SPX optimizes direct materials replenishment with 60 suppliers

SPX Corp., a $5 billion dollar diversified global manufacturer, has successfully implemented a direct materials supply management software at two locations in its Service Solutions Segment in Owatonna, Minn. SPX is already using the service, provided by SupplyWorks Inc., with 60 suppliers and is planning to add another 150 suppliers onto SupplyWorks MAX during the next few months. At the same time, SPX has given the green light to expand use of the solution to other facilities.

The SupplyWorks service, which was integrated with SPX’s existing Baan ERP system (now supported by SSA Global) and engineering documentation system, is being used to manage and track purchase orders, generate Advanced Ship Notices (ASNs) and bar code labels to support automated receiving, and generate electronic supplier invoices.

SPX needed a supplier visibility solution that includes automatic shipment tracking functionality and management by exception tools, notes Matthew Ballard, vice president of information technology for SPX. “By more efficiently managing our direct procurement, automating purchase orders and ASNs, and improving our ‘procure to pay’ cycle, the solution is increasing visibility, flexibility and performance in our supply chain.”

The solution will give SPX’s suppliers better visibility into future manufacturing requirements, helping them to better plan shipments and enabling SPX to reduce the need for expedites. Backed up by a complete set of alerts and automatic notifications, the solution will enable buyers to spend more time on higher-value-added activities while greatly reducing the amount of manual fax, mail and phone effort required to control the stream of parts and materials flowing into each plant.

http://www.spx.com

http://www.supplyworks.com