MoD moves towards full eProcurement
This move to a single way of doing business with MoD - faster payment, clearer audit trails, fewer mistakes, increased cashflow for suppliers (and the end of the paperchase surrounding invoices, Form640s and AG173) - will be mutually beneficial for both the MoD and suppliers. Members of ADS recognise these benefits but the roll-out of P2P across all industry contracts is likely to take a further three years.
The MoD is keen to ensure that all suppliers do business electronically, even down to the VISA card at the simplest point to pay quickly for their benefit and to gain management information easily, to assist achieving better estimates for future consumables and services.
Les Mosco, Director Commercial Operations in MoD and Jon Thomson, DG Finance are firmly behind the drive to complete eEnablement of the procurement business and their Defence eProcurement Team has been completing their technology transfer and training tasks and will do so by August 2012 moving towards a single integrated support arrangements for internal and external customers alike thereon in. Suppliers will need to grasp this opportunity to speed the receipt of payments and sign up to the Exostar or XML connectivity required when approached. A total of 97% of existing MoD suppliers choose Exostar as a low cost internet based invoice management portal.
MoD has also directed this year that it will move to enhance its capabilities across its Finance and Commercial systems in 2014-16, offering further benefits for suppliers in reducing the various ways in which they deal with MoD (e.g. standardising ITT and bid submission processes through electronic methods).
Further updates will be provided as progress is made.
For more information, please contact: Steve May, Assistant Head of CPET/ DePS (Business Commercial), Floor 2 West, Oak, ABW North. Mail Point #6226. Tel: 0306 7983154
