Global companies spend more than $13 trillion on purchasing direct materials every year, according to the Aberdeen Group. Coupled with the fact that 80 percent of a product's cost is fixed by the time the design process concludes, incorporating procurement requirements earlier in the product development process could help companies achieve product cost savings of up to 20% and reduce time-to-market cycles by 10% to 20%.

Our Solution
Our Product Lifecycle Sourcing Solution addresses this opportunity by providing procurement professionals input to design data earlier in the product development process. By integrating the eBreviate eSourcing suite of technologies into UGS flagship product lifecycle management solution Teamcenter® and collaborating with A.T. Kearney to align purchasing with all product lifecycle phases, this innovative solution creates a direct, efficient connection between product development, procurement and suppliers. With this solution companies can engage the entire supply chain by enabling a collaborative environment that supports better cost management throughout the entire product design process. The result: shortening the design process allows companies to release new products more quickly and cost-effectively, ultimately improving the top and bottom line simultaneously to achieve a competitive advantage.

Key Features

Benefits


Key Features

	•	Internet negotiations capabilities through eBreviate eSourcing suite RFP and Auction technologies
	•	Spend analysis by supplier, region, geography, and division to leverage total buying power through eBreviate eSourcing suite Spend Management technology
	•	Transfer and sharing of data within and outside the eBreviate eSourcing suite reducing manual RFP efforts, response to change orders, and back-and-forth negotiations between engineering and procurement
	•	Collaboration with suppliers on product design through Teamcenter®
	•	New part introduction process with component management, standard and preferred part identification through Teamcenter®
	•	Part classification system for identification for reuse Teamcenter®
	•	Tracking and impact analysis of ongoing costs of product development, including engineering change orders

Procurement Organization Benefits

	•	Improved communication between internal and external stakeholders
	•	Improved tracking and managing of ongoing product costs
	•	Increased savings through better purchasing economies of scale
	•	Faster delivery of innovative products
	•	Increased revenue generation
	•	Improved cost control of change orders during the design process

To learn more about UGS Teamcenter® portfolio, please click here.