Manufacturing Industry Strategic Sourcing & Procurement

SciQuest and our strategic eSourcing solution, SciQuest ASO, is used by a diverse range of manufacturing industries to drive improvements in transportation logistics procurement, indirect materials, packaging materials, direct materials, and corporate services. In addition to our strong expertise in serving the Consumer Packaged Goods (CPG) and Food & Beverage Manufacturing industries.


SciQuest’s Other Manufacturing Customers Include:

  • Pharmaceuticals Manufacturers
  • Heavy and Automotive Equipment Manufacturers
  • Industrial, Electrical, and Mechanical Equipment Makers
  • Aerospace and Defense Manufacturers
  • High-Tech and Telecommunications Equipment Makers for both industrial and consumer use
  • Energy, Oil, and Gas Equipment Providers and Distributors
  • Chemicals Manufacturers
  • Agribusiness

Addressing Manufacturing Procurement and Supply Chain Challenges

Manufacturers, regardless of industry segment, rely on the effective management of their supply chains for business viability and success. SciQuest most commonly is utilized by these types of manufacturers to drive major benefits in the areas of transportation logistics procurement, packaging materials procurement, and facilities maintenance services.


Manufacturing Sourcing Challenges SciQuest Sourcing Solution

Managing Complex Manufacturing Supply Chain Logistics:

A Leader in Transportation Procurement:

Manufacturing supply chain operations teams are faced with a number of transportation and logistics procurement challenges that grapple with changes in shipment volumes, equipment types and special handling requirements, capacity issues (particularly around seasonal periods and on high-volume lanes), and a large potential pool of carriers supporting plants, warehouses, and DCs. Adjustments and disruptions to transportation networks add further need for a solution that allows them to collect new bids quickly, in order to satisfy demand for wholesale, distribution, and retail customers.

SciQuest is the industry’s leading solution for transportation procurement supporting all modes involved in your supply chain: truckload/ground and intermodal, LTL, ocean, air freight, and multi-modal. Our advanced sourcing approach lets you engage carriers in a more collaborative bidding process – allowing your team to qualify and analyze the optimal mix of carriers, collect capacity requirements even down to the lane level, and location-based requirements. The results include an optimized carrier network, secured capacity, and additional cost reductions by gaining visibility into detailed cost drivers. SciQuest also significantly speeds your time-to-market for new or adjusted transportation bid events.

   

Managing Costs in Volatile, Competitive Markets:

Gain More Control Over Total Supply Chain Costs:

A manufacturing company’s sourcing team is under constant pressure to closely optimize costs amidst a highly competitive environment, particularly given rising costs of commodity materials, transportation costs, and consumer price pressure in the current economy. Manufacturing sourcing challenges can involve areas such as soliciting new product innovation from suppliers, packaging materials options, contract manufacturing trade-offs, and large-scale complex transportation and distribution networks.

SciQuest’s manufacturing sourcing solution allows your buyers to collect and analyze detailed cost drivers that can lead to untapped cost reduction opportunities. With our Expressive Bidding approach, the manufacturing sourcing process can also solicit creative proposals from suppliers that include things like alternative item proposals, conditional offers, and packaged offers. Our robust Analytics solution then allows for rapid, tailored scenario development to compare different awards outcomes as different preferences and rules are applied.

   

Seasonality Demands:

Securing Capacity and Cost Efficiencies:

For many manufacturers, production, packaging, and logistics are highly affected by seasonal spikes and consumer demand. This puts more pressure on procurement to make sure suppliers and transportation carriers can satisfy fluctuating volumes and delivery times.

The advanced sourcing approach offered by SciQuest lets you strategically plan for seasonality and secure commitments from an optimized list of qualified suppliers. For example, you have flexible capabilities to collect detailed bid information around transit or delivery times, capacity, contract terms, and other areas to help mitigate risk. You can also encourage suppliers to suggest conditional offers or alternative proposals to bring innovations to the supply chain. Our expert coaching services can assist you in developing the ideal cost models and analytics to compare various scenarios, so that your sourcing decisions consider the best mix of price and non-price factors for optimal savings and efficiencies.

   

Strategic Sourcing for Manufacturing Procurement and Manufacturing Supply Chains:

The SciQuest ASO eSourcing platform has successfully supported a wide range of direct and indirect spend categories for all types of manufacturers – with spend sizes ranging from $1 million to >$1 billion per category.