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November 2012

Sandvik tightens supply chain with single supplier e-procurement portal

Sandvik, a global Swedish mining and construction engineering company, has simplified its supply chain with a single purchase order portal. This has created information not previously available to make decisions about supplier relations, such as renegotiating contracts. Dubbed SupplierConnect internally, the system, from Finland-based data integration supplier Liaison Technologies, has saved Sandvik “a lot of time and money” according to programme manager Lars Holmström. Individual buyers are now dealing with 20,000 purchase lines per month, and it was previously a fraction of that. The engineering company, founded in 1862 and employing 50,000, has many thousands of suppliers with dozens of ERP (enterprise resource planning) systems and instances. SupplierConnect covers 750 suppliers in 22 countries, and encompasses 13 Sandvik ERP systems. Mikko Soirola, vice-president of sales at Liaison, stressed that being ERP supplier-agnostic was crucial to Sandvik Mining and Construction at the beginning of the engagement in 2009.  In the ...

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