Caserones Optimizes its Supply Management with SNP

At a glance

The Challenge

The mining company aimed to improve its entire tendering process, including storage space, and was looking for a tool that would allow traceability. In order to optimise and transform its procurement processes for services and materials, Caserones selected SAP Ariba Sourcing as its procurement platform. This solution allowed it to specify its deliveries, centralise content and communications and use a single tool for all categories of expenditure (services, indirect and direct materials). In relation to supplier management and evaluation, Caserones chose to define and organise its processes through SAP Ariba Supplier Lifecycle Performance.

The Advantages

• Reduction of tender processing times by approximately 40%
• Elimination of 85% of the cabinets where all the folders were stored
• Reduction of audit observations due to traceability issues by approximately 80%
• Improvements in traded securities and contract terms that have so far generated savings of close to 10%
  
  

The solution

The project was carried out in two stages, firstly the implementation of SAP Ariba
corresponding to the Sourcing modules, for everything related to tenders, and Supplier Lifecycle Performance (SLP), to be able to generate an evaluation of suppliers. In a second instance, during 2020, the integration of Supplier Lifecycle Performance with Caserones' SAP ERP system was implemented. As its suppliers were adapted to the SAP Ariba platform, it was decided to integrate their processes into the ERP to be able to keep a complete record. This allowed the management, automation and modelling of all activities related to the supplier process, including supplier classification, master data integration and banking information.

About Caserones

SCM Minera Lumina Copper Chile (MLCC) is a company owned by the Japanese company JX Nippon Mining & Metals. MLCC owns Caserones, a mining operation located in the Atacama Region, 162 kilometres southeast of the city of Copiapó, in the upper valley of the Tierra Amarilla district at an average altitude of 4300 metres above sea level, in the Andes Mountains