#Germany #Ivalua #Essen #Deichmann SE #Sourcing Automation

Deichmann SE and the Digital Procurement Revolution

Deichmann SE, renowned as Europe's largest footwear retailer, is embarking on a transformative journey in its procurement strategy by partnering with Ivalua, a leader in spend management solutions. The collaboration aims to digitalize their Source-to-Pay (S2P) processes, significantly enhancing efficiency and transparency within the organization. This strategic move is particularly crucial in today’s ever-evolving retail landscape, characterized by rapidly changing customer preferences and supply chain disruptions.

Founded over a century ago in Essen, Germany, Deichmann has grown to operate approximately 4,700 stores in 34 countries, employing around 49,000 personnel. In 2023, the company's gross revenue reached an impressive 8.7 billion euros, establishing it as a formidable player in the European market. With such a vast footprint, operational efficiency in procurement can lead to significant cost savings and improved service delivery.

Goals of the Digital Transformation

Deichmann SE has outlined several key objectives through its partnership with Ivalua:

1. Consolidate and Streamline Operations: The focus is on unifying various procurement processes to eliminate silos and enhance workflow efficiency.
2. Increase Automation: By minimizing manual efforts, Deichmann seeks to empower its procurement teams, allowing them to concentrate more on strategic tasks rather than routine operations.
3. Enhance Transparency: With better visibility into procurement activities, Deichmann aims to utilize actionable data insights for informed decision-making.
4. Improve Collaboration: Engaging effectively with internal teams and external suppliers is essential for maintaining robust relationships, particularly in turbulent market conditions.

To achieve these goals, Deichmann will implement Ivalua’s comprehensive digital solutions, which encompass numerous core S2P processes, such as Supplier Risk and Performance Management, Sourcing, Contract Management, eProcurement, and Invoicing. Noteworthy features include Ivalua’s Intelligent Virtual Assistant (IVA) and Collaboration Plans module, which are designed to facilitate seamless communication and collaboration across the board.

Market Dynamics and Supplier Relationships

As emphasized by Deichmann’s Procurement Lead, the choice of Ivalua was driven by its capabilities to streamline procurement operations. The procurement landscape is changing rapidly due to evolving customer expectations and frequent supply chain disruptions; thus, the importance of strong supplier relationships cannot be overstated.

Dan Amzallag, COO of Ivalua, highlighted that equipped with the right tools, procurement can not only drive value but also achieve resilience in the supply chain. This is vital for surviving and thriving in today’s competitive market, where agility and adaptability are paramount.

About Ivalua

Ivalua stands out as a premier provider of cloud-based, AI-driven spend management software, helping organizations efficiently manage all aspects of their procurement. Their unified Source-to-Pay platform supports businesses in controlling spend across various categories and suppliers, ultimately enhancing profitability and sustainability while mitigating risks. Many of the world’s most recognized brands trust Ivalua, underscoring its reputation as a leader in the industry.

Conclusion

The partnership between Deichmann SE and Ivalua marks a significant step towards an advanced digital procurement approach. As the retail environment continues to shift, leveraging technology to enhance procurement processes will be essential for maintaining a competitive edge. The future looks promising for Deichmann as it embraces innovation and strives for excellence in procurement operations while nurturing essential supplier relationships.