PI News Flash: Baxter VP to be Interviewed Regarding Kawasaki Contract

Posted on August 25, 2010

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Last week I posted a brief article on Kawasaki selecting Baxter Planning Systems whose SaaS solution is specifically focused on meeting the “unique demands of the after-market, service, repair, and spare parts industries.”

It is an interesting selection for many reasons and on many levels.

As a result, I will be welcoming Baxter Vice President Mark Anderson to the PI Window on Business tomorrow at 10:00 PM EST.  You can access both the Live and On-Demand broadcast through the following link; PI News Flash: With Baxter Kawasaki Let’s The Good Times Roll

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In the meantime, I thought that I would share with you the following questions that I will be asking Mr. Anderson during the 15 minute interview, and would as always encourage you to share your thoughts:

Segment 1 (An Industry Paradigm)

Host Comment: Before we get into the recent Kawasaki win, I would like to examine in a little bit more detail the following statement from your website; ” Our direct sales force does not consist of traditional software sales people, but rather service parts experts most of whom were planners themselves . . . you can be confident that you are speaking with a service parts expert, not merely someone who understands the capabilities of a software product.”

  • To start, can you elaborate on why this point is important?
  • As you know, approximately 85% (some estimate that this number id higher), of all eProcurement or supply chain related initiatives have failed to meet client expectations.  Is one of the key reasons for this dismal track record tied to the fact that traditional ERP-type vendors had the technical knowledge relative to the software, but lacked the practical knowledge of the industries they were servicing?  If yes or no, please elaborate.

  • The August 18th post in the Procurement Insights Blog regarding the latest Baxter deal talked about the fact that Kawasaki’s decision to leverage Baxter’s ability to “seamlessly integrate” their solution with the manufacturer’s current systems and 3PL partners is yet another sign that SAP’s John Wookey’s SaaS sprawl rantings are more reflective of his own wishful thinking than actual customer demand.  Not wanting to put you in the position of criticizing another vendor, what are your thoughts regarding “SaaS sprawl?”
  • In what way do you believe that the market has changed and how, if at all, does it help Baxter who has been around since 1993?
  • Now Kawasaki`s selection of Baxter coincides with the manufacturer`s recent decision to engage UPS to warehouse and ship all of its parts, power products and engines reflects what I would call a collaborative strategy that is essential to the eventual success of a collective initiative.  Specifically, through the effective coordination of the movement of product through the company’s OEM, distributor and dealer channels, both consumer satisfaction and confidence in the brand will be the end result.  is this a fair assessment, and what specific role will Baxter play in terms of achieving that objective?
  • Very quickly, are there any more announcements of contract wins on the near horizon and, what does the next 6 to 12 months hold for the company?

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