The Financial Analysis feature in oboloo allows you to compare and analyse the pricing submissions from suppliers at both a high level and a detailed product or service level. This tool helps you identify which suppliers are offering the most competitive prices, taking into account any extra costs such as shipping fees. With oboloo’s side-by-side comparison and filtering features, you can make informed financial decisions during the supplier selection process. This guide will walk you through the steps to analyse supplier pricing in detail.
Text Guide - Step-by-Step Guide
Step 1: Accessing the Pricing Analysis Dashboard
Once suppliers have submitted their pricing, you can begin to analyse and compare their submissions using oboloo’s Pricing Analysis Dashboard.
- Login to oboloo using your credentials.
- Navigate to the Sourcing module from the left-hand menu.
- Select the sourcing activity you wish to analyse from the eSourcing Home Page.
- In the Sourcing Activity Dashboard, click on the Financials Tab to access the Pricing Analysis.
Step 2: Viewing Supplier Pricing Submissions and Comparing Suppliers
In the Financials Tab, you will see an overview of the pricing submissions from each supplier. This will include a breakdown of their pricing for different products or services, as well as any additional costs like shipping.
- Financials Summary Table: Each supplier’s total pricing submission will be listed, including the grand total for all products or services requested in the sourcing activity. Use the filters on this table to filter by supplier.
- Product Analysis Table: This table shows you a breakdown of cost per product. You can expand each product line to compare pricing between the supplier responses. Use the filters on this table to filter by supplier and individual product.
- Supplier Analysis Table: This table shows you a breakdown of cost per supplier. You can expand supplier on the table to view their costs quotes per line item in the activity. Use the filters on this table to filter by supplier and individual product.
TIP: Additional Charges: Look for any extra costs, such as shipping fees, taxes, or optional services (e.g., extended warranties). These will be listed alongside the main product or service prices.
Step 3: Filtering and Analysing Specific Pricing Elements
oboloo allows you to filter and analyse specific aspects of supplier pricing submissions to help you focus on the elements most important to your organisation.
- In the Financials Tab, use the Filters above the tables to focus a particular supplier or product.
Step 4: Generating Financial Analysis Reports
Once you have completed your pricing analysis, oboloo allows you to export the detailed reports to share with your team or stakeholders.
- In the Financials Tab, click the ‘Export’ button above each of the tables to create a financial report. Your report will export as a CSV file and can be used for further analysis outside of the platform.
Step 5: Using Financial Analysis to Make Informed Decisions
Once you’ve completed the pricing analysis you can use the insights gained to make an informed decision about which supplier offers the best value.
- Review the overall financial impact of each supplier’s proposal, taking into account both the raw costs and any additional benefits or services.
- Use the pricing comparisons to identify the supplier that provides the most competitive price while meeting your organisation’s needs in terms of service, quality, and long-term value.
- After completing the analysis, proceed to the next step of awarding the contract (see the Awarding a Supplier guide for more details which can be found here).
- If you would like one or more suppliers to amend their pricing, you can reopen the sourcing activity to them and give the clear instructions on the amendments you would like to see (see the Reopening a Sourcing Activity guide for more details which can be found here).
Step 6: Best Practices for Financial Analysis
To get the most out of oboloo’s Financial Analysis feature, consider these best practices:
- Focus on Total Cost of Ownership: While upfront costs are important, consider the total cost of ownership, including any value-added services, warranties, and long-term support, when evaluating supplier pricing.
- Review Value-Added Services: Don’t just focus on the lowest price—consider what extra benefits a supplier might offer that could reduce costs or increase value over time. Other areas of a supplier response (such as the Supplier Sourcing Sections) might give you more information on this.
- Generate Reports for Stakeholders: Share comprehensive financial analysis reports with decision-makers to ensure everyone is aligned on the supplier selection process.
By following these steps and best practices, oboloo’s Financial Analysis feature provides you with the tools to thoroughly review and compare supplier pricing submissions. With side-by-side comparisons and detailed line-item analysis, you can ensure that your organisation selects the supplier that offers the best financial value and meets your requirements.