commerce one - cmrc - 500 Beiträge pro Seite
eröffnet am 19.09.02 11:44:37 von
neuester Beitrag 15.11.02 14:12:44 von
neuester Beitrag 15.11.02 14:12:44 von
Beiträge: 25
ID: 635.303
ID: 635.303
Aufrufe heute: 0
Gesamt: 3.638
Gesamt: 3.638
Aktive User: 0
Top-Diskussionen
Titel | letzter Beitrag | Aufrufe |
---|---|---|
vor 34 Minuten | 1030 | |
vor 23 Minuten | 902 | |
vor 52 Minuten | 799 | |
vor 40 Minuten | 785 | |
vor 21 Minuten | 767 | |
gestern 19:37 | 641 | |
vor 5 Minuten | 558 | |
vor 39 Minuten | 499 |
Meistdiskutierte Wertpapiere
Platz | vorher | Wertpapier | Kurs | Perf. % | Anzahl | ||
---|---|---|---|---|---|---|---|
1. | 1. | 17.737,36 | -0,56 | 198 | |||
2. | 2. | 138,02 | -1,93 | 95 | |||
3. | 7. | 6,6320 | -1,43 | 70 | |||
4. | 5. | 0,1810 | -1,90 | 51 | |||
5. | Neu! | 670,40 | -23,15 | 46 | |||
6. | 8. | 3,7700 | +0,80 | 45 | |||
7. | 17. | 7,2900 | -0,21 | 43 | |||
8. | 4. | 2.390,60 | 0,00 | 41 |
Auch wenn es wahrscheinlich nicht mehr viele Anleger gibt, die noch
an c1 glauben, oder sogar noch welche im Depot liegen haben,
mache ich hier einen Thread auf in dem es sich um c1 dreht.
Wie Ihr mit Sicherheit festgestellt habt, wird c1 seit dem
Vollzug des Reverse Split am 17.09.02 nicht mehr unter der
bekannten Kennung CMRC und der WKN 924107 gehandelt.
Das neue Kürzel an der Nasdaq lautet CMRCD und die WKN 778279.
Soweit mir bekannt ist, erlischt dieses angefügte D im
Kürzel nach 20 Tagen im Handel nach RS. (bei WKN bin ich mir
nicht sicher ob diese wieder geändert wird)
Dies hier soll ein reiner News-Thread werden, darum bitte ich
Euch keine persönlichen Meinungen oder ähnliches einzustellen.
Für Diskussionen sind ja immer noch die anderen Threads da.
(falls überhaupt noch jemand diskutieren will )
an c1 glauben, oder sogar noch welche im Depot liegen haben,
mache ich hier einen Thread auf in dem es sich um c1 dreht.
Wie Ihr mit Sicherheit festgestellt habt, wird c1 seit dem
Vollzug des Reverse Split am 17.09.02 nicht mehr unter der
bekannten Kennung CMRC und der WKN 924107 gehandelt.
Das neue Kürzel an der Nasdaq lautet CMRCD und die WKN 778279.
Soweit mir bekannt ist, erlischt dieses angefügte D im
Kürzel nach 20 Tagen im Handel nach RS. (bei WKN bin ich mir
nicht sicher ob diese wieder geändert wird)
Dies hier soll ein reiner News-Thread werden, darum bitte ich
Euch keine persönlichen Meinungen oder ähnliches einzustellen.
Für Diskussionen sind ja immer noch die anderen Threads da.
(falls überhaupt noch jemand diskutieren will )
Commerce One Achieves Key Milestones and Updates
EPS and Cash Balance Forecast for Third Quarter 2002
Progress Achieved with New Product Suite, Reverse
Stock Split Completed
PLEASANTON, Calif. — September 18, 2002
— Commerce One (Nasdaq: CMRCD) today announced
achievement of key milestones on its profitability plan
and an update of the guidance provided on July 17,
2002 regarding its cash balance forecast and EPS
outlook. Commerce One anticipates a pro-forma
operating loss per share figure of $0.12 to $0.13 on a
pre-reverse split basis ($1.20 to $1.30 on a post reverse
split basis), slightly better than its prior guidance, and a
cash balance of approximately $144 million by the end
of the third quarter.
"Market volatility has mandated that every company
examine opportunities to reduce costs and drive
revenue," said Mark Hoffman, chairman and CEO,
Commerce One. "Core to our strategy is investing in the
future, and we continue to achieve targets for cost
controls, new product development, and new partners.
Tomorrow`s announcement at InfoWorld regarding our
new 6.0 suite will reinforce our focus, drive and
accomplishments."
New product line leveraging Web services
In July, Commerce One announced its strategy to
transform its successful supplier relationship
management (SRM) applications and marketplace
platform into a new Web services-enabled suite. This
new suite extends enterprise business processes out to
trading partners to create a flexible supply network,
regardless of whether a customer is implementing
Commerce One applications or wants to connect existing
enterprise applications. Commerce One is on schedule to
deliver the new 6.0 suite, targeting Q4 for beta delivery
of the platform and Q1 for beta delivery of the SRM
suite.
"Web services are a key element of service oriented
architectures that customers are starting to adopt to
solve some unique inter-enterprise process enablement
and supplier network woes" says Narry Singh, senior vice
president of marketing, Commerce One, "But capturing
the value requires more than agreeing on standards or
putting on a Web-services veneer. We are re-writing our
suite to ensure we can componentize our applications
and deliver the specific requirements customers have
today and in five years."
For more details on the new Commerce One 6.0 product
suite, see related news releases (Commerce One
Partners with Industry Leaders to Enhance New Web
Services Solutions and Commerce One and Satyam
Establish Strategic Partnership) at
www.commerceone.com.
Reverse stock split
On Sept. 17, 2002, Commerce One announced that its
1-for-10 reverse stock split, which was approved by
stockholders on September 6, 2002, had become
effective commencing with trading on September 17,
2002. The company`s stock symbol has changed
temporarily to `CMRCD`. After 20 trading days, the stock
symbol will revert back to `CMRC`.
Third quarter 2002 results
Commerce One will hold a Web cast to discuss its third
quarter 2002 financial results on Wednesday, October
23, 2002 at 2:00 p.m. (Pacific Daylight Time). Interested
parties can connect to the live audio conference online at
www.commerceone.com. Mark Hoffman, chairman and
CEO, and Chuck Boynton, senior vice president and CFO,
will host the call.
About Commerce One
Commerce One (Nasdaq: CMRCD) is a software company
dedicated to helping customers connect and optimize
applications and business processes throughout and
between enterprises to improve business productivity.
Initially focusing on the supply chain, where customer
demand is greatest, Commerce One solutions use Web
services technology to streamline the sourcing and
procurement process, and make the supply chain more
flexible. For more information go to
www.commerceone.com.
# # #
Forward Looking Statements
The foregoing paragraphs include forward-looking
statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. These
forward-looking statements include statements
concerning the Company`s expected cash balance and
EPS outlook, the Company`s ability to deliver products in
the timeframe anticipated, and the expected success of
the Company`s 6.0 product suite for the Company and
its customers. The words "believe," "anticipate,"
"expect," "will" and similar phrases as they relate to
Commerce One are intended to identify such
forward-looking statements. Such statements reflect the
current views and assumptions of Commerce One, and
are subject to various risks and uncertainties that could
cause actual results to differ materially from
expectations. These risks include, but are not limited to,
unexpected expenses, delays in or cancellation of
customer product orders or services engagements,
delays in accounts receivable efforts, the failure of any
our solutions to meet user expectations, the failure of
the web services market to materialize as anticipated,
delays in developing or shipping new versions of our
software solutions, and intense and increasing
competition in the market for procurement, sourcing and
related enterprise solutions. The information provided in
this press release is current as of the date of its
publication. Commerce One expressly disclaims any
obligation to release publicly any updates or revisions to
any forward-looking statements to reflect any changes in
expectations, or any change in events or circumstances
on which those statements are based, unless otherwise
required by law. For a discussion of these and other risk
factors that could affect Commerce One`s business, see
"Risk Factors" in Commerce One`s filings with the
Securities and Exchange Commission, including its
Quarterly Report on Form 10-Q for the quarter ended
June 31, 2002.
EPS and Cash Balance Forecast for Third Quarter 2002
Progress Achieved with New Product Suite, Reverse
Stock Split Completed
PLEASANTON, Calif. — September 18, 2002
— Commerce One (Nasdaq: CMRCD) today announced
achievement of key milestones on its profitability plan
and an update of the guidance provided on July 17,
2002 regarding its cash balance forecast and EPS
outlook. Commerce One anticipates a pro-forma
operating loss per share figure of $0.12 to $0.13 on a
pre-reverse split basis ($1.20 to $1.30 on a post reverse
split basis), slightly better than its prior guidance, and a
cash balance of approximately $144 million by the end
of the third quarter.
"Market volatility has mandated that every company
examine opportunities to reduce costs and drive
revenue," said Mark Hoffman, chairman and CEO,
Commerce One. "Core to our strategy is investing in the
future, and we continue to achieve targets for cost
controls, new product development, and new partners.
Tomorrow`s announcement at InfoWorld regarding our
new 6.0 suite will reinforce our focus, drive and
accomplishments."
New product line leveraging Web services
In July, Commerce One announced its strategy to
transform its successful supplier relationship
management (SRM) applications and marketplace
platform into a new Web services-enabled suite. This
new suite extends enterprise business processes out to
trading partners to create a flexible supply network,
regardless of whether a customer is implementing
Commerce One applications or wants to connect existing
enterprise applications. Commerce One is on schedule to
deliver the new 6.0 suite, targeting Q4 for beta delivery
of the platform and Q1 for beta delivery of the SRM
suite.
"Web services are a key element of service oriented
architectures that customers are starting to adopt to
solve some unique inter-enterprise process enablement
and supplier network woes" says Narry Singh, senior vice
president of marketing, Commerce One, "But capturing
the value requires more than agreeing on standards or
putting on a Web-services veneer. We are re-writing our
suite to ensure we can componentize our applications
and deliver the specific requirements customers have
today and in five years."
For more details on the new Commerce One 6.0 product
suite, see related news releases (Commerce One
Partners with Industry Leaders to Enhance New Web
Services Solutions and Commerce One and Satyam
Establish Strategic Partnership) at
www.commerceone.com.
Reverse stock split
On Sept. 17, 2002, Commerce One announced that its
1-for-10 reverse stock split, which was approved by
stockholders on September 6, 2002, had become
effective commencing with trading on September 17,
2002. The company`s stock symbol has changed
temporarily to `CMRCD`. After 20 trading days, the stock
symbol will revert back to `CMRC`.
Third quarter 2002 results
Commerce One will hold a Web cast to discuss its third
quarter 2002 financial results on Wednesday, October
23, 2002 at 2:00 p.m. (Pacific Daylight Time). Interested
parties can connect to the live audio conference online at
www.commerceone.com. Mark Hoffman, chairman and
CEO, and Chuck Boynton, senior vice president and CFO,
will host the call.
About Commerce One
Commerce One (Nasdaq: CMRCD) is a software company
dedicated to helping customers connect and optimize
applications and business processes throughout and
between enterprises to improve business productivity.
Initially focusing on the supply chain, where customer
demand is greatest, Commerce One solutions use Web
services technology to streamline the sourcing and
procurement process, and make the supply chain more
flexible. For more information go to
www.commerceone.com.
# # #
Forward Looking Statements
The foregoing paragraphs include forward-looking
statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. These
forward-looking statements include statements
concerning the Company`s expected cash balance and
EPS outlook, the Company`s ability to deliver products in
the timeframe anticipated, and the expected success of
the Company`s 6.0 product suite for the Company and
its customers. The words "believe," "anticipate,"
"expect," "will" and similar phrases as they relate to
Commerce One are intended to identify such
forward-looking statements. Such statements reflect the
current views and assumptions of Commerce One, and
are subject to various risks and uncertainties that could
cause actual results to differ materially from
expectations. These risks include, but are not limited to,
unexpected expenses, delays in or cancellation of
customer product orders or services engagements,
delays in accounts receivable efforts, the failure of any
our solutions to meet user expectations, the failure of
the web services market to materialize as anticipated,
delays in developing or shipping new versions of our
software solutions, and intense and increasing
competition in the market for procurement, sourcing and
related enterprise solutions. The information provided in
this press release is current as of the date of its
publication. Commerce One expressly disclaims any
obligation to release publicly any updates or revisions to
any forward-looking statements to reflect any changes in
expectations, or any change in events or circumstances
on which those statements are based, unless otherwise
required by law. For a discussion of these and other risk
factors that could affect Commerce One`s business, see
"Risk Factors" in Commerce One`s filings with the
Securities and Exchange Commission, including its
Quarterly Report on Form 10-Q for the quarter ended
June 31, 2002.
Commerce One CEO Mark Hoffman to Keynote at
InfoWorld Web Services Applications Conference
September 17, 2002 —
Who:
Mark Hoffman, chairman and CEO, Commerce
One
What:
Keynote address: "Breakthrough Business
Agility: Leveraging Collaborative Web Services"
When:
Thursday, Sept. 19
2:00 p.m. - 2:45 p.m. PST
Where:
InfoWorld`s Next-Generation Web Services II
Conference
The Westin Santa Clara, Santa Clara, California
With more than 20 years of senior management
experience, Mark Hoffman is one of the software
industry`s most visionary leaders. As CEO of
Commerce One, he has been a pioneer of B2B
commerce by guiding the evolution of trading
networks, supplier relationship management
technology, and developing industry standards. Today
he is responding to the demands of Commerce One`s
Global 2000 customers and developing solutions that
leverage the power of Web services to enable
companies to better connect and optimize business
processes within and between enterprises.
Hoffman will discuss how companies can leverage
collaborative Web services to build faster, smarter and
more agile businesses. He will cut through Web
services hype and provide real-world examples of how
organizations can significantly lower operating costs
and drive revenue by implementing solutions that solve
real business problems as opposed to just invoking the
latest technology.
In addition to Hoffman`s keynote, Commerce One`s
customer Siemens AG will deliver case study
presentations throughout the conference on how it has
streamlined its supplier relationship management
processes enterprise-wide and saved costs using
Commerce One software. Commerce One will also
demonstrate its solutions at InfoWorld`s technology
pavilion.
About Commerce One
Commerce One (Nasdaq: CMRC) is an enterprise
software company dedicated to helping customers
connect and optimize applications and business
processes throughout the enterprise. Initially focusing on
the supply chain, where customer demand is greatest,
Commerce One solutions use advanced Web services
technology to streamline the sourcing and procurement
process and make the supply chain more flexible. For
more information go to www.commerceone.com.
InfoWorld Web Services Applications Conference
September 17, 2002 —
Who:
Mark Hoffman, chairman and CEO, Commerce
One
What:
Keynote address: "Breakthrough Business
Agility: Leveraging Collaborative Web Services"
When:
Thursday, Sept. 19
2:00 p.m. - 2:45 p.m. PST
Where:
InfoWorld`s Next-Generation Web Services II
Conference
The Westin Santa Clara, Santa Clara, California
With more than 20 years of senior management
experience, Mark Hoffman is one of the software
industry`s most visionary leaders. As CEO of
Commerce One, he has been a pioneer of B2B
commerce by guiding the evolution of trading
networks, supplier relationship management
technology, and developing industry standards. Today
he is responding to the demands of Commerce One`s
Global 2000 customers and developing solutions that
leverage the power of Web services to enable
companies to better connect and optimize business
processes within and between enterprises.
Hoffman will discuss how companies can leverage
collaborative Web services to build faster, smarter and
more agile businesses. He will cut through Web
services hype and provide real-world examples of how
organizations can significantly lower operating costs
and drive revenue by implementing solutions that solve
real business problems as opposed to just invoking the
latest technology.
In addition to Hoffman`s keynote, Commerce One`s
customer Siemens AG will deliver case study
presentations throughout the conference on how it has
streamlined its supplier relationship management
processes enterprise-wide and saved costs using
Commerce One software. Commerce One will also
demonstrate its solutions at InfoWorld`s technology
pavilion.
About Commerce One
Commerce One (Nasdaq: CMRC) is an enterprise
software company dedicated to helping customers
connect and optimize applications and business
processes throughout the enterprise. Initially focusing on
the supply chain, where customer demand is greatest,
Commerce One solutions use advanced Web services
technology to streamline the sourcing and procurement
process and make the supply chain more flexible. For
more information go to www.commerceone.com.
Commerce One and Satyam Establish Strategic
Partnership
Systems Integrator and Commerce One Partner to Deliver Supply Network
Solutions Powered by Web Services
Thursday September 19, 8:02 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Sept. 19, 2002--Commerce One, Inc.
(Nasdaq:CMRCD - News) today announced that it is partnering with Satyam Computer
Services Ltd. (NYSE:SAY - News), a diverse end-to-end IT solutions provider, to help
customers deploy its solutions. Satyam`s expertise in integrating supply chain solutions within
many industry segments, combined with Commerce One technology, will help customers gain
the business agility needed to easily modify supply network activities as business demands
fluctuate.
By working with Satyam to implement
Commerce One solutions, customers
can build more efficient and
cost-effective relationships with
business partners. Using an open, Web
services-based architecture, Commerce
One solutions connect all the pieces of
a supply network, such as applications,
partners, suppliers, customers and third
party Web service providers, to enable
real-time, secure information exchange.
"Our customers tell us their supply
network is inflexible and unable to
quickly respond to changes in their
supply chain. With our new Web
services solutions, we directly address
customer demand for an integrated
supply network," said Mark Hoffman,
chairman and CEO of Commerce One.
"Satyam`s integration and supply chain implementation experience helps us deliver a
comprehensive solution that addresses our customers` most critical needs."
Satyam has already been working with a leading manufacturer that designs and produces
products for the automotive, aerospace and IT industries to use Commerce One technology to
optimize its supply network and redesign key business processes.
"Using Commerce One technology, Satyam has helped a leading manufacturer redesign critical
customer acquisition and order generation business processes," said Mohan Eddy, director,
collaborative enterprise solutions, Satyam. "The changing market dynamics and increasing
competitive pressure, coupled with inefficient processes, posed serious challenges in terms of
dwindling opportunities for growth, rising cost of doing business, commoditization of products
and high response time to customer requests. This customer now has a comprehensive
collaborative process system that addresses issues of sales and marketing, and it also
manages complex collaboration, ensuring that customer time schedules and quality levels are
met. This leading manufacturer aims to automate their processes across 14 different locations
worldwide, and vastly improve customer response time and employee productivity."
"Truly integrating and orchestrating elements of a company`s supply chain remains an
incredibly complex endeavor that requires linking many different internal business applications
as well as critical applications run by key partners," said Richard Villars, vice president of
Internet research at IDC. "Companies, like Commerce One, that have experience in the SRM
space, are aggressively leveraging Web services in the supply chain integration arena. By
building partnerships with companies like Satyam, they are in a strong position to aid
customers who want to more rapidly reap real rewards from supply chain management
initiatives."
About Commerce One
Commerce One (Nasdaq:CMRCD - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
About Satyam Computer Services Ltd.
Satyam Computer Services Ltd. (NYSE:SAY - News), a diverse end-to-end IT solutions
provider, offers a range of expertise aimed at helping customers re-engineer and re-invent their
businesses to compete successfully in an ever-changing marketplace. Around 8600 highly
skilled professionals in Satyam work onsite, offshore or offsite to provide customized IT
solutions for companies in several industry sectors.
