Webinar recording: AI-controlled purchasing cockpit: centralized control of all supplier processes at Schwäbische Werkzeugmaschinen

Insights into SW machine tools

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SW Werkzeugmaschinen is one of the leading manufacturers of high-precision machining systems, which are primarily used in the automotive industry. With an annual turnover of around 500 million euros and three locations worldwide (Germany, USA, China), purchasing plays a decisive role. With a purchasing volume of around 240 million euros, the company was faced with the challenge of ensuring efficiency and cost control in procurement. The purchasing organization is divided into strategic and operational areas, with digitalization making a significant contribution to optimization. Tacto is supporting the company with a modern, AI-based purchasing platform.

SW faced several challenges at the start of the digitalization project: Many steps in purchasing were time-consuming and manually controlled, there was a lack of a central overview of suppliers, offers and price inquiries, and the high manual effort left little time for strategic purchasing decisions. SW's goal was therefore to set up a central purchasing cockpit that would bundle all relevant supplier processes in one place and enable the integration of artificial intelligence (AI) to make data-driven decisions.

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Development of the central purchasing cockpit and the role of artificial intelligence

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SW developed the purchasing cockpit step by step, starting with a basic spend analysis, followed by the integration of supplier data and price inquiries. Finally, the Supply Chain Act (LKSG) was also integrated into the system. The central platform enables SW to manage the entire supplier lifecycle - from the onboarding phase to offboarding.

Artificial intelligence supports SW in various areas: it continuously monitors the creditworthiness and performance of suppliers and sends automatic alerts in the event of critical changes. By analyzing historical data, the system suggests potential improvements in supplier negotiations and supports the buyer in the preparation process. Another area of application is cost modeling, where the AI correlates price trends with commodity indices and thus identifies potential savings.

By using the AI-supported purchasing cockpit, SW has already achieved significant efficiency gains. The time required for price inquiries has been reduced, and the improved database means that well-founded decisions can be made more quickly. A particular advantage lies in the improved negotiating power vis-à-vis suppliers, as price developments can be closely monitored and renegotiations can be initiated in good time.

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Conclusion: A look into the future

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The collaboration between SW Werkzeugmaschinen and Tacto shows how AI-based purchasing platforms can help to make purchasing processes more efficient while increasing transparency in the supply chain. With the purchasing cockpit, SW has already taken an important step into the digital future, and the further development of the system will enable the company to compete even more strongly in a highly competitive market.

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