Analyzing Discrete industries

In discrete industries, companies manufacture distinct products. The challenges they face range from short product lifecycles and driving innovation to minimizing devaluing inventory.

The industry is made up of High-Tech, Automotive, Consumer Durables, I&MC, and Medical Device companies.

A few of their unique needs are:

• Streamline engineering to sourcing handoff
• Control supply chain, especially contract manufacturers
• Assure supply during shortages

The discrete industry is currently dealing with three major challenges:

• Shifting demand drives need for rapid innovation and fast time to volume
• Increased competition requires aggressive management of product costs
• Supply chains have become extended, more global and nonlinear with many external manufacturers and other providers

With SAP Ariba Direct Spend you could:

• Extend your intelligent enterprise efforts to get products to market faster
• Predict and reduce component and final product costs
• Collaborate internally and with suppliers, external manufacturers, and other service providers across design-to-deliver processes

A luxury goods leader who collaborates with direct suppliers uses SAP Ariba as their single place of truth so that their suppliers can look at the platform and find the same information that the organization sees in the backend ERP.

This helps create a harmonized supplier collaboration processes across disparate brands. Collaborating with suppliers and subcontractors on orders, quality, logistics, and finance improves productivity, data quality and reliability, and supplier experience such as speed of payment.

Navantia is a Spanish, state-owned shipbuilding company dedicated to the design and construction of high-tech military and civilian vessels. Its procurement processes lacked effective supplier collaboration tools and relied on manual communications processes.

By implementing SAP Ariba solutions with partner DXC Technology Company, Navantia was able to achieve the following improvements in their procurement processes:

• Automated communications with suppliers
• Enhanced transparency in the bidding process
• Increased number of electronic invoices received
• Reduced time spent on supply chain activities
• Improved experience for employees (ease of use, transparency, and faster access to a wider range of data)

Navantia was also able to benefit from integration with other SAP software, continuous software improvements, high supplier-adoption rates, and work with SAP Ariba services to monitor progress and assess areas for improvement.

Sourcing Direct Materials for High Tech Industries.