the new strategic purchaser -...

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The new strategic purchaser Efficiency, visibility and risk management - Reduce purchasing cycle times - Increase order accuracy - Improve service to ships Ane Fosseng, Business Development Manager, ShipServ Steinar Sandberg, Group Purchasing Manager, OSM Ship Management

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The new strategic purchaserEfficiency, visibility and risk management- Reduce purchasing cycle times - Increase order accuracy - Improve service to ships

Ane Fosseng, Business Development Manager, ShipServ

Steinar Sandberg, Group Purchasing Manager, OSM Ship Management

ShipServ

• ShipServ helps Shipowners and Shipmanagers to find

the best suppliers easily, trade efficiently and build

trusted relationships.

• We offer the largest online trading platform, the most

used supplier search engine, the leading ordering

guide and the first online ad network.

• The high volumes of sourcing, trading and search

data our community shares every day helps us deliver

better results and more accurate information to both

buyers and suppliers.

$3 bn Sourced &

160 Shipowners / Managers

36,000 Suppliers

70,000 Users

6,000 Ships

The ShipServ Community

Traded

Requisition

Quote

Request for

Quote

Order

Order

Confirmation

Invoice

Logistics Info

Logistics

Info

Logistics Info

…still has many areas that are NOT automated

Buyer

Supplier Logistics

Provider

Ship

The traditional procurement

process…

• Poor Data Quality

• Error-prone Processes

• Poor Reporting

• Limited automation

• Lack of control

Leading

to

Delayed orders

Too much time on admin, not enough on strategic buying

activities

Lack of visibility into operations makes management control

difficult and disguises opportunities for improvement

The result – for Shipowner/manager

ShipServ: Optimizing your trading

relationships

Shipping company in-house systemsSupplier in-house systems

In-House

Spectec AMOS

ShipNet

Tero Marine

ABS NS

BASS

Consultas

Logimatic

CL-Sea

WebBuyer.

Danaos

EtcEtc

Etc

SAP R/2

SAP R/3

Oracle

JDE

Concorde

Navision

StartSupplier

Etc.

EtcEtc

Etc

IFS

Baan

MFG/PRO

Custom

SmartSupplier

Nothing

Etc.

Custom

Teomaki

…with exactly one connections per

participant

“Our buyers can do more

„buying‟, there‟s less

wasted time.”

“Purchasers now have time

to do better things…they get

15-20% of their time back.”

“Buyers were dealing

with 20 ships, now they

can do 40.”

“RFQ to PO time

reduced by 30%”

“We use the KPI reports every

month...to evaluate suppliers.”

“A 1% savings on the procurement

side equals about 10% revenue

increase on the chartering side.”

Source: ShipServ Customer Survey, Spring 2008

Speed up

purchasing, reduce

administration

Negotiate better

deals, enable

strategic sourcing

Deliver

savings to the

bottom line

Benefits for

the Ship owner/

manager

Customer feedback

• Tidewater reduced cycle times by 45%, and saved 39% in one year on electrical purchases alone.

• Hoegh Fleet Services reported order cycle times reduced by 3 days.

• Holland America Lines operates a fleet of 14 large cruise ships with half the number of buyers vs. the industry average.

• Vroon Offshore increased fleet by 30% with no increase in purchasing staff, and reduced head office purchasing department cost by 10%.

• Crowley Maritime reported a reduction of 23% in time spent per vessel, and is on track to achieve their target of 2% savings in the first year of operation.

• Solstad Offshore AS reported that they freed up 20% of their time to devote to sourcing and negotiations.

Drive down search costs: ShipServ

Pages

36,000 supplier entries and growing

Better manage customers

Be more responsive

Win new

Targeted Advertising on Pages

TradeRank and Reviews

business

Benefits for the supplier

It’s all about people!

City Country

ARENDAL NORWAY ● ● ●

KRISTIANSAND NORWAY ● ●

ABERDEEN U.K ●

STENUNGSUND SWEDEN ●

HAMBURG GERMANY ● ●

GDYNIA POLAND ●

KLAIPEDA LITHUANIA ●

RIGA LATVIA ●

ARCHANGELSK RUSSIA ●

ODESSA UKRAINE ●

SPLIT CROATIA ●

MUMBAI INDIA ●

JAKARTA INDONESIA ●

SINGAPORE SINGAPORE ● ●

MANILA PHILIPPINES ● ● ●

HONG KONG CHINA ●

SHANGHAI CHINA ●

RIO DE JANEIRO BRAZIL ● ●

FORT LAUDERDALE USA ●

POINT NOIRE CONGO ●

Cre

w

Ma

nag

em

en

t

Sh

ip

Ma

nag

em

en

t

Off

sh

ore

Co

rpo

rate

Facts and figures,at a glance.

More than 7,700 employees at sea

More than 500 employees on shore

21 offices worldwide

Three business units; providing

Ship Management,

Crew Management and

Offshore Management

Privately owned, management holds

more than 75% of shares

Diverse customer base comprising

private and public shipping companies,

international and integrated drilling

and offshore operators

2009 Revenue of US$275.5m

(2008: US$245.7m)

Ma

nn

ing

Key FactsOSM Globally

Company IntroductionOffice Locations and Key Facts

ShipServ – impacts for OSM

• OSM joined ShipServ in 2010 with a full integration to PMS/Purchasing system Teomaki

• OSM does purchasing on ships from 4 different locations –Arendal, Hamburg, Singapore and Manila. By using ShipServ‟s reports and statistic tools we are able to get better control across borders

• Purchaser can concentrate on smart sourcing rather than typing

• Better cost control onboard the ships as all prices are visible on line item level

• Potential for full backend integration of our suppliers with additional response time advantages

ShipServ – 100% transparency

ShipServ – Transactions pr vessel

ShipServ – Supplier analysis

Thank you!

www.shipserv.com