SUNNYVALE, Calif.--(BUSINESS WIRE)--LevaData, the company that helps global enterprises improve gross margins by reducing supply chain costs, today announced the launch of an advanced cloud platform that continuously identifies savings opportunities and risks by combining market intelligence and enterprise data with applied AI cognitive analytics.
A New Supply Chain Optimization Era
“Direct sourcing teams have been left behind or ignored by most ERP, procurement, sourcing and spend analytics solution providers in the market today,” said LevaData CEO Rajesh Kalidindi. The focus has either been on indirect spend management, procurement execution, or enterprise spend analytics. Even the most mature strategic sourcing teams struggle with pulling the right information across multiple systems, monitoring and responding to market opportunities, and preparing for strategic negotiation events.
“Through a shared, outcome-based approach, LevaData ensures that our customers and their procurement, engineering and sourcing teams can make the right decisions to deliver competitive advantage and achieve a positive ROI, typically 10 to 30 percent incremental savings on direct materials spend,” explained Kalidindi.
Only the LevaData Cognitive Sourcing Platform enables insight-driven negotiations, combining both internal direct materials spend with market insights based on community benchmarking and part and product cost models.
- Over $100 million in quantified savings have been achieved in the last two years
- $50 billion of total direct materials spend has been managed on the platform to date and is increasing at 60 percent growth year over year
- Over 1.5 million data points are continuously analyzed across commodity groups, parts and verticals for new insights
The Unique LevaData Approach
LevaData is differentiated by three unique characteristics:
- Always Insightful: The LevaData platform combines enterprise spend and forecast information with integrated market intelligence to stream emerging risks and opportunities on a continuous basis, 24x7, to global commodity management and sourcing teams.
- Guaranteed Savings: Only LevaData offers a pay-for-performance engagement model that ensures a positive ROI of at least 5X in the first year of adoption.
- Expert Services: Unlike other software solutions, LevaData combines a SaaS platform with human intelligence and coaching services to maximize adoption and success in strategic sourcing events.
Additional platform highlights include:
Multi-Tier Cost Visibility – across suppliers, JDM/ODM
partners, and multiple enterprise systems
- Compares manufacturing part numbers against a database of 450 million standard parts, as well as community information
- BOM cost rollup and comparison across engineering, manufacturing and sub-assembly BOMs
- Market Intelligence – identify savings opportunities based on LevaData community peers, including best-in-class performance, and search based on commodity, product, supplier and part attributes
- Negotiation Playbook – generates a unique negotiation playbook for a manufacturer or supplier to enable the user to negotiate better prices for parts based on key leverage points derived through advanced algorithms
- Risks and Opportunities – streams actionable risks and opportunities to strategic sourcing professionals based on changes to forecast, benchmark cost, supplier financial health, and external market dynamics such as foreign exchange rate changes and raw material costs
Fitbit EVP Operations Jeff Devine, an early LevaData customer, endorses the company’s strategy and is enthusiastic about its potential. “We are accelerating the digital transformation of our sourcing organization by partnering with LevaData to drive sourcing innovation and incremental value.”
LevaData, the Cognitive Sourcing Platform, offers global enterprises the ability to improve gross margins by reducing supply chain costs, with a focus on delivering measurable and accountable supply chain solutions and strategies that transform companies and markets. Customers include leaders in the top global supply chain organizations, as well as medium-sized OEMs seeking to achieve best-in-class direct materials sourcing practices. LevaData is privately held and headquartered in Sunnyvale, Calif. For more information, visit www.levadata.com.