Success Story: Mercado Eletrônico has supported JBS in thousands of B13B negotiations for 2 years

case-jbs-electronic-market
case-jbs-electronic-market
Photo: Reuters

Every day, JBS, the largest animal protein company in the world, negotiates with thousands of third-party suppliers – following all legal and procedural parameters.

Since 2007, the company's purchasing department has been using Mercado Eletrônico's B2B e-commerce solution and, in the first year, has already achieved gains in agility and performance, making negotiations even more strategic and assertive.

In this success story, after 13 years of partnership, we will show some insights into how 95% of all JBS purchases made in Brazil pass through ME.

 

Trust and governance in JBS transactions

Mercado Eletrônico's B2B e-commerce solutions have been helping companies' purchasing departments for 25 years. Today, there are over 1 million suppliers on the platform. A leader in Latin America, ME is in the process of international expansion and already has offices in the United States, Portugal and Mexico.

Denis Peres, purchasing administration and control manager at JBS Brazil, explains that, initially, the Mercado Eletrônico tool aimed to perform automatic quotations with full control of the cycle and traceability of information. “This is one of the main points of interaction: trust and governance of the entire flow of transactions between JBS and suppliers,” he highlights.

 

The solution most used by JBS is e-Procurement from Mercado Eletrônico

The ME solution most used by JBS is e-Procurement, which allows for greater performance, governance, agility and savings, as it centralizes all requests to monitor the entire purchasing cycle. The tool offers a managerial view of orders, automates the entry of invoices for materials and services, among several other features.

Luiz Gastão Bolonhez, vice president of Mercado Eletrônico, explains that serving JBS was one of the biggest incentives for the company’s expansion into other countries. “JBS was our first client in several aspects. They were the first to sign up for the Business Plan, they encouraged the opening of our office in Mexico and they challenge us daily with the large volume of transactions. Our partnership has encouraged the continuous improvement of the services we provide to our clients,” he adds.

 

Coronavirus: platform helped to ensure the continuity of the company's operations

To continue its production even during the pandemic, JBS also adapted some of its negotiations with its suppliers. “With people eating at home, food services, such as restaurants and cafes, reduced their activities, while retail increased demand. JBS was very agile in moving its products, which would previously have been sent to restaurants, to supermarkets,” says Vicente Zuffo, Global CPO of JBS.

“The digitalization offered by the ME platform facilitated this process because suppliers immediately realized that the company had changed the type of packaging and manufacturing priority. Another important aspect of digitalization was the agility that internal buyers have to analyze the scenario, predict new needs and realign demands with suppliers.” (Vicente Zuffo, JBS Global CPO)

The ME also supported JBS in finding suppliers of items such as masks, caps, alcohol gel, cleaning products, face shields, among other personal protective materials that had accelerated demand at this time to guarantee the safety of the Company's employees in all its units.

 

Mercado Eletrônico's Business Plan promotes continuous improvement for buyers and suppliers

Jerson Nascimento Jr., CPO of JBS in South America, considers Mercado Eletrônico to be a great business partner. “With the Business Plan, for example, we have achieved results that are beneficial for both parties. The platform is an absolute success because it allows us to generate revenue and continuous improvements in our processes and in the partnership itself,” he explains.

 

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