Unformatted text preview: of volume leverage and better purchasing controls. BNSF is also using
reverse auctions to sell off surplus locomotives, buy equipment parts, contract for future
natural gas needs, and other purposes – with 8-10% savings achieved to date. Plans are also
underway to broaden the supplier pool and improve transaction efficiency by developing a
vertical e-marketplace with other major railroads.
General Electric: America’s consistently most admired company and CEO are pursuing eprocurement in a major way, with initiatives in transaction processing efficiency, web-based
auctions, on-line supplier collaboration, and purchasing process improvement – as well as
programs to sell e-procurement services to other companies. With about $5 billion of on-line
auctions planned for the coming year across plastics, medical equipment, aircraft engines,
power systems, and other business units, GE expects to save $500 million or more in
purchase prices and to reduce transaction costs by up to 90% -- on millions of transactions
per year. On-l...
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This test prep was uploaded on 04/01/2014 for the course INDE 6370 taught by Professor Staff during the Spring '08 term at University of Houston.
- Spring '08