Business News

arvato takes over Print Management for Sunrise

Wednesday 15. August 2012 - arvato Corporate Information Management is to take over the procurement management for printed matter, marketing items and point-of-sale materials for the Swiss telecommunications firm Sunrise Communications AG with immediate effect. In doing so, the BPO provider is continuing to expand its business activities in the area of print management.

The decision to work with arvato will make it possible for Sunrise to completely outsource the purchasing and production management for printed matter, marketing items and point-of-sale materials. The portfolio for which arvato will now be responsible comprises, e.g. posters, flyers, mailings, brochures, advertising banners but also small promotional gifts such as bags of sweets.
The arvato print management model will enable Sunrise to make cost savings which will be generated not just through cost-effective purchasing by arvato. In particular, Sunrise will benefit from the outsourcing of specific processes which will allow the Swiss firm to focus on its core competences.
In the area of print management, arvato will take over all payment processes with all suppliers. Further cost savings will be achieved through in-house consulting by arvato employees on site which will help Sunrise to optimize the purchasing and production specifications. At the same time arvato will also take over the quality and supplier management which will also help to reduce costs.
In addition there is a so-called gain share model which allows both sides to share the cost savings that are achieved.
“At the moment, the model is virtually the only one available on the market. It is success-oriented and enables customers and service providers to benefit equally from savings that are realized. Using criteria that are specified in advance the cost reductions are calculated and distributed according to a defined key. In this way the customer provides an ongoing incentive for the service provider to always purchase as cost-effectively as possible as this will put the latter will be in a better economic position. Reporting tools provide the necessary level of transparency,” explains Bernd Robke, Vice-President at arvato Corporate Information Management with responsibility for the global print management businesses. Robke adds: “We are not afraid of such a model because we know the benefits we can bring to a partnership.” Sunrise’s existing suppliers will also benefit because they will be in a position to bid for further print management orders from arvato´s large customer portfolio.
Klaus Linderich, Director of Strategic Purchasing at Sunrise Communications AG in Zurich, hopes that the partnership with arvato will create clear added value in future: “We want to share arvato’s expertise and in-depth market knowledge from a qualitative and a financial point of view. The arvato print management model in combination with the variable, performance-related remuneration is a real trend-setter and will unlock profitability reserves in the area of procurement.”
arvato is also looking forward to the cooperation with Sunrise. Robke says: “The cooperation with Sunrise is an important step in the telecommunications market and represents a further milestone in our international growth strategy.”