Global Commodity Analysis: Strategic Sourcing for Enhanced Efficiency and Cost Saving
Background
Sourcing decisions made manually require complex data collection from multiple sources for different components. This method is time-consuming and prone to errors, which can be costly in many cases. ZETWERK initiated a project to streamline and automate the process. The Global Commodity Analysis project facilitates price comparisons of commodities from various countries, enabling the Unimacts sourcing teams to make informed decisions based on price and lead time. This automation effort supports the US Region’s strategic sourcing team and improves overall operational efficiency.
Challenge
The manual sourcing decisions within Zetwerk required complex data collection from multiple sources for different components, making the process time-consuming and error-prone. This inefficiency could lead to costly mistakes, highlighting the need for a streamlined and automated solution.
Impact
The automation of the sourcing process has led to significant improvements:
- Speed: Reduced lead times by atleast 50% through automation of data collection and analysis.
- Quality: Ensured 100% quality control before dispatch by standardizing the sourcing process.
- Precision: Eliminated quality and specification discrepancies by utilizing accurate and real-time data.
- Choice: Provided access to a broader range of capacities and capabilities by comparing global commodity rates.
- Clarity: Offered real-time project updates, enhancing decision-making accuracy.
- Value: Realized upto 5% savings in supply chain costs through efficient and informed sourcing decisions.
Advantage
This project has established a new benchmark in strategic sourcing, providing comprehensive data analysis and automated processes that significantly enhance operational efficiency and decision-making accuracy. The benefits include shorter lead times, higher quality control, improved supply chain visibility, precise sourcing, and substantial cost savings.
Automating our sourcing process with Global Commodity Analysis has set a new standard in efficiency and accuracy, driving significant cost savings and operational improvements.
Sandeep M
Sales Contact
Zetwerk Editorial Team
