Challenge: A $7B Tier 1 automotive manufacturer determined that its direct materials sourcing processes were inefficient to the point that they were losing potential revenue. Instead of performing strategic sourcing activities for new product introductions, the sourcing team was spending most of its time extracting information from other systems (PLM, ERP), manipulating spreadsheets, and analyzing vast amounts of quote information from their suppliers.
Solution: This manufacturer performed a thorough analysis of its business processes for areas of improvement. They identified a number of business processes to optimize and evaluated various supporting technologies. After a comprehensive evaluation, they chose Directworks to handle the complexities of direct materials sourcing and supplier management.
Results: By optimizing and automating its sourcing business processes, this manufacturer was able to reduce the time it took to perform end-to-end quoting (initiate RFQ, invite suppliers, review, compare, and award) by 49%.
About the Solution Provider: Directworks provides cloud-based software solutions purpose-built for manufacturers to improve supplier collaboration, total cost visibility, and the efficiency of sourcing and supplier management activities. Leading manufacturers use Directworks to accelerate product launches, expand margins, and optimize their direct materials supply chain for cost, performance, and risk.