Rockwell Automation Implements Global Sourcing Software

Web-based Solution to aid international trade decisions

Web-based Solution to aid international trade decisions

Santa Clara, CA  February 19, 2004  Milwaukee, Wis.-based Rockwell Automation, an automation solutions provider, has licensed XPORTA Global Sourcing, a global supply chain modeling solution comprised of optimization software, global trade intelligence and methodology training.

Rockwell Automation said it intends to use the XPORTA solution to more accurately calculate the total cost of ownership (TCO) of materials purchased internationally and to analyze alternative sourcing decision scenarios that will provide the lowest cost to the company.

"We expect the XPORTA Global Sourcing solution to provide a common, disciplined practice for determining TCO for the Rockwell Automation global supply chain and to help us minimize the risk associated with international sourcing decisions, and to ultimately help reduce our total supply chain costs," said Patrick Moran, manager of Global Supply Chain Improvement at Rockwell Automation.

XPORTA Global Sourcing provides access to up-to-date international trade information, including fluctuating costs for different countries' taxes, duties, tariffs, security risk management and transportation. The provider said the access is combined with an optimization engine that completes global sourcing cost modeling and "what if" scenarios from a layman-friendly interface to pinpoint the lowest total-cost allocation of spend among all plants and suppliers depending on current cost data.

XPORTA said its Global Sourcing Optimization engine combines algorithms that also incorporate the effects of inventory holding costs for in-transit goods, with discount schedules that allow for the impact of consolidated buying.

"Manufacturers are not interested in spending time and money to get cross-functional organizations up-to-speed on complicated software that lacks tangible value," said Dave Horne, CEO of XPORTA Inc. "XPORTA is committed to support manufacturers' need for cost-cutting solutions. Our customers can gauge cost-savings for their company before they even purchase the system."