Manufacturing Industry

Alcatel uses teams to manage supply, design. (Purchasing Strategy).

Purchasing, March, 2003 by Carbone, Jim

Telecommunications equipment manufacturer Alcatel's sourcing strategy focuses on purchasing involvement on design teams, strategic commodity councils, and outsourcing manufacturing and purchasing activities to contract manufacturers.

The French company, whose North American operation is based in Plano, Texas, makes a wide variety of wire-line wireless equipment for carriers. It is also a fervent believer in the team concept. It uses teams to managing commodities, design new products and reduce cost. Key to all of the teams is a strong purchasing presence.

"We have a team called advanced procurement," says Burt Rabinowitz, vice president of sourcing and procurement at Alcatel. "It looks at advanced technologies and the ability of suppliers to...

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