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University of Nebraska Technology Procurement. Objectives for Today. University of Nebraska Overview IT Procurement – Past IT Procurement – Present Transition Strategic Sourcing of Technology at UNL Results. University of Nebraska System. University of Nebraska – Lincoln
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Objectives for Today • University of Nebraska Overview • IT Procurement – Past • IT Procurement – Present • Transition • Strategic Sourcing of Technology at UNL • Results
University of Nebraska System • University of Nebraska – Lincoln • University of Nebraska Medical Center • University of Nebraska - Omaha • University of Nebraska – Kearney
Technology Procurement History - UNL • Tactical • Decentralized Across Campus • Individual Departments Made Purchases • Some Coordination Through Information Services • IS Made Major Software Purchases, e.g. Microsoft • Little Collaboration with Procurement Services
Current Approach • Strategic Sourcing Plan • Centralized in Procurement Services • Dedicated IT Procurement Team in Procurement Services • Hardware Specialists • Software Specialists • Software License Compliance • Software Deployment
Transition • Business Case • Leadership Support • New Chief Information Officer • Strategic Sourcing Success in Other Areas • Shift in Organizational Culture • E-Procurement in Place • Funding Sources • New Team Members with New Skill Sets
From Tactical to Strategic • SWOT Analysis Strengths 1. Significant buying power 2. Education contracts exist 3. Support from executive management and IT 4. E-procurement and electronic bid process 5. Policies and procedures in place
From Tactical to Strategic • SWOT Weaknesses 1. IT procurement decentralized for years 2. Buyers and suppliers do not have central point of contact 3. Technology not used to full potential 4. Individual purchases 5. SRM did not exist
From Tactical to Strategic • SWOT Opportunities 1. Demand consolidation 2. Supplier consolidation 3. E-procurement catalogs to drive spend 4. Contracts nearing expiration 5. Suppliers eager to participate 6. Collaboration with Big Ten Universities
From Tactical to Strategic • SWOT Threats 1. Resistance to change 2. Software compliance Audits and Fines 3. Lack of supplier support in key areas
Strategic Plan • Spend Analysis • Supplier Optimization Targets • IT Sourcing Teams • Standardization • Supplier Selection • Contract Negotiation or Renegotiation • Order and Payment Process • SRM – Supplier Relationship Management
Software Procurement • Bring Under Procurement Services • Policies and Procedures • Meet with Campus, College, and Department IT Staff • Desktop Management Software (Asset Management) Microsoft SCCM (System Center Configuration Management) • Determine Inventory • Determine Compliance • Gather Software Agreements • Negotiate or Renegotiate Agreements
Software Purchase and Deployment • Build Software Catalog in eSHOP • Include the Most Commonly Used Software • Currently 161 Titles • Purchase in eSHOP Triggers Deployment • Deployed by Procurement Software Distribution & Asset Manager • Track Inventory and Compliance • Markup on Catalog Items
Results • Single Point of Contact • Standardized Hardware • Contracts that Favor University • Majority of IT Purchases through Procurement Services • Supplier Consolidation • Consistent Spend Analysis • Department Business Reviews • Software Compliance • Adopted System-wide at University of Nebraska
Results • $3.2 million of Savings in 1st year due to Strategic IT Sourcing by Procurement Services
Questions • Gary Kraft, Director of Procurement Services University of Nebraska – Lincoln gary.kraft@unl.edu • Bradley Logan, Senior Technology Sourcing Manager University of Nebraska – Lincoln bradley .logan@unl.edu