Key account manager Juha-Pekka Miettinen, who is in charge of the network operator sector at SLO, clarifies the meaning of this material management agreement between Kymen Puhelin and SLO: "SLO purchases the goods Kymen Puhelin needs with its procurement agreements and manages the relevant logistics with the exception of a small range of specialist products. In other words, practically all of Kymen Puhelin's purchasing and warehousing operations have been outsourced to SLO."
Procurement manager Harri Laine at Kymen Puhelin Oy emphasises that the change brought along with this agreement is of much greater significance to them than to SLO. Kymen Puhelin celebrates its 125th anniversary this year and old practises and traditions are deeply engraved. "We used to have dozens of people purchasing various goods and equipment. Now over 80 % of the purchasing is under SLO's management", he says.
When Kymen Puhelin decided to further develop its existing material procurement, they had two choices - either to build up on their existing goods purchasing operations or to look for a partner to manage it. They soon realised that developing warehousing, material purchasing and logistics which are all outside their own core business, would prove to be expensive so finding a partner emerged as a clear winner and the natural choice.
As told to Juha-Pekka Miettinen, the partnership between Kymen Puhelin and SLO has simplified operations and eliminated overlapping suppliers and products. Operational functionality has improved and cost-savings have been made. "Kymen Puhelin also believes that agreements of this kind shall become more common elsewhere too", J-P Miettinen adds.
* Kymen Puhelin Oy, a locally operating telecommunications company, part of the FINNET group, established 125 years ago, the 2007 turnover 35,6 M€, number of personnel 214.
