One of Europe’s largest food processing companies implements JAGGAER as its core platform for source-to-pay, increasing on-contract spend
Raleigh, NC and Vienna, Austria, April 18, 2023: JAGGAER, the world leader in Autonomous Commerce, has reported on the digital transformation of procurement at a major customer in the food manufacturing sector: Danish Crown, one of Europe’s largest producers and exporters of pork. The Danish Crown Group is the largest meat-processing company in Europe, and Danish Crown Beef is a key player in the European beef market. Danish Crown is a cooperative owned by approximately 6,000 Danish farmers who supply the company with pigs and cattle. The company has production facilities in Europe, Asia and Americas, and has market access to more than 130 countries around the world. It employs 26,600 people.
“Aligning everyone on a single P2P platform is achieving our objectives of simplification, standardization and automation. We have better control of costs, and we see fewer bottlenecks in workflows, making us more efficient. And with everything digitalized, we’ve strengthened both internal and external compliance,” according to Berit Buemann Degnbol, Senior Director, Business Development & PMO at Danish Crown.
Procurement has always been a vitally important business process for Danish Crown and more than ever in a period of economic constraints. But in 2019 it was ripe for change and the company decided to start a major transformation project.
Danish Crown set out a number of objectives for the project in response to changes in the business environment, in which there is now greater emphasis on compliance, governance and control, along with increased competition. “The ultimate aim was to create a user-friendly shopping experience to ensure adoption, while also maximizing automation to free up time for value-adding activities. Added to this, we sought greater visibility into spend so that we could identify opportunities to make savings,” according to Joanna Hryneńko-Dudek, Head of the Procurement Centre of Excellence (CoE) at Danish Crown.
The transformation project was carefully planned out over six phases, commencing in 2019 and running through to mid-2023. In 2018, Danish Crown chose JAGGAER as its procurement technology partner. “JAGGAER is an end-to-end solution covering all of the key functions from source to pay, which makes things a whole lot easier,” Hryneńko-Dudek said.
Danish Crown identified some key focus areas: supplier management, including more efficient vetting and onboarding of new suppliers; spend management, to drive increased volumes of on-contract spend; and guided buying, with managed supplier catalogs and configurable purchase request forms to give buyers a better shopping experience; and finally, compliance. Here, compliance does not simply mean ticking all the boxes. “By improving the shopping experience through eProcurement we can ensure greater compliance without increasing the administrative burden. JAGGAER provides unique tools to manage on-contract spend,” Hryneńko-Dudek said.
Danish Crown sees this transformation as a journey but it is making good progress. Already, more than 60% of purchases are purchase order-compliant in the new systems. The current target is to raise this to 80%.
“With our experience embracing both indirect and direct procurement, our end-to-end technology platform and our vision for Autonomous Commerce, we offer customers such as Danish Crown unique benefits,” said JAGGAER Chief Product Officer Dawn Andre. “So we are delighted to see the progress being made.”
“Transformation has raised the profile of procurement within the organization. People now understand the value we add to Danish Crown. Moreover, in the process we’ve changed people’s mindsets. There is now much greater awareness of the need for transformation and digitalization. We’re living and loving the journey,” Hryneńko-Dudek concluded.
About JAGGAER: Procurement’s intelligent source-to-pay and supplier collaboration platform.
JAGGAER is a global leader in enterprise procurement and supplier collaboration, and the catalyst for enhancing human decision-making to accelerate business outcomes. We help organizations to manage and automate complex processes while enabling their highly resilient, accountable, and integrated supplier base. Backed by 30 years of expertise, our proven AI-powered industry-specific solutions, services, and partnerships form JAGGAER One, serving direct and indirect, upstream and downstream, in settings demanding an intelligent and comprehensive source-to-pay solution. Our 1,200 global employees are obsessed with helping customers create value, transform their businesses, and accelerate their journey to Autonomous Commerce. For more information, visit www.jaggaer.com
