15 July 2004

UGS Announces Availability of New Teamcenter Sourcing Capabilities

FOR RELEASE Thursday, July 15, 2004

NEW YORK– UGS, a leading global provider of product lifecycle management (PLM) software and services, today announced the availability of the latest release of its product lifecycle sourcing solution within Teamcenter®, the leading integrated portfolio of PLM solutions. With this release, new Teamcenter Sourcing functionality is being introduced: a web-based RFx and survey capability, and a sourcing community capability.

UGS made the announcement in conjunction with its analyst/media briefing event being held July 14-15 in New York.  The briefing is the first such event UGS has held since announcing on May 27 the closing of its sale by EDS to three private equity firms and its launch of operations as an independent software company under the UGS brand.

UGS also announced the formalization of its joint development and joint marketing agreement for Teamcenter Sourcing with A.T. Kearney which becomes the newest Strategic Partner in the UGS Partner Program. In addition to UGS’ sales of Teamcenter Sourcing through its direct channel, UGS has a relationship with A.T. Kearney Procurement Solutions to deliver the sourcing technology through A.T. Kearney.

Teamcenter Sourcing is a fully-integrated web-based solution that transforms direct material sourcing to enable complete sharing of data across supply management modules. Powered by eBreviate, a web-based strategic sourcing technology, Teamcenter Sourcing provides seamless supply chain collaboration between engineering, procurement and the supply community.  It provides end-to-end strategic sourcing capabilities, with a focus on enhanced functionality, enterprise integration, and customization features to support varying negotiation strategies and customer look-and-feel requirements.

“Over the past year, we have enhanced the Teamcenter Sourcing suite to further streamline the sourcing process. Our goal is to engage the entire supply chain through the product development process,” said Raj Khoshoo, vice president of Strategic Initiatives, UGS. “These new products represent an innovative step forward in the alignment of the product development and procurement processes. We are continuing our commitment to our customers by taking PLM beyond its traditional manufacturing roots into strategic initiatives combining eSourcing and PLM software. UGS is leading the PLM industry by delivering Teamcenter solutions throughout the lifecycle, and our relationship with A.T. Kearney Procurement Solutions helps us reach procurement professionals with integrated solutions.”

Teamcenter Enables Web-based RFx

With this release, Teamcenter Sourcing delivers a web-based RFx and sourcing survey capability to streamline the process that sourcing teams use to distribute, collect and analyze RFIs, RFPs and RFQs. Procurement professionals can make faster, more effective sourcing decisions by evaluating RFxs, sourcing surveys and supplier responses in the same PLM environment they use to scrutinize product and process definitions in terms of their sourcing-related impact.

The latest version of Teamcenter Sourcing offers new RFx functionality, including a quicker RFx build, simplified pricing table set-ups, a centralized location for all communications, improved evaluation methodology and enhanced reporting and scorecard capabilities, in addition to delivering updated ease-of-use features.

Teamcenter Creates a “Sourcing Community”

With this release, Teamcenter Sourcing’s contract management and sourcing team tools and workflow are enhanced through integration with Teamcenter’s lifecycle collaboration capabilities to establish a “sourcing community.” Benefits from this integration include:

  1. Synchronizes every member of the sourcing team.  Users gain access to product knowledge without leaving their familiar Microsoft work environment, allowing more people throughout the extended enterprise, including partners and suppliers, to participate in the product lifecycle sourcing processes.
  2. Provides real-time workflow collaboration services.  Users gain access to a rich set of collaboration services, including calendars, schedules, workflow, virtual meeting sites, instant messaging and virtual conferencing, thus streamlining product lifecycle sourcing processes for improved time-to-market, increased productivity and reduced costs.
  3. Offers secure data and contract management repository and services for the seamless sharing of information.  Data is shared seamlessly between eSourcing modules and provides access to sourcing documents, contracts and events in a way that will be familiar to both the OEM and its suppliers.
  4. Delivers standard reports and dashboards.  Allows the procurement team to monitor sourcing activity at multiple levels, thus ensuring the best possible price and vendor relationship.

“The robust Teamcenter collaboration platform is a logical application for enhancing the procurement process, as sourcing is a multi-functional, multi-disciplined activity,” said Chuck Grindstaff, executive vice president,  Products, UGS. “Consistent with the UGS standard of open and scalable architecture, the Teamcenter sourcing community technology is interoperable with all ERP and requisition-to-pay platforms. This integration will be unsurpassed in flexibility and functionality relative to all other sourcing solutions which exist today.”

Delivery by UGS and A.T. Kearney Procurement Solutions

In addition to the new products, A.T. Kearney Procurement Solutions and UGS finalized the formal agreement for their relationship for sourcing and procurement services, content and technology by signing a long-term contract. Under the terms of the contract, UGS will continue the development of the eBreviate sourcing technology, with A.T. Kearney Procurement Solutions providing the design direction, ASP operations, sourcing services and category-specific sourcing solutions and content.

“The growth potential for both organizations is sizable,” says Joseph Raudabaugh, President of A.T. Kearney Procurement Solutions. “Sourcing brings a tangible return on investment to the PLM offering. The large base of existing Teamcenter customers will enable the eBreviate solution, which is already well entrenched in the sourcing community, to become a standard in the PLM space. Likewise, A.T. Kearney Procurement Solutions will benefit significantly from the roll-out of the technology since we will be providing the accompanying service and support. With a growing interest in complexity reduction programs that leverage PLM data and sourcing capabilities, we see this as a big win for customers.”

“We are delighted to formalize this relationship. Both organizations are leaders in their respective spaces, and the combined solution is a powerful testament to the direction the industry is heading,” continued Khoshoo. “This collaboration will benefit customers significantly, as A.T. Kearney brings not only its sourcing know-how, but also its world-class capabilities around complexity reduction, parametric costing and third party manufacturing management to bear on the Teamcenter-enabled supply chains.”

About Teamcenter

Teamcenter, from UGS, is a proven portfolio of configurable lifecycle domain and industry solutions, uniting product knowledge with process innovation to deliver business value throughout the product lifecycle. Teamcenter leads the PLM industry with digital product development, engineering process management and enterprise data management solutions that deliver fast time-to-value.

About A.T. Kearney Procurement Solutions

A.T. Kearney Procurement Solutions (www.atkearneyprocurementsolutions.com) provides comprehensive strategic procurement services to clients with needs that range from tactical cost savings to outsourced strategic sourcing services to complete procurement transformation. A.T. Kearney Procurement Solutions augments the strategic sourcing expertise of A.T. Kearney (www.atkearney.com), one of the world’s largest management consulting firms. With a global presence that includes more than 60 offices in 37 countries, spanning major and emerging markets, A.T. Kearney provides strategic, operational, organizational and technology consulting and executive search services to the world’s leading companies

About UGS

UGS is a leading global provider of product lifecycle management (PLM) software and services with more than 3 million licensed seats and 42,000 clients worldwide.  The company promotes openness and standardization and works collaboratively with its clients in creating enterprise solutions enabling them to transform their process of innovation and thus begin to capture the value of PLM. 


Note to editors:  UGS and Teamcenter are trademarks or registered trademarks of UGS Corp. or its subsidiaries in the United States and in other countries.  All other trademarks, registered trademarks or service marks belong to their respective holders.

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