Choosing when to leverage Reverse e-Auction is critical to e-Procurement Strategy. At a time when Global Heads of Procurement are turning towards top e-Procurement Software Solutions in India, believing that best e-Procurement software solution will solve all the challenges, is far from reality.

There are many stages at which one may like to leverage Reverse e-Auctions. Conducting an auction post vendors are selected after RFI stage or RFQ stage is commonly adopted. In cases where suppliers are not known, one may see a need of stages to qualify suppliers on non-price parameters. The 5 suggested methodologies to leveraging Reverse e-Auctions are as shared below

1. Request for Proposal followed by Reverse e-Auction
2. Request for Quotation followed by Reverse e-Auction
3. Request for Information followed by Request for Proposal and ending with Reverse e-Auction
4. Request for Information followed by Request for Quotation and ending with Reverse e-Auction
5. Request for Information followed by Reverse e-Auction.

In our experience of working with several large-scale government and private entities in India and abroad, organizations are very sensitive to choosing the right methodology for leveraging Reverse e-Auctions, which depends on the need for additional qualification of vendors after considering typical non-price factors.

Much to the surprise of e-Procurement solutions providers, there seems to be a strong traction for Reverse e-Auction solutions amongst service seekers. Today, the Reverse e-Auction solutions are being deployed for procuring facility management, marketing, maintenance, employee benefits and other human resource services.

The fact remains, it all depends on the need and type of service or product being procured which defines which methodology one should adopt in leveraging reverse e-Auctions.