Not everyone believes that large, open trade exchanges are the only way to get businesses online. Viquity Inc. on Tuesday will launch an E-procurement network that automates transactions between manufacturers and their supply-chain partners.
The company initially will sell its Viquity Dynamic Commerce Network to a narrow market sector--small and midsize technology manufacturers looking to automate direct procurement activities among business partners. Other markets are expected to follow. Viquity will house the network infrastructure and outsource the service to customers. Monthly subscription fees start at $1,000, based on the number of trading partners and transactions, as well as complexity. Implementation start at $10,000.
RedBack Networks, Sonic Manufacturing, and PairGain Technologies are building dynamic supply chains to exchange purchase orders, demand forecasts, invoices, and other production material documents using Viquity's service. The service itself is an alternative to electronic data interchange, which is expensive and rigid for smaller companies to implement, says CEO Chris Grejtak. "The industry has been looking for a replacement for EDI and other point-to-point software," he says.
Viquity's is not a business-to-business exchange service nor does it compete with them, Grejtak says, because Viquity drills down to direct supplier-to-supplier transactions in a production environment, while exchanges match buyers and sellers indirectly. However, he says, there may be collaboration or partnership opportunities between the two models in the future.-