Case Study: Techtronic Industries Company achieves 13% savings and standardized, compliant sourcing with SAP Ariba Sourcing

Techtronic Industries Standardizing Sourcing Processes and Achieving Increased Savings and Compliance

Techtronic Industries (TTI) is a global leader in consumer power tools and outdoor equipment with ~18,000 employees and $4.3B in revenue. Its procurement team faced manual, spreadsheet-driven sourcing that limited savings, compliance, and the ability to capture complex component pricing or perform fast, accurate cost analysis and archival of sourcing events.

TTI implemented SAP Ariba Sourcing, mandated its use across departments, trained buyers and suppliers, and deployed best-practice sourcing templates. The cloud solution centralized supplier pricing and enabled nearly 4,000 sourcing events yearly, delivered a 13% savings in 2014, achieved a 100% ROI for the subscription period from a single reverse auction, and improved compliance and speed of cost analysis.

Techtronic Industries Company

Benjamin Cabibi

Vice President – Asia Purchasing