Background
PT Sahabat Mitra Intrabuana is a leading industrial goods distributor to the manufacturing, process-intensive companies across various industries in Indonesia. Located in Jakarta, the company represents major brands of mechanical and electrical goods and has a team of experienced sales and technical support personnel to offer the right products, technical advice, system engineering support and after-sales service to its customers.

Challenge
Supporting the sourcing and procurement activities of large companies like PT Newmont Nusa Tenggara (PTNNT), the key challenge for PT Sahabat Mitra Intrabuana (PT Sahabat MI) is to continuously meet and exceed the product and service requirements of its customers.

Solution
PT Sahabat MI joined the Quadrem community to electronically transact with its key customer PTNNT via Quadrem's hosted order management system, SupplyCentre. SupplyCentre enabled PT Sahabat MI to automate the entire fulfillment process, i.e. Order Response, Order Status Response and Advanced Shipping Notice, thus enabling them to accurately and promptly process the large number of orders it receives from PTNNT every month. On the sourcing front, PT Sahabat MI uses Quadrem's electronic sourcing tool (Quest), which allows them to receive and respond to RFI and RFQ opportunities online.

Results

• Increased new sales to PTNNT by 10% — PT Sahabat MI has been able to access and win new business opportunities by participating in electronic RFIs and RFQs.
• Reduced Days Sales Outstanding (DSO) by 15% due to increased order accuracy and automation.
• Achieved better cash flow management by reducing timeline on receivables.
• Increased Purchase Order intake via e-business to approximately 35% of total orders received — PT Sahabat MI currently receives an average of 40 POs every month.
• Reduced administrative costs by eliminating cumbersome manual based processes — PT Sahabat MI now has only one person responsible for managing all the documents related to order fulfillment.
• Improved administrative management and control by streamlining all the order related documents and reports via a single system, SupplyCentre.