TierOne Automotive: Improving Supplier Relationships and Establishing a Common Interface with all Trading Partners

April 11, 2011

TierOne Auto decided to execute a strategic e-fulfillment initiative in order to transition from a push to a pull supply chain, ultimately increasing supply chain visibility, improving service levels, reducing inventory, and driving working capital investment reduction. TierOne Auto wanted to implement a solution that drove value across the supply chain participants, and created a win-win situation for both TierOne Auto and its suppliers.

After evaluation, TierOne Auto decided to implement CDC TradeBeam’s i-Supply solution.

Results:

With i-Supply, TierOne Auto now has a supplier collaboration framework that delivers a simplified, demand-driven supply chain, which increases supply chain visibility and improves information exchange, as well as administration efficiencies. TierOne Auto was not only able to strengthen relationships with its suppliers, but also increase service levels among its customers. With i-Supply, TierOne Auto reduced its inventory by 25%, which is equivalent to $17 million USD in annual savings since 2004. Additionally, CDC TradeBeam’s i-Supply has provided a five-year OPEX reduction of $5 million USD.

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