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Georgia Consolidates Procurement

August 19, 2008 By News Report

The State of Georgia's Department of Administrative Services is engaged in a multi-million dollar investment in new procurement technologies and processes that will unite statewide entities into one comprehensive buying consortium.

The state's decision represents a new approach to purchasing within the public sector. The vision for such a transformative overhaul is to aggregate spending across statewide entities -- such as agencies, universities, municipalities and hospitals -- that typically operate independently, but whose untapped power as a single buying consortium has the potential to drive dramatic cost savings and process efficiencies.

"It is well known that the consolidation of buying power often represents the single greatest opportunity to contain costs," said Brad Douglas, commissioner for the Department of Administrative Services for the state of Georgia. "Our decision to take a new approach while using proven systems and technologies will enable the state to accomplish more with its revenue and free employees from time-consuming administrative work."

SciQuest's eprocurement solutions will provide the state with supplier enablement capabilities and an intuitive online shopping environment that will be integrated with PeopleSoft's eprocurement system. The resulting solution will empower the state to drive spending to pre-negotiated contracts, gain insight into how state money is being spent and eliminate paper-driven administrative practices so staff can spend more time on initiatives that deliver greater savings and higher value services.

Most state entities run their operations independently, with disparate enterprise resource planning (ERP) systems, different purchasing practices and very distinct needs (i.e., the purchasing needs of a hospital differ from those of a police department). Without a core eprocurement technology capable of integrating these systems and practices, broad user adoption is limited.

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Ohio Governor Announces Reforms to State Procurement Process

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