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OEM Centralizes Spare Parts Business

CHALLENGE

Our customer, a global OEM, was looking for a solution for their spare parts business which would save them time, money and would centralize their processes in line with their corporate strategy.

“Over the years (in our spare parts business) the focus has always been based upon supporting our own make & models of IT equipment, but in recent years this has changed. When we visit our end-user’s locations, it’s clear they are looking for a ‘one-stop-shop’ to support not just our products, but also other OEM products in their infrastructure. Our business is stepping out of hardware support yet we see there is an increased need for spare parts. It doesn’t make sense to start stocking up parts on our shelf, so we decided to partner and outsource with Procurri.” – Global OEM

SOLUTION

With these evolving needs in their spare parts business this OEM reached out to Procurri.

“Our end-users are a mixture of mid-market and enterprise companies who are looking for vendors to manage their business. Supporting other vendors’ machines is an interesting dynamic, everybody is trying to avoid putting huge inventories on the shelves which may never be needed for the end-users. We wanted a partner who could help us mitigate the cost and risk.

Being a global OEM we provide after sales support which is why we’re involved in spare parts. Some of our countries like to have parts on the shelf and available within two hours, but they do not realize that this is too costly. It is far more cost effective to have one centralized solution which is a better model for us, so we wanted a partner like Procurri who offered an Inventory-as a-Service solution.”

After doing their due diligence, this OEM felt that Procurri was the ideal partner for their business need.

BENEFITS

Fast forward sixteen years and this OEM and Procurri have been working together cohesively and their relationship is as strong as ever.

“Procurri is always open to exploring new business ideas for us, an example being our quoting model. In the past, we used to create quotes on a case-by-case basis, but we recently changed that into a methodology where we work with a ‘quick quote tool’. Procurri now prepares all of our quotes in advance and our internal team simply looks up the country, machine type and price, so that decreases the lead time for quotations and we are delighted!”.

BUSINESS OUTCOME

“In the spare parts business people always say the costs are too high, but Procurri’s solution has saved us significant sums of money on logistics and infrastructure costs. Their price book has really helped us by providing up-front costs so there are no unnecessary email conversations. We have saved a lot of time and money and have achieved our ROI.

We see Procurri as an important part of our business moving forward, and together we work hand in hand with them to find the best solution for our end-users”.