Nexans: Turning global procurement teams into strategic partners with harmonized processes and automated tools
A consistent procurement model across 40 countries
To efficiently produce high-quality cables that connect a rapidly changing world, Nexans needs smooth data flows across its global procurement organization. A centralized system based on SAP Ariba solutions and SAP Business Network helps it link buyers and suppliers, increase transparency, and equip procurement teams to help the business grow.
| Industry | Region | Company Size | Partner |
| Cross-industry – Mill products and mining | Paris, France | 28,000 employees | Genpact |
of purchase orders (POs) through catalogs.
POs through SAP Ariba solutions each year.
e-auctions each year.
Head of Procurement Operations and Shared Services, Nexans S.A.
Transforming purchasing with a core group model based on best practices
Having played a key role in the electrification of our world for 120 years, Nexans S.A. is now at the forefront of the global shift to a more connected and sustainable energy future. As well as providing high-voltage cables that transmit electricity under the sea, across the land, and from offshore wind farms, it offers customers a complete electrification service that helps them optimize their critical assets.
To serve these customers efficiently in operations spanning 80 plants in more than 40 countries, Nexans set out to transform its procurement organization. It needed to segregate purchasing roles more clearly, standardize processes, and help teams switch focus from operational tasks to strategic buying. It sought a tool to help it connect 20 ERP systems, each with its own supplier data set, so that it could better manage indirect spend and accelerate processes through both automation and the use of catalogs. And it wanted to enhance business intelligence by centralizing purchasing data in one source.
Engaging buyers and suppliers with intuitive, streamlined processes
To put its procurement transformation plan into action, Nexans chose to implement SAP Ariba solutions and the SAP Business Network Commerce Automation solution for their reliability, flexibility, and straightforward deployment options. It knew that the intuitive interface offered by the solutions, functionality such as the guided buying capability, and the widespread availability of catalogs would aid user acceptance while enhancing procure-to-pay processes across the company.
Also attractive were the different templates available for various e-auction types in the SAP Ariba Sourcing solution as well as event day management services providing active monitoring of published auctions.
In addition, the company chose to adopt SAP Business Network with the goal of managing 100% of indirect-spend POs on the network.
Bolstered by strong executive sponsorship at the CEO level, Nexans deployed its new procurement platform in a two-year project. It worked with partner Genpact to define new ways of working, new roles, and 75 distinct processes spanning procurement, supply chain, and IT operations.
Clear delineation of which tool to use for which task was key. Through global sessions and workshops, Genpact helped train teams from finance and purchasing to operations and shared services. Meanwhile, local language support available with SAP Ariba solutions enabled smooth onboarding and detailed training of suppliers, helping Nexans rapidly embrace e-auctions.
Improving supplier relationships while enabling strategic spending
With its procurement platform based on SAP Ariba solutions, Nexans now has all PO information in one tool and one view of purchasing activity in a user-friendly global dashboard. This increases visibility for diverse stakeholders and provides valuable business intelligence for better decision-making across the procure-to-pay landscape.
Thanks to simplified operations, clearly defined tasks, and increased automation, Nexans has enabled buyers to shift from operational to strategic tasks that promote growth and raise the procurement function’s profile and appeal.
Buyers benefit not only from intuitive tools such as catalogs, which account for 41% of indirect spend, but also from e-auctions, which help them identify cost savings, run consistent events, and speed up tasks.
Suppliers, too, appreciate automated processes and smoother, more consistent operations. Whereas a supplier previously appeared multiple times in different countries’ systems, there is now only one entry for each company in the centralized database, with all indirect suppliers running through SAP Business Network.
Some impressive statistics illustrate the already extensive reach of the new platform:
100% of indirect spend through SAP Ariba solutions and SAP Business Network
More than 600 catalogs and almost one million pricing items managed
100% of indirect spend under cost control and negotiation if needed
80,000 indirect POs
Evolving procurement continuously to respond to new opportunities
After reimagining its procurement function and organization, Nexans is continuing to centralize processes, expand offerings, and improve visibility across the business.
For example, it’s rolling out the SAP Ariba Supplier Lifecycle and Performance solution to help it more efficiently store master data and simplify supplier onboarding.
The company is also exploring how best to shift direct spend, currently managed separately by each country through its own ERP system, to SAP Business Network. And it’s looking at functionality such as electronic requests for quotation to further reduce the operational burden on buyers and help them make the right strategic decisions for their business.
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