Synapz Expects To Save Suppliers $750M With Internet

Autoparts Report, April 25, 2000

Future Three has formed a business-to-business electronic commerce company called Synapz for automotive parts suppliers.

Synapz's goal is to save the automotive industry $750 million through the use of its Web-based technology. The company predicts a 21 percent increase in inventory turnover among suppliers, a 32 percent reduction in supply chain lead-time, and an 85 percent improvement in demand accuracy.

"Synapz is the only company that enables automotive suppliers to manage easily and risk-free the extremely complex process of data exchange and order fulfillment," said Bob Paul, president of Synapz. "We will enable the entire supply chain to take advantage of technology that has previously been cost prohibitive."

Synapz is focused on closing the information gap between the supplier tiers within the automotive original equipment industry, the company explained. Among suppliers, tens of thousands of transactions occur daily that need immediate attention, it said.

More than 22 electronic transaction sets--such as pricing, delivery, shipping, validation, logistics, material needs and quantity information--are used in the automotive industry, it noted.

Synapz technology deciphers this information and communicates it automatically, the company said. Its open architecture and utilization of the Internet at its portal enables collaboration with other service providers to solve problems in the delivery cycle, such as freight optimization, the company said.