PeopleSoft Strategic Sourcing facilitates collaboration between buyers and suppliers of  goods and services. Through PeopleSoft Strategic Sourcing events, you increase investment recovery through the sale of depreciated assets, and reduce costs by  accepting competitive bidding for goods and services.

With  this application, you can:

  • Establish bid factors on which to score events.
  • Establish business policies and constraints on which to base the sourcing awards.
  • Create events and invite bidders to participate in them.
  • Collaborate on events and event analysis with others in the enterprise. 
  • Enable new bidders to register to bid.
  • Enable bidders to enter their bids online.
  • Negotiate bids by creating multiple rounds and versions.
  • Optimize bids to determine an ideal award
  • Score bids and award the events. 
  • Use workflow processes to enable approvals and notifications throughout the event life cycle.


PeopleSoft Strategic Sourcing Business Processes

PeopleSoft Strategic Sourcing buy events are part of the Source to Settle business process:


Buy Events

The following high-level process is used for PeopleSoft Strategic Sourcing buy events:



1. The buyer creates an event, and  optionally copies from an existing event, an event template, requisitions, purchase orders, contracts, Manufacturing bills of material (BOMs), Engineering  BOMs, or planned orders. 

The buyer includes bid factors and business constraints, and invites bidders. 

2. Optionally, the buyer invites collaborators to give input to the event, reviews the input, and posts the event based on the input. 

3. Bidders register, review the event, and submit their bids.


Note: Suppliers that exist as vendor users and have been granted the appropriate roles and permissions to bid do not need to register. 


4. The buyer evaluates the bids manually or uses the optimization engine, and can create another round of the event to  solicit more bids. 

5. Optionally, the buyer invites collaborators to give input on the bids and bidders. 

6. The buyer awards the winning bid, and the system notifies the winners and non-winners. 

7. The buyer either creates a purchase order or contract to order the goods or services from the awarded bidder. 

If the bidder isn't previously a vendor, the system creates a record for  the bidder in the vendor table. 


Event Types

Use the following event type for the following situations:  



Recommended Event Format/Type
Information gathering for a future request for proposal.
RFI (request for information)
Selling depreciated assets. You award the event to the highest bidder.

Sell/Auction  price-only event. You select the bidders compete On the Basis of Price option  on the Header Details page to create a price only sell event.

You  can optionally select to allow Proxy Bidding on the auction event.
A reverse auction where price is not the only consideration. You award the event to bidder with the best score.
Buy/Auction event. You select the bidders compete On the Bases of Score option on the Header Details page and add additional line bid factors to create a score based buy auction event. 
A complex purchase with many bid factors, such as a large procurement for a government agency. Bidders don't actively bid against one another, but instead submit their best overall bid. 
Buy/RFx event. Optionally, you can create multiple rounds to negotiate further with selected bidders


PeopleSoft Strategic Sourcing Business Roles

Please see related articles below for more information  on Strategic Sourcing Roles.


PeopleSoft Strategic Sourcing Integrations

PeopleSoft Strategic Sourcing integrates with the following PeopleSoft applications:


PeopleSoft Supplier Contract  Management

If you have PeopleSoft Supplier Contract Management installed, you can search and associate  clauses and contract agreement codes with bid factors used in sourcing events.  For awarded buy events, PeopleSoft Strategic Sourcing creates contracts  directly in PeopleSoft Supplier Contract Management. 

PeopleSoft Purchasing

PeopleSoft Strategic Sourcing can base buy events on items from PeopleSoft Purchasing  requisitions, purchase orders, and contracts. For awarded buy events,  PeopleSoft Strategic Sourcing creates contracts or purchase orders directly in PeopleSoft Purchasing. 

PeopleSoft Asset Management

PeopleSoft Asset Management provides assets for sell events. 

For analyzed  and awarded sell events, PeopleSoft Strategic Sourcing passes awards to  PeopleSoft Asset Management to record the proceeds from the sale of the asset.  PeopleSoft Asset Management then integrates with PeopleSoft Billing to bill the  customer for the sale. 

PeopleSoft One Procurement

You can use  PeopleSoft Strategic Sourcing to create and manage sourcing events, and to  integrate the awards into PeopleSoft One Procurement. 

When  awarding a buy event to an external purchasing system, the system creates an  outbound PO message at the time of the award. No sourcing information is passed  into PeopleSoft Purchasing. An inbound message from PeopleSoft One provides  PeopleSoft Strategic Sourcing with the PO ID number from the external system  for tracking purposes.