Adds spend analysis, sourcing, contract management, invoicing to existing e-procurement solution
Sunnyvale, CA September 12, 2003 Communications equipment manufacturer Avaya is expanding its deployment of Ariba solutions, adding applications for spend analysis, sourcing, contract management and invoicing to its existing Ariba e-procurement system, according to an announcement from the solution provider.
Based in Basking Ridge, N.J., and with 2002 fiscal year revenues of $4.96 billion, Avaya provides communications networks and services. The company is building upon its existing Ariba Buyer procurement solution to develop a closed-loop enterprise spend management (ESM) solution with the addition of Ariba's Analysis, Enterprise Sourcing, Contracts and Invoice applications.
According to Ariba, Avaya will use the new solutions to learn more about its spending on goods and services, negotiate better contracts with suppliers, improve contract management and streamline the reconciliation and payment process.
Avaya uses the existing Buyer solution to help manage its preferred suppliers and to support compliance with negotiated contracts. Avaya is currently channeling approximately 80 percent of its U.S. indirect spend through Buyer.
"We are pleased with the results we've been able to achieve domestically after using Ariba Buyer for the last two years, and are ready to take the next step in our spend management initiative," said Onye Uzoukwu, vice president for procurement at Avaya. "We expect this deployment will further enhance Avaya's understanding of, and ability to manage, what we spend. It will also provide us with improved sourcing and contract management solutions and a streamlined, automatic invoicing function."
"Implementing additional Ariba Spend Management solutions will allow Avaya to integrate its analysis, sourcing and procurement processes into an effective, cohesive and closed-loop solution for significant and ongoing cost savings and process efficiencies," said Michael Schmitt, executive vice president for strategy and marketing at Ariba.
The Ariba Solutions Delivery team is assisting Avaya with the international deployment of its Buyer solution, integrating it to Avaya's SAP enterprise resource planning (ERP) system. The next implementation phase will involve deploying the new solutions company-wide and helping Avaya increase its total percentage of goods and services spending under management for maximum savings and efficiencies.
