Friday 22 February 2019

Lee..'It's important to implement cost saving initiatives without compromising quality.

Media One appoints 36S as procurement partner

DUBAI, April 12, 2016

Media One Hotel has appointed 36 Strategies (36S), the region’s fastest growing procurement and supply chain management solutions company, to assist in the procurement process of all the hotel’s ‘non-food’ products.

Through a combination of 36S’s cloud-based procurement platform ‘Insight’, and consolidation of the supplier base, 36S delivers a more efficient and transparent way to procure in the UAE. The platform also provides visibility to spend, so customers can unlock their potential savings, reduce ‘back office’ administration such as invoicing and the environmental impact through consolidated deliveries.

“Media One was spending approximately Dh50,000 ($13,610.2) per month purchasing 52 individual non-food items from five to six suppliers, which meant raising approximately 40 LPO’s per month just for these items,” explained Steven Speter, managing director of 36S.

“Not only is it costly to raise so many LPO’s every month (the average cost of managing a single LPO is Dh275/$74.8), it is also very time consuming and inefficient in terms of the inbound logistics due to many small deliveries.”

36S's solution consolidates the procurement to pay process whereby Media One orders it’s entire consignment of ‘non-food’ products from 36S under a single bi-monthly invoice.

“This means that the hotel can order all of the required items from a single supplier, and the goods will be delivered on a single truck under a single invoice. Apart from removing a lot of the administrative and logistic costs associated with the old process, the solution is also environmentally friendly in terms of a paperless ordering process and vehicle emissions cut by more than 50 per cent,” added Speter.

The company’s team of international experts believe in doing things better, quicker and smarter and deliver, on average, 17 per cent saving on procurement cost whilst creating visibility to the hidden procurement costs, improving product availability and compliance.

“We are trialling this innovative service from 36S, as in today’s competitive marketplace it is important to ensure you are implementing cost saving initiatives, yet not compromising on quality,” stated Mark Lee, general manager of Media One Hotel.

“We are currently purchasing 20 key non-food consumables and monitoring the benefits to the hotel with a view to expanding the portfolio of goods we source from 36 Strategies." - TradeArabia News Service

Tags: media | procurement | One |

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