IBM and i2 Technologies will offer a joint software-and-services
solution for supplier relationship management (SRM) for the
high-tech sector, the companies announced on 24 May
As part of the alliance, i2 will integrate its SRM software for
strategic design, manufacturing collaboration, and procurement with
IBM's consulting and implementation services.
SRM solutions are designed to help companies reduce base
manufacturing costs and product design cycle time while increasing
buyer and supplier collaboration.
"Companies want to reduce the number of total suppliers they have
to deal with," said Tom Osterday, IBM's business-to-business
solutions executive for the high-tech sector. "They want to deal
with their preferred suppliers."
Using SRM during the design stage, an engineer can refer to a
database to access preferred suppliers of product components or to
learn if a part soon will become obsolete, he said. During
production, a buyer can continually monitor the quality of the
parts being received and other factors, such as on-time delivery,
Osterday added.
One of IBM's key roles under the partnership will be to ease the
cultural changes for both buyers and suppliers associated with SRM
technology and processes, he said.
"It's an interface point between your enterprise and another
enterprise that's outside your control," he said. "You're changing
the ways the engineers do business. You're steering them to
specific parts of preferred suppliers."
IBM and i2 will jointly promote and implement the solution, which
will be available immediately.