A corrections management company recently partnered with eBridge to run their first reverse auction. This company approached eBridge to assist in obtaining competitive pricing on drug screening for a large number of correctional facilities throughout the US. The tests needed to meet the requirements of each facility for drug screening of employees and inmates (instant and lab). Due to different laws from state to state regarding drug screening of inmates, it was a little challenging deciding all the different tests and testing methods that would be bid through the reverse auction. Welcoming the challenge, eBridge assisted in each step of the bid process starting with spec research and development to monitoring the live auction.
7 of the 50 originally sourced suppliers met buyer requirements and were approved to participate in the live bid. When the auction ended, 947 lowering bids had been placed resulting in 29 time extensions! First place changed hands 124 times and the spread between 1st &2nd place suppliers was 0.08%. The end result was a happy buyer and a low bid that will provide a 17% savings against current pricing.