Ford Motor Company Selects Intelisys Electronic Commerce
14 October 1998
Ford Motor Company Selects Intelisys Electronic Commerce to Streamline Procurement of Non-Production Goods Via the Internet
NEW YORK--Oct. 14, 1998--Ford to Implement Intelisys' Complete, Internet-Based
Procurement System
Reducing Costs and Improving Business Processes
Intelisys Electronic Commerce, LLC, a leading provider of Internet-based procurement solutions, announced today that Ford Motor Company will deploy Intelisys' procurement solution.
Ford, which spends $16 billion on non-production goods and services each year, will become the largest company to Web-automate and streamline its entire global purchasing process for items ranging from business cards and office and maintenance supplies, to staffing services.
With the Intelisys system, Ford can dramatically reduce the transactional workload of its purchasing managers, cut the cost of processing transactions, improve the efficiency of its purchases and help ensure the accuracy of orders. In addition, the system will integrate the sourcing, ordering and payment processes into a single, complete solution. Intelisys will help guide all of Ford's non-production suppliers to become e-commerce ready, enabling them to do business with Ford over the Web.
"Ford Motor Company is committed to using innovative technology that will create more efficient business processes and recognizes the dramatic advantages of using electronic commerce to help achieve these goals," said Lloyd F. O'Connor, Chief Executive Officer for Intelisys. "Intelisys shares this vision and offers a simple, scalable system that will help improve Ford's purchasing process, leverage global contracts, enhance strategic supplier relationships and significantly reduce costs."
How It Will Work
The Intelisys system will enable Ford office and plant employees and purchasing managers to order goods and services at their desktops directly from approved suppliers. The technology automates, streamlines and integrates the entire procurement process - from point of need, to purchase, payment and delivery of goods. Ford will maximize the return from this procurement system by leveraging Intelisys' unparalleled capability for facilitating Ford's Internet access to its entire non-production supply chain. Intelisys offers a roadmap to e-commerce enable all of Ford's non- production suppliers. Suppliers use their EC technology to enhance customer service, reducing errors and processing expenses, further reducing costs to Ford.
Creating the Infrastructure
As a technology and industry leader, Ford believes it can use electronic commerce to create more efficient, cost-effective ways to do business and reduce company spending. The Intelisys system will help solidify Ford leadership in business-to-business e-commerce by creating a simple, scalable global EC network that will advance the entire global Internet-based e-commerce marketplace. Not only will this EC network change the way Ford does business with its suppliers, but it will also change how its thousands of suppliers do business with all of their customers.
Ford and Intelisys are currently conducting a pilot with seven North American suppliers. The system is expected to be fully operational within two years and will connect 3,000 - 5,000 suppliers to Ford globally. Ford is also examining whether to use this technology to buy certain types of production goods like vehicle components and systems - such as fasteners, screws and other high-volume items - that involve repetitive purchases.
About the IEC-Enterprise(TM) Procurement Solution
IEC-Enterprise(TM) enables authorized employees within an organization to securely browse contracted suppliers' catalog information, hosted at either the buyer or supplier site, and select items for purchase. The purchase order is submitted via the company intranet, routed via a sophisticated workflow engine for approval and securely transmitted over the Internet using open industry standards. IEC-Enterprise(TM) also receives an electronic invoice back from the supplier, which can be used for settlement of the transaction. IEC-Enterprise(TM) includes controls for managing users, monitoring spending limits, accounting, payment information and more.
Intelisys provides a unique solution whereby the buying organization has the option of either maintaining internal product catalogs or linking directly to the product information and back office systems of their suppliers. This direct link enables the buying organization to eliminate the duplicate expense of creating and maintaining the same product information on their own site. Additionally, Intelisys provides suppliers of any size and technological sophistication a roadmap to become e-commerce enabled rapidly and cost-effectively. No other electronic procurement provider offers the total supplier solutions that Intelisys offers.
ABOUT INTELISYS ELECTRONIC COMMERCE, LLC
Headquartered in New York, Intelisys Electronic Commerce, LLC is a leading provider of complete Internet-based procurement applications that internetwork buyers with all of their suppliers. Intelisys enables companies to efficiently manage and dramatically reduce the high costs attributed to the procurement of non-production goods and services. Intelisys was formed in 1996 and is affiliated with The Chase Manhattan Bank. Chase is widely recognized as a leading technology company and is at the forefront of developing electronic commerce solutions for both its wholesale and retail clients. Intelisys can be reached by calling 1-888/294-4776 or via the Web site www.iecsolutions.com.
All product and company names mentioned herein are trademarks or trade names of their respective owners.