TGW Logistics, one of the world’s leading providers of highly automated intralogistics solutions, relies on JAGGAER’s software solutions for its source-to-pay activity, originally with the aim of increasing the level of automation and boosting operational efficiency. Today, however, TGW Logistics is also benefiting from significant cost savings: in 2023 alone, process costs were reduced by around 2.4 million euros.

TGW Logistics decided to introduce JAGGAER One back in 2016, as the company’s growth had led to new challenges in global purchasing. Processes could in fact no longer be adequately managed with the previous process and IT infrastructure because TGW Logistics has a heterogeneous product range with a large variety of parts, which requires enormous precision and flexibility due to the large number of global procurement processes. The new tool had to respond to these needs and provide greater efficiency. After a comprehensive comparison of providers, TGW Logistics finally opted for the source-to-pay suite from JAGGAER.

Originally implemented primarily as a central tool for order optimisation, JAGGAER One has now also become indispensable in other areas too. The company, headquartered in Marchtrenk, Austria, currently uses a range of modules such as Supplier Relationship Management, Sourcing, Contract Management, E-Procurement – in particular for order processing in direct procurement – as well as the ratings from Quality Management. The interface to the SAP/4 HANA ERP system integrated in JAGGAER also offers great added value.

This can be seen, for example, in the area of e-procurement: last year alone, TGW Logistics placed over 55,000 orders with suppliers, all of which were triggered in SAP and transmitted to JAGGAER. Although it is always possible to process individual orders manually, the majority of orders at TGW Logistics are generated automatically. This also applies to order confirmations from suppliers, which are automatically mirrored from JAGGAER to SAP. This no-touch workflow provides a considerable increase in efficiency and reduces both the effort and the risk of errors caused by manual intervention to a minimum.

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