Case Study: V-Guard Industries Limited achieves centralized sourcing efficiencies and 6% cost savings with SAP Ariba

How Can a Centralized Sourcing Process Deliver Savings and Efficiencies

V-Guard Industries Limited, a leading electrical-appliance manufacturer based in Kochi, India, managing more than 1,000 vendors across 12 product categories and 5,000 SKUs, faced fragmented procurement across six divisions that limited spend control and slowed decision-making. The company sought to standardize sourcing, improve efficiency, and gain better visibility and collaboration across R&D, quality and procurement teams.

Partnering with SAP and IBM to implement SAP Ariba Sourcing, V-Guard created a centralized sourcing hub that standardized projects, enabled collaborative buying and reverse auctions, and connected to a broader supplier network. The initiative delivered an early ROI within six months, roughly 6% average cost savings in certain categories, faster repeatable sourcing processes, reduced supplier risk, and a clear sourcing transformation roadmap.

V-Guard Industries Limited

Gautham T.

Head of Strategic Sourcing