Satyam`s ideas and products have resulted in technology-intensive transformations that have
met the most stringent of international quality standards. Satyam development centers in India,
USA, UK, Europe, Middle East, Singapore, Japan and Australia serve over 260 global
companies of which 60 are Fortune 500 corporations. The Satyam marketing network spans 43
countries across five continents
More details of Satyam are available at www.satyam.com.
Safe Harbor
This press release contains forward-looking statements within the meaning of Section 27-A of
Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934,
as amended. The forward-looking statements contained in the press release include, but are
not limited to, comments regarding the prospects for further growth in the Company`s business
and trends in the IT services market. The forward-looking statements contained herein are
subject to certain risks and uncertainties that could cause actual results to differ materially
from those reflected in the forward-looking statements -- Satyam Computer Services Limited
(Satyam) undertakes no duty to update any forward-looking statements. For a discussion of the
risks associated with Satyam`s business, please see the discussion under the caption "Risk
Factors" in Satyam`s ADS prospectus dated May 15, 2001, which has been filed with the
Securities Exchange Commission and the other reports in files with the SEC from time to time.
These filings are available at www.sec.gov.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell
solutions based on an open, Web services-based architecture, the ability of these solutions to
help customers quickly integrate and modify their supply chain networks, and the expectation
that Satyam will be able to effectively deploy these solutions. The words "believe," "expect,"
"intend," "plan," "will," "enable" and similar phrases as they relate to Commerce One and its
products (current or anticipated) are intended to identify such forward-looking statements.
These statements reflect the current views and assumptions of Commerce One, and are
subject to various risks and uncertainties that could cause actual results to differ materially
from expectations. These factors include, but are not limited to, the following: the possibility
that Commerce One`s Web-services based solutions may not become available or perform as
expected and the possibility that Satyam may not be able to effectively deploy these solutions
as expected. The information provided in this press release is current as of the date of its
publication. Commerce One expressly disclaims any obligation to update these forward-looking
statements unless required to do so by law. For a discussion of these and other risk factors
that could affect Commerce One`s business, see "Risk Factors" in Commerce One`s filings
with the Securities and Exchange Commission, including its quarterly report on Form 10-Q for
the quarter ended June 30, 2002.
Partnership
Systems Integrator and Commerce One Partner to Deliver Supply Network
Solutions Powered by Web Services
Thursday September 19, 8:02 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Sept. 19, 2002--Commerce One, Inc.
(Nasdaq:CMRCD - News) today announced that it is partnering with Satyam Computer
Services Ltd. (NYSE:SAY - News), a diverse end-to-end IT solutions provider, to help
customers deploy its solutions. Satyam`s expertise in integrating supply chain solutions within
many industry segments, combined with Commerce One technology, will help customers gain
the business agility needed to easily modify supply network activities as business demands
fluctuate.
By working with Satyam to implement
Commerce One solutions, customers
can build more efficient and
cost-effective relationships with
business partners. Using an open, Web
services-based architecture, Commerce
One solutions connect all the pieces of
a supply network, such as applications,
partners, suppliers, customers and third
party Web service providers, to enable
real-time, secure information exchange.
"Our customers tell us their supply
network is inflexible and unable to
quickly respond to changes in their
supply chain. With our new Web
services solutions, we directly address
customer demand for an integrated
supply network," said Mark Hoffman,
chairman and CEO of Commerce One.
"Satyam`s integration and supply chain implementation experience helps us deliver a
comprehensive solution that addresses our customers` most critical needs."
Satyam has already been working with a leading manufacturer that designs and produces
products for the automotive, aerospace and IT industries to use Commerce One technology to
optimize its supply network and redesign key business processes.
"Using Commerce One technology, Satyam has helped a leading manufacturer redesign critical
customer acquisition and order generation business processes," said Mohan Eddy, director,
collaborative enterprise solutions, Satyam. "The changing market dynamics and increasing
competitive pressure, coupled with inefficient processes, posed serious challenges in terms of
dwindling opportunities for growth, rising cost of doing business, commoditization of products
and high response time to customer requests. This customer now has a comprehensive
collaborative process system that addresses issues of sales and marketing, and it also
manages complex collaboration, ensuring that customer time schedules and quality levels are
met. This leading manufacturer aims to automate their processes across 14 different locations
worldwide, and vastly improve customer response time and employee productivity."
"Truly integrating and orchestrating elements of a company`s supply chain remains an
incredibly complex endeavor that requires linking many different internal business applications
as well as critical applications run by key partners," said Richard Villars, vice president of
Internet research at IDC. "Companies, like Commerce One, that have experience in the SRM
space, are aggressively leveraging Web services in the supply chain integration arena. By
building partnerships with companies like Satyam, they are in a strong position to aid
customers who want to more rapidly reap real rewards from supply chain management
initiatives."
About Commerce One
Commerce One (Nasdaq:CMRCD - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
About Satyam Computer Services Ltd.
Satyam Computer Services Ltd. (NYSE:SAY - News), a diverse end-to-end IT solutions
provider, offers a range of expertise aimed at helping customers re-engineer and re-invent their
businesses to compete successfully in an ever-changing marketplace. Around 8600 highly
skilled professionals in Satyam work onsite, offshore or offsite to provide customized IT
solutions for companies in several industry sectors.
Satyam`s ideas and products have resulted in technology-intensive transformations that have
met the most stringent of international quality standards. Satyam development centers in India,
USA, UK, Europe, Middle East, Singapore, Japan and Australia serve over 260 global
companies of which 60 are Fortune 500 corporations. The Satyam marketing network spans 43
countries across five continents
More details of Satyam are available at www.satyam.com.
Safe Harbor
This press release contains forward-looking statements within the meaning of Section 27-A of
Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934,
as amended. The forward-looking statements contained in the press release include, but are
not limited to, comments regarding the prospects for further growth in the Company`s business
and trends in the IT services market. The forward-looking statements contained herein are
subject to certain risks and uncertainties that could cause actual results to differ materially
from those reflected in the forward-looking statements -- Satyam Computer Services Limited
(Satyam) undertakes no duty to update any forward-looking statements. For a discussion of the
risks associated with Satyam`s business, please see the discussion under the caption "Risk
Factors" in Satyam`s ADS prospectus dated May 15, 2001, which has been filed with the
Securities Exchange Commission and the other reports in files with the SEC from time to time.
These filings are available at www.sec.gov.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell
solutions based on an open, Web services-based architecture, the ability of these solutions to
help customers quickly integrate and modify their supply chain networks, and the expectation
that Satyam will be able to effectively deploy these solutions. The words "believe," "expect,"
"intend," "plan," "will," "enable" and similar phrases as they relate to Commerce One and its
products (current or anticipated) are intended to identify such forward-looking statements.
These statements reflect the current views and assumptions of Commerce One, and are
subject to various risks and uncertainties that could cause actual results to differ materially
from expectations. These factors include, but are not limited to, the following: the possibility
that Commerce One`s Web-services based solutions may not become available or perform as
expected and the possibility that Satyam may not be able to effectively deploy these solutions
as expected. The information provided in this press release is current as of the date of its
publication. Commerce One expressly disclaims any obligation to update these forward-looking
statements unless required to do so by law. For a discussion of these and other risk factors
that could affect Commerce One`s business, see "Risk Factors" in Commerce One`s filings
with the Securities and Exchange Commission, including its quarterly report on Form 10-Q for
the quarter ended June 30, 2002.
Commerce One Selects Contivo to Automate Data
Integration for Commerce One 6.0 Suite
Agreement Speeds Integration for Customers
Thursday September 19, 8:02 am ET
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Sept. 19, 2002--Contivo, Inc., the leading
provider of automated data integration, today announced a strategic agreement with Commerce
One (NASDAQ:CMRCD - News) to support its new product suite, Commerce One 6.0. This
joint marketing and development agreement will enable companies to improve the performance
and efficiencies of their cross enterprise supply chain by automating data transformation
between applications and systems.
Commerce One 6.0 is a suite of
supplier relationship management
applications and a new collaborative
Web services platform. The new
platform will serve as a powerful vehicle
for extending enterprise business
processes out to trading partners to
create a flexible supply network,
regardless of whether a customer is
implementing Commerce One
applications or wants to connect
existing enterprise applications.
Commerce One chose Contivo`s
Enterprise Integration Modeling Solution
(EIM) as the data transformation
solution for the platform. EIM helps to
significantly reduce the time and effort
of integration with Web services development by automating data transformation through data
models. By providing interface modeling, automated mapping and standards-based code
generation, Contivo helps Commerce One customers resolve data integration issues and
improve real-time enterprise resource planning efforts and streamline purchase orders.
"Contivo`s solution resolves the often time-consuming and costly task of data integration,
thereby allowing our customers to extend their supply chain processes more effectively," said
Narry Singh, senior vice president of marketing at Commerce One.
Web services development, data integration, mapping and transformation are complex tasks
that traditionally require significant manual programming. However, using Contivo`s products,
the Contivo Analyst and Contivo EIM Server, customers can simplify the mapping of complex
transactions. By modeling the data to describe its meaning and automatically generating
run-time code from native applications into SOAP (Services Oriented Access Protocol) and
other Web services languages, schemas and protocols, customers can use existing data to
connect with partners and customers via Commerce One 6.0.
"Our goal is to support the ongoing success of our partners like Commerce One to provide
better and faster connections between the vendors and suppliers," said Paul Koenig, vice
president of marketing and alliances, Contivo. "Contivo`s innovative modeling technology allows
Commerce One customers to expedite data transformations and extend their business through
Web services."
About Contivo
Contivo provides product solutions that enable enterprises to dramatically reduce the time,
effort, and dollars spent to design and maintain software integration efforts. The Contivo
approach provides integration architects with a centrally-managed repository that introduces
reuse and collaboration to a previously one-off and manual task. Contivo introduced the concept
of Enterprise Integration Modeling (EIM), a framework on which companies can create,
leverage, and manage their knowledgebase of data integration efforts.
Contivo was founded in 1998 and has forged significant relationships with strategic partners and
customers, including BEA Systems, webMethods, Agilent Technologies, Hitachi America,
Viacore, and TIBCO Software. Corporate investors include industry leaders BEA Systems,
TIBCO Software, and webMethods. Venture capital investors include Bank of America
Ventures, MSD Capital LP, and Voyager Capital. Contivo is privately held and headquartered in
Mountain View, CA. More information about the company can be found at
http://www.contivo.com/
About Commerce One
Commerce One is a software company dedicated to helping customers connect and optimize
applications and business processes throughout and between enterprises to improve business
productivity. Initially focusing on the supply chain, where customer demand is greatest,
Commerce One solutions use Web services technology to streamline the sourcing and
procurement process, and make the supply chain more flexible.
Forward Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell
Commerce One 6.0, a Web services platform and suite of applications; the Contivo technology
that Commerce One expects to incorporate into the Commerce One 6.0 solution; and the
anticipated benefits of the Commerce One 6.0 solution and the Contivo technology, including
the ability to improve supply chain efficiencies through data integration. The words "believe,"
"expect," "intend," "plan," "will," "enable" and similar phrases as they relate to Commerce One
and its products (current or anticipated) are intended to identify such forward-looking
statements. These statements reflect the current views and assumptions of Commerce One,
and are subject to various risks and uncertainties that could cause actual results to differ
materially from expectations. These factors include, but are not limited to, the following: the
possibility that Commerce One may not be able to effectively incorporate the proposed
third-party technology from Contivo; that this technology may not work as anticipated; and that
Commerce One 6.0 may not become available as scheduled or meet customer expectations.
The information provided in this press release is current as of the date of its publication.
Commerce One expressly disclaims any obligation to update these forward-looking statements
unless required to do so by law. For a discussion of these and other risk factors that could
affect Commerce One`s business, see "Risk Factors" in Commerce One`s filings with the
Securities and Exchange Commission, including its quarterly report on Form 10-Q for the
quarter ended June 30, 2002.
Integration for Commerce One 6.0 Suite
Agreement Speeds Integration for Customers
Thursday September 19, 8:02 am ET
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Sept. 19, 2002--Contivo, Inc., the leading
provider of automated data integration, today announced a strategic agreement with Commerce
One (NASDAQ:CMRCD - News) to support its new product suite, Commerce One 6.0. This
joint marketing and development agreement will enable companies to improve the performance
and efficiencies of their cross enterprise supply chain by automating data transformation
between applications and systems.
Commerce One 6.0 is a suite of
supplier relationship management
applications and a new collaborative
Web services platform. The new
platform will serve as a powerful vehicle
for extending enterprise business
processes out to trading partners to
create a flexible supply network,
regardless of whether a customer is
implementing Commerce One
applications or wants to connect
existing enterprise applications.
Commerce One chose Contivo`s
Enterprise Integration Modeling Solution
(EIM) as the data transformation
solution for the platform. EIM helps to
significantly reduce the time and effort
of integration with Web services development by automating data transformation through data
models. By providing interface modeling, automated mapping and standards-based code
generation, Contivo helps Commerce One customers resolve data integration issues and
improve real-time enterprise resource planning efforts and streamline purchase orders.
"Contivo`s solution resolves the often time-consuming and costly task of data integration,
thereby allowing our customers to extend their supply chain processes more effectively," said
Narry Singh, senior vice president of marketing at Commerce One.
Web services development, data integration, mapping and transformation are complex tasks
that traditionally require significant manual programming. However, using Contivo`s products,
the Contivo Analyst and Contivo EIM Server, customers can simplify the mapping of complex
transactions. By modeling the data to describe its meaning and automatically generating
run-time code from native applications into SOAP (Services Oriented Access Protocol) and
other Web services languages, schemas and protocols, customers can use existing data to
connect with partners and customers via Commerce One 6.0.
"Our goal is to support the ongoing success of our partners like Commerce One to provide
better and faster connections between the vendors and suppliers," said Paul Koenig, vice
president of marketing and alliances, Contivo. "Contivo`s innovative modeling technology allows
Commerce One customers to expedite data transformations and extend their business through
Web services."
About Contivo
Contivo provides product solutions that enable enterprises to dramatically reduce the time,
effort, and dollars spent to design and maintain software integration efforts. The Contivo
approach provides integration architects with a centrally-managed repository that introduces
reuse and collaboration to a previously one-off and manual task. Contivo introduced the concept
of Enterprise Integration Modeling (EIM), a framework on which companies can create,
leverage, and manage their knowledgebase of data integration efforts.
Contivo was founded in 1998 and has forged significant relationships with strategic partners and
customers, including BEA Systems, webMethods, Agilent Technologies, Hitachi America,
Viacore, and TIBCO Software. Corporate investors include industry leaders BEA Systems,
TIBCO Software, and webMethods. Venture capital investors include Bank of America
Ventures, MSD Capital LP, and Voyager Capital. Contivo is privately held and headquartered in
Mountain View, CA. More information about the company can be found at
http://www.contivo.com/
About Commerce One
Commerce One is a software company dedicated to helping customers connect and optimize
applications and business processes throughout and between enterprises to improve business
productivity. Initially focusing on the supply chain, where customer demand is greatest,
Commerce One solutions use Web services technology to streamline the sourcing and
procurement process, and make the supply chain more flexible.
Forward Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell
Commerce One 6.0, a Web services platform and suite of applications; the Contivo technology
that Commerce One expects to incorporate into the Commerce One 6.0 solution; and the
anticipated benefits of the Commerce One 6.0 solution and the Contivo technology, including
the ability to improve supply chain efficiencies through data integration. The words "believe,"
"expect," "intend," "plan," "will," "enable" and similar phrases as they relate to Commerce One
and its products (current or anticipated) are intended to identify such forward-looking
statements. These statements reflect the current views and assumptions of Commerce One,
and are subject to various risks and uncertainties that could cause actual results to differ
materially from expectations. These factors include, but are not limited to, the following: the
possibility that Commerce One may not be able to effectively incorporate the proposed
third-party technology from Contivo; that this technology may not work as anticipated; and that
Commerce One 6.0 may not become available as scheduled or meet customer expectations.
The information provided in this press release is current as of the date of its publication.
Commerce One expressly disclaims any obligation to update these forward-looking statements
unless required to do so by law. For a discussion of these and other risk factors that could
affect Commerce One`s business, see "Risk Factors" in Commerce One`s filings with the
Securities and Exchange Commission, including its quarterly report on Form 10-Q for the
quarter ended June 30, 2002.
Commerce One Partners with Industry Leaders to
Enhance New Web Services Solutions
Actional, Baltimore, Cognos, Contivo, Sonic Software and VeriSign Bring
Additional Functionality to Commerce One 6.0
Thursday September 19, 8:05 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Sept. 19, 2002-- Commerce One, Inc.
(Nasdaq:CMRCD - News) today announced that Actional, Baltimore, Cognos, Contivo, Sonic
Software and VeriSign will all make key technology contributions to its new product suite,
Commerce One 6.0. Using an open standards-based architecture, the new Commerce One
Web services solutions will help customers connect and optimize applications and business
processes throughout the enterprise. Initially focusing where customer demand is greatest, the
solution will integrate all components of a supply network, enabling real-time, secure
information exchange and reduced operating costs.
Despite the promise of ERP vendors and
supply chain automation solutions,
supply networks remain inefficient and
unable to quickly adapt to fluctuating
business needs. Commerce One is
working directly with Actional,
Baltimore, Cognos, Contivo, Sonic
Software and VeriSign to enhance its
solutions to solve the supply chain
challenges facing most Global 2000
companies.
According to Andrew Mellors, capability
development manager at BAE
SYSTEMS, a top aerospace and
defense contractor, "Building military
hardware is amazingly complex,
involving hundreds of contractors,
subcontractors and thousands of parts.
Our multifaceted supply chain is critical
to the success of our company. When we wanted to streamline part of our supply chain we
turned to Commerce One for help with moving our sourcing and procurement process onto
Exostar, the e-marketplace for the aerospace and defense industry (powered by Commerce
One). After a successful implementation, we shared our additional supply chain challenges with
Commerce One. It is great to see that they are working with their partners to address our
needs."
Actional brings its integration expertise to the Commerce One solution through Actional
SOAPswitch, which exposes ERP and legacy system interfaces as reusable Web services.
Actional helps the platform remove key barriers to adopting a standards-based integration
architecture.
Baltimore Technologies adds e-security capabilities to the Web services platform, helping to
ensure the highest levels of data security.
Cognos adds business intelligence technology, ensuring the highest quality of data collection,
aggregation and analysis.
Contivo contributes its data modeling, data mapping and data transformation technology,
helping the platform reduce data integration and implementation time and costs.
Sonic Software`s SonicMQ® provides standards-based, enterprise-class messaging to
Commerce One 6.0, ensuring the reliability and scalability of their Web services solutions.
VeriSign adds its Trust Services Integration Kit, which is a key component of the platform`s
security architecture.
"Commerce One is working with leading players to ensure that our new Web services solutions
have the most secure and advanced integration and business intelligence capabilities," said
Mark Hoffman, chairman and CEO of Commerce One. "Commerce One has always been
focused on enabling complex inter-enterprise business processes. We continue to gain positive
feedback from customers and prospects that our new product suite will solve a critical pain
point for companies who need more control, more real-time visibility, and increased efficiencies
throughout their supply networks."
Commerce One will make the Web services platform generally available in Q1 2003.
