Sivantos Listens In To Its Suppliers

ienna | April 7, 2016 – Sivantos, the international producer of hearing aids, is now using eAuctions to guarantee transparent and successful award processes. With the Auction Module from the solution specialists at POOL4TOOL, Sivantos can conduct negotiations more quickly and with multiple suppliers simultaneously. In addition, the use of the module has improved the company’s relationship with its suppliers.

Standardized procedures, fair requirements for providers and transparent award processes are just a few of the benefits of electronically supported auctions. The international producer of hearing aids, Sivantos, demonstrates, however, that not only do these eAuctions help to drive down prices, but they can also be used strategically. Up until 2015, the leading producer of hearing aids was part of the Siemens AG, under the name Siemens Audiology. The eAuction tool that was used by Siemens at that time was carefully evaluated during the re-structuring process, and the independent, mid-sized company reached the conclusion that it would need a different solution. “We wanted a more efficient solution as soon as possible, and one that all of our buyers could use to set up auctions quickly and easily,” explains Shahriar Tabrizi, the Group Chief Procurement Officer of the Sivantos Group.

Project Completed in Record Time

“With POOL4TOOL, we were able to complete the project in record time. It was only three months from the first meeting to the first live auction.” The eSolution won the company over with its intuitive operating system and its general versatility. The innovative real-time sync function transfers all data in real-time to the web-based platform, which makes the negotiation process more dynamic. The user-friendly operating system keeps training sessions to a minimum, and the employees at Sivantos can use the tool from any of the company’s international locations without delays or lagging. This also gives every supplier a fair chance during the bidding process.

Currently, 25 category managers at Sivantos are working with POOL4TOOL and they use the eAuction Module to conduct all of their price negotiations with approximately 5,000 suppliers. The module is used for both direct and indirect materials. Standardized procedures and automated processes make it easier for procurers to reach the best price and to map out an eAuction strategy. “If the price is determined using the tool, the company is guaranteed the best possible results because the auction procedure is already established and standardized,” explains Shahriar Tabrizi. The tool does not replace personal contact between buyers and suppliers, but rather serves as a valuable addition.

Same Rights for Everyone

It was important for Sivantos to guarantee the same terms for all of their suppliers. “With POOL4TOOL, we can offer our suppliers a standardized platform that provides everyone with the same opportunity to participate in the auction. This makes the negotiation process fair and transparent. We don’t want any unfair competition that results in a David and Goliath situation,” says Tabrizi.

Sivantos can now conduct its negotiations more quickly and with multiple suppliers simultaneously thanks to POOL4TOOL eAuctions. Communicating using the tool makes it easier to determine prices and saves time. Requirements are carefully specified by the purchaser and suppliers respond with concrete quotes. Personal appointments and presentations, which were needed in order to communicate a company’s requirements, are no longer necessary. The tool requires buyers to be specific to provide all of the requirements exactly. Inquiries upon request, which often led to misunderstandings, are now a thing of the past.

About POOL4TOOL: POOL4TOOL AG is the global market leader for electronic process optimization in "direct procurement", with locations in America and Asia and over 300 clients. The only worldwide All-in-One Supply Collaboration Platform brings together all process from product development through strategic procurement (sourcing), supplier management (SRM), indirect procurement (procurement), Supply Chain Management (SCM) up to Quality Management in one workflow-based solution. POOL4TOOL offers best practices from successful projects with global market leaders from the automotive,engineering and equipment construction, serial production and medical technology branches, as well as a unique supplier network with over 300,000 connected companies.

Kathrin Kornfeld
POOL4TOOL AG
Altmannsdorfer Str. 91/19
A-1120 Vienna

This release was published on openPR.