited IT capabilities the opportunity to establish a PunchOut catalog store, or PunchOut store, that integrates with ERPs. This allows the products from small companies to appear alongside those of their bigger competitors in the eProcurement marketplaces of large-scale buying organizations such as purchasing cooperatives and school districts.

To transfer their catalog, Robin Peterson, former President, was tasked with creating the line item data for Midwest’s 11,000 products including creating key words, sourcing images, and writing short- and long-form descriptions. The information was then sent to EqualLevel and through EqualLevel GO, they were able to create Midwest’s PunchOut store.

PunchOut Opens Doors

Midwest’s PunchOut store has opened doors that were previously closed to them due to their lack of eCommerce capabilities. They have been able to get in front of public sector organizations as well as other markets previously inaccessible to them. It has also improved their bottom line in other ways. Just through having all the specifications of their 11,000 products online, they have been able to reach more customers and make more sales. “Even when people don’t order through the website, and call in an order instead, our eProcurement marketplace has still served a purpose as a marketing tool. Most of the time the client will have used the site to learn and discover first, before picking up the phone to order.”

Since engaging with EqualLevel and transitioning to eCommerce, Midwest has not looked back. “Every year since creating our PunchOut store we have seen sales increase,” said Peterson. By utilizing EqualLevel GO to facilitate the creation of their eCommerce site, they now reach more customers in their target market than ever before.

Blog

Utilizing Technology to Reduce Bookkeeper Turnover in the Public Sector

September 12, 2022August 24, 2023

In the U.S. today, employee turnover is rising while at the same time the number of applicants for vacant positions is falling. According to a 2021 study by NEOGOV, “about a quarter of all current public sector job postings are getting seven applications or fewer,” much less than the 25 applicants they need to land one hire, according to NEOGOV.

None of this is news to public sector business departments, who have long struggled with high bookkeeper turnover rates. But with hiring prospects so bleak, shouldn’t agencies be considering ways to retain the staff they have?

In a 2021 article by routefifty.com, it was reported that “public-sector organizations devote considerable resources to hiring, but they often overlook retention.” This despite the fact that the financial impact of training and replacing staff members can come with a high price tag for organizations. According to the same article, the costs associated with turnover can be as much as “150% of (an) employee’s annual salary.”

Public Sector Bookkeeping

Bookkeeper turnover continues to be a problem in many public sector agencies. The manual entry involved in the job can be both tedious and time-consuming. It can leave bookkeepers with little time to perform other functions required of their position, and is often cited as a contributor to job dissatisfaction.

Bookkeepers are expected to be knowledgeable of, and to follow, policies and procedures for purchasing goods and services (i.e., correct use of bids, contracts, supporting document requirements, etc.), as well as a host of other competing responsibilities. Among their numerous duties, ordering supplies sits close to the top of the list and requires them to follow specific procedures while at the same time, in a lot of cases, having to use manual processes to enter lengthy requisitions. This alone can take up a large part of their day and come with a high margin for error.

In many organizations, bookkeepers are also tasked with general administrative duties on top of their already overwhelming responsibilities. Despite the important nature of their work and the stress involved, in the United States, the average salary for bookkeepers is $45,560, below the national average salary of $51,480 reported by the U.S. Bureau of Labor Statistics.

Lean Six Sigma Project: Bookkeeper Burnout

In 2018, a team vying for the Lean Six Sigma Green Belt Certification conducted a survey to uncover why bookkeepers employed at one of the largest school districts in the country were leaving. The turnover rate at 26 percent was significantly higher than the widely thought “acceptable rate” of 10 percent for turnover.

Serving close to 100,000 students, the school district employed 85 bookkeepers working in 119 schools. The 26 percent turnover rate amounted to roughly 22 employees leaving their positions per year. The impact for the district in terms of cost of hiring and training, additional support needed after training, and purchasing errors and delays, was sizable.