About Commerce One
Commerce One (Nasdaq:CMRCD - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell a
Web services platform and suite of applications; third-party technologies from Actional,
Baltimore, Cognos, Contivo, Sonic Software and VeriSign that Commerce One expects to
incorporate into the Commerce One 6.0 solution; and the anticipated availability of Commerce
One 6.0 and its anticipated benefits, including reduced costs of integration and increased
security. The words "believe," "expect," "intend," "plan," "will," "enable" and similar phrases as
they relate to Commerce One and its products (current or anticipated) are intended to identify
such forward-looking statements. These statements reflect the current views and assumptions
of Commerce One, and are subject to various risks and uncertainties that could cause actual
results to differ materially from expectations. These factors include, but are not limited to, the
following: the possibility that Commerce One may not be able to effectively incorporate the
proposed third-party technologies from Actional, Baltimore, Cognos, Contivo, Sonic Software
and VeriSign; that these technologies may not work as anticipated; and that Commerce One
6.0 may not become available as scheduled or meet customer expectations. The information
provided in this press release is current as of the date of its publication. Commerce One
expressly disclaims any obligation to update these forward-looking statements unless required
to do so by law. For a discussion of these and other risk factors that could affect Commerce
One`s business, see "Risk Factors" in Commerce One`s filings with the Securities and
Exchange Commission, including its quarterly report on Form 10-Q for the quarter ended June
30, 2002.
Enhance New Web Services Solutions
Actional, Baltimore, Cognos, Contivo, Sonic Software and VeriSign Bring
Additional Functionality to Commerce One 6.0
Thursday September 19, 8:05 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Sept. 19, 2002-- Commerce One, Inc.
(Nasdaq:CMRCD - News) today announced that Actional, Baltimore, Cognos, Contivo, Sonic
Software and VeriSign will all make key technology contributions to its new product suite,
Commerce One 6.0. Using an open standards-based architecture, the new Commerce One
Web services solutions will help customers connect and optimize applications and business
processes throughout the enterprise. Initially focusing where customer demand is greatest, the
solution will integrate all components of a supply network, enabling real-time, secure
information exchange and reduced operating costs.
Despite the promise of ERP vendors and
supply chain automation solutions,
supply networks remain inefficient and
unable to quickly adapt to fluctuating
business needs. Commerce One is
working directly with Actional,
Baltimore, Cognos, Contivo, Sonic
Software and VeriSign to enhance its
solutions to solve the supply chain
challenges facing most Global 2000
companies.
According to Andrew Mellors, capability
development manager at BAE
SYSTEMS, a top aerospace and
defense contractor, "Building military
hardware is amazingly complex,
involving hundreds of contractors,
subcontractors and thousands of parts.
Our multifaceted supply chain is critical
to the success of our company. When we wanted to streamline part of our supply chain we
turned to Commerce One for help with moving our sourcing and procurement process onto
Exostar, the e-marketplace for the aerospace and defense industry (powered by Commerce
One). After a successful implementation, we shared our additional supply chain challenges with
Commerce One. It is great to see that they are working with their partners to address our
needs."
Actional brings its integration expertise to the Commerce One solution through Actional
SOAPswitch, which exposes ERP and legacy system interfaces as reusable Web services.
Actional helps the platform remove key barriers to adopting a standards-based integration
architecture.
Baltimore Technologies adds e-security capabilities to the Web services platform, helping to
ensure the highest levels of data security.
Cognos adds business intelligence technology, ensuring the highest quality of data collection,
aggregation and analysis.
Contivo contributes its data modeling, data mapping and data transformation technology,
helping the platform reduce data integration and implementation time and costs.
Sonic Software`s SonicMQ® provides standards-based, enterprise-class messaging to
Commerce One 6.0, ensuring the reliability and scalability of their Web services solutions.
VeriSign adds its Trust Services Integration Kit, which is a key component of the platform`s
security architecture.
"Commerce One is working with leading players to ensure that our new Web services solutions
have the most secure and advanced integration and business intelligence capabilities," said
Mark Hoffman, chairman and CEO of Commerce One. "Commerce One has always been
focused on enabling complex inter-enterprise business processes. We continue to gain positive
feedback from customers and prospects that our new product suite will solve a critical pain
point for companies who need more control, more real-time visibility, and increased efficiencies
throughout their supply networks."
Commerce One will make the Web services platform generally available in Q1 2003.
About Commerce One
Commerce One (Nasdaq:CMRCD - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the securities
laws. These forward-looking statements discuss Commerce One`s plans to develop and sell a
Web services platform and suite of applications; third-party technologies from Actional,
Baltimore, Cognos, Contivo, Sonic Software and VeriSign that Commerce One expects to
incorporate into the Commerce One 6.0 solution; and the anticipated availability of Commerce
One 6.0 and its anticipated benefits, including reduced costs of integration and increased
security. The words "believe," "expect," "intend," "plan," "will," "enable" and similar phrases as
they relate to Commerce One and its products (current or anticipated) are intended to identify
such forward-looking statements. These statements reflect the current views and assumptions
of Commerce One, and are subject to various risks and uncertainties that could cause actual
results to differ materially from expectations. These factors include, but are not limited to, the
following: the possibility that Commerce One may not be able to effectively incorporate the
proposed third-party technologies from Actional, Baltimore, Cognos, Contivo, Sonic Software
and VeriSign; that these technologies may not work as anticipated; and that Commerce One
6.0 may not become available as scheduled or meet customer expectations. The information
provided in this press release is current as of the date of its publication. Commerce One
expressly disclaims any obligation to update these forward-looking statements unless required
to do so by law. For a discussion of these and other risk factors that could affect Commerce
One`s business, see "Risk Factors" in Commerce One`s filings with the Securities and
Exchange Commission, including its quarterly report on Form 10-Q for the quarter ended June
30, 2002.
wenn cmrcd weiter so fällt können die bald wieder einen neuen reverssplit beantragen.
gruß sneake
gruß sneake
Barron`s: Cash luster in tech group
Health of Sun, Corvis, Commerce One worth a look
By CBS.MarketWatch.com
Last Update: 2:47 PM ET Sept. 21, 2002
WASHINGTON (CBS.MW) -- In the tech sector, one man`s zombie is another`s bargain stock.
An article in this week`s Barron`s looks
at the sector with a new eye, one that
largely ignores share performance and
focuses on balance sheets with
impressive cash components.
The piece lists 29 tech companies it
considers in the "Bargain Bin" after
calculating cash as a percentage of
market capitalization.
The group can be separated into two
general categories: smaller firms with
large cash positions relative to their
market values, and larger companies,
including Sun Microsystems (SUNW:
news, chart, profile), Siebel Systems
(SEBL: news, chart, profile) and BMC
Software (BMC: news, chart, profile),
with "ample, but not enormous, cash
hoards relative to their share prices, but
which arguably have better business
prospects and greater staying power
than the smaller fry."
Capitalization of 274 percent places
marketplace software maker Commerce
One (CMRCD: news, chart, profile) at
the top of the heap, followed by fiber
optic switch maker Corvis (CORV: news,
chart, profile), at 245 percent; fiber optic
amplifier maker Oplink (OPLK: news,
chart, profile), 221 percent; Internet
content distributor Infospace (INSPD:
news, chart, profile), 196 percent;
storage device manufacturer JNI (JNIC:
news, chart, profile) at 168 percent; and
telecom gearmaker New Focus (NUFO:
news, chart, profile) at 165 percent.
Among the big firms, the article
considers Sun Microsystems in
particular as a stock probably worth a
closer look based on its cash health.
At current levels, the stock is down
nearly 80 percent on the year and 95
percent below a 2000 peak at $65. The
stock closed Friday up 6.6 percent at
$2.88.
"Sun faces competitive challenges and
has seen an exodus of top talent," the
article says. "Yet it has a great balance
sheet, with net cash of $4.3 billion, or
$1.30 a share, as of June 30. That`s
about half of Sun`s market value. Sun`s
book value is $3 a share and its tangible
book, excluding goodwill, is $2.33. Sun
is trading below book value for the first
time since going public in 1986."
The downside for the stock appears to
be $2 to $2.50 a share, while the upside
could be substantial if tech spending
improves or Nasdaq rallies. Assuming 30 to 35 cents in annual earnings power, Sun could trade up to
$7 or $8 in the next few years, says Steve Milunovich, tech strategist at Merrill Lynch, in the article.
Health of Sun, Corvis, Commerce One worth a look
By CBS.MarketWatch.com
Last Update: 2:47 PM ET Sept. 21, 2002
WASHINGTON (CBS.MW) -- In the tech sector, one man`s zombie is another`s bargain stock.
An article in this week`s Barron`s looks
at the sector with a new eye, one that
largely ignores share performance and
focuses on balance sheets with
impressive cash components.
The piece lists 29 tech companies it
considers in the "Bargain Bin" after
calculating cash as a percentage of
market capitalization.
The group can be separated into two
general categories: smaller firms with
large cash positions relative to their
market values, and larger companies,
including Sun Microsystems (SUNW:
news, chart, profile), Siebel Systems
(SEBL: news, chart, profile) and BMC
Software (BMC: news, chart, profile),
with "ample, but not enormous, cash
hoards relative to their share prices, but
which arguably have better business
prospects and greater staying power
than the smaller fry."
Capitalization of 274 percent places
marketplace software maker Commerce
One (CMRCD: news, chart, profile) at
the top of the heap, followed by fiber
optic switch maker Corvis (CORV: news,
chart, profile), at 245 percent; fiber optic
amplifier maker Oplink (OPLK: news,
chart, profile), 221 percent; Internet
content distributor Infospace (INSPD:
news, chart, profile), 196 percent;
storage device manufacturer JNI (JNIC:
news, chart, profile) at 168 percent; and
telecom gearmaker New Focus (NUFO:
news, chart, profile) at 165 percent.
Among the big firms, the article
considers Sun Microsystems in
particular as a stock probably worth a
closer look based on its cash health.
At current levels, the stock is down
nearly 80 percent on the year and 95
percent below a 2000 peak at $65. The
stock closed Friday up 6.6 percent at
$2.88.
"Sun faces competitive challenges and
has seen an exodus of top talent," the
article says. "Yet it has a great balance
sheet, with net cash of $4.3 billion, or
$1.30 a share, as of June 30. That`s
about half of Sun`s market value. Sun`s
book value is $3 a share and its tangible
book, excluding goodwill, is $2.33. Sun
is trading below book value for the first
time since going public in 1986."
The downside for the stock appears to
be $2 to $2.50 a share, while the upside
could be substantial if tech spending
improves or Nasdaq rallies. Assuming 30 to 35 cents in annual earnings power, Sun could trade up to
$7 or $8 in the next few years, says Steve Milunovich, tech strategist at Merrill Lynch, in the article.
Datum: 26.09. 11:44 Ausgesuchte Meldungen im Techsektor
Commerce One - Gewinne im 2HJ´2003?
Das US-Softwareunternehmen Commerce One wird Ende September 144 Millionen Dollar an Barreserven haben. Dies teilte der CEO Mark Hoffman gegenüber dem "Handelsblatt" mit. Die Barreserven würden über meherer Quartale hinweg reichen und das Unternehmen peilt die Gewinnzone im zweiten Halbjahr 2003 an.
Die Commerce One Aktie konnte Anfang der Woche stark ansteigen, nachdem Barron´s die Aktie positiv kommentierte. Die viel beachtete US-Anlegerzeitschrift nannte Commerce One als eine Techaktie, die einen sehr hohen Cashbestand auf der Hand halte. Commerce One stieg in Folge um mehr als 50 Prozent
Commerce One - Gewinne im 2HJ´2003?
Das US-Softwareunternehmen Commerce One wird Ende September 144 Millionen Dollar an Barreserven haben. Dies teilte der CEO Mark Hoffman gegenüber dem "Handelsblatt" mit. Die Barreserven würden über meherer Quartale hinweg reichen und das Unternehmen peilt die Gewinnzone im zweiten Halbjahr 2003 an.
Die Commerce One Aktie konnte Anfang der Woche stark ansteigen, nachdem Barron´s die Aktie positiv kommentierte. Die viel beachtete US-Anlegerzeitschrift nannte Commerce One als eine Techaktie, die einen sehr hohen Cashbestand auf der Hand halte. Commerce One stieg in Folge um mehr als 50 Prozent
ab heute wieder handel unter CMRC
mfg
mfg
Hallo Canadian !!!
weiß du auch die neuen wkn´s für nasi und so.....
gestern und heute kein handel .....
????
mfg
Lucky_x
weiß du auch die neuen wkn´s für nasi und so.....
gestern und heute kein handel .....
????
mfg
Lucky_x
Commerce One to Report Third Quarter 2002 Results
on Wednesday, October 23, 2002
Wednesday October 16, 8:07 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Oct. 16, 2002--Commerce One, Inc.
(Nasdaq:CMRC - News) will hold a Web cast to discuss its third quarter 2002 financial results
on Wednesday, Oct. 23, 2002 at 2:00 p.m. (Pacific Time).
Interested parties can connect to the live audio conference online at www.commerceone.com.
Mark Hoffman, chairman and CEO, and Chuck Boynton, senior vice president and CFO, will
host the call.
on Wednesday, October 23, 2002
Wednesday October 16, 8:07 am ET
PLEASANTON, Calif.--(BUSINESS WIRE)--Oct. 16, 2002--Commerce One, Inc.
(Nasdaq:CMRC - News) will hold a Web cast to discuss its third quarter 2002 financial results
on Wednesday, Oct. 23, 2002 at 2:00 p.m. (Pacific Time).
Interested parties can connect to the live audio conference online at www.commerceone.com.
Mark Hoffman, chairman and CEO, and Chuck Boynton, senior vice president and CFO, will
host the call.
Kellogg Achieves Rapid UCCnet Implementation With Commerce One; Kellogg Currently Communicates
Product Information With Wal-Mart and Wegmans Through UCCnet
LAWRENCEVILLE, N.J., Oct 21, 2002 (BUSINESS WIRE) -- UCCnet announced today
that Kellogg (NYSE:K), the world`s leading producer of cereal, successfully
implemented nearly 80 percent of its Morning Foods volume into the UCCnet
GLOBALregistry(TM)and synchronized item information with Wal-Mart and Wegmans.
The company used the Commerce One (Nasdaq: CMRC) Xpress Start(TM) program to
quickly achieve data synchronization with Wal-Mart. Ninety-nine products were
published to Wal-Mart in only two weeks. Kellogg then asked Commerce One to
implement its full-featured Xpress Conveyor(TM) machine-to-machine integration
solution to manage all aspects of retailer data synchronization through the
UCCnet GLOBALregistry.
With Commerce One`s Xpress Conveyor, Kellogg was also able to publish 97 items
to Wegmans using minimal staff members in nine weeks. The company will continue
to interact with Wegmans and Wal-Mart through a machine-to-machine interface,
requiring limited staff upkeep on the system.
"Commerce One has exceeded Kellogg expectations by bringing us up on UCCnet more
quickly and cost-effectively than we thought possible," Ray Shei, Vice President
and CIO of Kellogg Company. "We are on-board and eager to work with as many
UCCnet retail members as possible."
Kellogg, who subscribed to UCCnet last year, partnered with Commerce One after
reviewing a variety of integration and implementation solutions offered through
UCCnet`s certified alliance community. Specifically, Kellogg was interested in
utilizing a reasonably priced solution that would integrate with an existing SAP
product-management system and Transora`s marketplace solutions.
Kellogg projects a direct return of nearly $30 per month for each product that
is fully maintained through UCCnet. The company`s goal is to continue
implementing UCCnet with additional retail partners.
"Standardized item data gives businesses the foundation to develop truly
collaborative supply chain processes," said Andy Hayden, senior vice president
of Global Services at Commerce One. "Commerce One has extensive experience in
helping businesses communicate and transact more effectively with their trading
partners. We are leveraging this experience as we work closely with UCCnet to
help the CPG industry streamline complex supply chain processes under a common
set of global standards."
"Kellogg expects that our partnership with UCCnet will help lower administrative
costs and increase our speed to shelf for new items," Ray Shei, Vice President
and CIO of Kellogg Company. "Ultimately, we see reduced deductions as a key
benefit that will positively impact our bottom line."
A study recently completed by A.T. Kearney estimated that $40 billion, or 3.5
percent, of total sales lost each year are due to supply chain information
inefficiencies. Specifically, the study showed that 30 percent of item data in
retail catalogs have errors, which cost between $60 and $80 each and consume 25
minutes of manual cleansing per SKU. Other findings revealed that 60 percent of
all invoices generated errors and 43 percent of all invoices resulted in
deductions.
To alleviate these costly errors, UCCnet"We are extremely excited about the work that has been achieved
between Kellogg,
Commerce One, Wal-Mart and Wegmans," said Tom Duffy, Vice President of Marketing
and Administration at UCCnet. "As both large and small companies continue to
implement, the clear message is that UCCnet integration is a well-defined
process with valuable resources that drive success for any subscriber."
Product Information With Wal-Mart and Wegmans Through UCCnet
LAWRENCEVILLE, N.J., Oct 21, 2002 (BUSINESS WIRE) -- UCCnet announced today
that Kellogg (NYSE:K), the world`s leading producer of cereal, successfully
implemented nearly 80 percent of its Morning Foods volume into the UCCnet
GLOBALregistry(TM)and synchronized item information with Wal-Mart and Wegmans.
The company used the Commerce One (Nasdaq: CMRC) Xpress Start(TM) program to
quickly achieve data synchronization with Wal-Mart. Ninety-nine products were
published to Wal-Mart in only two weeks. Kellogg then asked Commerce One to
implement its full-featured Xpress Conveyor(TM) machine-to-machine integration
solution to manage all aspects of retailer data synchronization through the
UCCnet GLOBALregistry.
With Commerce One`s Xpress Conveyor, Kellogg was also able to publish 97 items
to Wegmans using minimal staff members in nine weeks. The company will continue
to interact with Wegmans and Wal-Mart through a machine-to-machine interface,
requiring limited staff upkeep on the system.
"Commerce One has exceeded Kellogg expectations by bringing us up on UCCnet more
quickly and cost-effectively than we thought possible," Ray Shei, Vice President
and CIO of Kellogg Company. "We are on-board and eager to work with as many
UCCnet retail members as possible."
Kellogg, who subscribed to UCCnet last year, partnered with Commerce One after
reviewing a variety of integration and implementation solutions offered through
UCCnet`s certified alliance community. Specifically, Kellogg was interested in
utilizing a reasonably priced solution that would integrate with an existing SAP
product-management system and Transora`s marketplace solutions.
Kellogg projects a direct return of nearly $30 per month for each product that
is fully maintained through UCCnet. The company`s goal is to continue
implementing UCCnet with additional retail partners.
"Standardized item data gives businesses the foundation to develop truly
collaborative supply chain processes," said Andy Hayden, senior vice president
of Global Services at Commerce One. "Commerce One has extensive experience in
helping businesses communicate and transact more effectively with their trading
partners. We are leveraging this experience as we work closely with UCCnet to
help the CPG industry streamline complex supply chain processes under a common
set of global standards."
"Kellogg expects that our partnership with UCCnet will help lower administrative
costs and increase our speed to shelf for new items," Ray Shei, Vice President
and CIO of Kellogg Company. "Ultimately, we see reduced deductions as a key
benefit that will positively impact our bottom line."
