The Model N Private Business Network Platform will help O-I address a number of mission-critical objectives on both the buy and sell side, including reducing costs by streamlining order fulfillment and increasing process efficiencies with their close business partners.
O-I's private business network will provide distributors and end customers with a unified framework for accessing product specifications and other product information. In addition, O-I will use the Model N software to allow its strategic suppliers and manufacturing operations to manage in real time contracts, pricing, and information for direct materials sourcing. This will reduce inventories and increase efficiencies in direct materials handling.
"While companies are always looking for ways to use technology to cut costs and drive increased revenue, current economic conditions have forced a strict focus on projects that create value. Immediate return and rapid time-to-value are absolute requirements of new IT projects," said Tom Young, executive vice president, O-I. "We chose Model N because their solution provides value across both the value chain and will provide our company a technology base to provide both immediate cost savings and long term competitive advantage."
Understanding that companies are not all alike, Model N created its breakthrough Private Business Network Platform to enable rapid customization of the applications to meet a company's unique business needs and dramatically improve inter-enterprise business relationships and process efficiencies. To this end, Owens-Illinois and Model N will work closely together to build a private business network that includes both supply and demand chain solutions such as supplier integration, product information distribution, and demand chain management.
"Leading companies realize they are only part of the process in delivering value to customers as suppliers, partners and even customers themselves have a material impact on the entire value creation process. By enabling the various constituents to interact together within one integrated network, tremendous operational efficiencies can be achieved," said Jon M. Ekoniak, senior business commerce and software analyst with U.S. Bancorp Piper Jaffray. "Owens-Illinois is taking a leadership role in making this vision a reality by implementing the Model N platform."
"As the leading producer of glass and plastics packaging products, O-I clearly understands the importance of productivity and customer service. O-I is looking to significantly bolster its technology infrastructure to increase efficiencies in its business relationships with customers and suppliers and is using the Model N private business network platform to leverage web technology and tie together the extended enterprise to deliver bottom line value and create a sustainable competitive advantage,"said Zack Rinat, founder and chief executive officer of Model N.
Model N will team with Lante, a leading information technology consulting company, to implement the Model N platform for O-I. Model N will leverage the development and implementation expertise of Lante to launch a Private Business Network for O-I that will include functionality for customers, suppliers, and key business partners. Release 1.0 will be completed by early 2002.
Lante principal Stephanie Race said, "Lante is committed to delivering solutions that generate real business value. Together Lante and Model N will make product design faster and easier for Owens-Illinois customers."