One of the first suppliers to announce its intention to join Covisint, Meritor will become a member of Covisint's Customer Advisory Council allowing the company to participate in the development of the exchange, which still requires various government approvals.
"Being one of the first suppliers to join Covisint underscores our commitment to take the lead in e-business initiatives," said Meritor Chairman and Chief Executive Officer, Larry D. Yost. "This will allow Meritor to both communicate more efficiently in real-time with our own suppliers and transact business via the Web to improve the overall speed and efficiency of our supply chain. As a result, we anticipate enhanced revenue streams, reduced supply chain costs and compressed cycle times."
Yost said Meritor would also participate "in e-auctions for global procurement of maintenance, replacement and operational and direct material. We believe the new planned Web exchange will offer tremendous opportunities in worldwide collaborative commerce, engineering and material supply anagement."
The formation of Covisint was announced on May 16. The name, according to the Covisint web site, represents a fusion of communication, vision and integration.