Supply chains and covisint
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Supply Chains and Covisint. James Burns. www.covisint.com. go out to the site Was a supply chain demo Was a new product development demo Was a procurement demo. Who runs/uses COVISINT?. GM Ford Chrysler all auto suppliers 2500 of them. Covisint.

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Www covisint com l.jpg
www.covisint.com

  • go out to the site

  • Was a supply chain demo

  • Was a new product development demo

  • Was a procurement demo


Who runs uses covisint l.jpg
Who runs/uses COVISINT?

  • GM

  • Ford

  • Chrysler

  • all auto suppliers

    • 2500 of them


Covisint l.jpg
Covisint

  • A place where auto industry buyers and sellers can meet electronically

  • Supports full collaboration, communication, cooperation

  • Implemented as a web site on the Internet

  • Totally changes everything

    • about the way buyers interact with suppliers

    • about the way autos get designed, procured, built, distributed


Advantages of covisint l.jpg
Advantages of COVISINT

  • simplified procurement

  • reduced costs

  • shortened cycle times

  • exchange of information across the enterprise (supply chain)


Advantages to buyer l.jpg
Advantages to Buyer

  • Improved workflow

  • Access to extended supply base

  • Reduced purchase transaction cost

  • Reduced time to source the component

  • Decreased time to market


Advantages to seller l.jpg
Advantages to Seller

  • Access to more potential buyers

  • Improved and more timely communication

  • Single seller site

  • Reduced process costs

  • Advertising to a niche market


Covisint etymology l.jpg
Covisint--etymology

  • Collaboration

  • Vision

  • Integration


Invoice transaction l.jpg
Invoice Transaction

  • was $100 to $150 per invoice

  • ENTER COVISINT

  • now is $5 per invoice



How much cost savings per car l.jpg
How much cost savings per car?

  • Depends on the car

  • low end: $1200/car

  • high end: $3500/car

  • that is OFF THE PURCHASE PRICE


How much cycle time reduction l.jpg
How much cycle time reduction?

  • For NEW PRODUCT DEVELOPMENT

  • was 42 months

  • Enter COVISINT

  • now is 12-18 months

    • less than half


Purpose of covisint l.jpg
Purpose of Covisint

  • Create a virtual place where buyers and sellers can get together

  • and streamline processes

  • a standardized approach to using the Internet to bring efficiencies to the automotive supply chain



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