The Automotive Commodity Procurement Solution – Commodity XL

Raw Material and Commodity Procurement

The Automotive industry has used “lean” manufacturing techniques to dramatically reduce buffer inventory. In addition, supply chains have been extended globally in search of lower cost materials and new markets.

These lean, global supply chains are now faced with rising raw material prices and unprecedented volatility in commodities, such as energy, metals, rubber, and plastic. New procurement strategies and systems are required to remain competitive.

The Automotive Commodity Management Solution

Procurement

Commodity XL® is the leading commodity and enterprise risk management solution for procurement to balance between profitable purchasing, coverage requirements, supply chain movements, risk management policies, and accounting regulations in today’s volatile and complex environment.

Integrated Demand Planning

Commodity XL Strategic Planning and Procurement™ (SPP) manages, measures, analyzes, and reports supply coverage against the demand plan at both roll-up and granular levels. SPP maps hedge gains, losses, and costs to commodity purchases to understand and analyze the “true” P&L of finished products.

Supply Chain Planning and Optimization

Triple Point’s WAM Supply Chain Solutions deliver a comprehensive set of visualization and decision support tools that address the unique challenges of managing complex automotive supply chains. Advanced functionality optimizes every aspect of the supply chain from demand management and distribution planning through production scheduling and sourcing. WAM Supply Chain Solutions provide all the tools required for developing accurate plans that maximize profitability and productivity.

Price Risk Management

Commodity XL provides the price risk management tools that are critical for the effective and efficient sourcing and hedging of commodities in volatile markets.

Supplier Risk Management

Commodity XL for Supplier Management™ proactively measures, manages, and mitigates the risk arising from supplier default and addresses the entire supplier risk process with a full range of analysis tools.

Hedge Accounting

Commodity XL for Hedge Accounting™ manages the daunting set of requirements under hedge accounting regulations, including the detailed testing, documentation, and reporting that must be performed in order to qualify for hedge accounting status. The solution ensures full compliance with ASC 815 (FAS 133), ASC 815-10 (FAS 161), IAS 39 (IFRS 9) and similar national hedge accounting regulations.

Fair Value Disclosure

Commodity XL for Fair Value Disclosure™ provides the tools and framework to define, measure, and manage fair value levels and meet all disclosure requirements for ASC 820 (FAS 157) and IFRS 7 compliance.

Commodity XL – The Complete Solution for the Automotive Industry

Commodity XL provides an enterprise view of position, coverage, and risk for increased transparency and manages multiple commodities on an integrated platform. It delivers superior, real-time business intelligence for proactive decision-making and competitive advantage.