Ariba B2B E-Commerce Platform Selected by Dana for Global E-Business Initiative
13 January 2000
Ariba B2B E-Commerce Platform Selected by Dana Corporation for Global E-Business Initiative
MOUNTAIN VIEW, Calif., Jan. 13 -- Ariba, Inc. ,
the business-to-business (B2B) eCommerce leader, today announced that
Dana Corporation , one of the world's largest independent suppliers
to vehicle manufacturers and the aftermarket, has selected the Ariba(R)
B2B eCommerce platform as part of its global E-business initiative. Dana will
use the global Ariba platform to improve management of Dana's $8 billion in
annual worldwide purchases. With $12.5 billion in 1998 revenues, Dana is a
global company with 86,000 employees in 330 major facilities in 32 countries.
"Dana has targeted significant improvements in supply chain management as
a key business objective in 2000," said Joe Magliochetti, Dana's president and
chief executive officer. "We have formed a global strategic sourcing
organization and identified aggressive goals over the next four years,
including a 50% reduction in the number of suppliers and $1 billion in
cumulative savings in procurement cost and transaction expenses. The new
global e-Procurement system will enable Dana to utilize the Internet to gain a
competitive advantage in the automotive supplier industry."
"Dana's participation on the Ariba platform will add significant
purchasing power and drive added content value from suppliers in the
automotive industry," said Keith Krach, CEO and chairman of Ariba. "We look
forward to working with Dana to drive cost savings and competitive advantage
internally, and then in helping Dana extend the value of its Ariba platform."
The Ariba eCommerce platform, including the Ariba ORMS(TM) eCommerce
application and Ariba Network(TM) commerce services, will help Dana drive
economies of scale across its facilities worldwide by creating an internal
eCommerce infrastructure that will electronically aggregate divisional and
corporate purchasing from each employee desktop and direct it through
Ariba Network to preferred suppliers at higher-volume prices. Anticipated
benefits will include increased value with selected preferred vendors,
significantly reduced transaction expense, consolidated information on vendor
performance and reduced inventory requirements.
The intranet-based Ariba ORMS application provides seamless access to
Ariba Network services that can drive cost savings while also speeding
time-to-benefit. Ariba Network provides a single point of integration with
business suppliers and ready-to-use electronic catalogs used by many
Fortune 500 and other leading companies also on the Ariba platform. It also
provides efficient trading mechanisms such as reverse auctions, auctions,
electronic payments and streamlined transaction services. Dynamic pricing
services are being added to the Ariba platform through the pending merger with
Trading Dynamics, Inc.
"Using this technology as a base, Dana will also explore the possibility
of partnering with other automotive, heavy-truck, off-highway or aftermarket
suppliers to create an independent 'services' exchange for B2B transactions,"
Magliochetti continued. "The creation of an electronic business exchange
could provide significant value to our common customers and suppliers through
reduced transaction costs, aggregated purchasing and value added services such
as supplier design collaboration, logistics and vendor managed inventories.
This will better position us to easily integrate with other industry specific
exchanges, many of which have been announced recently."
The initial rollout of the Ariba platform at Dana is expected to be
completed Q1 2000 in five manufacturing sites globally. The implementation
will initially focus on operating resources such as capital equipment, travel
services and maintenance, repair and operations (MRO) purchases.
About Ariba, Inc.
Ariba, Inc. is the leading provider of business-to-business eCommerce
services and solutions to leading companies around the world, including 15 of
the Fortune 100. The company delivers an open, end-to-end, best-of-breed
platform of interoperable solutions to manage corporate purchasing on the
Internet, build net markets and provide suppliers with buyer access and
integration. Together, Ariba's software and services leverage the
Internet-based Ariba Network to integrate the internal and external commerce
processes of buyers, suppliers, net markets and commerce service providers.
The result is a global eCommerce infrastructure that provides cost saving and
revenue opportunities for businesses of all sizes. Ariba can be contacted in
the U.S. at 650-930-6200 or at http://www.ariba.com.
About Dana Corp.
Dana Corporation is one of the world's largest independent suppliers to
vehicle manufacturers and the aftermarket. Founded in 1904 and based in
Toledo, Ohio, the company operates some 330 major facilities in 32 countries
and employs more than 86,000 people. The company reported sales of
$12.5 billion in 1998. Dana's Internet address is http://www.dana.com.
NOTE: Ariba is a registered trademark and Ariba Network and Ariba ORMS
are trademarks of Ariba, Inc. Information in this release may involve
expectations, beliefs, plans, intentions or strategies regarding the future.
These forward-looking statements involve risks and uncertainties. All
forward-looking statements included in this release are based upon information
available to Ariba as of the date of the release, and Ariba assumes no
obligation to update any such forward-looking statement. The statements in
this release are not guarantees of future performance and actual results could
differ materially from our Ariba's expectations. Numerous factors could cause
or contribute to such differences. Some of the factors and risks associated
with Ariba's business are discussed in its registration statement on Form S-1
declared effective by the Securities and Exchange Commission ("SEC") on
June 22, 1999, and in the other reports filed by it from time to time with the
SEC.