Get better in sourcing online

e-Auction

e-Auction

Participating in an e-Auction means taking part in a real time online price bidding for a good or service requested by Arla Foods. The e-Auction is run through SAP Ariba.

The e-Auction is open for a restricted period of time. When open, invited participants can place bids for the requested good or service. The supplier with the most competitive offer will be the winner of the e-Auction.

ENGLISH AUCTION
ENGLISH AUCTION

is often referred to as a "normal" auction. Suppliers place bids for the required goods or services and keep on lowering their bids until time runs out. The supplier with the lowest bid will be the winner of the auction.

DUTCH AUCTION
DUTCH AUCTION

is also known as price discovery process. A low initial price for the required goods or services is set by the purchaser. The price then increases gradually until the first supplier accepts the current price and thereby wins the auction.

JAPANESE AUCTION
JAPANESE AUCTION

Purchaser sets the initial price. The price then gradually decreases, and supplier must accept the price to stay active in the auction. The auction stops when the last active supplier decides to stop accepting the price.

We expect suppliers to

  • find and appoint a single contact person for e-Auction participation 
  • join the test e-Auction prior to the actual e-Auction to get familiar with the bidding rules of the specific e-auction
  • clarify all questions about the goods or services they are bidding for with their contact person in Arla prior to the e-Auction
  • call their contact in Arla immediately in case of technical issues during the e-Auction
  • understand that all bids are legally binding and valid after submission
We expect suppliers to

In return, Arla Foods will

  • only invite pre-qualified suppliers whom we consider awarding in the e-Auction
  • communicate information to suppliers timely and equally
  • ensure that all suppliers compete under the same requirements and follow the same process
  • award the business based on bids submitted in the e-Auction and based on the stated awarding process
  • not consider any bids submitted outside the e-Auction
In return, Arla Foods will
Arla Foods
Arla Foods Sønderhøj 14 8260 Viby J
Call us: +45 89 38 1000
Write to us
Other Arla Sites Arla in other countries
Follow Us
© Arla Foods amba 2024