Scaling the process by 50% with sourcing & procurement platform

Dragon Sourcing is a procurement services provider focused on delivering sustainable value and insights from emerging markets. It supports corporates in the effective acquisition of goods and services through a global sourcing process. The company was founded in 2004 and now has offices in Asia, Europe and the Americas.

Challenge

Standardising and automating the manual processes

Dragon Sourcing has been operating mainly using excel based tools across multiple of their methodology steps including:

  1. Demand Analysis
  2. Supply Analysis
  3. Strategy development
  4. Supplier selection
  5. Contract Implementation
  6. Supplier Management

This approach rendered rigid and unscalable when the company expanded beyond 50 employees. The company started to explore ways to scale the process through advanced web application platform solution which would integrate all the parts of the methodology into one process. Some of the goals to achieve included reduction in the duration and cost of global sourcing projects by standardising and automating the processes involved (e.g. supplier audits, procurement operations, quality control, logistics and supplier performance management), while at the same time increasing accountability and metrics-driven performance improvements.

Such a solution was to reinforce both:

  • rapid savings to the bottom line whilst being highly analytical
  • total transparency to build strong relationships built on trust and reliability
Process and Project Scope

User feedback-driven process standardisation and streamlining

We collocated physically with the client’s Project Manager and Product Owner during his on-site visit at our premises. Initially, we focused on the business goals and objectives to be achieved, the overall project scope and the first version of technical specifications.

Business Value

Efficient supplier identification with reinforced transparency

The Global Sourcing Platform is an online business process management tool which provides the framework and tools to efficiently conduct global sourcing projects in emerging markets. The solution enables sourcing optimization through consolidation and automation of the sourcing processes involved and provides our client’s customers with visibility into the progress of their sourcing projects. With the use of this BPM solution, Dragon Sourcing can increase the efficiency of sourcing projects execution for several multinational companies, including such enterprises as, for example, ABB, Danone, Philips, British Sugar, Coors, H&M, Kesslers, Mothercare, BP, Rockwool and others.

It is aimed to reduce the average duration of a supplier pre-qualification project by 25% and increase the number of suppliers identified by 50%, within the first year of use.

It’s a business process management system consisting of a master supplier database and a suite of workflow tools designed to boost the effectiveness and the productivity of the sourcing processes involved as well as to provide better visibility / more transparency through business activity monitoring (BAM).

Technology stack

Ruby on Rails single page app

The back-end of the application was developed in Ruby on Rails and relies on PostgreSQL and Hetzner. We used jQuery, HighCharts, TurboLinks and OpenStreetMap to implement the front-end of this online sourcing platform.

Ruby on RailsPostgresql