Reference steag

Growing eProcurement and tail spend optimization

The eProcurement solution from DIG was initially used to organize C-parts procurement decentrally in 2012 and then connected to the Unite Marketplace in 2022. Just under a year later, the next revolution came with company splitting: "We now operate two eProcurement solutions in parallel for tail spend optimization," says Jörg Zöhler, Head of Indirect Goods Purchasing, who implemented the project together with Klaus Merfeld.

STEAG has stood for safe energy generation internationally for over 85 years. From planning and development to the operation and marketing of highly efficient power plants, the company offers a broad spectrum for the supply of electricity and heat. In Germany, the STEAG Group operates large power plants on the Rhine and Ruhr, in Saarland and in Saxony-Anhalt, as well as over 400 decentralized plants. The two business units Iqony and STEAG Power are located under the Group umbrella . "In line with this core business strategy, our tried-and-tested eProcurement system has now also been adapted, " reveals Zöhler.

Industry: Power generators

Web: steag-iqony-group.com

Dual eProcurement

After the successful first roll-out of the Unite connection at the beginning of 2022, a significant change was necessary at the end of the same year, continues Merfeld: "Due to the split into Power and Iqony, the eProcurement of both areas had to be separated." To this end, the entire system was mirrored, the database copied, mappings changed, suppliers informed, etc. in a short implementation period from the beginning of October to December 1. "In addition, depending on the company code - i.e. whether the order comes from the Power or Iqony division - a logic was built in to allocate it accordingly and trigger the correct release process," explains DIG Project Manager Stefan Cuic. Zöhler is satisfied: "Overall, it worked very well. And in the course of this project, we were also able to standardize the different approval processes."

> As easy as filling up at the company's own charging station: the Power Order Shop with API and thus fully integrated access to Unite's external catalogs.

Digital procurement provides necessary relief

The tragic geopolitical events of 2022 had a significant impact on the energy sector. "It was precisely in this environment that our procurement digitalization helped," explains Merfeld and Zöhler adds: "A company of our size would be unthinkable without automated processes for the procurement of consumables." Efficiency was therefore also the key issue when it came to the marketplace connection, explains Merfeld: "Our aim was to reduce the proportion of free text orders and purchase requisitions via our SAP."

User experience as a success factor

Originally, various providers were looked at, Merfeld recalls: "During this process, we realized that we wanted to avoid an OCI punch-out at all costs for the benefit of our employees in order to record requirements efficiently without having to select suppliers or make comparisons in different stores." The search itself was also to take place entirely in the Power Order Shop, as the highly individualized DIG eProcurement platform is called at STEAG. The solution: the API connection from Unite! The Application Programming Interface allows convenient, fully integrated access to external catalogs and offers comprehensive configuration options as well as high-performance data exchange (e.g. order changes without jumping to the supplier store). "All this at a superior data speed, allowing our users to access Unite's huge range of products," says a satisfied Zöhler.

Single creditor principle and product range management

"We were impressed by Unite as a provider with expertise in system integration, so that the entire offering could be optimally integrated into our existing store range," explains Merfeld. The professionals also appreciate the single creditor principle for efficient purchasing processes, emphasizes Zöhler: "This means we have one contact person for all matters relating to orders at Unite. It also saves us additional supplier administration." The option of restricting the product range was important: " We are subject to group-wide specifications from our specialist departments when it comes to occupational health and safety or IT - these items and others therefore had to be excluded. This can be done easily via the DIG platform or the Power Order Shop." Unite can even be used to integrate the company's own suppliers as business stores with individual product ranges and finally negotiated prices. "However, we have postponed this topic due to our restructuring," adds Zöhler.