A study recently completed by A.T. Kearney estimated that $40 billion, or 3.5
percent, of total sales lost each year are due to supply chain information
inefficiencies. Specifically, the study showed that 30 percent of item data in
retail catalogs have errors, which cost between $60 and $80 each and consume 25
minutes of manual cleansing per SKU. Other findings revealed that 60 percent of
all invoices generated errors and 43 percent of all invoices resulted in
deductions.
To alleviate these costly errors, UCCnet"We are extremely excited about the work that has been achieved
between Kellogg,
Commerce One, Wal-Mart and Wegmans," said Tom Duffy, Vice President of Marketing
and Administration at UCCnet. "As both large and small companies continue to
implement, the clear message is that UCCnet integration is a well-defined
process with valuable resources that drive success for any subscriber."
Commerce One Reports Third Quarter 2002 Results
PLEASANTON, Calif., Oct 23, 2002 (BUSINESS WIRE) -- Commerce One (Nasdaq:CMRC) today announced financial results for the quarter
ended September 30, 2002.
Revenues for the current quarter totaled $26.4 million as compared with $81.1 million for the corresponding quarter in 2001 and $27.8 million
for the quarter ended June 30, 2002.
Pro forma net loss for the current quarter was $31.0 million, or $1.07 per share, as compared with $63.6 million, or $2.41 per share (adjusted
for the one-for-ten reverse stock split that became effective on September 16, 2002), for the corresponding quarter in 2001 and $38.4
million, or $1.33 per share (also adjusted for the reverse stock split), for the quarter ended June 30, 2002. Pro forma results exclude
expenses related to the amortization and impairment of intangible assets, stock-based compensation, restructuring costs and other
non-recurring charges, all of which are included under generally accepted accounting principle (GAAP) results.
The net loss on a GAAP basis for the current quarter was $46.9 million, or $1.61 per share, as compared with a net loss of $119.0 million, or
$4.51 per share (adjusted for the reverse stock split), for the corresponding quarter in 2001, and $71.1 million, or $2.46 per share (adjusted
for the reverse stock split), for the quarter ended June 30, 2002.
"We continue to tightly manage our financials so we can focus on our customers and Commerce One 6.0, our new product suite," said Mark
Hoffman, chairman and chief executive officer of Commerce One. "We have met our engineering milestones with 6.0 and will remain focused
on delivering the products and services our customers need to be successful. We are seeing encouraging signs in our pipeline and our goal
is to translate the pipeline into more meaningful revenue with the release of our new products at the start of 2003."
Commerce One will conduct a live Web cast to discuss its third quarter 2002 results at 2:00 p.m. PDT on Wednesday, October 23, 2002. The
Web cast is accessible on www.commerceone.com/investors.
PLEASANTON, Calif., Oct 23, 2002 (BUSINESS WIRE) -- Commerce One (Nasdaq:CMRC) today announced financial results for the quarter
ended September 30, 2002.
Revenues for the current quarter totaled $26.4 million as compared with $81.1 million for the corresponding quarter in 2001 and $27.8 million
for the quarter ended June 30, 2002.
Pro forma net loss for the current quarter was $31.0 million, or $1.07 per share, as compared with $63.6 million, or $2.41 per share (adjusted
for the one-for-ten reverse stock split that became effective on September 16, 2002), for the corresponding quarter in 2001 and $38.4
million, or $1.33 per share (also adjusted for the reverse stock split), for the quarter ended June 30, 2002. Pro forma results exclude
expenses related to the amortization and impairment of intangible assets, stock-based compensation, restructuring costs and other
non-recurring charges, all of which are included under generally accepted accounting principle (GAAP) results.
The net loss on a GAAP basis for the current quarter was $46.9 million, or $1.61 per share, as compared with a net loss of $119.0 million, or
$4.51 per share (adjusted for the reverse stock split), for the corresponding quarter in 2001, and $71.1 million, or $2.46 per share (adjusted
for the reverse stock split), for the quarter ended June 30, 2002.
"We continue to tightly manage our financials so we can focus on our customers and Commerce One 6.0, our new product suite," said Mark
Hoffman, chairman and chief executive officer of Commerce One. "We have met our engineering milestones with 6.0 and will remain focused
on delivering the products and services our customers need to be successful. We are seeing encouraging signs in our pipeline and our goal
is to translate the pipeline into more meaningful revenue with the release of our new products at the start of 2003."
Commerce One will conduct a live Web cast to discuss its third quarter 2002 results at 2:00 p.m. PDT on Wednesday, October 23, 2002. The
Web cast is accessible on www.commerceone.com/investors.
Von B2Blödsinn in die B2Mülltonne!
News-Informer Quick Search
Neueste Meldung von dpa-AFX Mittwoch, 23.10.2002, 22:27
Commerce One verringert Verlust im dritten Quartal auf 1,61
Dollar pro Aktie
PLEASANTON (dpa-AFX) - Der US-Softwarehersteller Commerce One hat im dritten Quartal seinen Verlust gegenüber dem Vorjahr begrenzen können. Der Fehlbetrag je Aktie (EPS) betrage 1,61 US-Dollar nach einem Verlust von 4,51 Dollar im Vorjahresquartal, teilte das Unternehmen am Mittwoch nach US-Börsenschluss in Pleasanton mit. Der Proforma-Verlust ging von 2,41 auf 1,07 Dollar pro Aktie zurück.
Der Umsatz sank von 81,1 Millionen auf 26,4 Millionen Dollar. Den Verlust gab Commerce One mit 46,94 Millionen Dollar an. Im Vorjahr stand noch ein Verlust von 119,02 Millionen Dollar in den Büchern. Früheren Angaben zufolge will das Unternehmen im kommenden Jahr die Gewinnzone erreichen. An Commerce One ist der Walldorfer Software-Konzern SAP mit 20 Prozent beteiligt./mur/hi/
B2Verschrotten!
News-Informer Quick Search
Neueste Meldung von dpa-AFX Mittwoch, 23.10.2002, 22:27
Commerce One verringert Verlust im dritten Quartal auf 1,61
Dollar pro Aktie
PLEASANTON (dpa-AFX) - Der US-Softwarehersteller Commerce One hat im dritten Quartal seinen Verlust gegenüber dem Vorjahr begrenzen können. Der Fehlbetrag je Aktie (EPS) betrage 1,61 US-Dollar nach einem Verlust von 4,51 Dollar im Vorjahresquartal, teilte das Unternehmen am Mittwoch nach US-Börsenschluss in Pleasanton mit. Der Proforma-Verlust ging von 2,41 auf 1,07 Dollar pro Aktie zurück.
Der Umsatz sank von 81,1 Millionen auf 26,4 Millionen Dollar. Den Verlust gab Commerce One mit 46,94 Millionen Dollar an. Im Vorjahr stand noch ein Verlust von 119,02 Millionen Dollar in den Büchern. Früheren Angaben zufolge will das Unternehmen im kommenden Jahr die Gewinnzone erreichen. An Commerce One ist der Walldorfer Software-Konzern SAP mit 20 Prozent beteiligt./mur/hi/
B2Verschrotten!
jetzt kommt langsam schwung rein !!
3,70 in FF
3,70 in FF
California-Based Internet Software Maker Posts Loss in Third
Quarter
Oct 24, 2002 (Contra Costa Times - Knight Ridder/Tribune Business News via COMTEX) -- Battered Internet software maker Commerce One
Inc. narrowed its third-quarter loss as sales continued to fall.
Commerce One posted a net loss of $46.9 million or $1.61 a share compared with a net loss of $119 million or $4.51 a share in the year ago
quarter, adjusted for the 1-for-10 reverse stock split last month.
Excluding noncash goodwill and other one-time charges, Commerce One reported a pro forma net loss of $31 million or $1.07 a share
compared with $63.6 million or $2.41 a share in the year-ago quarter.
Amid the unrelenting slump in technology spending and anemic demand for Commerce One software, sales plunged 67 percent to $26.4
million from $81.1 million in the year-ago quarter. Software license revenue -- a key barometer of revenues-- shrank 49 percent from $16.7
million to $8.5 million since last year.
Costs for the quarter ended Sept. 30 dropped to $73.6 million from $200.4 million. Earlier this month, Commerce One said it would cut about 36
percent of its work force, or 400 jobs, to reduce operating expenses and conserve cash. Commerce One, which had 3,766 employees at
the beginning of 2001, will have a work force of 700 by the first quarter.
Despite the company`s ongoing woes, Chief Executive Officer Mark Hoffman said he glimpsed some positive signs this quarter: increased
license sales generated by Commerce One, more traction for the company`s products in the marketplace and better prospects for landing
new customers.
"The way the economy feels right now, we basically are at the bottom," said Chief Executive Officer Mark Hoffman. "We are going to deliver
a new product into the marketplace (in the first quarter of 2003) and I think that`s going to be a big boost to the company."
Commerce One burned through $40 million in cash in the third quarter, slightly better than anticipated. The company ended the quarter with
$148 million in cash including a $19 million loan from Microsoft, which Commerce One repaid in the fourth quarter. Chief Financial Officer
Chuck Boynton said Commerce One signed an agreement with Silicon Valley Bank for a credit facility of up to $25 million at a lower interest
rate.
Going forward, Commerce One forecast a $56 million loss -- including a $17 million restructuring charge -- in the fourth quarter, Boynton said.
Boynton said he expects fourth-quarter license revenue of $4 million to $5 million and service revenue of $15 million. Commerce One projects
it will break even at the end of 2003.
Quarter
Oct 24, 2002 (Contra Costa Times - Knight Ridder/Tribune Business News via COMTEX) -- Battered Internet software maker Commerce One
Inc. narrowed its third-quarter loss as sales continued to fall.
Commerce One posted a net loss of $46.9 million or $1.61 a share compared with a net loss of $119 million or $4.51 a share in the year ago
quarter, adjusted for the 1-for-10 reverse stock split last month.
Excluding noncash goodwill and other one-time charges, Commerce One reported a pro forma net loss of $31 million or $1.07 a share
compared with $63.6 million or $2.41 a share in the year-ago quarter.
Amid the unrelenting slump in technology spending and anemic demand for Commerce One software, sales plunged 67 percent to $26.4
million from $81.1 million in the year-ago quarter. Software license revenue -- a key barometer of revenues-- shrank 49 percent from $16.7
million to $8.5 million since last year.
Costs for the quarter ended Sept. 30 dropped to $73.6 million from $200.4 million. Earlier this month, Commerce One said it would cut about 36
percent of its work force, or 400 jobs, to reduce operating expenses and conserve cash. Commerce One, which had 3,766 employees at
the beginning of 2001, will have a work force of 700 by the first quarter.
Despite the company`s ongoing woes, Chief Executive Officer Mark Hoffman said he glimpsed some positive signs this quarter: increased
license sales generated by Commerce One, more traction for the company`s products in the marketplace and better prospects for landing
new customers.
"The way the economy feels right now, we basically are at the bottom," said Chief Executive Officer Mark Hoffman. "We are going to deliver
a new product into the marketplace (in the first quarter of 2003) and I think that`s going to be a big boost to the company."
Commerce One burned through $40 million in cash in the third quarter, slightly better than anticipated. The company ended the quarter with
$148 million in cash including a $19 million loan from Microsoft, which Commerce One repaid in the fourth quarter. Chief Financial Officer
Chuck Boynton said Commerce One signed an agreement with Silicon Valley Bank for a credit facility of up to $25 million at a lower interest
rate.
Going forward, Commerce One forecast a $56 million loss -- including a $17 million restructuring charge -- in the fourth quarter, Boynton said.
Boynton said he expects fourth-quarter license revenue of $4 million to $5 million and service revenue of $15 million. Commerce One projects
it will break even at the end of 2003.
C1 auf höchstem short niveau seit langem:
http://www.nasdaq.com/asp/quotes_full.asp?mode=&kind=shortin…
http://www.nasdaq.com/asp/quotes_full.asp?mode=&kind=shortin…
Commerce One.net Processes Transactions
Representing More Than $1.5 Billion of Spend
Tuesday October 29, 12:00 pm ET
Leading Marketplace Provides Customers with Access to More Than 70,000
Suppliers and Over 20 Million SKUs
PLEASANTON, Calif.--(BUSINESS WIRE)--Oct. 29, 2002-- Commerce One, (Nasdaq:CMRC -
News), today announced that Commerce One.net (www.commerceone.net), the North
American MRO Trading Exchange, has processed more than 830,000 purchase order
transactions involving amounts in excess of $1.5 billion of spend during the first nine months of
2002. This volume represents maintenance, repair, and operational (MRO) orders placed by a
wide variety of Fortune 500 businesses using integrated e-procurement systems.
Commerce One.net has more than 1,700 connected distributors and manufacturers
representing an aggregated 70,000 suppliers and more than 20 million SKUs across the MRO
space. The marketplace facilitates the entire source-to-pay process from supplier enablement
and content management to guaranteed transaction delivery for more than 40 buying
enterprises connected to Commerce One.net representing a broad spectrum of industries
including manufacturing, oil field services, chemicals, aerospace, utilities, service industries,
and universities.
"Through a single connection to Commerce One.net, we are able to receive orders from seven
buyers on two exchanges," said Harold Meyer, director, National Acct E-Procurement Team,
MSC Direct. "Both our business and technology groups benefit by having a single interface for
connectivity to many buyers."
In order to support customers like MSC Direct, Commerce One.net interoperates with 14
marketplaces around the world, providing its customers with global reach. A charter member of
ONCE (Open Network for Commerce Exchange) and an integral part of the Global Trading
Web, Commerce One.net is a leader in interoperability between exchanges allowing global
customers to work with buyers and suppliers in any region of the world.
"Companies that have previously deployed systems are continuing rollouts within their
companies," said Henry Danis, COO for Commerce One.net. "We have seen a 40 percent
increase in the number of transacting buyer/supplier pairs this year, resulting from buyers
increasing the number of suppliers they transact with in the marketplace."
About Commerce One.net
Commerce One.net, the North American MRO Trading Exchange, is an open
business-to-business marketplace specializing in MRO goods and services. Commerce
One.net currently services buyers using Commerce One Procurement, SAP Enterprise Buyer
Professional and Peoplesoft e-procurement onramps. Through interoperability with
marketplaces around the world it delivers an onramp to the Global Trading Web for both buyers
and suppliers.
Commerce One.net is a wholly owned business unit of Commerce One.
About Commerce One
Commerce One (Nasdaq:CMRC - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
Representing More Than $1.5 Billion of Spend
Tuesday October 29, 12:00 pm ET
Leading Marketplace Provides Customers with Access to More Than 70,000
Suppliers and Over 20 Million SKUs
PLEASANTON, Calif.--(BUSINESS WIRE)--Oct. 29, 2002-- Commerce One, (Nasdaq:CMRC -
News), today announced that Commerce One.net (www.commerceone.net), the North
American MRO Trading Exchange, has processed more than 830,000 purchase order
transactions involving amounts in excess of $1.5 billion of spend during the first nine months of
2002. This volume represents maintenance, repair, and operational (MRO) orders placed by a
wide variety of Fortune 500 businesses using integrated e-procurement systems.
Commerce One.net has more than 1,700 connected distributors and manufacturers
representing an aggregated 70,000 suppliers and more than 20 million SKUs across the MRO
space. The marketplace facilitates the entire source-to-pay process from supplier enablement
and content management to guaranteed transaction delivery for more than 40 buying
enterprises connected to Commerce One.net representing a broad spectrum of industries
including manufacturing, oil field services, chemicals, aerospace, utilities, service industries,
and universities.
"Through a single connection to Commerce One.net, we are able to receive orders from seven
buyers on two exchanges," said Harold Meyer, director, National Acct E-Procurement Team,
MSC Direct. "Both our business and technology groups benefit by having a single interface for
connectivity to many buyers."
In order to support customers like MSC Direct, Commerce One.net interoperates with 14
marketplaces around the world, providing its customers with global reach. A charter member of
ONCE (Open Network for Commerce Exchange) and an integral part of the Global Trading
Web, Commerce One.net is a leader in interoperability between exchanges allowing global
customers to work with buyers and suppliers in any region of the world.
"Companies that have previously deployed systems are continuing rollouts within their
companies," said Henry Danis, COO for Commerce One.net. "We have seen a 40 percent
increase in the number of transacting buyer/supplier pairs this year, resulting from buyers
increasing the number of suppliers they transact with in the marketplace."
About Commerce One.net
Commerce One.net, the North American MRO Trading Exchange, is an open
business-to-business marketplace specializing in MRO goods and services. Commerce
One.net currently services buyers using Commerce One Procurement, SAP Enterprise Buyer
Professional and Peoplesoft e-procurement onramps. Through interoperability with
marketplaces around the world it delivers an onramp to the Global Trading Web for both buyers
and suppliers.
Commerce One.net is a wholly owned business unit of Commerce One.
About Commerce One
Commerce One (Nasdaq:CMRC - News) is a software company dedicated to helping
customers connect and optimize applications and business processes throughout and between
enterprises to improve business productivity. Initially focusing on the supply chain, where
customer demand is greatest, Commerce One solutions utilize Web services technology to
streamline the sourcing and procurement process, and make the supply chain more flexible.
For more information go to www.commerceone.com.
Driving Performance: Managed Supply
Chain
November 1, 2002
Managed Supply Chain
E-Procurement Tames Supply Chains
By John Pallatto
Enterprises that have global operations or need to deal with a multitude of suppliers
are finding that e-procurement has become the only practical way to bring order to
what can otherwise become a haphazard operation. n Before e-procurement systems
appeared on the market in the late 1990s, big corporations managed their supply
chains with a combination of paper, faxes, e-mail, and proprietary electronic data
interchange networks.
But these systems provided more opportunities for errors than a little league baseball
game. Executives responsible for maintaining an unceasing flow of supplies to keep
production lines running and distant field operations on schedule were at the mercy of
primitive purchasing processes that were beyond their control.
Though they could select from a host of qualified suppliers, they didn`t have the most
convenient ways to find the perfect supplier with exactly the right product at just the
right price. Alternatively, it could take days or weeks to have the requisitions signed
by executives who spend most of their time on the road.
E-procurement can smooth out all of these kinks by bringing together all supplier
information and automating the process of requisitioning supplies, obtaining
purchase-order approval, and dispatching orders to the appropriate suppliers.
Schlumberger Spans the Globe
Schlumberger Oilfield Services implemented an e-procurement system because the
company determined that it was the only practical way to efficiently buy essential
supplies for its far-flung operations.
But when it came to buying supplies from external suppliers, Schlumberger was
convinced that there had to be a better way to organize the corporate requisition,
approval, and order-processing cycle, explains Alain-Michel Diamant-Berger, the
company`s director of e-commerce strategy.
The Houston-based company went live in 1999 with Commerce One`s e-procurement
system, with the goal of processing every requisition through the Web-based system.
To date, the company has processed more than $1 billion worth of product orders
through the system—an amount that is growing every month. The company has
roughly 1,500 external suppliers logged into the e-procurement system. This includes
250 suppliers whose product catalogs have been built into the Commerce One
solution. The vast majority of the suppliers—about 1,200—are "special request"
suppliers who don`t have catalogs but who are capable of producing specialized
equipment or materials to meet Schlumberger`s requirements.
The remaining 50 suppliers use a Commerce One procurement feature, called
RoundTrip, that allows buyers to go to a potential supplier`s product-marketing Web
site, search for and configure a product to the buyer`s specification, order it, and bring
that product configuration back into the e-procurement system`s archive. Altogether,
the system manages more than three million different items that Schlumberger has
purchased and used over the last three years.
