Indiana taps PeopleSoft for statewide procurement system

PeopleSoft Inc. has won a contract from Indiana to provide a supplier relationship management solution to manage its statewide procurement process, the company announced March 11.

Under the contract, PeopleSoft of Pleasonton, Calif., will provide a solution that will enable the state to monitor and manage its purchasing process in real time. Maximus Inc. of Reston, Va., will provide systems integration for the contract, PeopleSoft said.

The total cost of the project is $2.7 million, according to the Indiana Department of Information Technology. PeopleSoft will receive $1.1 million for its software solution, while Maximus will receive $1.7 million for its integration services.

The supplier relationship management solution will help the state improve control over its sourcing process and better leverage its purchasing power and supplier relationships, according to the company.

Indiana is using PeopleSoft Procurement 7.5, but with the supplier relationship management solution is switching to an e-procurement system that, when coupled with an upgrade to Web-enabled version 8.4, will deliver a more cost effective process, according to PeopleSoft.

Moreover, the state expects to reduce the cost of purchasing goods and services by using the solution from 5 percent to 10 percent, which could yield $10 million to $20 million in annual savings.

Other states currently using PeopleSoft's supplier relationship management solution are Connecticut, North Dakota, Oklahoma and Vermont, the company said.

PeopleSoft is a provider of enterprise software applications that tie together back-office operations such as accounting, human resources, manufacturing and supply chain management.

The company has more than 8,400 employees and annual sales of $1.9 billion, according to Hoover's Online of Austin, Texas.

About the Author

William Welsh is a freelance writer covering IT and defense technology.

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