Digitalization of Procurement Process – TP Central Odisha Distribution Limited
Digitalization of Procurement Process
Problem
- The paper-intensive process was prone to errors and delays, requiring significant manual handling.
- The manual process extended the procurement cycle, delaying operations and increasing costs.
- Lack of Transparency and Confidentiality.
- Auditing processes and retrieving records were time-consuming and labor- intensive .
- Limited Access and High Physical Travel.
Solution
- Identify and procure necessary hardware and software for digital procurement.
- Develop detailed design and blueprints for integration of SAP-MM, Ariba, and Adobe.
- Create comprehensive digital databases for materials and vendors.
- Establish user roles and access permissions to ensure secure operations.
- Conduct extensive testing on the development platform, followed by deployment in production for live operations.
Challenges
- Limited physical interactions and travel hampered coordination and on-site support.
- Staff unfamiliar with new digital tools required extensive training, delaying progress.
- Resistance to abandoning long-standing manual processes caused initial pushback.
- Developing and delivering effective remote training programs for a diverse workforce was complex.
- Ensuring seamless integration of SAP-MM, Ariba, and Adobe systems required meticulous planning and testing.
Outcomes
- Eliminated paper usage, streamlining the entire procurement process.
- Automated workflows reduced errors and enhanced document security.
- Faster procurement cycles and timely project completion.
- Enabled seamless work from home and remote operations.
- Simplified processes improved ease of doing business for Business Associates (BAs).
SKOCH Award Nominee
Category: Digital Transformation
Sub-Category: Business Process Transformation
Project: Digitalization of Procurement Process
Start Date: 7-01-2020
Organisation: TP Central Odisha Distribution Limited
Respondent: Sony Jha
https://www.tpcentralodisha.com/
Level: DX – 1
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Case Study
Digitalization of Procurement Process
Introduction:
TP Central Odisha Distribution Ltd. (TPCODL), erstwhile Central Electricity Supply Unit (CESU) had a procurement process that was excessively paper-intensive and time-consuming. The major challenges included bid sorting, storage, document handling, protection, and maintaining confidentiality. These manual processes heavily relied on human intervention, leading to inefficiencies in locating, moving, and signing documents.
Problems:
The paper-intensive process was prone to errors and delays, requiring significant manual handling. The manual process extended the procurement cycle, delaying operations and increasing costs and lack of Transparency and Confidentiality. Auditing processes and retrieving records were time-consuming and labor- intensive and limited Access and High Physical Travel.
Solution:
Identifying and procure necessary hardware and software for digital procurement and developing detailed design and blueprints for integration of SAP-MM, Ariba, and Adobe. Creating comprehensive digital databases for materials and vendors and establishing user roles and access permissions to ensure secure operations. Conducting extensive testing on the development platform, followed by deployment in production for live operations.
Challenges:
Limited physical interactions and travel hampered coordination and on-site support and staff unfamiliar with new digital tools required extensive training, delaying progress. Resistance to abandoning long-standing manual processes caused initial pushback and developing and delivering effective remote training programs for a diverse workforce was complex. Ensuring seamless integration of SAP-MM, Ariba, and Adobe systems required meticulous planning and testing.
Innovation:
Automating and digitizing the procurement process significantly enhances operational efficiency by reducing manual tasks, speeding up workflows, and minimizing errors By simplifying and streamlining tender participation, we enable more BAs to engage in the process, fostering a more competitive and inclusive environment. Streamlined operations and reduced manual interventions lead to significant cost savings in terms of time, resources and labor.
Outcomes:
Eliminated paper usage, streamlining the entire procurement process and automated workflows reduced errors and enhanced document security. Faster procurement cycles and timely project completion. Seamless work from home and remote operations was ensured and simplified processes improved ease of doing business for Business Associates (BAs).
Opportunities:
It was scaled & replicated in other 3 Odisha DISCOMs that came up post TPCODL in state of ODISHA.
Summary:
TPCODL’S procurement process was revolutionized by digitizing and automating these functions. This transformation ensures enhanced transparency, faster operations, and greater accuracy, significantly reducing human dependency. By streamlining workflows, our solution not only safeguards documents but also bolsters confidentiality and operational efficiency.
For more information, please contact:
Sony Jha at sony.jha@tpcentralodisha.com
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