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Gazprom Neft Is to Develop a Digital Procurement Solution

Source: www.gulfoilandgas.com 2/21/2020, Location: Asia

Gazprom Neft and Gazprombank have agreed on a roadmap for creating a joint venture to develop Russia’s first integrated supply-chain management platform. The agreement was signed by Alexander Dyukov, CEO and Chairman of the Management Board, Gazprom Neft, and Andrey Akimov, Chairman of the Management Board, Gazprombank, at the Gazprom Neft Moscow Refinery’s digital logistics facility.

The new platform will operate through resources belonging to Gazprom Neft subsidiary Gazpromneft-Snabzheniye (Gazpromneft-Procurement) and ETP GPB — the Gazprombank electronic trading platform, the largest such platform in the Russian oil and gas industry. This system is designed to make logistics and procurement processes simple, transparent, and accessible, by integrating physical procurement processes in a virtual environment, allowing companies and industrial enterprises involved in the fuel and energy industry to improve their efficiency. The digital platform will facilitate collaboration between clients and contractors, and promote transparency and traceability in their activities.

The solution offered by this platform is a “digital twin” of the supply chain, built around the products and services offered by Gazpromneft-Snabzheniye and ETP GPB in simplifying and automating the parties’ procurement processes, logistics and financial settlements. The objective of this joint venture is to integrate the parties’ trading-platform, banking services, and procurement and logistics competencies, giving companies the opportunity to speed up the implementation of major projects as well as reducing the labour and other costs arising from commissioning a large number of contractors and suppliers, from misalignments or conflicts in their activities, and from the fragmentation of the procurement system, as a whole.

Clients will be supported by services at every stage, from formulating requirements to inventory management, allowing them to control their most critical business processes. For example, a client will be able to track manufacturing and production, the outcomes of regulatory oversight and inspections, and the supply of materials and equipment, while being able to see analytics on order fulfilment, thus reducing any risk of late delivery or poor-quality equipment. Suppliers, at the same time, will be able to post their product catalogue on the platform and use this as an additional sales channel.

In terms of banking services, clients will be offered banking support on contracts, while contractors will be offered bank guarantees. Factoring services will be built into the platform, in the interests of both parties.

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