I recently read a blog article by ION regarding its Strategic Planning and Procurement (SPP) solution, a commodity management solution (CMS) for raw material procurement, promoting its use alongside an ERP for safeguarding and maximizing the bottom line. As a follow up, I spoke with Felix Thoma of ION about what exactly ION’s SPP solution is and how it works. ION’s Strategic Planning & Procurement is a pre-configured version of ION’s TriplePoint solution for producers that acquire raw materials to make products that are manufactured and sold. These producers face the challenge of volatile commodity price exposure within raw materials (e.g., Aluminum beer cans) on one side and the need for a stable consumer product price on the other. Plainly, they are exposed to margin risk and need to develop strategies like hedging to manage that exposure. ION has invested continuously in the Triple Point platform he told me and SPP is one of several configured solutions that were set up to target specific use cases and markets to reduce implementation complexity. ION SPP is a targeted module fit for purpose for procurement organizations, I was told. Most producers will utilize an ERP solution, however, most usually that ERP has… continue reading
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