E-Procurement System

Shell Project

      Mission Statement

To engage efficiently, responsibly and profitably in chemicals and other selected businesses whilst participating in the search and development of methods of chemical production to meet evolving customer needs and the world’s growing demand.

Vision Statement

To be the largest and most profitable supplier of chemicals in the world.

      List of Projects 

a.       Re-examine the goal of only targeting 50% of business to be channelled through
          Elemica

b.      Investigate the opportunities for e -business collaboration within the Shell Group.

c.       Develop a self-service web portal to supplement the interpersonal relationships of the customer and Shell’s Channel Captain Service.

      Chosen project – Self Service Web Portal

A web portal to support the customer interaction process will support the interpersonal service that Shell so highly values by providing information on demand to Shell’s customers. This increases the efficiency of shell and enables greater growth capability.

The use of technology to support social relationships in the supply chain will maximise the perceived value of the service levels, whilst minimising their cost.

Anticipating that the cost of the project will be in the order of $100-300K, we believe the cost savings in staff levels and customer retention will make this a cash generative project in the mid-long term.

Sell & Buy E-Commerce Map - Shell

Shell Map Description

Shell Chemicals employ a sales and purchase model which can be broken down into three distinct elements.

1.      The financial and contractual relationships are traditional. A customer or a supplier reaches a contractual agreement with Shell, and payments made accordingly.

2.     The product ordering process is less traditional, with minimal involvement from Shell staff. There in house Supply Chain Management software (originally SIMON, now Elemica) receives supply information from each customer such as stock holding level, run rate and delivery information, and then automatically raises fulfilment orders internally or to their suppliers based on this information. This enables just in time delivery of Inventory. Shell manage this process themselves as customers only pay as and when they use the product, not when it is actually delivered.

3.     The actual supply of products occurs direct from Shell or from the supplier to the customer with little interaction, enabling the customer to always have products to hand when needed, but with the minimum of cost to Shell.

The traditional sell side and buy side divisions have been blurred by the automation of the supply chain and the on-site Just in Time delivery of products.