Reynolds and Reynolds Launches OEM Service Parts E-Business Network
14 January 2000
Reynolds and Reynolds Launches OEM Service Parts E-Business Network for the Automotive Industry
DAYTON, Ohio--Jan. 14, 2000--in $12 Billion OEM Parts Market
The Reynolds and Reynolds Company is aggressively expanding its role in the nearly $12 billion original equipment manufacturer (OEM) wholesale service auto parts industry with its latest e-business solution, OneTouch(TM) eParts network, a new online wholesale OEM service parts procurement hub. The new network will significantly help streamline wholesale OEM parts procurement processes and also help car companies and their over 22,000 US franchised dealer parts departments optimize the OEM service parts supply chain.
"We're evolving our industry leading OneTouch parts locator to an Internet based, e-business solution for OEM parts procurement. We intend to be the e-business leaders in the automotive retailing space and our new OneTouch eParts network is the latest Internet solution in our rapidly growing e-business portfolio," said Lloyd "Buzz" Waterhouse, Reynolds' president and chief operating officer. "Parts location and procurement is a major opportunity to create value throughout the industry, where Reynolds has established business relationships with over 90 percent of the automotive retailers in the United States and Canada, and strong relationships with every car company." Prior to joining Reynolds in May 1999, Waterhouse served as general manager of IBM's $2.7 billion E-Business Services unit.
Reynolds' OneTouch eParts Network (www.OneTouch-eParts.com) will create significant business results for retailers and car companies, including improved wholesale customer retention, faster parts acquisitions and transactions, lower costs and improved system-wide efficiency. Automotive retailers will be able to locate and order OEM parts for their service customers in seconds from other retailers, OEM warehouses and distributors. Additionally, Reynolds will develop an array of vertical market solutions designed to help car companies optimize the service parts supply chain.
"We're very supportive of the direction in which Reynolds is headed with this new parts network," said Gar Smith, general sales manager of GM Parts, General Motors Service Parts Operations. "We believe it has the potential to drive much greater efficiency in our parts network which can improve our repair customer service while optimizing our inventory in each market."
"Whether I'm selling parts to a wholesale customer or finding a part for a service customer, this will help improve our speed, accuracy and customer service," said Ron Robas, parts director, White-Allen Chevrolet in Dayton, Ohio. "I think parts departments will see tremendous benefit from these types of integrated, business-to-business e-commerce solutions."
"Finding parts locally for same day delivery has been the strength of our existing OneTouch locator solution," said Mark Brown, general manager of Reynolds' Automotive Group's e-Business division. "But until now, the millions of transactions were completed manually with phone calls and faxes. Our new eParts network replaces the manual process with a true B2B electronic solution. It allows all dealers to benefit from the network as both buyers and sellers of parts. It's a true exchange."
Brown added, "We are engineering the network to utilize a variety of access methodologies including secured Internet, extranet, virtual private networks and even dial-up. We recognize that, today, not every retailer's parts department has readily available access to Internet-enabled PCs.
"Car companies have expressed interest in a more robust retailer-to-retailer parts exchange," said Brown. "This parts network will facilitate a 'virtual pooling' of service parts inventory at the local level among same-franchise retailers, which means less duplication of inventory in a given market and higher availability of parts for service customers on a same-day basis. We can also provide the retailers and car companies a wealth of real-time information to help them optimize the parts supply chain.
"Retailers also order a tremendous amount of parts from other sources such as factory authorized remanufactured parts distributors and warehouse distributors. We plan to add these suppliers to the network as well, giving them a direct electronic distribution channel to the auto retailer," Brown added.
Waterhouse says the true power of this B2B solution is in its ability to expand the marketing tools of the retailer. "In addition to locating and procuring OEM parts, retailers can more easily market OEM parts to independent collision and mechanical repair facilities on line." According to Waterhouse repair facilities will be able to electronically transmit parts lists required for a repair to their preferred retailer/supplier. The retailer will be able to quickly fill the request from their own or other retailers' inventory and confirm availability and shipment.
Reynolds and Reynolds, headquartered in Dayton, Ohio, is a leading provider of integrated information management systems and related value-added services to automotive and general business markets. The company reported revenues of $1.56 billion for the 12 months ended Sept. 30, 1999. For more information on Reynolds and Reynolds, visit www.reyrey.com, or call the Information Hotline at 1-888-4REYREY.