Diamant-Berger estimates his company saves roughly $400,000 each month in
purchase order processing costs with the Commerce One e-procurement solution. The
whole process also saves the company substantial amounts of money. Under the old
system, it cost approximately $60 to $70 to process each purchase order, according to
Diamant-Berger. With the e-procurement system in place, this cost has dropped to
$10 to $15 a purchase order.
Implementing an e-procurement system has delivered a number of key benefits to
Schlumberger and its operations around the world. It has increased the speed and
reduced the cost of processing its requisitions.
The project managers who need the supplies now have direct access to the ordering
system. They don`t have to rely on corporate purchasing agents to find and order the
goods for them. This improves the chances that project managers will get exactly the
kinds of supplies that they need, says Diamant-Berger.
The e-procurement process has also accelerated the approval process. Under the old
system, executives generally could not approve purchase orders unless they were
physically in the office to review the paperwork. But Schlumberger`s executives are
frequently on the road visiting projects or meeting with customers, so purchase orders
would sit idle on executives` desks until they returned and had time to review them.
Today, with a laptop computer and Internet access, they can review the latest
purchase orders every day and approve them as they come in—enabling a steady flow
of supplies to projects around the world.
Colorcon Paints the World`s Pills
For Colorcon Inc., a manufacturer of film coatings and colorings for the
pharmaceutical industry, the move to an e-procurement system was part of an overall
globalization program, explains Perry Cozzone, chief information officer at the
company`s world headquarters in West Point, Pa.
The company wanted a highly centralized supply chain management system, because
it works with a number of key suppliers around the world that provide common raw
materials used in manufacturing processes at its plants in North America, Latin
America, Europe, and the Asia-Pacific region.
"One of our key objectives is to make sure we are manufacturing the same product
worldwide with the same specification of raw materials," Cozzone says.
The company established a single database standard using the Oracle relational
database and the Oracle E-Business Suite that includes enterprise resource planning,
customer relationship management, purchasing, and supply chain management.
Colorcon`s objective is to leverage these systems to "have a consistent way in which
we manage our supplier relationships, manage the cost of those relationships, and
most important, manage the quality and the consistency of the products so we can
fulfill our customer objectives," states Cozzone.
"We want to maximize the cost efficiency and the economies of scale associated with
having a centralized procurement process," he says. With this system in place,
Cozzone says Colorcon will have the information at hand to know "what is our spend
level with various types of raw material suppliers or spare parts suppliers. [Then] we
can start to concentrate on trying to get more for less."
Colorcon is still in the early phases of implementing its e-purchasing system. It
started setting up the Oracle E-Business Suite in mid-2001, and began working on the
procurement project at the beginning of 2002.
"We have seen some cost savings where it comes to suppliers we are buying from
globally," Cozzone notes. "We are starting to see that benefit, but it is early."
The real benefits will start to appear as Colorcon gets more suppliers tied into the
system and as it rolls out the solution to its global sites. The company will focus on
bringing the top 20 percent of vendors into the system who deliver 80 percent of the
supply volume. Colorcon works with several thousand suppliers, and Cozzone
estimates that between 200 to 500 of these suppliers will be linked into the
e-procurement system.
However, it is unlikely that Colorcon is going to use the system to start playing a
game of musical suppliers. The company will set up online business-to-business
relationships that allow Colorcon to share technical specifications with key suppliers to
streamline the ordering process. But this doesn`t mean that it intends to set up
aggressive competitive bidding programs "because in our business you don`t
constantly change suppliers," Cozzone notes.
Frequently, there are only a few suppliers providing key ingredients for top-selling
products. In these cases, there is little incentive to change suppliers. The nature of
this business-to-business relationship will be to mainly check inventory levels, make
sure that the latest supply shipments arrive on time, and minimize the inventory
carry, says Cozzone.
"We`re not like a company that says, `Hey, we`re buying widgets and every month if I
can get a better price for this widget I`m going to flip suppliers to do it,`" he adds.
"It`s more about [getting] our costs in order internally. Let`s get our process in order
internally. And let`s leverage global suppliers that provide us with the most important
products that we need."
Chain
November 1, 2002
Managed Supply Chain
E-Procurement Tames Supply Chains
By John Pallatto
Enterprises that have global operations or need to deal with a multitude of suppliers
are finding that e-procurement has become the only practical way to bring order to
what can otherwise become a haphazard operation. n Before e-procurement systems
appeared on the market in the late 1990s, big corporations managed their supply
chains with a combination of paper, faxes, e-mail, and proprietary electronic data
interchange networks.
But these systems provided more opportunities for errors than a little league baseball
game. Executives responsible for maintaining an unceasing flow of supplies to keep
production lines running and distant field operations on schedule were at the mercy of
primitive purchasing processes that were beyond their control.
Though they could select from a host of qualified suppliers, they didn`t have the most
convenient ways to find the perfect supplier with exactly the right product at just the
right price. Alternatively, it could take days or weeks to have the requisitions signed
by executives who spend most of their time on the road.
E-procurement can smooth out all of these kinks by bringing together all supplier
information and automating the process of requisitioning supplies, obtaining
purchase-order approval, and dispatching orders to the appropriate suppliers.
Schlumberger Spans the Globe
Schlumberger Oilfield Services implemented an e-procurement system because the
company determined that it was the only practical way to efficiently buy essential
supplies for its far-flung operations.
But when it came to buying supplies from external suppliers, Schlumberger was
convinced that there had to be a better way to organize the corporate requisition,
approval, and order-processing cycle, explains Alain-Michel Diamant-Berger, the
company`s director of e-commerce strategy.
The Houston-based company went live in 1999 with Commerce One`s e-procurement
system, with the goal of processing every requisition through the Web-based system.
To date, the company has processed more than $1 billion worth of product orders
through the system—an amount that is growing every month. The company has
roughly 1,500 external suppliers logged into the e-procurement system. This includes
250 suppliers whose product catalogs have been built into the Commerce One
solution. The vast majority of the suppliers—about 1,200—are "special request"
suppliers who don`t have catalogs but who are capable of producing specialized
equipment or materials to meet Schlumberger`s requirements.
The remaining 50 suppliers use a Commerce One procurement feature, called
RoundTrip, that allows buyers to go to a potential supplier`s product-marketing Web
site, search for and configure a product to the buyer`s specification, order it, and bring
that product configuration back into the e-procurement system`s archive. Altogether,
the system manages more than three million different items that Schlumberger has
purchased and used over the last three years.
Diamant-Berger estimates his company saves roughly $400,000 each month in
purchase order processing costs with the Commerce One e-procurement solution. The
whole process also saves the company substantial amounts of money. Under the old
system, it cost approximately $60 to $70 to process each purchase order, according to
Diamant-Berger. With the e-procurement system in place, this cost has dropped to
$10 to $15 a purchase order.
Implementing an e-procurement system has delivered a number of key benefits to
Schlumberger and its operations around the world. It has increased the speed and
reduced the cost of processing its requisitions.
The project managers who need the supplies now have direct access to the ordering
system. They don`t have to rely on corporate purchasing agents to find and order the
goods for them. This improves the chances that project managers will get exactly the
kinds of supplies that they need, says Diamant-Berger.
The e-procurement process has also accelerated the approval process. Under the old
system, executives generally could not approve purchase orders unless they were
physically in the office to review the paperwork. But Schlumberger`s executives are
frequently on the road visiting projects or meeting with customers, so purchase orders
would sit idle on executives` desks until they returned and had time to review them.
Today, with a laptop computer and Internet access, they can review the latest
purchase orders every day and approve them as they come in—enabling a steady flow
of supplies to projects around the world.
Colorcon Paints the World`s Pills
For Colorcon Inc., a manufacturer of film coatings and colorings for the
pharmaceutical industry, the move to an e-procurement system was part of an overall
globalization program, explains Perry Cozzone, chief information officer at the
company`s world headquarters in West Point, Pa.
The company wanted a highly centralized supply chain management system, because
it works with a number of key suppliers around the world that provide common raw
materials used in manufacturing processes at its plants in North America, Latin
America, Europe, and the Asia-Pacific region.
"One of our key objectives is to make sure we are manufacturing the same product
worldwide with the same specification of raw materials," Cozzone says.
The company established a single database standard using the Oracle relational
database and the Oracle E-Business Suite that includes enterprise resource planning,
customer relationship management, purchasing, and supply chain management.
Colorcon`s objective is to leverage these systems to "have a consistent way in which
we manage our supplier relationships, manage the cost of those relationships, and
most important, manage the quality and the consistency of the products so we can
fulfill our customer objectives," states Cozzone.
"We want to maximize the cost efficiency and the economies of scale associated with
having a centralized procurement process," he says. With this system in place,
Cozzone says Colorcon will have the information at hand to know "what is our spend
level with various types of raw material suppliers or spare parts suppliers. [Then] we
can start to concentrate on trying to get more for less."
Colorcon is still in the early phases of implementing its e-purchasing system. It
started setting up the Oracle E-Business Suite in mid-2001, and began working on the
procurement project at the beginning of 2002.
"We have seen some cost savings where it comes to suppliers we are buying from
globally," Cozzone notes. "We are starting to see that benefit, but it is early."
The real benefits will start to appear as Colorcon gets more suppliers tied into the
system and as it rolls out the solution to its global sites. The company will focus on
bringing the top 20 percent of vendors into the system who deliver 80 percent of the
supply volume. Colorcon works with several thousand suppliers, and Cozzone
estimates that between 200 to 500 of these suppliers will be linked into the
e-procurement system.
However, it is unlikely that Colorcon is going to use the system to start playing a
game of musical suppliers. The company will set up online business-to-business
relationships that allow Colorcon to share technical specifications with key suppliers to
streamline the ordering process. But this doesn`t mean that it intends to set up
aggressive competitive bidding programs "because in our business you don`t
constantly change suppliers," Cozzone notes.
Frequently, there are only a few suppliers providing key ingredients for top-selling
products. In these cases, there is little incentive to change suppliers. The nature of
this business-to-business relationship will be to mainly check inventory levels, make
sure that the latest supply shipments arrive on time, and minimize the inventory
carry, says Cozzone.
"We`re not like a company that says, `Hey, we`re buying widgets and every month if I
can get a better price for this widget I`m going to flip suppliers to do it,`" he adds.
"It`s more about [getting] our costs in order internally. Let`s get our process in order
internally. And let`s leverage global suppliers that provide us with the most important
products that we need."
E-Market Transactions Perking Up
ONCE says adoption`s bedrock driven by lower cost per
transaction; companies coming out of pilots and committing more
broadly, concerns linger
by Demir Barlas, Line56
Monday, November 04, 2002
ONCE, the Open Network for Commerce
Exchange, (formerly known as the Global
Trading Web Association, GTWA) has
released metrics indicating that
e-marketplace activity is picking up.
According to ONCE -- so named because
users need to connect only once in order
to access all the member marketplaces --
$3.3 billion in transaction volume flowed
through its constituent e-marketplaces
(including eScout, Quadrem, Pantellos, and
Forest Express) in the first half of 2002. On
average, dollar volume growth rates are
up 124 percent from 2001.
According to ONCE CEO Kerry Lamson, the
reason for this growth is that "pilot
success" is finally translating into "broader
adoption." Lamson claims that the e-marketplace value proposition remains simple. "Managing your
spending that way means lower cost per transaction."
Ray Castelli, SVP of ONCE member e-marketplace Quadrem, sees the continuum as going from
enablement to pilots to adoption. "Lots of people spent last year connecting to the platform and
working on tech issues," he says. "But buyers and sellers are coming out of pilots and ramping up."
Of course, Lamson concedes, there`s still some lingering doubt thanks to all the marketplace
meltdowns of the past several quarters. "Corporations are conservative animals, to say the last," he
says. "There`s been a hype phase, and we need time to heal those wounds."
ONCE says adoption`s bedrock driven by lower cost per
transaction; companies coming out of pilots and committing more
broadly, concerns linger
by Demir Barlas, Line56
Monday, November 04, 2002
ONCE, the Open Network for Commerce
Exchange, (formerly known as the Global
Trading Web Association, GTWA) has
released metrics indicating that
e-marketplace activity is picking up.
According to ONCE -- so named because
users need to connect only once in order
to access all the member marketplaces --
$3.3 billion in transaction volume flowed
through its constituent e-marketplaces
(including eScout, Quadrem, Pantellos, and
Forest Express) in the first half of 2002. On
average, dollar volume growth rates are
up 124 percent from 2001.
According to ONCE CEO Kerry Lamson, the
reason for this growth is that "pilot
success" is finally translating into "broader
adoption." Lamson claims that the e-marketplace value proposition remains simple. "Managing your
spending that way means lower cost per transaction."
Ray Castelli, SVP of ONCE member e-marketplace Quadrem, sees the continuum as going from
enablement to pilots to adoption. "Lots of people spent last year connecting to the platform and
working on tech issues," he says. "But buyers and sellers are coming out of pilots and ramping up."
Of course, Lamson concedes, there`s still some lingering doubt thanks to all the marketplace
meltdowns of the past several quarters. "Corporations are conservative animals, to say the last," he
says. "There`s been a hype phase, and we need time to heal those wounds."
Commerce One Users` Conference Attracts Leading
Organizations
Customers and Partners Share Best Practices on Collaborative Commerce
PLEASANTON, Calif., Nov 7, 2002 (BUSINESS WIRE) -- Commerce One, (Nasdaq:CMRC), today announced that more than 100 leading
organizations attended its International Commerce One Network (ICON) Users` Conference in San Francisco on Oct. 21-22, 2002. The
two-day event was designed to provide a global forum for Commerce One customers and partners to network, provide feedback and obtain
information on the next-generation of collaborative commerce solutions.
Commerce One customers including Volvo, Eastman Chemical, HP, ITT, IBX, MSX, and Siemens led sessions outlining best practices and
demonstrating how Commerce One solutions have had a positive impact on their business processes, delivering real cost savings.
Commerce One used the venue to unveil a new version of its Contract Management application, a key component of the Commerce One
Source(TM) solution, that captures and tracks contract information throughout the contract lifecycle including contract creation, negotiation,
monitoring and renewal.
Additionally, Mark Hoffman, chairman and CEO of Commerce One, and Narry Singh, senior vice president of marketing for Commerce One,
provided the audience with an update on new developments at Commerce One including the upcoming delivery of its new collaborative Web
services platform called Commerce One Conductor(TM) in the first quarter of 2003, and the launch of its Early Adopter program.
"The enthusiasm at the ICON conference validates Commerce One`s success in bringing together customers and partners to share in their
experiences and learn from each other," said Crystal Smith, 2002 ICON president, and e-procurement administrator for Idaho Power. "This
interactive event also gives users a voice in the future of business technology and a key role in shaping the next generation of collaborative
commerce by providing input to Commerce One."
About International Commerce One Network (ICON)
The International Commerce One Network (ICON) is an organization of Commerce One customers and partners that provides leadership,
advocacy and education opportunities to its members. ICON`s three-fold mission is leadership, advocacy and education. For more information
go to www.iconinfo.org.
Organizations
Customers and Partners Share Best Practices on Collaborative Commerce
PLEASANTON, Calif., Nov 7, 2002 (BUSINESS WIRE) -- Commerce One, (Nasdaq:CMRC), today announced that more than 100 leading
organizations attended its International Commerce One Network (ICON) Users` Conference in San Francisco on Oct. 21-22, 2002. The
two-day event was designed to provide a global forum for Commerce One customers and partners to network, provide feedback and obtain
information on the next-generation of collaborative commerce solutions.
Commerce One customers including Volvo, Eastman Chemical, HP, ITT, IBX, MSX, and Siemens led sessions outlining best practices and
demonstrating how Commerce One solutions have had a positive impact on their business processes, delivering real cost savings.
Commerce One used the venue to unveil a new version of its Contract Management application, a key component of the Commerce One
Source(TM) solution, that captures and tracks contract information throughout the contract lifecycle including contract creation, negotiation,
monitoring and renewal.
Additionally, Mark Hoffman, chairman and CEO of Commerce One, and Narry Singh, senior vice president of marketing for Commerce One,
provided the audience with an update on new developments at Commerce One including the upcoming delivery of its new collaborative Web
services platform called Commerce One Conductor(TM) in the first quarter of 2003, and the launch of its Early Adopter program.
"The enthusiasm at the ICON conference validates Commerce One`s success in bringing together customers and partners to share in their
experiences and learn from each other," said Crystal Smith, 2002 ICON president, and e-procurement administrator for Idaho Power. "This
interactive event also gives users a voice in the future of business technology and a key role in shaping the next generation of collaborative
commerce by providing input to Commerce One."
About International Commerce One Network (ICON)
The International Commerce One Network (ICON) is an organization of Commerce One customers and partners that provides leadership,
advocacy and education opportunities to its members. ICON`s three-fold mission is leadership, advocacy and education. For more information
go to www.iconinfo.org.
Driving Performance: Managed Supply
Chain
November 1, 2002
Managed Supply Chain
E-Procurement Tames Supply Chains
By John Pallatto
Enterprises that have global operations or need to deal with a multitude of suppliers
are finding that e-procurement has become the only practical way to bring order to
what can otherwise become a haphazard operation.
Before e-procurement systems appeared on the market in the late 1990s, big
corporations managed their supply chains with a combination of paper, faxes, e-mail,
and proprietary electronic data interchange networks.
But these systems provided more opportunities for errors than a little league baseball
game. Executives responsible for maintaining an unceasing flow of supplies to keep
production lines running and distant field operations on schedule were at the mercy of
primitive purchasing processes that were beyond their control.
Though they could select from a host of qualified suppliers, they didn`t have the most
convenient ways to find the perfect supplier with exactly the right product at just the
right price. Alternatively, it could take days or weeks to have the requisitions signed
by executives who spend most of their time on the road.
E-procurement can smooth out all of these kinks by bringing together all supplier
information and automating the process of requisitioning supplies, obtaining
purchase-order approval, and dispatching orders to the appropriate suppliers.
Schlumberger Spans the Globe
Schlumberger Oilfield Services implemented an e-procurement system because the
company determined that it was the only practical way to efficiently buy essential
supplies for its far-flung operations.
But when it came to buying supplies from external suppliers, Schlumberger was
convinced that there had to be a better way to organize the corporate requisition,
approval, and order-processing cycle, explains Alain-Michel Diamant-Berger, the
company`s director of e-commerce strategy.
The Houston-based company went live in 1999 with Commerce One`s e-procurement
system, with the goal of processing every requisition through the Web-based system.
To date, the company has processed more than $1 billion worth of product orders
through the system—an amount that is growing every month. The company has
roughly 1,500 external suppliers logged into the e-procurement system. This includes
250 suppliers whose product catalogs have been built into the Commerce One
solution. The vast majority of the suppliers—about 1,200—are "special request"
suppliers who don`t have catalogs but who are capable of producing specialized
equipment or materials to meet Schlumberger`s requirements.
The remaining 50 suppliers use a Commerce One procurement feature, called
RoundTrip, that allows buyers to go to a potential supplier`s product-marketing Web
site, search for and configure a product to the buyer`s specification, order it, and bring
that product configuration back into the e-procurement system`s archive. Altogether,
the system manages more than three million different items that Schlumberger has
purchased and used over the last three years.
