Ingram Micro Strengthens Market Leadership through New European Operating Model
(PresseBox) (Vilvoorde, Belgium, )Ingram Micro today announced its intention to transform its current European organization into a consistent pan-European operating model that is expected to significantly improve the way it serves vendors, customers and other business partners. By simplifying and standardizing its organizational set-up across all countries, Ingram Micro plans to utilize economies of scale and leverage its local experience internationally to continue driving sustainable growth throughout the European region. The transformation is expected to roll out gradually over the course of 2014.
"The IT market is changing significantly, prompting the IT channel to align its business models accordingly," says Gerhard Schulz, Senior Executive Vice President and President, Ingram Micro Europe. "Going forward, Ingram Micro's business model must have the agility and flexibility to take full advantage of the many existing opportunities in the market. With this new operating model, we intend to accelerate our internal decision-making processes and systems that will support our country go-to-market efforts even more, allowing us to provide our partners with even greater world-class service."
In order to achieve this objective, Ingram Micro announces a number of strategic initiatives that will drive operational excellence by:
- Standardizing the go-to-market models in all European countries to improve the international reach of Ingram Micro's commercial network.
- Maximizing scale opportunities by managing centrally the business support functions, such as human resources, finance, information systems and operations, allowing the country operations to fully focus on their go-to-market initiatives.
- Improving Ingram Micro's logistic footprint by consolidating our warehousing facilities in Germany and Benelux. The company's Trier, Germany warehouse will be integrated into the Straubing facility and the Belgian warehouse is planned to be consolidated into a single Benelux warehouse in Tilburg, The Netherlands. These moves are expected to offer greater service capabilities to our customers and vendors.
- Consolidating transactional support by expanding the use of the Ingram Micro Shared Service Center in Sofia, Bulgaria through the transfer of additional country business-support functions as well as through the consolidation of activities from the Regional Accounting Center in Barcelona, Spain.
- We will no longer organize functions centrally in one location. Now, management support functions from our European headquarters in Belgium will gradually transfer to various country based and global competence centers. For example, the Dutch organization will be home to the European finance competence center and Germany will be organizing the Advanced Solutions business whilst France will assume responsibility for managing certain European vendor management roles.
While it is expected this transformation will impact a number of positions in various countries, Ingram Micro will be working closely with employee representatives throughout the region to consult on our plan and discuss a fair outcome for those impacted.
"As our industry evolves, our company is evolving to meet the challenges ahead while further improving its competitiveness," says Schulz. "Our new operational model is the best way forward for Ingram Micro to serve our customers better than ever while possessing the agility to capture new opportunities, and drive sustainable growth and leadership across our key markets."
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