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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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Presentation Transcript
www covisint com
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
Who runs/uses COVISINT?
  • GM
  • Ford
  • Chrysler
  • all auto suppliers
    • 2500 of them
covisint
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
Advantages of COVISINT
  • simplified procurement
  • reduced costs
  • shortened cycle times
  • exchange of information across the enterprise (supply chain)
advantages to buyer
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
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
Covisint--etymology
  • Collaboration
  • Vision
  • Integration
invoice transaction
Invoice Transaction
  • was $100 to $150 per invoice
  • ENTER COVISINT
  • now is $5 per invoice
how much cost savings per car
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
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
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