E-procurement tool to manage contractors

EDS is saving $1 million a year by using a Web-based contract labour system to streamline the management of contractors and temporary staff.

Since introducing eTemp system last year, EDS claims more than 90 per cent of its labour suppliers are using the e-procurement tool, reducing the time it takes to fill a casual position from 22 days to eight.

The Electronic Temporary Employment Management Process (eTemp) was developed inhouse as a global system to manage thousands of contractors and has since been tailored for the Australian market to meet local regulations.

EDS director of procurement services for the Asia Pacific, Sue Sleep, said steps were taken to improve the sourcing process because outside labour force was one of the company's major costs.

"The system is real time and replaces the old paper-based one we used automating the entire process, from requests to payment," she said.

eTEMP consists of seven modules which cover costing, approval, requirements disbursement, candidate review and selection, purchase order, time tracking and invoice payment. It takes EDS Australia's proportion of goods and services purchased electronically to 70 per cent.

In the US, eTEMP is accessed by more than 50 contract labor suppliers who process invoices worth more than $120 million annually, generating 40,000 paperless timesheets.

But, more importantly, Sleep said the system had made it simpler to track the performance of labour suppliers and contractors, which is passed on to customers.

One of the participating recruitment agencies, the Tennyson Group in Adelaide, has been a preferred supplier to EDS for both permanent and temporary staff for the past six years.

Tennyson Managing Director Geoff Sandell said submissions could be made online, and timesheets were now approved electronically.

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