The Lean Six Sigma team distributed a survey to the district’s 85 bookkeepers, of which 75 percent responded. Almost half reported that they had considered leaving their job, citing stress as the biggest issue they had with their position. 19 bookkeepers responded that they did not have enough time to complete their bookkeeper responsibilities each day, that the amount of work they were expected to perform was not reasonable, and that they did not receive adequate training.

April Marzzacco, a team member on the project, said of the results, “while suspected, the results were still shocking. The number of bookkeepers that were thinking of leaving due to job dissatisfaction was an eye opener for the district. We knew we needed to make improvements to increase their satisfaction, or face a hiring crisis.”

Technology as a Solution

In a lot of organizations, bookkeeper turnover can be traced back to the largely manual nature of the position. In many agencies still operating under a paper-based system, the procurement process is laborious, time-consuming, and error-prone. One of the solutions proposed by the Lean Six Sigma team as a result of their Green Belt project, was to implement new technology to automate purchasing at the district. Automating can lead to faster cycle times and improved productivity, while the elimination of paper and manual steps can free up time for employees to focus on more critical initiatives. “We discussed how using technology to automate some of the bookkeepers’ processes would allow them to spend less time on menial tasks and more time on value added projects. We believed that this would lead to greater job satisfaction and an increase in intrinsic reward,” said Marzzacco.

What is eProcurement?

An eProcurement marketplace is integrated with an organization’s ERP system and offers a single, seamless platform that facilitates all of the processes associated with the shop-order-pay transaction. Because an eProcurement system houses all vendors under a single interface, users are limited to purchasing from only those vendors that have been approved. This allows the eProcurement marketplace to be utilized by more employees, resulting in less reliance on bookkeepers for ordering. It also drastically cuts down on manual entry, allowing bookkeepers to focus on the more value-added duties of their position.

After deploying an eProcurement marketplace in her own school district, Berea City Schools’s bookkeeper Becky Snyder reported the new system was straightforward, affordable, and required minimal user training. “It’s simple, just like we shop online at home,” she said.

In order to combat bookkeeper burnout, organizations must consider automating procurement to eliminate time-consuming manual entry and allow other end-users to make compliant purchases. An effective eProcurement system can help with bookkeeper retention, saving agencies both time and money.

Sources:

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Blog

5 eProcurement Myths (And Why They Aren’t True)

September 6, 2022August 24, 2023

While the benefits of eProcurement are well known, there are still many agencies today that continue to utilize outdated and inefficient systems for purchasing. Of those organizations that have adopted online bidding and purchasing procedures, many still have not addressed the administrative inefficiencies that exist. From increased transparency and productivity, to proven hard dollar savings, eProcurement offers a solution for many of the challenges organizations face. So why aren’t more agencies adopting eProcurement? Read on to learn about the eProcurement myths that persist today, and why advancements in technology have rendered them moot.

Five Common eProcurement Myths

Myth 1:

With upfront costs for hardware as well as licensing fees, the price tag for implementation can easily stretch into the six figures.

FACT: Today’s cloud computing offerings cost much less than their predecessors. Without hardware or licensing fees required, only subscription fees, eProcurement is much more financially accessible than it once was.

Myth 2:

It is costly and complicated to integrate with an organization’s ERP system.

FACT: Advancements in technology have made integrating with an organization’s ERP easier than ever. In an American City & County article titled Removing The Obstacles To E-Procurement Adoption they report, “The availability (and low cost) of new technology standards such as XML have largely alleviated concerns about integrating e-procurement with back-end financial systems.” In fact, the syncing with an organization’s ERP allows items purchased to be assigned appropriate commodity codes to ensure transactions are posted appropriately for accounting purposes.

Myth 3:

For organizations with small or non-existent IT departments, management of an eProcurement platform is a drain on resources.

FACT: Cloud-based systems that offer a multi-vendor marketplace should only need to engage an organization’s IT department at initial ERP integration. eProcurement providers can easily manage supplier enablement, even for those vendors without existing punchout sites, eliminating the strain on buyer procurement and IT departments.

