Since Fujitsu Computer Products of America can download product information into ProcureWorks from MarketSite.net, Davis says it could collaborate with other Fujitsu divisions via MarketSite.net to gain more leverage and negotiate better prices with suppliers. Eventually, he envisions collaborative procurement capabilities that let Fujitsu negotiate single contracts on items such as mobile and data communications, travel, and perhaps even consulting services, which would help the company realize considerable savings. Most also support automated transactions and host workflow applications, such as those for purchase approvals and accounting. Buyers log on to a marketplace Web site using a browser, register, and set up a method of payment before shopping for goods. The vendor then ships the product.
Some sites let users access information on products and order using a Web browser.
But the more useful sites, including MarketSite.net, let buyers download information into an electronic procurement application, such as Commerce One's Buy Site and RightWorks' ProcureWorks, so transactions can be routed through an approval process and a purchase order created. Some suppliers are inviting competitors to join their marketplaces, so buyers will come to comparison shop. Another strategy for attracting buyers is to provide features that make shopping more convenient. Marshall Industries, the electronic components supplier, is its only supplier, but CEO Robert Rodin is planning to add others as quickly as possible. Vendors are also developing or enhancing products that let companies set up marketplaces.