SHI and AGCO Collaborate to Win
Companies plug into Ariba Network to simplify business commerce, boost
performance and profits; SHI to share formula for success at Ariba LIVE
SUNNYVALE, Calif. -- April 02, 2013
Buying and selling indirect goods and services is a challenge for businesses.
But SHI International Corp., a multibillion-dollar global provider of
technology products and services and the largest Minority and Women-Owned
Business Enterprise (MWBE) in the United States, and AGCO, a leading global
manufacturer of agricultural equipment, have found a way to simplify it.
Taking a page from the consumer playbook, the trading partners have tapped
into Ariba, an SAP Company and the world’s business commerce network, to
connect and transact business more efficiently and effectively - and boost
their performance and profits in the process. SHI will share its formula for
success at Ariba LIVE, the business commerce event of the year, which will
take place May 6-8 at the Gaylord National Resort and Conference Center in
Washington, D.C. Registration for the event is open today at:
The Buyer’s Dilemma
With five locations across North America, multiple ERP systems running at each
of them and no standard process in place for purchasing, AGCO often had
difficulty understanding what it was buying and from whom. “As a result, we
were missing opportunities for significant savings,” said Eric Deese,
Purchasing Analyst, AGCO.
In addition, AGCO was still receiving invoices and sending payments manually,
driving up costs and error rates.
The Seller’s Struggle
In an effort to streamline the purchasing process for its customers and
enhance relationships and retention, SHI began connecting to them
electronically. “This required setting up and maintaining multiple
point-to-point relationships via EDI, fax, phone, email, print, mail, and
stand-alone web catalogs, which was both costly and time-consuming,” said John
D’Aquila, Applications Support Manager, SHI.
An Innovative Solution
To overcome their challenges, AGCO and SHI turned to Ariba. AGCO started using
the Ariba^® Network along with Ariba’s cloud-based applications for sourcing,
contract management, spend analysis, supplier and invoice management to drive
procurement across its operations. And SHI joined the Ariba Network to create
a single, centralized interface through which it could connect with customers
throughout Europe, Asia Pacific and North America.
Then the two companies came together. Leveraging the Ariba Network, SHI set up
an efficient system for online ordering and e-invoicing specifically tailored
to meet AGCO’s needs, complete with:
*Customized catalogs and a continually updated list of top-selling products
to simplify the purchasing process for AGCO buyers
*Dedicated representatives to assist in ordering non-catalog items in
compliance with corporate policies
*Automated matching of POs and invoices to streamline accounts payable
*Direct access to SHI support team to drive adoption and ensure success
This, says Deese, enables AGCO to seamlessly transact with SHI, “which saves
us significant time and money.” It also provides the company with greater
visibility into and control over its spend, which has fueled more favorable
contracts and pricing terms. And the automation of invoicing has led to
reductions in processing time and faster payments.
For SHI, the no- or low-touch orders executed through Ariba also save time and
resources, enabling SHI to focus on strategic initiatives that drive business
value and revenue with AGCO and other customers. “Within 10 months after
launch, we added 12 manufacturers to AGCO’s catalog and realized 100 percent
revenue growth,” D’Aquila notes.
Online social networks and tools have transformed the consumer world by
connecting people and information in new ways. And as AGCO and SHI illustrate,
the same transformation is now happening in the business world. “Cloud-based
networks and applications are ushering in a new model for business,” says Tim
Minahan, SVP of Network Strategy, Ariba. “And innovative companies like AGCO
and SHI are using them to collaborate in new ways that help drive
unprecedented levels of productivity in their sales, procurement, invoice and
Nearly 1 million companies in 190 countries around the world are also using
the Ariba Network to connect with a global network of partners anywhere, at
any time from any application and transact over $450 billion in commerce on an
annual basis. To hear more from AGCO and SHI about the value that it can
or register to attend Ariba LIVE at: www.aribalive.com
About SHI International Corp.
Founded in 1989, SHI International Corp. is a $4 billion+ global provider of
technology products and services. Driven by the industry's most experienced
and stable sales force and backed by software volume licensing experts,
hardware procurement specialists, and certified IT services professionals, SHI
delivers custom IT solutions to Corporate, Enterprise, Public Sector, and
Academic customers. With over 1,900 employees worldwide, SHI is the largest
Minority and Woman Owned Business Enterprise (MWBE) in the U.S. and is ranked
18th among Everything Channel's VAR 500 list of North American IT solution
providers. For more information, visit http://www.shi.com.
AGCO, Your Agriculture Company, (NYSE: AGCO), is a global leader focused on
the design, manufacture and distribution of agricultural machinery. AGCO
supports more productive farming through a full line of tractors, combines,
hay tools, sprayers, forage equipment, tillage, implements, grain storage and
protein production systems, as well as related replacement parts. AGCO
products are sold through five core brands, Challenger®, Fendt®, GSI ®, Massey
Ferguson® and Valtra®. AGCO’s products are distributed globally through 3,100
independent dealers and distributors in more than 140 countries worldwide.
Retail financing is available through AGCO Finance for qualified purchasers.
Founded in 1990, AGCO is headquartered in Duluth, GA, USA. In 2011, AGCO had
net sales of $8.8 billion.
About Ariba, an SAP Company
Ariba is the world’s business commerce network. Ariba combines
industry-leading cloud-based applications with the world's largest web-based
trading community to help companies discover and collaborate with a global
network of partners. Using the Ariba^® Network, businesses of all sizes can
connect to their trading partners anywhere, at any time from any application
or device to buy, sell and manage their cash more efficiently and effectively
than ever before. Companies around the world use the Ariba ^ Network to
simplify inter-enterprise commerce and enhance the results that they deliver.
Join them at: www.ariba.com
As market leader in enterprise application software, SAP (NYSE: SAP) helps
companies of all sizes and industries run better. From back office to
boardroom, warehouse to storefront, desktop to mobile device – SAP empowers
people and organizations to work together more efficiently and use business
insight more effectively to stay ahead of the competition. SAP applications
and services enable more than 232,000 customers to operate profitably, adapt
continuously, and grow sustainably. For more information, visit www.sap.com.
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