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Simple ways to achieve material price transparency in procurement - how HERMA counters price volatility

4 weeks from initial discussion to use and savings without IT effort

published on
30.11.2023

HUBTEX Maschinenbau GmbH & Co. KG

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πŸ— Industry: Materials Handling & Logistics

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πŸ—Ί Company headquarters: Fulda (Germany)

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🧍 Employees: 420

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πŸ’Ά Turnover € 80 million per year

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🧰 Procurement volume: € 30-40 million per year

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HUBTEX is a leading company in the materials handling and logistics market. The company specialises in custom-built industrial trucks, sideloaders and special equipment for long, heavy and bulky goods. The HUBTEX concepts are characterised by the highest flexibility and also multifunctionality.

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"We just sent Tacto a file and an unedited SAP print. Within 2 weeks we had a solution that suited us."

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Download success story

4 weeks

From initial conversation to first savings

100%

Acceptance of the software in the procurement team

100%

Transparency about procurement activities

The challenge

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Since 2019, HUBTEX had been looking for a procurement software to solve siloed data structures, create transparency about procurement activities and automate manual processes. The challenge was to provide buyers with the isolated procurement data from the ERP system in a buyer cockpit in a transparent and insightful way. This should enable faster and more informed decisions without manual data evaluations. In addition, Excel-based and complex RfQs were to be automated and supplier self-disclosures digitised.

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However, the search turned out to be disappointing in many places, characterised by empty promises, lengthy and costly implementation processes and limited added value. Often, only gradual improvements could be achieved after the initial implementation on the one hand, and on the other hand, further adjustments were often necessary with the support of external consultants. Especially as a growing company on its way to becoming a digital pioneer, HUBTEX did not have time for such resource-intensive and lengthy implementations.

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It became clear that HUBTEX needed a procurement operating system that was easy to implement, did not require large IT resources, was tailored to the needs of the industrial medium-sized sector, scaled with the company and would enable it to maintain a leading position in the industry.

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Searchingin vain for a procurement tool since 2019

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Lengthy & costly iterations with external consultants without results

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Manual, time-consuming & Excel-based data evaluations with manageable added value

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The solution

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Tacto is the exception among IT projects. In other projects, the implementation process was lengthy and costly. Not with Tacto, which makes big promises and actually keeps them.

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Within only four weeks after the first contact, and only two weeks after providing the data, Tacto's procurement system was able to enable transparent monitoring ofprice developments and delivery times . Thereby Tacto was able to digitalise relevant strategic procurement processes within a very short period of time, without the expenditure of large IT resources.

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The procurement system has directly become an invaluable tool for buyers as it provides the appropriate evaluations and thus reduces complexity. Resources that would have been spent on manual evaluations can now be used for strategic procurementΒ and directly improve decision-making. For example, buyers have quick insight into how materials have changed and can thus ideally prepare for supplier discussions. A transparent overview of procurement activities in the procurement cockpit shows possible savings potential and price outliers , enabling particularly targeted actions and prioritisation. With Tacto's reliable and accurate analytics module as a basis for planning, fluctuating delivery times and unnoticed deviations could be uncovered and specifically improved.

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With this scalable basis, HUBTEX says goodbye to error-prone Excel evaluations and lift the company into digitalisation.

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Uncomplicated implementation and direct added value without large (IT) resource input

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Insights into categories and supplier relationships with one clickΒ 

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Transparent overview of direct savings potentials and price outliers

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What HUBTEX values most about Tacto

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Tacto first asks us as buyers about our needs, lets us show them our current status, and then delivers exactly what we need - It just fits! In addition, we enjoy extremely fast implementation, quick agreements and resulting quick implementations.

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Timeline:

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Within 4 weeks from initial discussion to the use of Tacto - without the use of costly IT resources.

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