Diamant-Berger estimates his company saves roughly $400,000 each month in
purchase order processing costs with the Commerce One e-procurement solution. The
whole process also saves the company substantial amounts of money. Under the old
system, it cost approximately $60 to $70 to process each purchase order, according to
Diamant-Berger. With the e-procurement system in place, this cost has dropped to
$10 to $15 a purchase order.
Implementing an e-procurement system has delivered a number of key benefits to
Schlumberger and its operations around the world. It has increased the speed and
reduced the cost of processing its requisitions.
The project managers who need the supplies now have direct access to the ordering
system. They don`t have to rely on corporate purchasing agents to find and order the
goods for them. This improves the chances that project managers will get exactly the
kinds of supplies that they need, says Diamant-Berger.
The e-procurement process has also accelerated the approval process. Under the old
system, executives generally could not approve purchase orders unless they were
physically in the office to review the paperwork. But Schlumberger`s executives are
frequently on the road visiting projects or meeting with customers, so purchase orders
would sit idle on executives` desks until they returned and had time to review them.
Today, with a laptop computer and Internet access, they can review the latest
purchase orders every day and approve them as they come in—enabling a steady flow
of supplies to projects around the world.
Colorcon Paints the World`s Pills
For Colorcon Inc., a manufacturer of film coatings and colorings for the
pharmaceutical industry, the move to an e-procurement system was part of an overall
globalization program, explains Perry Cozzone, chief information officer at the
company`s world headquarters in West Point, Pa.
The company wanted a highly centralized supply chain management system, because
it works with a number of key suppliers around the world that provide common raw
materials used in manufacturing processes at its plants in North America, Latin
America, Europe, and the Asia-Pacific region.
"One of our key objectives is to make sure we are manufacturing the same product
worldwide with the same specification of raw materials," Cozzone says.
The company established a single database standard using the Oracle relational
database and the Oracle E-Business Suite that includes enterprise resource planning,
customer relationship management, purchasing, and supply chain management.
Colorcon`s objective is to leverage these systems to "have a consistent way in which
we manage our supplier relationships, manage the cost of those relationships, and
most important, manage the quality and the consistency of the products so we can
fulfill our customer objectives," states Cozzone.
"We want to maximize the cost efficiency and the economies of scale associated with
having a centralized procurement process," he says. With this system in place,
Cozzone says Colorcon will have the information at hand to know "what is our spend
level with various types of raw material suppliers or spare parts suppliers. [Then] we
can start to concentrate on trying to get more for less."
Colorcon is still in the early phases of implementing its e-purchasing system. It
started setting up the Oracle E-Business Suite in mid-2001, and began working on the
procurement project at the beginning of 2002.
"We have seen some cost savings where it comes to suppliers we are buying from
globally," Cozzone notes. "We are starting to see that benefit, but it is early."
The real benefits will start to appear as Colorcon gets more suppliers tied into the
system and as it rolls out the solution to its global sites. The company will focus on
bringing the top 20 percent of vendors into the system who deliver 80 percent of the
supply volume. Colorcon works with several thousand suppliers, and Cozzone
estimates that between 200 to 500 of these suppliers will be linked into the
e-procurement system.
However, it is unlikely that Colorcon is going to use the system to start playing a
game of musical suppliers. The company will set up online business-to-business
relationships that allow Colorcon to share technical specifications with key suppliers to
streamline the ordering process. But this doesn`t mean that it intends to set up
aggressive competitive bidding programs "because in our business you don`t
constantly change suppliers," Cozzone notes.
Frequently, there are only a few suppliers providing key ingredients for top-selling
products. In these cases, there is little incentive to change suppliers. The nature of
this business-to-business relationship will be to mainly check inventory levels, make
sure that the latest supply shipments arrive on time, and minimize the inventory
carry, says Cozzone.
"We`re not like a company that says, `Hey, we`re buying widgets and every month if I
can get a better price for this widget I`m going to flip suppliers to do it,`" he adds.
"It`s more about [getting] our costs in order internally. Let`s get our process in order
internally. And let`s leverage global suppliers that provide us with the most important
products that we need."
Chain
November 1, 2002
Managed Supply Chain
E-Procurement Tames Supply Chains
By John Pallatto
Enterprises that have global operations or need to deal with a multitude of suppliers
are finding that e-procurement has become the only practical way to bring order to
what can otherwise become a haphazard operation.
Before e-procurement systems appeared on the market in the late 1990s, big
corporations managed their supply chains with a combination of paper, faxes, e-mail,
and proprietary electronic data interchange networks.
But these systems provided more opportunities for errors than a little league baseball
game. Executives responsible for maintaining an unceasing flow of supplies to keep
production lines running and distant field operations on schedule were at the mercy of
primitive purchasing processes that were beyond their control.
Though they could select from a host of qualified suppliers, they didn`t have the most
convenient ways to find the perfect supplier with exactly the right product at just the
right price. Alternatively, it could take days or weeks to have the requisitions signed
by executives who spend most of their time on the road.
E-procurement can smooth out all of these kinks by bringing together all supplier
information and automating the process of requisitioning supplies, obtaining
purchase-order approval, and dispatching orders to the appropriate suppliers.
Schlumberger Spans the Globe
Schlumberger Oilfield Services implemented an e-procurement system because the
company determined that it was the only practical way to efficiently buy essential
supplies for its far-flung operations.
But when it came to buying supplies from external suppliers, Schlumberger was
convinced that there had to be a better way to organize the corporate requisition,
approval, and order-processing cycle, explains Alain-Michel Diamant-Berger, the
company`s director of e-commerce strategy.
The Houston-based company went live in 1999 with Commerce One`s e-procurement
system, with the goal of processing every requisition through the Web-based system.
To date, the company has processed more than $1 billion worth of product orders
through the system—an amount that is growing every month. The company has
roughly 1,500 external suppliers logged into the e-procurement system. This includes
250 suppliers whose product catalogs have been built into the Commerce One
solution. The vast majority of the suppliers—about 1,200—are "special request"
suppliers who don`t have catalogs but who are capable of producing specialized
equipment or materials to meet Schlumberger`s requirements.
The remaining 50 suppliers use a Commerce One procurement feature, called
RoundTrip, that allows buyers to go to a potential supplier`s product-marketing Web
site, search for and configure a product to the buyer`s specification, order it, and bring
that product configuration back into the e-procurement system`s archive. Altogether,
the system manages more than three million different items that Schlumberger has
purchased and used over the last three years.
Diamant-Berger estimates his company saves roughly $400,000 each month in
purchase order processing costs with the Commerce One e-procurement solution. The
whole process also saves the company substantial amounts of money. Under the old
system, it cost approximately $60 to $70 to process each purchase order, according to
Diamant-Berger. With the e-procurement system in place, this cost has dropped to
$10 to $15 a purchase order.
Implementing an e-procurement system has delivered a number of key benefits to
Schlumberger and its operations around the world. It has increased the speed and
reduced the cost of processing its requisitions.
The project managers who need the supplies now have direct access to the ordering
system. They don`t have to rely on corporate purchasing agents to find and order the
goods for them. This improves the chances that project managers will get exactly the
kinds of supplies that they need, says Diamant-Berger.
The e-procurement process has also accelerated the approval process. Under the old
system, executives generally could not approve purchase orders unless they were
physically in the office to review the paperwork. But Schlumberger`s executives are
frequently on the road visiting projects or meeting with customers, so purchase orders
would sit idle on executives` desks until they returned and had time to review them.
Today, with a laptop computer and Internet access, they can review the latest
purchase orders every day and approve them as they come in—enabling a steady flow
of supplies to projects around the world.
Colorcon Paints the World`s Pills
For Colorcon Inc., a manufacturer of film coatings and colorings for the
pharmaceutical industry, the move to an e-procurement system was part of an overall
globalization program, explains Perry Cozzone, chief information officer at the
company`s world headquarters in West Point, Pa.
The company wanted a highly centralized supply chain management system, because
it works with a number of key suppliers around the world that provide common raw
materials used in manufacturing processes at its plants in North America, Latin
America, Europe, and the Asia-Pacific region.
"One of our key objectives is to make sure we are manufacturing the same product
worldwide with the same specification of raw materials," Cozzone says.
The company established a single database standard using the Oracle relational
database and the Oracle E-Business Suite that includes enterprise resource planning,
customer relationship management, purchasing, and supply chain management.
Colorcon`s objective is to leverage these systems to "have a consistent way in which
we manage our supplier relationships, manage the cost of those relationships, and
most important, manage the quality and the consistency of the products so we can
fulfill our customer objectives," states Cozzone.
"We want to maximize the cost efficiency and the economies of scale associated with
having a centralized procurement process," he says. With this system in place,
Cozzone says Colorcon will have the information at hand to know "what is our spend
level with various types of raw material suppliers or spare parts suppliers. [Then] we
can start to concentrate on trying to get more for less."
Colorcon is still in the early phases of implementing its e-purchasing system. It
started setting up the Oracle E-Business Suite in mid-2001, and began working on the
procurement project at the beginning of 2002.
"We have seen some cost savings where it comes to suppliers we are buying from
globally," Cozzone notes. "We are starting to see that benefit, but it is early."
The real benefits will start to appear as Colorcon gets more suppliers tied into the
system and as it rolls out the solution to its global sites. The company will focus on
bringing the top 20 percent of vendors into the system who deliver 80 percent of the
supply volume. Colorcon works with several thousand suppliers, and Cozzone
estimates that between 200 to 500 of these suppliers will be linked into the
e-procurement system.
However, it is unlikely that Colorcon is going to use the system to start playing a
game of musical suppliers. The company will set up online business-to-business
relationships that allow Colorcon to share technical specifications with key suppliers to
streamline the ordering process. But this doesn`t mean that it intends to set up
aggressive competitive bidding programs "because in our business you don`t
constantly change suppliers," Cozzone notes.
Frequently, there are only a few suppliers providing key ingredients for top-selling
products. In these cases, there is little incentive to change suppliers. The nature of
this business-to-business relationship will be to mainly check inventory levels, make
sure that the latest supply shipments arrive on time, and minimize the inventory
carry, says Cozzone.
"We`re not like a company that says, `Hey, we`re buying widgets and every month if I
can get a better price for this widget I`m going to flip suppliers to do it,`" he adds.
"It`s more about [getting] our costs in order internally. Let`s get our process in order
internally. And let`s leverage global suppliers that provide us with the most important
products that we need."
Q&A: John Hagel on the business impact of
Web services
By THOMAS HOFFMAN
NOVEMBER 04, 2002
Development Knowledge Center
Discussions
Buyer`s Guide
Resource Links
White Papers
Knowledge Centers
Careers
CRM
Data Management
Development
E-business
ERP/Supply Chain
Hardware
IT Management
Mobile & Wireless
Networking
Operating Systems
ROI
Security
Storage
Web Site Mgmt
xSP
More topics...
Departments
QuickStudies
SharkTank
FutureWatch
Careers
Opinions/Letters
More departments...
Services
Forums
Research
QuickPolls
WhitePapers
Buyer`s Guide
More services...
Even though Web services are a fairly nascent set of
technologies, there are already fundamental flaws with
some of the "conventional wisdom" that has emerged from
the practice. So says John Hagel III, an independent
consultant and author whose latest book with John Seely
Brown -- Out of the Box: Strategies for Achieving Profits
Today & Growth Tomorrow Through Web Services (Harvard
Business School Press) -- went on sale last week.
Hagel, 52, the former chief strategy officer at 12
Entrepreneuring Inc., a San Francisco-based operating
company that nurtured IT innovation, was also formerly the
leader of the e-commerce practice at New York-based
McKinsey & Co. He spoke with Computerworld earlier
today about some of the misconceptions surrounding Web
services and how they can help companies achieve quick
payback through minimal investments.
Q: What led you to write a book on this topic?
A: I got into this area at the tail end of my last book, Net Worth (Harvard Business School
Press, January 1999). I wrote about emerging standards at the time, such as XML, and the
business impact they might have. Over time, I began to see more and more potential from [Web
services] and more and more confusion from business executives about its value.
Q: What are some of the misconceptions that both IT and business executives have
about Web services?
A: It`s still in the early stages for Web services, but there`s some conventional wisdom that I
think is very wrong. For example, some people believe that early adopters should focus on
using Web services to dynamically compose a set of applications from a series of subservices.
In truth, much of what`s being done today is connecting mundane legacy applications with each
other. It`s not that exciting; it`s basic plumbing activity. But a lot of inefficiencies in business
today have to do with lack of integration between systems, what I call "swivel-chair`"
applications. The real business value in the near term is around connecting existing
applications.
A second contrarian view to conventional wisdom is that the initial integration will occur within the firewall. But the early
work being done is at the edge of the enterprise, such as connecting procurement and sales processes with other
activities. So I think there`s a fair amount of misconception about where the business value is and where the technology
is going to be deployed soonest.
Q: Who are the early adopters?
A: I`m seeing two parallel paths of adoption. One is within the IT department, where there are early adoption efforts to see
how it works and how it can help integrate systems. The other adoption path is coming from the business side, where
business executives are faced with having to reduce capital budgets by 25% to 30% and they`re looking at Web services
as one way of doing that. To date, there`s been more focus [on Web services by business unit executives] than from the
IT departments.
Q: What is some of the potential impact of business-driven Web services on CIOs and IT managers?
A: In general, CIOs have become very risk-averse, in part because of a backlash that returns on technology investments
weren`t there over the past five to 10 years. Also, CIOs are facing shortening tenures; they tend to get fired with alarming
frequency because [IT projects] tend to blow up. The best way to not have things blow up is to not put new things into the
mix. There`s a challenge for CIOs to avoid the backlash and move to being focused on how technology can help these
major business initiatives.
Q: Is there a reluctance among CEOs and chief financial officers to invest in Web services?
A: There are a couple of ways of looking at it. Try painting an integration path under a multiyear process, and most
executives don`t have payback patience to look beyond six to 12 months.
But there`s a second way of presenting Web services implementations, targeted at attacking business inefficiencies
today. What`s appealing about the Web services proposition at that level is a way to reduce operating costs or
inventories in a very short period of time -- six to 12 months -- with a modest investment, since it`s an overlay on existing
technologies instead of ripping out existing systems. You can take a particular area within a function and find high
inefficiencies in integration and achieve savings in a short period of time. There`s a lot of interest in that, given the
economic pressures today. It very much has to be positioned as a cost-savings proposition. Growth propositions have
very limited appeal today.
Q: What size investments are we talking about?
A: It`s hard to say, since it varies with the number of applications and business partners that are integrated together.
Typically, the investment is an order of magnitude lower than with conventional technologies such as [electronic data
interchange].
Q: Who are some Web services innovators that are cited in your book?
A: Early adoption isn`t all that innovative, since again we`re talking about mundane plumbing type of work to connect
applications to work more efficiently together. Citibank has used Web services to expose its payment processing engine
that it used to solely use internally. ... Now it`s exposed to third parties such as Commerce One. What they`ve done is
taken an internal capability and used Web services to change from a cost center into a revenue center. Eastman
Chemical has used Web Services to help them connect their logistics operations into the applications of their customers
to automate their connections. This has helped them to carve out a major business and revenue center that was
embedded in Eastman Chemical.
Q: Any tips for IT or business executives who are considering Web services?
A: Early adoption is very opportunistic and random. Web services can be very useful to a business executive who has a
particular problem and wants to use the technology to deliver benefits. But the challenge is that it`s not a systematic
approach and it doesn`t consider whether it`s the highest value area that should be approached. That`s where IT and
business executives should come together and prioritize them in terms of their potential business impact, typically over a
six- to 12-month time frame. The business line executives have a better ability to prioritize along the business impact,
but the CIO is critical to review the limitations and capabilities of the technologies today.
Web services
By THOMAS HOFFMAN
NOVEMBER 04, 2002
Development Knowledge Center
Discussions
Buyer`s Guide
Resource Links
White Papers
Knowledge Centers
Careers
CRM
Data Management
Development
E-business
ERP/Supply Chain
Hardware
IT Management
Mobile & Wireless
Networking
Operating Systems
ROI
Security
Storage
Web Site Mgmt
xSP
More topics...
Departments
QuickStudies
SharkTank
FutureWatch
Careers
Opinions/Letters
More departments...
Services
Forums
Research
QuickPolls
WhitePapers
Buyer`s Guide
More services...
Even though Web services are a fairly nascent set of
technologies, there are already fundamental flaws with
some of the "conventional wisdom" that has emerged from
the practice. So says John Hagel III, an independent
consultant and author whose latest book with John Seely
Brown -- Out of the Box: Strategies for Achieving Profits
Today & Growth Tomorrow Through Web Services (Harvard
Business School Press) -- went on sale last week.
Hagel, 52, the former chief strategy officer at 12
Entrepreneuring Inc., a San Francisco-based operating
company that nurtured IT innovation, was also formerly the
leader of the e-commerce practice at New York-based
McKinsey & Co. He spoke with Computerworld earlier
today about some of the misconceptions surrounding Web
services and how they can help companies achieve quick
payback through minimal investments.
Q: What led you to write a book on this topic?
A: I got into this area at the tail end of my last book, Net Worth (Harvard Business School
Press, January 1999). I wrote about emerging standards at the time, such as XML, and the
business impact they might have. Over time, I began to see more and more potential from [Web
services] and more and more confusion from business executives about its value.
Q: What are some of the misconceptions that both IT and business executives have
about Web services?
A: It`s still in the early stages for Web services, but there`s some conventional wisdom that I
think is very wrong. For example, some people believe that early adopters should focus on
using Web services to dynamically compose a set of applications from a series of subservices.
In truth, much of what`s being done today is connecting mundane legacy applications with each
other. It`s not that exciting; it`s basic plumbing activity. But a lot of inefficiencies in business
today have to do with lack of integration between systems, what I call "swivel-chair`"
applications. The real business value in the near term is around connecting existing
applications.
A second contrarian view to conventional wisdom is that the initial integration will occur within the firewall. But the early
work being done is at the edge of the enterprise, such as connecting procurement and sales processes with other
activities. So I think there`s a fair amount of misconception about where the business value is and where the technology
is going to be deployed soonest.
Q: Who are the early adopters?
A: I`m seeing two parallel paths of adoption. One is within the IT department, where there are early adoption efforts to see
how it works and how it can help integrate systems. The other adoption path is coming from the business side, where
business executives are faced with having to reduce capital budgets by 25% to 30% and they`re looking at Web services
as one way of doing that. To date, there`s been more focus [on Web services by business unit executives] than from the
IT departments.
Q: What is some of the potential impact of business-driven Web services on CIOs and IT managers?
A: In general, CIOs have become very risk-averse, in part because of a backlash that returns on technology investments
weren`t there over the past five to 10 years. Also, CIOs are facing shortening tenures; they tend to get fired with alarming
frequency because [IT projects] tend to blow up. The best way to not have things blow up is to not put new things into the
mix. There`s a challenge for CIOs to avoid the backlash and move to being focused on how technology can help these
major business initiatives.
Q: Is there a reluctance among CEOs and chief financial officers to invest in Web services?
A: There are a couple of ways of looking at it. Try painting an integration path under a multiyear process, and most
executives don`t have payback patience to look beyond six to 12 months.
