Online Solutions
Industry: Automotive
Global Requisition System solution
The customer’s issue:
Based on Infoactiv’s ongoing success with its Automotive customers, particularly in the process and supplier management arena, the customer came to Infoactiv to address the highly manual processes which they were using to engage their global, international and domestic logistics suppliers.
The customer was experiencing a continual escalation in cost that they were unable to track, allocate or analyse. As such, relationships with suppliers were under strain and internal department resources were consumed with non core activity and significant rework.
Unfortunately the customer’s internal processes were also flawed and didn’t pass audit checks and other financial risk protocols.
The customer had supplier invoices that were outstanding – and were increasingly mounting – as they were unable to be approved due to errors across the audit chain. The customer’s offshore processing centre was also part of the issue, given their lack of local knowledge and understanding of the supply chain, causing additional “re-work” across the organisation as a whole.
How Infoactiv helped:
The Infoactiv team introduced the unique LOGINET system and program management services and released its Online Global Requisition system and Helpdesk solution across all the customers’ departments and end-user ‘requisitioners’. This was achieved within 6 weeks, from concept to launch.
The front end portal contained the customer’s own branding and the back end LOGINET system housed all the customer’s information, business rules and global through to local supplier contract terms and rates. This enabled the customer to roll out the portal across its employee base and across a diverse range of supply chain pipeline activities.
The LOGINET web based solution solved an incredibly complex task. The system allowed users to raise multiple online requests, access a list of approved suppliers and compare and assess the costs involved with every supplier transaction. The customer was able to use the system to select the service and gauge the carbon emissions for each transaction and in doing so, ascertain the most suitable supplier to meet their needs and cost requirements.
The process then incorporated an automated approval chain process for the correct allocation to finance budgets and ledgers, together with operational approvals required for the suppliers to be engaged by the customer.
Additionally, the system then catered for the order fulfilment cycle with suppliers – with all interactions monitored by Infoactiv to ensure smooth process flow.
Infoactiv then provided its back end validation, accounts payable and payment approval service to provide the customer with a complete end to end solution.
The benefits delivered to the customer:
- Significant cost reductions
- Processes and systems are now in place to enable the customer to pass their audits
- Cost allocations were corrected, enabling finance to analyse it financial activity
- Supplier invoices were approved faster, therefore relationships were greatly improved
- Increased efficiency and less need for the customer to provide internal support for the system
- Improved cash flow
- Much better visibility in reporting, which means the customer is now able to pinpoint any issues that arise
- The customer also received some valuable industry benchmarking advice from Infoactiv.
