Supplier collaboration is essential to supply chain risk management, and as PRTM has shown, companies that have implemented operational flexibility and collaborative initiatives are now realizing significant business benefits.
Unfortunately, though, building collaborative relationships with suppliers is often easier said than done.
Even though virtually every aspect of our work day has been transformed by Web 2.0 communication platforms, these technologies have been slow to infiltrate supply chain management. In fact, most companies today still rely on phone, fax, email and spreadsheets for collaboration with suppliers. These methods are frustrating, costly, inefficient and perhaps worst of all, they're risky, too.
Shouldn't there be a better way?
At Aravo, we think there absolutely should be a better way. And that's why this week we released Aravo AssureTM, an innovative web-based B2B social network built to revolutionize the way businesses engage, share data and collaborate.
The concept is relatively simple . . . and long overdue. Using Aravo Assure'sTM Enterprise 2.0 technology, trading partners are empowered with an industrial-strength collaboration platform and many-to-many communications framework designed to facilitate information exchange, while reducing the expense and administrative burden on both parties. That means Aravo AssureTM makes it easier than ever before for suppliers and buyers to build robust, collaborative relationships the kind of relationships that ultimately, mitigate supply chain risk.
Now, suppliers can share their latest sustainability credentials, disaster recovery plans, performance records, etc. Buyers can update suppliers on risk assessments, supplier scorecard requirements, etc. Aravo AssureTM is an entirely new, B2B collaboration infrastructure that will strengthen supplier relationships, save companies time and money and minimize risk. It offers tools and decision support capabilities that harness the power of community feedback, cross-company collaboration and shared industry standard templates and surveys to ensure the supply chain is actively monitored around the clock, mitigating risk.
Industry analysts see Aravo AssureTM as a game-changer.
"Our research suggests that supplier networks to date have amounted to little more than basic transactional plumbing for buyers and suppliers EDI for the web and automated indirect materials purchasing era if you will. This leads to limited value creation and limits the network-effect potential of collaborative information interchange and key data and profile management between trading partners," said Jason Busch, Executive Editor of Spend Matters and Managing Director of Azul Partners, a leading advisory firm. "Aravo AssureTM can change this dynamic by lowering costs and barriers for organizations to maintain accurate and up-to-date information on all of their supply chain partners by tapping into a global network, providing key supplier insight across all spend categories and types while lowering costs for both parties."
We're also pleased to report that GE has signed on as the first customer of Aravo AssureTM, and will utilize the network to simplify processes surrounding supplier selection, on-boarding, sustainability program monitoring and conflict minerals compliance tracking. In addition, GE will use Aravo AssureTM to make it easier for small businesses and diversity suppliers, such as women- or minority-owned businesses, to do business with GE.