But there`s a second way of presenting Web services implementations, targeted at attacking business inefficiencies
today. What`s appealing about the Web services proposition at that level is a way to reduce operating costs or
inventories in a very short period of time -- six to 12 months -- with a modest investment, since it`s an overlay on existing
technologies instead of ripping out existing systems. You can take a particular area within a function and find high
inefficiencies in integration and achieve savings in a short period of time. There`s a lot of interest in that, given the
economic pressures today. It very much has to be positioned as a cost-savings proposition. Growth propositions have
very limited appeal today.
Q: What size investments are we talking about?
A: It`s hard to say, since it varies with the number of applications and business partners that are integrated together.
Typically, the investment is an order of magnitude lower than with conventional technologies such as [electronic data
interchange].
Q: Who are some Web services innovators that are cited in your book?
A: Early adoption isn`t all that innovative, since again we`re talking about mundane plumbing type of work to connect
applications to work more efficiently together. Citibank has used Web services to expose its payment processing engine
that it used to solely use internally. ... Now it`s exposed to third parties such as Commerce One. What they`ve done is
taken an internal capability and used Web services to change from a cost center into a revenue center. Eastman
Chemical has used Web Services to help them connect their logistics operations into the applications of their customers
to automate their connections. This has helped them to carve out a major business and revenue center that was
embedded in Eastman Chemical.
Q: Any tips for IT or business executives who are considering Web services?
A: Early adoption is very opportunistic and random. Web services can be very useful to a business executive who has a
particular problem and wants to use the technology to deliver benefits. But the challenge is that it`s not a systematic
approach and it doesn`t consider whether it`s the highest value area that should be approached. That`s where IT and
business executives should come together and prioritize them in terms of their potential business impact, typically over a
six- to 12-month time frame. The business line executives have a better ability to prioritize along the business impact,
but the CIO is critical to review the limitations and capabilities of the technologies today.
The New New Moneymakers
By Andrew K. Reese
A few years ago the Power Generation division of global giant Siemens, faced with a looming
glut of power-producing capacity in the market, began to emphasize its service business, offering
parts and support for existing plants and equipment. Problem was, too many manual processes
encumbered the unit`s direct materials supply chain. In need of more nimble processes to support the
fast-moving service business, the Power Generation division began looking for a solution that could
streamline this side of its spend. Finding no suitable solution for addressing direct materials, the division
opted to work with Siemens` own Procurement & Logistics Services (SPLS) unit to develop a solution
internally. Now, just a few short years later, not only has Siemens developed solutions that address both
direct and indirect spend, SPLS also is marketing its solutions to other enterprises, holding out the
prospect of additional revenue for the company.
In doing so, Siemens joins a number of other so-called "brick-and-mortar" companies that are reaping the
benefits of internally developed supply chain solutions but also offering those solutions to the outside
world — at a price, of course. iSource Business first covered these "brick-and-click" companies two
years ago, in its November 2000 issue, in an article written by Russ Banham titled "The New
Moneymakers". In the article that follows, we`ll take a look at one of the companies that figured in that
original article, IBM, and also examine the efforts of two relative newcomers to the "brick-and-click"
world, HP and Siemens.
Evolution — and Lessons Learned — at IBM
First, an update on IBM. Big Blue began re-engineering its internal procurement processes and systems
in the 1990s under the guidance of its then-chief procurement officer, the legendary Gene Richter. Since
then, the company has moved nearly 95 percent of its purchasing online, e-enabling nearly 30,000
suppliers and pumping more than $40 billion in spend annually through its SAP-based e-procurement
system. As a result, the company claims it has reaped billions in competitive advantage — including
process savings and cost reductions — from using the new system. After industrial conglomerate United
Technologies Corp. expressed interest in tapping into IBM`s expertise in 1998, Big Blue decided to set up
a unit under its Global Services division to market the company`s outsourced procurement offering.
In the four years since then, IBM has evolved its offering to keep up with changes in the marketplace,
expanding its services to now include everything from an initial spend assessment, procurement strategy
design and software implementation to strategic sourcing and its new Leveraged Procurement Services
for managing indirect spend. IBM has maintained its partnerships with e-procurement platform provider
Ariba and supply chain specialist i2, and it has entered into new partnerships with providers like Ketera
(formerly MarketMile), the American Express-based venture, to offer a range of sourcing expertise and
services, from opportunity assessment to supplier selection and event management. While IBM doesn`t
break down revenue for Global Services, the unit overall remains a $35 billion moneymaker for the
company, up from $29 billion just four years ago.
Looking back over the past few years, William Schaefer, vice president of procurement services at IBM
Global Services and head of the outsourced procurement effort, notes with some satisfaction that while
the supply chain solutions and services market has had its ups and downs, Big Blue has demonstrated
that the "brick-and-click" concept is viable. "We would be proof that this idea of taking an internal
competency and turning it into a commercial business can be successful, and it can grow," says
Schaefer.
Not that the ride was entirely smooth from the get-go. "We`ve learned an awful lot in the intervening
years about what it takes to be successful," Schaefer readily acknowledges. First, he points out that
taking a group of supply chain practitioners — people more used to being on the buying, rather than the
selling, end of a transaction — and turning them into sales- and service-oriented consultants involves
learning new consulting and project management skills.
"I came into a commercial role with a practitioner`s background as someone who managed procurement
within IBM," he says. "I thought, `We`re smart people, we know how to do procurement, and we can tell
other people how to do it. It`s pretty simple.` What I learned was to value the consultative and
commercial skills that I probably didn`t appreciate as an internal user."
Schaefer says he discovered that good consultants are, first of all, good listeners. They don`t try to force
clients into a particular process. Rather, they seek to understand a client`s problems and unique needs,
and they must be flexible in formulating solutions. This requires consulting and project management skills
that the IBMer says are probably undervalued by those in an internally focused organization. Of course,
Schaefer is quick to add, the solid skills that experienced supply chain practitioners bring to the table are
critical as well. The blending of those consultative and practical skills is what he calls "the secret sauce"
that makes this type of offering work.
Other lessons learned have included the need to bring in marketing professionals to translate the supply
chain practitioners` concepts into a message that is comprehensible and compelling for others outside
IBM or outside the supply chain function. Also, Schaefer says the ability to form strategic alliances with
complementary partners, as IBM has done with Ariba and Ketera, can prove valuable in extending an
offering beyond an enterprise`s own core competencies.
Then there has been the inevitable "not built here" issue, the question as to whether procurement
strategies developed at IBM, a technology company, could really be applicable to enterprises in other
industries. Schaefer agrees that, as he says, a one-size-fits-all approach doesn`t work." However, he
notes that IBM has found significant commonalities in buying patterns between seemingly disparate
companies. "We learned that at one of our major retail clients," he offers by way of example. "In the
early days they said, `IBM, we appreciate you`ve saved a lot of money, but how can you help us do a
better job of sourcing for our stores.` Well, it turned out that we`re maybe not the world`s best buyers of
mannequins. But we were able to help them dramatically on things like lighting, for example. We have
facilities and they have facilities, and buying lighting for an IBM is similar to what it is for a store. So
there probably is much less uniqueness than you might think." Still, IBM`s consultants strive to learn as
much as possible about a particular customer`s industry so they can "talk the customer`s language" as a
first step toward understanding the client`s unique needs before moving on to the commonalities.
Schaefer says IBM continues to explore new services and new ways to offer its supply chain services.
"I always am on the learning curve," he says. "And that`s because the marketplace in procurement is still
in its very early stages. There is tremendous opportunity as we consider things like the outsourcing and
other ways of delivering value in procurement."
Inside Out at HP
Naturally enough, companies other than IBM are pursuing those opportunities as well, and perhaps not
surprisingly, several of those companies, like IBM, come from the technology sector, including HP, the
enterprise that resulted from the Hewlett-Packard/Compaq merger. As at IBM, the HP story starts from
the inside and works its way outside the enterprise.
Back in the spring of 2000, Jeff McKibben received the mandate to investigate online procurement for
HP, then still Hewlett-Packard. McKibben, director of the worldwide e-procurement program for HP,
quickly came to two conclusions. First, online procurement at the time primarily focused on the indirect
or maintenance, repair and operations (MRO) spend, while McKibben saw HP`s greatest opportunity for
savings and efficiencies on the direct materials side, where the pre-merger HP spent upwards of $23
billion annually.
Second, different divisions within HP were pursuing "dozens of different initiatives" to use the Internet to
enable procurement processes, but those projects were not necessarily well leveraged from one business
unit to another. McKibben and his colleagues realized that if the company could pool the resources and
energies devoted to these initiatives, they likely would be able to generate better and faster results.
Not that HP wanted to completely centralize decision-making within its supply chain. On the contrary,
the company wanted the best of both worlds: "We thought there was a lot of strength in having the
decisions made by those in the best position to make them," McKibben says, "so we wanted to maintain
that distributed execution and decision-making. But we also wanted to retain some kind of global
visibility, not just across our lines of business but across our extended supply chain as well."
The strategy that HP`s e-procurement team developed called for consolidating the dozens of initiatives
underway into four projects, all to be implemented on a single, uniform platform using a private, online
collaboration hub. The four projects include: order and forecast collaboration, which covers such areas
as exchanging purchase orders and the sharing of part forecasts with trading partners; inventory
collaboration, or using Internet technology to enable supplier managed inventory and processes; auctions,
which called for aggressively increasing HP`s use of auctions, not just for strategic sourcing, but also for
spot sourcing during periods of shortage and the disposition of excess inventory; and strategic sourcing,
or aggregating information across the supply chain for commodities that the company needed to manage
in a more strategic way.
McKibben and his team used a carrot-and-stick approach to drive adoption within HP. For the stick, they
turned to the company`s chief information officer, relying on the CIO to put a freeze on new tool
development for procurement within the company. For the carrot, the e-procurement team pledged to
provide the business units with a solution that would deliver real business benefits against real process
needs.
On the build-versus-buy question, HP took a middle road. Back in late 2000, a survey of the solutions
market failed to turn up an application with the breadth of functionality HP wanted, so the company
pushed forward with a homegrown solution called KeyChain, which essentially is a private online hub
that serves as a platform for implementing the four projects mentioned above. Subsequently, HP
partnered with Dallas-based i2 Technologies to help build out KeyChain as an enterprise-scale solution
and to provide several key components, including order and forecast collaboration, as well as inventory
collaboration. For spot sourcing and disposition of excess inventory, the company has looked to
Converge, the high-tech industry exchange that HP helped found in May 2000.
Since beginning the effort, HP has brought 17 business units onboard with KeyChain, putting an
estimated 20 percent of the company`s pre-merger purchasing transactions through the system and
integrating with about 300 trading partners to date. The company expects to have 300 users on the
system by the end of 2002. Among the benefits accrued, HP cites a 30 percent increase in productivity
among the company`s purchasing staff, an average of 10 percent cost savings through online sourcing
efforts, a 50 percent reduction in purchase order cycle times (from two days to one) and a 300 percent
improvement in cost recovery on excess inventory. The company estimates its bottom line savings to
date at $113 million. Goals for the future include enabling 40 targeted HP sites on the system and putting
80 percent of the company`s transactions through KeyChain by 2004.
Meanwhile, in the course of 2001, even as the company was moving forward with KeyChain, HP was
setting up a combination research-and-development/go-to-market organization to commercialize internal
assets, targeting specific sectors such as manufacturing, telecommunications and financial services with
solutions initially developed for use within an HP division. This seemed like a natural move since as many
as 25 percent of the visits by other companies` executives to HP`s headquarters or facilities have nothing
to do with the content of the manufacturer`s products and services but rather focus on benchmarking the
company, according to HP`s Bruce Toal. Toal is worldwide marketing manager at the go-to-market
organization`s Manufacturing Business Industries Unit (MIBU), which is charged with offering solutions
to other manufacturers. He says the organization offered HP a means to formalize the process of
sharing the company`s experiences, and it also fit in with HP`s broader shift toward offering services in
addition to technology products, a move that has intensified since the Hewlett-Packard/Compaq merger,
Toal says.
MIBU`s first task was to take a system developed specifically to address HP`s requirements and turn it
into a solution that would be generic enough to map to other companies` unique processes or
infrastructure. The result, the Supply Chain Collaboration Hub (SCC Hub, initially called the Rapid
Supply Chain Collaboration Hub), resembles KeyChain: it offers an enterprisewide integration platform
on which to layer processes and solutions for streamlining the direct materials supply chain, according to
Allen Johnson, manager of the MIBU solutions portfolio and alliances. Like KeyChain, the solution`s
individual applications address order and forecast collaboration, inventory collaboration, auctions, and
strategic sourcing. Internally, the hub offers a means to integrate systems across business units and
establish streamlined enterprisewide processes. Externally, the hub provides a portal through which a
manufacturer can channel transactions with its trading partners, provide a window into its own processes
and gain visibility into its suppliers` systems. An overlying management application called OpenView
allows a company to monitor the individual components of its technology infrastructure. Johnson says the
structure of the SCC Hub would allow a company to begin by addressing internal integration issues
across its own units and then start integrating outside partners into the system, or by immediately
integrating with suppliers, depending on how far along the company was with its own integration efforts.
In taking SCC Hub to market, HP initially tapped PwC to be its integration partner. But the two parted
company after IBM`s acquisition of PwC earlier this year, and HP has since revised its strategy to
accommodate any of the major integrators with which a potential customer might want to work, including
HP`s own services organization. The initial target market for the solution comprises large discrete
manufacturers in the aerospace, automotive and high-tech industries, including several dozen companies
within HP`s current customer base. Toal says that HP anticipates announcing its first customers for the
hub around the end of 2002 or the beginning of 2003.
Both Toal and McKibben acknowledge a degree of skepticism among potential customers about whether
a solution applicable to HP would be a fit for the supply chain of, say, an automaker or even another
high-tech company, given the unique processes and technology infrastructure in place within each
enterprise. But Toal points out that companies in many sectors increasingly are moving toward
outsourced manufacturing and pursuing a supply chain quite similar to HP`s model, and those companies
are likely encountering many of the same issues that HP has already faced and resolved with its
KeyChain solution.
For his part, McKibben says that when the go-to-market team brings him in to meet with a customer and
discuss HP`s experience implementing the solution internally, he emphasizes his own view as a supply
chain practitioner. "I`m not a marketer," he says. "I try to share with them our real-life experiences," he
says, adding, "This isn`t easy, but there is a bit of an imperative to it. You need to invest in building this
capability."
Inside and Outside for Siemens
While IBM and HP have established separate units to market procurement and supply chain services,
Siemens has taken a different approach. Perhaps uniquely, this $82 billion multinational conglomerate has
a separate supply chain services organization that is marketing a solution not only externally but also
internally to the 13 business units that make up Siemens` diverse portfolio.
Operating in 190 countries, 155-year-old Siemens ranks number 23 among the world`s largest companies,
employing 450,000 people globally, including 80,000 in the United States, making it the largest foreign
employer in the States. The company`s lines of business include information and communications,
automation and control, power, transportation, medical, lighting, and financing and real estate. Together,
those divisions annually spend about $38 billion on products and services, with roughly half that figure
going for direct materials and about one-third for indirect materials.
Like other diversified companies managing global operations across multiple business units,
Munich-headquartered Siemens faced the challenges of aggregating the spend across its divisions to
leverage the company`s overall purchasing power and implementing uniform supply chain processes.
While individual business units pursued strategies to streamline their own procurement, the result was a
mix of systems and manual and automated processes across the organization as a whole. In fact,
technology consultancy Aberdeen Group, in an April 2001 study of procurement at Siemens, estimated
the company was spending more than $100 to process high-volume, low-value purchase orders at a time
when it was executing more than 50,000 indirect purchases every month.
To address those challenges, the company set up its Siemens Procurement & Logistics Services (SPLS)
unit in 1999, with the charge to conduct procurement services and logistics for the enterprise`s different
businesses. The rub here is that from the start Siemens set up SPLS to be a profit center, charging the
unit with marketing its services both to internal customers and to third-party companies. By 2002 the
company was notching up $900 million annually, with more than half of those sales attributable to
external customers.
Today, in a move to incorporate the Internet in its services offering, SPLS addresses both the indirect
and direct sides of the spending equation through click2procure, a procurement toolkit that is part of
Siemen`s Buyside Marketplace, which in turn is an online buy- and sell-side marketplace for the
company. click2procure employs marketplace technology from Commerce One that was selected in
large part because of the ease with which it could integrate with the more than 250 instances of SAP
enterprise resource planning (ERP) systems installed across Siemens.
click2procure offers a range of applications for automating and streamlining purchasing processes. On
the indirect side, the site provides access to a catalog encompassing about 2.5 million line items from
more than 130 suppliers, with 80 percent of those products and services falling into the MRO category.
The solution provides a "req-to-check" system that simplifies accounting by consolidating all purchases
into a single monthly statement, but it also offers reports that let companies analyze spending across
multiple divisions. On the direct side, users can place purchase orders through the marketplace and then
receive acknowledgements, advanced shipping notices (ASNs) and invoices back from suppliers. An
auction tool offers electronic request-for-quote and online event-management capabilities, while the site
also includes such tools for procuring and managing contract labor as electronic timecard submission,
approval and payment.
Once a user (internally at a Siemens division or externally at a third-party customer) places an order
through the Buyside marketplace, SPLS acts as an intermediary to send the order through the market
site to the supplier. The supplier ships the goods to the end user and the invoice to Siemens, which pays
the supplier and also bills the customer. SPLS handles the three-way match process only to ensure that
high-value items are properly received and accounted for in the customers` backend systems. Most
payments to suppliers are conducted online through a bank that acts as a clearinghouse so that Siemens
doesn`t have to go through the hassle of managing the authorization process for supplier payments.
Siemens business units or external customers can access the Buyside Marketplace under any of three
models. SPLS can serve as an application service provider (ASP), or customers can opt for a managed
application service that has SPLS implementing company-specific tweaks to the solution to adapt it to a
customer`s own processes, along with standardized interfaces to the customer`s ERP system. Finally, an
"OnRamp" option allows a customer to use its own e-procurement solution, rather than SPLS`
Commerce One system, to transact through the Buyside Marketplace. In this case, SPLS continues to
capture the spend as well as the data necessary for reporting, while the customer continues to leverage
the technology and associated processes that it already has in place.
In explaining Siemens` decision to have SPLS market its services both internally and externally, Klaus
Haidacher, the director of click2procure, and Ruediger Reitzig, the director responsible for the direct
materials side of click2procure, note that Siemens has not mandated that its business units move to the
Buyside Marketplace. "We have to convince every [Siemens] operating company that this is the right
thing to do," Reitzig says. Therefore, providing its services to third parties is a proof-point for internal
customers that SPLS is offering a competitive value proposition. "As an internal service provider, I
would not have credibility [within] Siemens if I were not competitive enough to offer the service to the
outside world," Haidacher affirms. Not incidentally, by bringing in outside customers, SPLS also has the
opportunity to increase its overall purchasing volume, allowing it to negotiate better pricing for the
products and services it offers through click2procure.
To understand the Buyside Marketplace`s potential benefits, let`s look at one implementation of the
solution, within Siemens Power Generation.
Power Generation is an $8.6 billion business globally, with about $3.5 billion of those sales coming in the
U.S. market. A few years ago the division surveyed its industry and saw trouble brewing. The company
and its competitors had been so successful at selling power plants that the market seemed headed for a
glut of power generation capacity. To maintain its revenues, the company elected to emphasize its
service business, offering parts and service for existing plants and equipment. That`s a fast-moving
business, in contrast to the multi-year engagements involved in plant construction, so the Power
Generation division had to think about how to restructure its supply chain to support the more dynamic,
service-oriented model.
