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| Partial List of Customers |
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At a glance:
Organization
Avnet Inc.
Location
Phoenix, Arizona
Industry
Electric Component Distribution & Support
Challenges
Replace labor–intensive purchasing order system, fast deployment, gain visibility into indirect spending; reduce costs
Previous Solution
Legacy
Ketera Solution
Procurement
Results with Ketera
Increased visibility of indirect spending, reduced indirect goods and services purchasing costs |
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 From my previous experiences, I knew the implementation would be much faster than traditional software and would, therefore, meet our objective of a fast deployment.
– Phil Wehrli, Director of Procurement Services, Avnet Inc. |
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The Challenge: Workflow Capability and an Electronic Supplier Interface with Suppliers
When Avnet Inc., a $10 billion technology marketing, distribution and services company, was in the market for a solution to replace its labor–intensive legacy purchase order system it selected Ketera′s On Demand Procurement Services.
Phil Wehrli, director of procurement services at Avnet Inc., was tasked with replacing the legacy system with a procurement solution that would offer workflow capability and an electronic interface with Avnet suppliers. Previous experience in automating the purchase process proved valuable in helping Wehrli establish clear objectives in order to meet the goals of the project. Wehrli determined that Avnet needed to coordinate spending on everything from standard office products to maintenance, repair and operations (MRO) to support the company′s savings objective. And perhaps most importantly, Avnet needed a fast implementation and a quick return on investment.
The Solution: Ketera Procurement
After evaluating the cost of software, support and supplier enablement, Avnet decided on a hosted procurement solution, which would generate rapid savings by eliminating the licensing fees and IT support costs typically associated with enterprise software. "From my previous experiences, I knew the implementation would be much faster than traditional software and would, therefore, meet our objective of a fast deployment," Wehrli said. After reviewing offerings from several other vendors, Avnet selected procurement solution services from Ketera, which delivers solutions via the `on demand´ delivery model. The Ketera Procurement solution gave Avnet the applications and services needed to control and reduce corporate spending, without having to install costly software or hardware.
With the assistance of Ketera, Avnet conducted an analysis of its indirect spending across North America and prioritized it in order to determine the greatest opportunities for savings. With that data, the team worked to renegotiate all the company′s contracts with its indirect suppliers to take better advantage of Avnet′s immense purchasing leverage.
The first phase of the solution was deployed in just 45 days, and now more than 200 users are online with the procurement solution. Initial users of the system were Avnet personnel, such as administrative assistants, who write a high volume of purchase requests. In addition, Ketera has developed a computer–based training program, which is housed on Avnet′s intranet in order to drive compliance of the negotiated agreements with preferred suppliers.
The Result: Increased Visibility of Indirect Spending
With the system up and running for almost a year, Wehrli and his team have gained increased visibility of their indirect spending. Avnet has more than 200 users currently taking advantage of the online solution and plans to add 500 – 1000 users in the next 6 – 12 months. As a result of Ketera, Avnet reduced indirect goods and services purchasing costs by 15%. |
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| To learn how Ketera Spend Management Solutions can help your business, call 1–877–486–4340 |
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