Internet procurement will change the way apartment managers conduct their business and control their budget entering the millennium. Widely known to retail consumers, the Internet offers a hassle-free method of reviewing products and prices from different manufacturers.

Within the apartment industry, managers can achieve better control of the procurement process while maximizing their budget by purchasing maintenance, repair and operating (MRO) supplies through the Internet. Here are the benefits of going online to buy your next MRO products:

Virtual marketplace:
E-commerce sites offer a large stream of suppliers and manufacturers to purchase from. Instead of a select few within a specific geographic region, a virtual marketplace offers vendors from around the corner or around the world to provide the MRO products and services you require.

Better controls:
Some MRO procurement sites allow you to set spending limits in terms of quantity, cost or item per employee. When a limit is exceeded, an authorization request is automatically e-mailed to that employee’s superior to approve the purchase. This process helps minimize spot purchases that typically send a budget out of control. Additionally, since every action is conducted electronically, every detail is recorded within the site’s system. Thus, project management and reporting capabilities are available for use by apartment managers and executives.

Competitive pricing:
Through the virtual marketplace concept, buyers typically receive very competitive pricing for a given MRO product or service. In some Web sites, vendors compete against each other by submitting bids on product specifications entered and distributed by the buyer.

Time management:
The sales price is not the only factor when determining an actual MRO supply cost. Additional factors, such as an employee’s time in acquiring the product/service, must be considered. Ordering online takes a fraction of the time to complete versus manually travelling to a local supply store to acquire a product. Often through the manual process, the cost to acquire the product is greater than the actual sales price.

Through these Internet procurement benefits, and more, apartment managers can effectively maximize their budgets through better controls and processes.

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John Lie-Nielsen, a 30-year veteran of the multi-housing industry, is Chief Executive Officer of HandySource.com, a business-to-business bid and purchase virtual marketplace for the multi-housing and commercial industries. For more information on HandySource, call toll free 1-800-665-9994 or visit their Web site at www.handysource.com.