ifm Electronic and JAGGAER Mark 10 Years of Collective Innovation in Spend Management
- Press Release
RESEARCH TRIANGLE PARK, N.C., NOVEMBER 28 2018: – JAGGAER, the world’s largest independent spend management company, and ifm electronic, one of the leading manufacturers of sensors, controllers and systems for industrial automation, proudly mark a ten-year milestone in their digital procurement journey. JAGGAER has been ifm electronic’s solution partner of choice for procurement since 2008, and continues to play a central role in the company’s automation and digitalization strategy for procurement.
When looking back at the last 10 years, Leo Grenz, who is responsible for organizational projects in procurement at ifm, reiterates how valuable the JAGGAER solution has been, not just in terms of efficiency, but also in terms of ifm’s market strategy as a whole: “JAGGAER has been a key and integral part of our digital portfolio, which has allowed us to maintain a communicative market presence and gain a competitive advantage.”
As early adopters of digital procurement solutions, ifm electronic has been a leader in digitalization, and has always been ahead of the curve. In 2008, with an annual purchasing volume of more than 150 million euros sourced from more than 1,300 suppliers, ifm quickly recognized the potential and value of digital procurement technology for simplifying and speeding up the entire procurement process.
Over the last 10 years, the company has been steadily modernizing and digitalizing their processes, which has contributed to a significant increase in the efficiency, effectiveness, and agility of ifm’s procurement department over time. ifm began by implementing flexible JAGGAER workflows, followed by JAGGAER solutions for sourcing, RFQs, and strategic supplier management. In 2009, ifm received the eprocure & supply award for these innovative projects. Most recently, ifm electronic optimized their indirect procurement with JAGGAER’s eProcurement solution.
The company’s strategic investment in digitalization has paid off. Now ifm has a fully standardized supplier registration process for the more than 150 applicants they receive each year, and with JAGGAER’s SRM tool, they can easily monitor and manage their 450 main approved suppliers. With the RFQ tool, purchasers at ifm can now easily search the digital database for the information they need.
The company has achieved the greatest savings with JAGGAER’s eProcurement tool. With the new catalog solution, ifm electronic has achieved a whole new level of flexibility, and can easily manage the purchase of 7,000 catalog items from approximately 850 suppliers each year, along with the processing of more than 2,500 free text purchase orders annually. Thanks to the eProcurement solution, manual processing for PREQs is a thing of the past, and ifm can now select their own catalog providers and negotiate prices more independently. More than 2000 employees are currently working with 40 different catalogs, and are able to process between 60-70 PREQs daily with fully automated workflows, which marks a significant increase in efficiency.
Looking ahead, ifm has no intention of slowing down its digitalization efforts. Upcoming projects include connecting suppliers to their system via EDI to make their procurement processes more seamless. The company has also been working with intelligent algorithms for some time, and further investment in this area is planned.
“We are proud to work with innovative clients like ifm electronic who have embraced the potential of digitalization in procurement from the beginning, and we place great value on long-term, collaborative partnerships with our customers,” says Rob Bonavito, CEO of JAGGAER.
About JAGGAER: Global source to pay spend management solutions
JAGGAER is the world’s largest independent spend management company, with 2,000 customers connected to a network of 3.7 million suppliers in 70 countries, served by offices located in North America, Latin America, throughout Europe, the United Kingdom, Australia, Asia and the Middle East. JAGGAER offers complete SaaS-based Source to Pay eProcurement solutions with advanced Spend Analytics, Sourcing, Supplier Management, Contract Lifecycle Management, Savings Tracking and intelligent workflow capabilities. JAGGAER has pioneered spend solutions for over two decades and continues to lead the innovation curve by listening to customers and analyzing the market. Our solution suites are trusted by the world’s largest manufacturing, education, health care, retail, consumer package goods, logistics, construction, utilities companies and public service organizations.