GSA Expo 2007 Strategic Sourcing and Data Mining Using Citibank Tools David Ruda Vice President, Product Manager Commercial Cards
Citibank Presents: Continue the Revolution Citibank Commercial Cards, Government Services The Ninth Annual GSA SmartPay Conference - Philadelphia, Pennsylvania
The Ninth Annual GSA SmartPay Conference Information Security August 22, 2007
Goal & Objectives To learn what strategic sourcing and data mining are and how it can make your program even better To learn how these apply to your SmartPay program To learn how Citibank can provide you with the tools you need 4 MM.DD.YY
Agenda What are Strategic Sourcing and Data Mining Why are Strategic Sourcing and Data Mining Important Reviewing the Citibank Tools Incorporating Strategic Sourcing into Your SmartPay Program Mining Your Own Data 5 MM.DD.YY
What is Strategic Sourcing? What is Data Mining? Strategic sourcing is A process of continous improvement and evaluation of an organization s buying activities. Part of an organization supply chain management that identifies key areas of focus Examining the way government spends its appropriations through contracts, delivery orders and purchase cards! Data Mining is A process of systematically searching large volumes of data for patterns 6 MM.DD.YY
Needs Grow Over Time and Objective Data needs and uses progress from simple account listings, to strategic sourcing, to complex data mining and analysis Standard Reports Custom Reports Ad-hoc Queries Data Summarization Vendor Utilization Reporting Vendor Ranking Business Rules Data Analysis Exception Reporting CCRS CCRS CCRS, Program Audit Tool, MasterCard EMS, Visa Intellilink 7 MM.DD.YY
Why is Strategic Sourcing Important? Finding those patterns! Billions of Dollars 3,000 2,500 2,000 1,500 1,000 500 0 1997 2000 2003 2006 Spend 8 MM.DD.YY
Why is Strategic Sourcing Important? OMB Circular A-123 Mandated! December 2006 Memorandum Agencies must Describe Initiatives 2007 Goals Performance Measures Price of goods Cost to transact Socio-economic goals Information management 9 MM.DD.YY
Why is Strategic Sourcing Important? Getting the Best Value How do you know? Supplier Diversity Goals Are they being met? Quality Improvement Are goods/services specifications achieved? Being Prepared Never know who is going to come knocking Keeping management in the know 10 MM.DD.YY
Strategic Sourcing Cycle 7 Monitor 1 Spending Analysis 2 Implementation Vendors 6 3 Negotiation Strategy 11 MM.DD.YY 5 Suitable Vendors 4
Basic Strategic Sourcing Processes 1. Assessing your current spend 2. Who sells what you want to buy 3. Developing your strategy 4. Identifying suitable suppliers 7 Monitor 1 Spending Analysis 2 5. Negotiating with suppliers Implementation Vendors 6. Implementing your plan 6 3 7. Tracking results Negotiation 5 Suitable Vendors 4 Strategy 12 MM.DD.YY
Examples of Strategic Sourcing Initiatives Learn what government is doing! www.acc.dau.mil/ DoD created an office of Strategic Sourcing & Acquisition Wireless Services DoD Enterprise Software Initiative (ESI) Clerical Support Services 13 MM.DD.YY
Keys to Success in Developing Your Strategic Sourcing Program Management buy-in Engage your bosses! Challenging the status quo Things don t have to stay the same Supplier Relationships Challenge your suppliers Communication 14 MM.DD.YY
Summary of SS 15 MM.DD.YY
Data Mining It s the IN thing to do! A Washington Post Headline June 15, 2006 Government Increasingly Turning to Data Mining Peek Into Private Lives May Help in Hunt for Terrorists Be careful what you ask for Be focused on the information you re seeking 16 MM.DD.YY
Citibank Tools Available Citibank Custom Reporting System (CCRS) Standard reports Create your own reports Data mining opportunities Program Audit Tool Association Program Management Tools MasterCard Expert Monitoring System (EMS) Visa Intellilink 17 MM.DD.YY
Citibank Customer Reporting System Your Source for Strategic Sourcing and Data Mining 18 MM.DD.YY
Citibank Custom Reporting System Standard Reports and Ad Hoc Queries 19 MM.DD.YY
Citibank Custom Reporting System Standard Reports and Ad Hoc Queries 20 MM.DD.YY
Using the Data What do you learn from these reports? How can you use them? How can you incorporate into your program? Adjusting MCC Controls Adjusting limits on accounts 21 MM.DD.YY
Using the Data Getting Started a Summary by MCC 22 MM.DD.YY
Using Data Bring the Output into Excel and You Can Rank your Suppliers 23 MM.DD.YY
CCRS Helps You Find Unusual Transactions Let s Go Swimming! 24 MM.DD.YY
Using the Data You Can Drill Down and See the Transaction Detail 25 MM.DD.YY
Using the Data What do you learn from these reports? How can you use them? How can you incorporate into your program? Adjusting MCC Controls Adjusting limits on accounts 26 MM.DD.YY
Summary Discussed what strategic sourcing and data mining are Understanding the process steps of strategic sourcing Seven steps to remember Using the Citibank Tools CCRS TBR Understanding the Results Slicing and dicing! 27 MM.DD.YY
Strategic Sourcing and Data Mining Using Citibank Tools Questions? 28 MM.DD.YY
Reminders Thank you for attending this session! Visit the Citibank Welcome Center Room 104 A/B, 1 st Floor National Industries for the Blind will have a display of products Conference Slide Show come see yourself shine! Visit the Citibank Technical Demonstration Center Room 106 A, 1 st Floor Please take a moment to complete your GSA survey for this session! 29 MM.DD.YY
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