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i2 SRM Deployed at Samsung to Analyze Corporate Spend Across 14 Global Divisions

Software Implemented in Just Seven Months to Analyze Spend from More Than 30 Instances Of SAP

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DALLAS, Texas & nbsp; - 24 Mar 2004: i2 Technologies, Inc., a leading provider of closed-loop supply chain management solutions, and IBM today announced that Samsung Electronics Company, Ltd., has deployed i2 Supplier Relationship Management (SRM) to analyze spend and evaluate suppliers. The implementation is a part of Samsung's integrated supply management strategy and is an expansion of its existing work with i2, which includes the implementation of over a dozen i2 products.

Samsung reports that i2 SRM allows it to roll up $16 billion in spend from more than 30 instances of SAP. The spend analysis fact table alone has 200 million rows and occupies a 30 gigabyte database. Samsung began the project with the intent to form a Global Commodity Council at Samsung and analyze spend on connectors to establish processes and test the business case for spend analysis. This led to the large-scale deployment of i2 SRM across all 14 Samsung divisions, a project that took just seven months to complete.

"We have leveraged i2 solutions since 1997 and this recent deployment builds upon the successes we have already experienced. i2 SRM gives us unprecedented visibility into our spend across the enterprise," said Dong-Wook Min, former chief purchasing officer and vice president of Samsung Electronics and current vice president of Samsung Japan Corporation. "This will help our commodity managers better plan sourcing strategies, and our buyers execute purchases from the best suppliers."

Samsung reports that 1000 users can now immediately view and examine actual spend by organizations, commodities, suppliers, and time. The spend analysis in tandem with supplier metrics, such as on-time delivery and quality, help users to make decisions to make the best buying decisions. The i2 SRM system also automatically categorizes suppliers based on performance and looks at the criticality of the category that each vendor supplies, allowing Samsung to determine sourcing strategies.

"Through groundbreaking supply chain management practices, Samsung has been able to surpass its initial objectives and take its business to a new level. Working with top notch teams at both IBM Business Consulting Services and Samsung, we were able to deliver this customer the value it was seeking," said Sam Nakane, i2 president, Greater Asia-Pacific Region.

"Once again, our teams have been able to deliver value in a short time frame and provide sustainable business process improvement and leverage the IBM procurement transformation experiences and our well-honed SRM methodology," said Dr. Jeenyoung Kang, Industrial Supply Chain Management leader, IBM Business Consulting Services, Korea.

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