At the outset, the unit realized its existing procurement processes would not be able to handle the
expected upswing in purchasing activity that would come with the shift to the new model, according to
G.D. (Gene) Federowicz, director of procurement strategy for Power Generation in the States. "We
knew we would have a huge demand in our parts and se
By Andrew K. Reese
A few years ago the Power Generation division of global giant Siemens, faced with a looming
glut of power-producing capacity in the market, began to emphasize its service business, offering
parts and support for existing plants and equipment. Problem was, too many manual processes
encumbered the unit`s direct materials supply chain. In need of more nimble processes to support the
fast-moving service business, the Power Generation division began looking for a solution that could
streamline this side of its spend. Finding no suitable solution for addressing direct materials, the division
opted to work with Siemens` own Procurement & Logistics Services (SPLS) unit to develop a solution
internally. Now, just a few short years later, not only has Siemens developed solutions that address both
direct and indirect spend, SPLS also is marketing its solutions to other enterprises, holding out the
prospect of additional revenue for the company.
In doing so, Siemens joins a number of other so-called "brick-and-mortar" companies that are reaping the
benefits of internally developed supply chain solutions but also offering those solutions to the outside
world — at a price, of course. iSource Business first covered these "brick-and-click" companies two
years ago, in its November 2000 issue, in an article written by Russ Banham titled "The New
Moneymakers". In the article that follows, we`ll take a look at one of the companies that figured in that
original article, IBM, and also examine the efforts of two relative newcomers to the "brick-and-click"
world, HP and Siemens.
Evolution — and Lessons Learned — at IBM
First, an update on IBM. Big Blue began re-engineering its internal procurement processes and systems
in the 1990s under the guidance of its then-chief procurement officer, the legendary Gene Richter. Since
then, the company has moved nearly 95 percent of its purchasing online, e-enabling nearly 30,000
suppliers and pumping more than $40 billion in spend annually through its SAP-based e-procurement
system. As a result, the company claims it has reaped billions in competitive advantage — including
process savings and cost reductions — from using the new system. After industrial conglomerate United
Technologies Corp. expressed interest in tapping into IBM`s expertise in 1998, Big Blue decided to set up
a unit under its Global Services division to market the company`s outsourced procurement offering.
In the four years since then, IBM has evolved its offering to keep up with changes in the marketplace,
expanding its services to now include everything from an initial spend assessment, procurement strategy
design and software implementation to strategic sourcing and its new Leveraged Procurement Services
for managing indirect spend. IBM has maintained its partnerships with e-procurement platform provider
Ariba and supply chain specialist i2, and it has entered into new partnerships with providers like Ketera
(formerly MarketMile), the American Express-based venture, to offer a range of sourcing expertise and
services, from opportunity assessment to supplier selection and event management. While IBM doesn`t
break down revenue for Global Services, the unit overall remains a $35 billion moneymaker for the
company, up from $29 billion just four years ago.
Looking back over the past few years, William Schaefer, vice president of procurement services at IBM
Global Services and head of the outsourced procurement effort, notes with some satisfaction that while
the supply chain solutions and services market has had its ups and downs, Big Blue has demonstrated
that the "brick-and-click" concept is viable. "We would be proof that this idea of taking an internal
competency and turning it into a commercial business can be successful, and it can grow," says
Schaefer.
Not that the ride was entirely smooth from the get-go. "We`ve learned an awful lot in the intervening
years about what it takes to be successful," Schaefer readily acknowledges. First, he points out that
taking a group of supply chain practitioners — people more used to being on the buying, rather than the
selling, end of a transaction — and turning them into sales- and service-oriented consultants involves
learning new consulting and project management skills.
"I came into a commercial role with a practitioner`s background as someone who managed procurement
within IBM," he says. "I thought, `We`re smart people, we know how to do procurement, and we can tell
other people how to do it. It`s pretty simple.` What I learned was to value the consultative and
commercial skills that I probably didn`t appreciate as an internal user."
Schaefer says he discovered that good consultants are, first of all, good listeners. They don`t try to force
clients into a particular process. Rather, they seek to understand a client`s problems and unique needs,
and they must be flexible in formulating solutions. This requires consulting and project management skills
that the IBMer says are probably undervalued by those in an internally focused organization. Of course,
Schaefer is quick to add, the solid skills that experienced supply chain practitioners bring to the table are
critical as well. The blending of those consultative and practical skills is what he calls "the secret sauce"
that makes this type of offering work.
Other lessons learned have included the need to bring in marketing professionals to translate the supply
chain practitioners` concepts into a message that is comprehensible and compelling for others outside
IBM or outside the supply chain function. Also, Schaefer says the ability to form strategic alliances with
complementary partners, as IBM has done with Ariba and Ketera, can prove valuable in extending an
offering beyond an enterprise`s own core competencies.
Then there has been the inevitable "not built here" issue, the question as to whether procurement
strategies developed at IBM, a technology company, could really be applicable to enterprises in other
industries. Schaefer agrees that, as he says, a one-size-fits-all approach doesn`t work." However, he
notes that IBM has found significant commonalities in buying patterns between seemingly disparate
companies. "We learned that at one of our major retail clients," he offers by way of example. "In the
early days they said, `IBM, we appreciate you`ve saved a lot of money, but how can you help us do a
better job of sourcing for our stores.` Well, it turned out that we`re maybe not the world`s best buyers of
mannequins. But we were able to help them dramatically on things like lighting, for example. We have
facilities and they have facilities, and buying lighting for an IBM is similar to what it is for a store. So
there probably is much less uniqueness than you might think." Still, IBM`s consultants strive to learn as
much as possible about a particular customer`s industry so they can "talk the customer`s language" as a
first step toward understanding the client`s unique needs before moving on to the commonalities.
Schaefer says IBM continues to explore new services and new ways to offer its supply chain services.
"I always am on the learning curve," he says. "And that`s because the marketplace in procurement is still
in its very early stages. There is tremendous opportunity as we consider things like the outsourcing and
other ways of delivering value in procurement."
Inside Out at HP
Naturally enough, companies other than IBM are pursuing those opportunities as well, and perhaps not
surprisingly, several of those companies, like IBM, come from the technology sector, including HP, the
enterprise that resulted from the Hewlett-Packard/Compaq merger. As at IBM, the HP story starts from
the inside and works its way outside the enterprise.
Back in the spring of 2000, Jeff McKibben received the mandate to investigate online procurement for
HP, then still Hewlett-Packard. McKibben, director of the worldwide e-procurement program for HP,
quickly came to two conclusions. First, online procurement at the time primarily focused on the indirect
or maintenance, repair and operations (MRO) spend, while McKibben saw HP`s greatest opportunity for
savings and efficiencies on the direct materials side, where the pre-merger HP spent upwards of $23
billion annually.
Second, different divisions within HP were pursuing "dozens of different initiatives" to use the Internet to
enable procurement processes, but those projects were not necessarily well leveraged from one business
unit to another. McKibben and his colleagues realized that if the company could pool the resources and
energies devoted to these initiatives, they likely would be able to generate better and faster results.
Not that HP wanted to completely centralize decision-making within its supply chain. On the contrary,
the company wanted the best of both worlds: "We thought there was a lot of strength in having the
decisions made by those in the best position to make them," McKibben says, "so we wanted to maintain
that distributed execution and decision-making. But we also wanted to retain some kind of global
visibility, not just across our lines of business but across our extended supply chain as well."
The strategy that HP`s e-procurement team developed called for consolidating the dozens of initiatives
underway into four projects, all to be implemented on a single, uniform platform using a private, online
collaboration hub. The four projects include: order and forecast collaboration, which covers such areas
as exchanging purchase orders and the sharing of part forecasts with trading partners; inventory
collaboration, or using Internet technology to enable supplier managed inventory and processes; auctions,
which called for aggressively increasing HP`s use of auctions, not just for strategic sourcing, but also for
spot sourcing during periods of shortage and the disposition of excess inventory; and strategic sourcing,
or aggregating information across the supply chain for commodities that the company needed to manage
in a more strategic way.
McKibben and his team used a carrot-and-stick approach to drive adoption within HP. For the stick, they
turned to the company`s chief information officer, relying on the CIO to put a freeze on new tool
development for procurement within the company. For the carrot, the e-procurement team pledged to
provide the business units with a solution that would deliver real business benefits against real process
needs.
On the build-versus-buy question, HP took a middle road. Back in late 2000, a survey of the solutions
market failed to turn up an application with the breadth of functionality HP wanted, so the company
pushed forward with a homegrown solution called KeyChain, which essentially is a private online hub
that serves as a platform for implementing the four projects mentioned above. Subsequently, HP
partnered with Dallas-based i2 Technologies to help build out KeyChain as an enterprise-scale solution
and to provide several key components, including order and forecast collaboration, as well as inventory
collaboration. For spot sourcing and disposition of excess inventory, the company has looked to
Converge, the high-tech industry exchange that HP helped found in May 2000.
Since beginning the effort, HP has brought 17 business units onboard with KeyChain, putting an
estimated 20 percent of the company`s pre-merger purchasing transactions through the system and
integrating with about 300 trading partners to date. The company expects to have 300 users on the
system by the end of 2002. Among the benefits accrued, HP cites a 30 percent increase in productivity
among the company`s purchasing staff, an average of 10 percent cost savings through online sourcing
efforts, a 50 percent reduction in purchase order cycle times (from two days to one) and a 300 percent
improvement in cost recovery on excess inventory. The company estimates its bottom line savings to
date at $113 million. Goals for the future include enabling 40 targeted HP sites on the system and putting
80 percent of the company`s transactions through KeyChain by 2004.
Meanwhile, in the course of 2001, even as the company was moving forward with KeyChain, HP was
setting up a combination research-and-development/go-to-market organization to commercialize internal
assets, targeting specific sectors such as manufacturing, telecommunications and financial services with
solutions initially developed for use within an HP division. This seemed like a natural move since as many
as 25 percent of the visits by other companies` executives to HP`s headquarters or facilities have nothing
to do with the content of the manufacturer`s products and services but rather focus on benchmarking the
company, according to HP`s Bruce Toal. Toal is worldwide marketing manager at the go-to-market
organization`s Manufacturing Business Industries Unit (MIBU), which is charged with offering solutions
to other manufacturers. He says the organization offered HP a means to formalize the process of
sharing the company`s experiences, and it also fit in with HP`s broader shift toward offering services in
addition to technology products, a move that has intensified since the Hewlett-Packard/Compaq merger,
Toal says.
MIBU`s first task was to take a system developed specifically to address HP`s requirements and turn it
into a solution that would be generic enough to map to other companies` unique processes or
infrastructure. The result, the Supply Chain Collaboration Hub (SCC Hub, initially called the Rapid
Supply Chain Collaboration Hub), resembles KeyChain: it offers an enterprisewide integration platform
on which to layer processes and solutions for streamlining the direct materials supply chain, according to
Allen Johnson, manager of the MIBU solutions portfolio and alliances. Like KeyChain, the solution`s
individual applications address order and forecast collaboration, inventory collaboration, auctions, and
strategic sourcing. Internally, the hub offers a means to integrate systems across business units and
establish streamlined enterprisewide processes. Externally, the hub provides a portal through which a
manufacturer can channel transactions with its trading partners, provide a window into its own processes
and gain visibility into its suppliers` systems. An overlying management application called OpenView
allows a company to monitor the individual components of its technology infrastructure. Johnson says the
structure of the SCC Hub would allow a company to begin by addressing internal integration issues
across its own units and then start integrating outside partners into the system, or by immediately
integrating with suppliers, depending on how far along the company was with its own integration efforts.
In taking SCC Hub to market, HP initially tapped PwC to be its integration partner. But the two parted
company after IBM`s acquisition of PwC earlier this year, and HP has since revised its strategy to
accommodate any of the major integrators with which a potential customer might want to work, including
HP`s own services organization. The initial target market for the solution comprises large discrete
manufacturers in the aerospace, automotive and high-tech industries, including several dozen companies
within HP`s current customer base. Toal says that HP anticipates announcing its first customers for the
hub around the end of 2002 or the beginning of 2003.
Both Toal and McKibben acknowledge a degree of skepticism among potential customers about whether
a solution applicable to HP would be a fit for the supply chain of, say, an automaker or even another
high-tech company, given the unique processes and technology infrastructure in place within each
enterprise. But Toal points out that companies in many sectors increasingly are moving toward
outsourced manufacturing and pursuing a supply chain quite similar to HP`s model, and those companies
are likely encountering many of the same issues that HP has already faced and resolved with its
KeyChain solution.
For his part, McKibben says that when the go-to-market team brings him in to meet with a customer and
discuss HP`s experience implementing the solution internally, he emphasizes his own view as a supply
chain practitioner. "I`m not a marketer," he says. "I try to share with them our real-life experiences," he
says, adding, "This isn`t easy, but there is a bit of an imperative to it. You need to invest in building this
capability."
Inside and Outside for Siemens
While IBM and HP have established separate units to market procurement and supply chain services,
Siemens has taken a different approach. Perhaps uniquely, this $82 billion multinational conglomerate has
a separate supply chain services organization that is marketing a solution not only externally but also
internally to the 13 business units that make up Siemens` diverse portfolio.
Operating in 190 countries, 155-year-old Siemens ranks number 23 among the world`s largest companies,
employing 450,000 people globally, including 80,000 in the United States, making it the largest foreign
employer in the States. The company`s lines of business include information and communications,
automation and control, power, transportation, medical, lighting, and financing and real estate. Together,
those divisions annually spend about $38 billion on products and services, with roughly half that figure
going for direct materials and about one-third for indirect materials.
Like other diversified companies managing global operations across multiple business units,
Munich-headquartered Siemens faced the challenges of aggregating the spend across its divisions to
leverage the company`s overall purchasing power and implementing uniform supply chain processes.
While individual business units pursued strategies to streamline their own procurement, the result was a
mix of systems and manual and automated processes across the organization as a whole. In fact,
technology consultancy Aberdeen Group, in an April 2001 study of procurement at Siemens, estimated
the company was spending more than $100 to process high-volume, low-value purchase orders at a time
when it was executing more than 50,000 indirect purchases every month.
To address those challenges, the company set up its Siemens Procurement & Logistics Services (SPLS)
unit in 1999, with the charge to conduct procurement services and logistics for the enterprise`s different
businesses. The rub here is that from the start Siemens set up SPLS to be a profit center, charging the
unit with marketing its services both to internal customers and to third-party companies. By 2002 the
company was notching up $900 million annually, with more than half of those sales attributable to
external customers.
Today, in a move to incorporate the Internet in its services offering, SPLS addresses both the indirect
and direct sides of the spending equation through click2procure, a procurement toolkit that is part of
Siemen`s Buyside Marketplace, which in turn is an online buy- and sell-side marketplace for the
company. click2procure employs marketplace technology from Commerce One that was selected in
large part because of the ease with which it could integrate with the more than 250 instances of SAP
enterprise resource planning (ERP) systems installed across Siemens.
click2procure offers a range of applications for automating and streamlining purchasing processes. On
the indirect side, the site provides access to a catalog encompassing about 2.5 million line items from
more than 130 suppliers, with 80 percent of those products and services falling into the MRO category.
The solution provides a "req-to-check" system that simplifies accounting by consolidating all purchases
into a single monthly statement, but it also offers reports that let companies analyze spending across
multiple divisions. On the direct side, users can place purchase orders through the marketplace and then
receive acknowledgements, advanced shipping notices (ASNs) and invoices back from suppliers. An
auction tool offers electronic request-for-quote and online event-management capabilities, while the site
also includes such tools for procuring and managing contract labor as electronic timecard submission,
approval and payment.
Once a user (internally at a Siemens division or externally at a third-party customer) places an order
through the Buyside marketplace, SPLS acts as an intermediary to send the order through the market
site to the supplier. The supplier ships the goods to the end user and the invoice to Siemens, which pays
the supplier and also bills the customer. SPLS handles the three-way match process only to ensure that
high-value items are properly received and accounted for in the customers` backend systems. Most
payments to suppliers are conducted online through a bank that acts as a clearinghouse so that Siemens
doesn`t have to go through the hassle of managing the authorization process for supplier payments.
Siemens business units or external customers can access the Buyside Marketplace under any of three
models. SPLS can serve as an application service provider (ASP), or customers can opt for a managed
application service that has SPLS implementing company-specific tweaks to the solution to adapt it to a
customer`s own processes, along with standardized interfaces to the customer`s ERP system. Finally, an
"OnRamp" option allows a customer to use its own e-procurement solution, rather than SPLS`
Commerce One system, to transact through the Buyside Marketplace. In this case, SPLS continues to
capture the spend as well as the data necessary for reporting, while the customer continues to leverage
the technology and associated processes that it already has in place.
In explaining Siemens` decision to have SPLS market its services both internally and externally, Klaus
Haidacher, the director of click2procure, and Ruediger Reitzig, the director responsible for the direct
materials side of click2procure, note that Siemens has not mandated that its business units move to the
Buyside Marketplace. "We have to convince every [Siemens] operating company that this is the right
thing to do," Reitzig says. Therefore, providing its services to third parties is a proof-point for internal
customers that SPLS is offering a competitive value proposition. "As an internal service provider, I
would not have credibility [within] Siemens if I were not competitive enough to offer the service to the
outside world," Haidacher affirms. Not incidentally, by bringing in outside customers, SPLS also has the
opportunity to increase its overall purchasing volume, allowing it to negotiate better pricing for the
products and services it offers through click2procure.
To understand the Buyside Marketplace`s potential benefits, let`s look at one implementation of the
solution, within Siemens Power Generation.
Power Generation is an $8.6 billion business globally, with about $3.5 billion of those sales coming in the
U.S. market. A few years ago the division surveyed its industry and saw trouble brewing. The company
and its competitors had been so successful at selling power plants that the market seemed headed for a
glut of power generation capacity. To maintain its revenues, the company elected to emphasize its
service business, offering parts and service for existing plants and equipment. That`s a fast-moving
business, in contrast to the multi-year engagements involved in plant construction, so the Power
Generation division had to think about how to restructure its supply chain to support the more dynamic,
service-oriented model.
At the outset, the unit realized its existing procurement processes would not be able to handle the
expected upswing in purchasing activity that would come with the shift to the new model, according to
G.D. (Gene) Federowicz, director of procurement strategy for Power Generation in the States. "We
knew we would have a huge demand in our parts and se
Beitrag zu dieser Diskussion schreiben
Zu dieser Diskussion können keine Beiträge mehr verfasst werden, da der letzte Beitrag vor mehr als zwei Jahren verfasst wurde und die Diskussion daraufhin archiviert wurde.
Bitte wenden Sie sich an feedback@wallstreet-online.de und erfragen Sie die Reaktivierung der Diskussion oder starten Sie eine neue Diskussion.
Meistdiskutiert
Wertpapier | Beiträge | |
---|---|---|
126 | ||
83 | ||
54 | ||
49 | ||
48 | ||
42 | ||
38 | ||
34 | ||
31 | ||
27 |
Wertpapier | Beiträge | |
---|---|---|
25 | ||
22 | ||
21 | ||
20 | ||
18 | ||
16 | ||
16 | ||
16 | ||
15 | ||
15 |