Background
Inco is one of the world's premier mining and metals companies and the world's second largest producer of nickel. In business for more than 100 years, it is one of Canada's best-known companies and largest exporters. Inco employs more than 10,000 people around the world at mining operations, processing facilities, a research centre and an extensive marketing and sales network. While Inco is primarily a nickel company, it is also an important producer of copper, precious metals, and cobalt and is a major producer of sulphuric acid and liquid sulphur dioxide. Inco Limited is publicly traded with common shares listed on five major stock exchanges around the world.
Challenge
A company that views technology as a competitive differentiator, Inco works to stay on the leading edge of advancements in operations processes and business technology. The company wanted to move beyond basic EDI functionality and take advantage of Internet based e-commerce solutions to streamline administrative processes and contribute to global cost saving initiatives.
Solution
Inco selected Quadrem's Direct.connect, an integrated solution that connects Inco's existing back-end systems and establishes a 'one-to-many' connection via the Internet to Quadrem's global community of suppliers. Inco also purchased Quadrem's e-sourcing solution, Quest, and dynamic bidding services to streamline Requests for Quote initiatives.
Results
Since incorporating Quadrem's e-procurement solutions, Inco has documented related savings of more than USD $12 Million. Improvements include:
- Increased efficiencies in Contract Administration and Materials Purchasing areas
- Reduced off-contract spending
- Streamlined the process of communicating order information with suppliers
- Improved pricing of several commodities while not sacrificing the more important elements of quality, delivery, and vendor relationship
- Reduced order errors