Software applies social networking concept to world of business

THE IRISH Blood Transfusion Service has signed up to use the web- based procurement management software of BigDogg Technologies. The Dublin company is also getting interest from US customers.

SourceDogg, the start-up’s software, had a test launch last year with the backing of several trial customers, including the Moritz Group. Released towards the end of 2010, its take-up has been faster than expected, according to chief operations officer Mark Scanlon.

SourceDogg applies social networking concepts to the procurement process, Mr Scanlon said.

“Facebook is the expert in connecting people, not software companies. Traditional software is good at replacing people with processes, but you can’t do this in people-centred areas like sourcing new suppliers. You need to include people – the buyers, the rest of the staff in the buying organisation and really importantly, the suppliers.”

The idea is to make collaboration between people, departments or companies easier, as it allows professionals to form buying groups, share peer reviews and community ratings. Suppliers can list on the system free of charge.

SourceDogg is delivered over the internet as a cloud service, eliminating set-up charges and saving organisations from buying hardware or paying for software licences. BigDogg claims the software reduces the time involved in administration for the tendering process.

To develop its software, the company asked 12 procurement directors from the public sector and from private firms what features they would like to see in a procurement system. “We did that before a line of code was written,” said Mr Scanlon.

SourceDogg is predominantly aimed at small- and medium-sized companies that do not have the budgets or the internal IT staff to use more expensive software for managing their procurement process. Its business plan anticipates 50 per cent of revenues from overseas customers by the end of this year, rising to 85 per cent after 2012. BigDogg employs six people and expects to have 12 full-time staff by the end of 2011.

Purchasing manager for the Irish Blood Transfusion Service Paul Behan said the software had reduced the administrative burden on the organisation. “We’re looking to achieve efficiency in our processes and an added benefit is, it’s in line with the new Government policy.”

BigDogg received angel investment last year of just under €100,000 and is close to completing a funding round of almost €600,000. Mr Scanlon said this would last through to break-even, with the company expecting to be profitable by next year.

BigDogg owes its name to co-founder John Quigley, a former Irish basketball captain who picked up the moniker while playing professionally in Europe.