Myth 3:

For organizations with small or non-existent IT departments, management of an eProcurement platform is a drain on resources.

Myth 4:

Due to additional costs to suppliers and complex onboarding processes, large suppliers will stop selling to local governments that adopt eProcurement measures.

FACT: Today’s eProcurement marketplaces integrate all of an organization’s current suppliers at no extra cost to the supplier. What’s more, they can seamlessly incorporate suppliers regardless of technological capabilities or chosen platforms. In fact, eProcurement can streamline supplier engagement with the agency and help reduce operating costs for all parties involved.

Myth 5:

eProcurement systems prohibit organizations from working with small local businesses because it is either too costly for them, or just not feasible.

FACT: eProcurement systems now have the ability to integrate suppliers regardless of their size or technological capabilities. In fact, the creation of fully-featured eCommerce stores for local businesses, specifically designed to support punchout commerce, have been responsible for propelling countless local suppliers into the world of eProcurement.

Source: https://www.americancityandcounty.com/2011/08/01/removing-the-obstacles-to-e-procurement-adoption/

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Creating a Business Case for eProcurement

September 6, 2022August 24, 2023

Procurement departments across the country are reporting that they are busier than ever with staff shortages, budget cuts, and ongoing supply chain issues. Whether it is these challenges or others that your department is facing, you may believe now is the time to find a solution that will streamline your organization’s procurement process. Based on your research, and recommendations from other agencies, you may have already decided that implementing an eProcurement marketplace is just that solution. Creating a formal business case for eProcurement is the best way to present this new initiative to achieve stakeholder approval.

What is an eProcurement business case?

According to projectmanager.com, a business case is a presentation or document that outlines why a project should be executed, and how its benefits outweigh its costs. The goal of a business case is to convince stakeholders of a project’s value, and that the project you are proposing is a sound investment in which they should direct resources. To build a business case for EqualLevel’s eProcurement system, it is important to provide higher-ups with the information they need to understand both the importance of automating, and the return on investment (ROI).

The Five Elements of a Successful Business Case

There are many recommended formats for structuring a business case but in general, it should cover the following five elements:

1. The Challenge

In this first section of your business case, you will outline your current process and the reasons why you believe change is necessary. Challenges you might include:

Manual entry is slowing down the purchase process
Manual entry causes more errors
Bookkeeper burnout
Maverick spend
Non-compliant purchasing

TIP: When tallying your current costs, if there is information you are not able to find within your organization, industry benchmarks should suffice.

2. The Solution

3. The Cost

4. The Benefits

The next section in a business case should include the benefits your organization can anticipate from implementing your initiative. In this case the benefits of an eProcurement marketplace include:

Efficiency: Automating leads to faster cycle times and improved productivity. The elimination of paper and manual steps frees up time for employees to focus on more critical initiatives.
Cost Savings: With all approved vendors housed in one centralized location, best value products can be easily identified.
Compliance: By automating the three-bid process and showing only contracted vendors, an eProcurement marketplace helps organizations comply with state and federal regulations.
Transparency: Robust reporting capabilities help ensure purchases conform to established policies. Real-time visibility into purchasing activities discourages maverick spending and provides leadership with valuable Insights.

5. The Timeline

A well-organized and thoughtful business case could be the difference between being able to implement an eProcurement marketplace, or not. Should you need help with this process, or for more information, go to www.equallevel.com.

About the Author

April Marzzacco is a Strategic Sales Consultant for EqualLevel where she brings over 20 years of eCommerce and procurement experience to her role. Prior to EqualLevel, she served as a Business Process Analyst at the Lee County School District where she was responsible for production support, analysis, process documentation, training, and process improvement. She also worked in the district’s Procurement Department where she was instrumental in integrating both the EqualLevel marketplace and an eSourcing platform.

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