Consolidation of the procurement processes in the ORLEN Group
The procurement processes of 14 ORLEN Group companies, whose annual fulfilled orders amount to PLN 7bn, will be consolidated, thanks to the innovative CONNECT Procurement Platform launched by the Company. The CONNECT tool will be available at connect.orlen.pl for use by all potential contractors and will operate on four European markets in which the ORLEN Group companies have a presence.
Before the end of the year, the CONNECT Procurement Platform will become the sole means for announcing tenders and placing offers by the 14 companies of the ORLEN Group, replacing the traditional paper-based method. Currently the programme covers all procurement processes conducted or PKN ORLEN. The Group companies are already being gradually incorporated into the system, with the process being completed in the second half of the year. This modern solution will make it easier for the Group to open to new suppliers from diverse markets, integrating and optimising the procurement process. Contractors will all have better access to information on tenders, and tendering procedures will become faster and simpler.
"As the industry leader, operating on several markets, we are trying to introduce solutions that facilitate and integrate the operating processes of the companies within the Group. The launch of the CONNECT Procurement Platform is the best example of this. Contractors have shown a huge interest, confirming the need for integration of the procurement processes – since we launched the pilot programme in mid-May 2013, 850 suppliers have already registered in the CONNECT system, and over 70 procurement processes have been started," said Jacek Krawiec, President of the PKN ORLEN Management Board.
The CONNECT Procurement Platform encompasses the entire sourcing process, from offer enquiries, through implementation of the procurement process, to conduct of the electronic bidding, which is just one of the negotiating methods available. Offers, which exist in an electronic form only, may be placed by potential suppliers after logging into the platform. Before logging in, it will be necessary to register the company in the system and choose the appropriate procurement categories. The CONNECT Procurement Platform also issues automatic updates and notifications on tendering procedures free of charge, which guarantees that all the suppliers have regular and equal access to this information. Further functionality is planned to be implemented in Q3 of 2013.
Transactions on the Procurement Platform will include both PKN ORLEN and ORLEN Group companies: Unipetrol, ORLEN Lietuva, ORLEN Deutschland, Anwil, Rafineria Jedlicze, Rafineria Trzebinia, IKS Solino, ORLEN Oil, ORLEN Gaz, ORLEN Asfalt, ORLEN KolTrans, ORLEN Projekt, and ORLEN Administracja.
Using CONNECT, contractors will be able to fulfil orders in 15 procurement categories: Administration and General Supplies; Investments; IT and Telecommunications; Logistics; Service Stations; Energy Resources, Energy and Fuels; Resources, Chemicals, Catalysts and Fillings; Overhaul and Operation Services; Professional Services; Equipment, and Materials and Spare Parts. Due to the specificity of the supplies, contracting of basic resources, like crude and gas, will be excluded from the platform.