Covisint’s IT Toolbox

Hits

Advanced Quality Planning Auto manufacturers track quality during product design and manufacturing, and ensure adherence to key performance indicators that they have set up with suppliers.

WHY IT WORKS A bull’s-eye, because the Big Three have lined up behind the software as their standard, which will make the administrative burden of quality reporting easier on suppliers.

Collaboration Manager virtual workspace Auto manufacturers and suppliers can view CAD-CAM drawings through Covisint and communicate in real-time.

WHY IT WORKS The ROI of sharing designs in real-time is limited, but using Covisint’s workspace is cheaper than building a new system.

Misses

Portal Covisint hosts private e-commerce websites for automakers and suppliers.

WHY IT DOESN’T WORK Most suppliers and automakers prefer to retain complete control over their private websites.

Procurement Covisint hosts auctions; offers templates for RFPs; hosts a database of pricing information; lets members set up catalogs for buying accessory goods like office supplies and maintenance equipment; and helps sell off excess materials (such as extra steel) and unused capital assets (such as old factory machinery).

WHY IT DOESN’T WORK Nothing special. Other vendors and exchanges, like FreeMarkets (a popular alternative to Covisint for car suppliers), offer the same functionality without the baggage of being owned by the car manufacturers.

Supply chain collaboration Car companies and suppliers can track forecasts, inventories and deliveries through the Web.

WHY IT DOESN’T WORK Nice, but individual car companies have already made some suppliers build systems for this type of data. Unless supply chain collaboration becomes standard across the industry, the cost of integrating with Covisint and killing legacy systems is prohibitive, especially for smaller suppliers.