Akzo Nobel launches e-procurement initiative and receives first two orders



"Our original decision to enter this new area of e-procurement made sheer business logic and that has been the case all the way through the development of the initiative," said Rene Scheffers, General Manager at Base Chemicals. "Much the better that our initiative is also of high value to Akzo Nobel as a whole."

To help the launch of its common e-procurement solution, Akzo Nobel connected to the BT MarketSite. The online marketplace connects buyers and suppliers to enable the complete automation of the ordering process for indirect goods and services, including computer hardware and software, stationary and maintenance. The site has connections with the worldwide trading Web and Base Chemicals predicts it will be ordering from 50 suppliers within the next six months. A target of 50,000 orders annually has been set, representing 50% of the business unit's yearly transactions. In addition, the company predicts the new system will save an estimated EUR 2-3 million in efficiency savings for the planed 50,000 orders.

"This is just the first step to a global Akzo Nobel-wide e-procurement system," said Ronald Baars, Director of Purchasing at Akzo Nobel and Coordinator of the BUY-CEPS initiative. "Together with the business units, we are creating a common solution for the whole company, enabling us to participate efficiently, and stay competitive, in future market dynamics."